New EV Shortages: Why Used EVs Are Stealing the Spotlight
Download MP3Key Topics Covered in This Episode:
- Electric Vehicle (EV) Sales Slowdown
- Increasing sales backlog for electric vehicles.
- New EV reservations suggest the "shortage" may persist long-term.
- Changing Vehicle Purchasing Norms
- Traditional dealership model shifting away from speculative inventory.
- Manufacturers producing fewer cars to avoid overstock and discounts.
- Future outlook: Waiting for vehicle orders might become the standard process.
- The Rise of Used EVs
- Bloomberg reports 5% of new car sales in the U.S. are EVs, marking a tipping point.
- Factors driving interest in used EVs:
- High gas prices and inflation.
- Maturation of the used EV market.
- Shift in buyer behavior:
- In 2021, only 50% of EV shoppers considered used EVs.
- By 2022, this figure rose to 80%.
- Used EV Market Trends
- Increasing demand leads to the establishment of dedicated EV departments in dealerships.
- Challenges to consider, like battery condition and long-term maintenance.
- Electric Vehicle Pricing Trends
- Both new and used EV prices are rising steadily.
- Shortage contributing to price inflation:
- Buyers flipping new EVs for profit.
- Elevated competition in the used EV market.
Takeaway:
The electric vehicle industry is undergoing rapid transformation, with changing norms in purchasing, rising interest in used EVs, and shifting market dynamics making it essential to stay informed.
The electric vehicle industry is undergoing rapid transformation, with changing norms in purchasing, rising interest in used EVs, and shifting market dynamics making it essential to stay informed.
