Dealers have a crucial role in creating EV consumer confidence
While consumer demand for used electric vehicles (EVs) has continued to increase, dealers have a crucial role in sustaining this trend, and this will be vital, especially for dealers retailing new – 5 stock, not least of all because newer used internal combustion engine (ICE) vehicles will continue to see supply falling, reflecting the growth in new EV sales.
The used ICE challenge for dealers is neatly summed up in the latest Cox Insight Quarterly Report* “a shortage of young ICE vehicles will likely elevate values and create fierce competition amongst dealers.”
On the other hand, the supply of N-5 EVs will only go one way, especially battery electric vehicles, as government benefit-in-kind benefits for hybrid cars start to be withdrawn.
Regardless of dealers’ personal views on EVs, they are moving rapidly to becoming the mainstream new car option for buyers, even if this is driven by government support. Thanks to de-fleeting cycles and salary sacrifice schemes, there will be ever more 2-5 age EVs and perhaps pre-registered EVs entering the used car landscape.
Embracing the transition to used EVs is one of those industry agility opportunity moments for dealers. Much of this will start with internal education so that a dealer’s team is equipped to help potential buyers make the switch.
In today’s social media-led world, where everyone can be an expert, dealers must get to grips with the truth about EVs, battery life, service and maintenance costs, range, recharging, charging, and more. A key message is that owning and driving an EV is different to an ICE car, but that typically, it is cheaper to run and very suitable for the average motorist who does under 7,00 miles a year, mainly on local journeys with occasional long-distance trips, especially if they have a home charger.
At MotoNovo, we will continue to publish validated independent insight about these factors to support the dealer network; we hope it will help dealers make the profitable transition to selling EVs in the months and years ahead.
* https://www.coxautoinc.eu/news-and-insights/insights-quarterly-2025-predictions/
