Driving the EV market forward: The role of OEMs and dealers

Our latest Insight Quarterly Report (IQ) reveals just how quickly the EV market is growing. In the last five years, EV sales have soared by 560%, with 979,000 EVs now on UK roads. By 2028, EVs are expected to account for 36% of new car registrations, overtaking petrol as the leading fuel type.

The below graph shows EV market growth 2017-2024, and our projections for 2025-2028:

 

Despite this considerable growth, our data highlights there’s still a long way to go when it comes to EV adoption, and dealerships and OEMs (Original Equipment Manufacturers) have a big role to play.

In this article, we’ll break down our latest consumer research (supported by Regit), outlining what industry players need to do to prevent the EV market stalling.

Consumer perceptions of the EV market

As part of the latest edition of IQ, we surveyed over 2,000 consumers with Regit, to understand their views on the EV market today. The findings reveal persistent misconceptions, the challenges they face, and what they expect from industry and government policies to embrace electrification.

One key takeaway is that a lack of first-hand experience may be preventing wider EV adoption. While 79% of consumers have never driven an electric vehicle, the majority (87%) of those who made the switch reported that it met or exceeded their expectations.

When asked who should take responsibility for driving EV adoption, 49% pointed to dealers, while 41% think manufacturers should do more. But what exactly do consumers need from these industry players to feel confident about electrification?

Bolstering EV market growth: The role of OEMs 

Affordable and accessible EVs  

Competition from new entrants means OEMs must diversify their range with more affordable models. A tricky thing to achieve when it comes to the cost of materials and production, but one in three (33%) consumers say that better leasing and financing options would encourage them to go electric. 

Overall, cost remains a primary roadblock for EV adoption, with 86% of respondents wanting better incentives to make the switch.

The top three EV incentives respondents want are:

Improve battery transparency and longevity 

Although range anxiety is a common concern, only 25% of EV drivers actually experience battery range issues. However, 42% report discrepancies between real-world range and OEM guarantees – further adding to the concern of transparency.

As a result, consumers are calling for: 

· Standardised battery health reports

· Extended battery warranties and servicing options

· Recycling and second-life solutions

Admittedly, this requires additional investment from OEMs, which can be daunting, particularly with consumers wanting to keep costs down. Manufacturers should consider partnering with battery solutions and management providers to support them in this challenge.  

Tackle EV education and misinformation 

With 79% of drivers having never experienced an EV, widespread misinformation is fuelling scepticism and slowing EV adoption.

Respondents highlighted four key gaps in EV education:

To address these concerns, OEMs should expand EV test drive initiatives at dealerships and events. Additionally, educational campaigns comparing EVs to ICE vehicles could help debunk common myths.

What dealers need to do to sell more EVs 

Train teams to be EV experts 

Just like OEMs, consumers expect dealerships to educate them about EV ownership, with 49% stating that dealers play an important role in the decision process.

In addition to the challenges listed above, they’d like to see demonstrations of using, managing, and maintaining an electric vehicle (25%). Including how to charge at home and how to conduct software updates. Similarly, they want detailed guides on available models and their features (26%) to better understand what it’s like to drive and own an EV.

To meet these expectations, dealers must invest in specialist EV sales training. Only with specialised knowledge can dealers address consumer concerns and improve transparency. Additionally, tools that compare total ownership costs between electric vehicles and ICE vehicles could help buyers make more informed decisions. 

Rethink the EV buying experience

With misinformation being a key roadblock to EV adoption, education should be at the heart of the buying experience. A potential solution could be ‘EV experience hubs’, where consumers can:

· Access expert guidance and real-world data

· Compare EVs side-by-side with ICE vehicles 

· Participate in hands-on demonstrations and test drives 

Support EV charging infrastructure growth 

Charging also remains a key barrier, with 82% of EV owners rating UK infrastructure as ‘poor’. An issue more pronounced in remote areas, where 45% of respondents report limited access to charging.

The below map shows the percentage of EV drivers that described charging access as 'poor' in their area: 

While 59% believe local councils should take responsibility for public infrastructure, 42% think dealers and OEMs should provide home charger bundles as part of EV purchases.

To support EV charging infrastructure, dealers should:

· Partner with charging networks to offer discounted charging plans

· Provide home charging bundles as part of the original purchase

· Install fast chargers at dealerships to improve public infrastructure 

Our research makes one thing clear: the EV market will stall without industry action. While policy changes may alleviate some challenges, the success of electrification relies on government bodies, OEMs, and dealers working together. 

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