New data from AutoTrader shows that interest in electric vehicles declined in Canada this year, a startling contrast from 2022 when interest surged due to record high gas prices.
According to AutoTrader, 56 per cent of Canadians are considering an EV for their next car compared to 68 per cent in 2022, when two in three consumers said the spike in gas prices help propel their interest. But in 2023, vehicle prices (40 per cent), interest rates (24 per cent), and inflation (13 per cent) are among the main factors pulling consumer interest down.
“Despite most automakers now offering electric vehicles (EVs) and governments rolling out plans to mandate the sale of EVs, consumer research shows that car shopper interest in EVs is still strong, but it appears to be softening,” said AutoTrader in its report.
The report adds that dealers looking to boost EV sales may need to shift their focus more on educating customers about the advantages of EVs, while also addressing any fears or concerns they may have.
Among non-EV owners with zero interest in going electric, 76 per cent cited range limitations as a reason, while 68 per cent pointed to the cost of the vehicle as an issue. And 65 per cent highlighted concerns with charging station availability. Range remains an issue and many consumers rely on outdated information, according to AutoTrader.
“Dealers can work with prospective buyers to see if an EV’s range will work for what they need it to do,” the company said in its report. “Public charging infrastructure gaps can still be an issue, but speaking to the availability and benefits of home charging may in fact be the hook to land the business.”
