More U.S. Consumers Desire EVs, but Price Remains a Concern

A recent survey by consulting firm Deloitte indicates that more consumers in the U.S. are interested in purchasing electric vehicles (EVs), although they express concerns over rising prices. The survey, conducted between September and October 2022, reveals that nearly 70% of potential EV buyers hope to spend less than $50,000 on their next vehicle.

Affordability remains a significant hurdle for EV adoption, with over half of the respondents identifying it as their primary concern, particularly as major EV manufacturers are increasing prices amid ongoing inflation.

For instance, Tesla’s popular Model Y starts at approximately $65,990, while Ford’s Mustang Mach-E has a starting price of about $46,895.

Despite these financial concerns, the intent to buy EVs has risen by 3 percentage points year-over-year in the U.S. The same increase is observed for hybrid electric and plug-in hybrid electric vehicles. In contrast, the intent to purchase internal combustion engine vehicles has fallen from 68% to 62%.

Karen Bowman, Vice Chair of Deloitte LLP and U.S. automotive leader, noted that while high transaction prices present a considerable challenge, many consumers are motivated by the desire to reduce refueling costs, which is boosting global EV purchase intentions.

Additionally, the survey highlighted that 30% of U.S. consumers are wary of sharing data from their vehicles, posing a challenge for manufacturers aiming to enhance and monetize the mobility experience.

Globally, consumers prefer to pay upfront for connected technologies as part of the vehicle’s purchase price or on a per-use basis, rather than opting for subscription models.