Is your dealership ready to sell electric cars?

Electric cars continue to increase in popularity among consumers as more and more people aim to increase energy efficiency. With so many people transitioning to electric vehicles, a growing number of dealerships are also beginning to sell more of them to keep up with the demand. Selling electric vehicles can help maintain competitiveness and keep a dealership ahead. But there are certain considerations to keep in mind.

Generally, electric vehicles are the future of car dealerships. Recent statistics predict that by 2040, 58% of the world's passenger vehicle sales will involve electric vehicles. Electric vehicle charging stations will also likely reach a CAGR of 38% by 2024. These and other statistics show that electric cars are the way of the future in the automotive industry as people transition away from petrol-powered vehicles.

If you're wondering whether your dealership is ready to sell electric cars, you may benefit from including them in your inventory under the right circumstances.

Factors required to sell electric cars

Before you can begin selling electric cars, there are some factors to consider as you prepare your dealership. These include:

Charging stations

The most crucial logistic element of a dealership that sells electric vehicles will be installing electric charging stations. There are different types of charging stations that facilities could install, such as AC charging stations that use alternating current (AC) to charge vehicles with lower power requirements.
For vehicles that require more power to fully charge them, facilities may have DC charging stations that supply direct current (DC) to vehicles. In DC charging stations, an AC-to-DC converter is built into them instead of electric vehicles. Naturally, the increased power consumption of DC charging stations makes them more expensive.

Charging stations will be the key to keeping customers with electric vehicles returning for service. It's possible to equip these stations with multiple connectors to service a wide range of vehicle types.

Team training

Once you have charging stations in place at your dealership, your team will also need sufficient training around electric vehicles.

For example, you'll need to educate your team on the differences experienced with electric cars as opposed to traditional vehicles that run on petrol. These differences include the need for charging stations and understanding how to operate them. Additionally, efficiency ratings depend on the number of kilowatt-hours (kWh) consumed over 100 km. This is different from vehicle fuel consumption, which is measured in litres per 100 km.

It's also important to understand that electric cars require less maintenance than other types of vehicles. They contain fewer components. Unlike vehicles that consume fuel, you won't need to change spark plugs, brake pads, and other parts that would normally be vulnerable to wear and tear. This means that customers will require service at your dealership less frequently following a sale. You'll want to consider how a decrease in service would affect your company's bottom line.

With adequate knowledge of electric cars and how they work, your sales staff and other employees will be more prepared to brace for an influx of electric vehicle sales and customers in need of electric vehicle service. In turn, you'll be able to better establish your business as a leader in your area as your staff exhibits ample expertise.

Marketing

If you want to sell more electric vehicles, you need to convince people of why they're worth purchasing over other vehicles. This is where your marketing will come into play.

Specifically, you should highlight the environmental benefits of switching to an EV. For example, electric cars produce zero tailpipe emissions due to their lack of need for a tailpipe. This means they don't produce any exhaust. EV batteries are entirely free of emissions, with the ability to efficiently deplete and charge lithium-ion batteries repeatedly.

Another environmental advantage of EVs is the contribution of fewer emissions compared to their petrol-powered counterparts. Even when charging stations use fossil fuels, EVs still contribute to lower emissions.

The manufacturing of electric vehicles can also be cleaner than traditional manufacturing processes. The production of batteries still leaves a carbon footprint. But industry standards and manufacturing processes are changing to be more energy-efficient and sustainable. Some EV manufacturers even provide guidelines for battery suppliers.

In addition, EVs use more recycled and generally sustainable materials to reduce their carbon footprint. Other types of vehicles may use recycled materials for smaller components. But EV manufacturers use environmentally friendly materials for nearly every part to make them lighter and eco-friendly. Sustainable manufacturing processes also help minimise pollution during vehicle production.

These and other advantages can influence your marketing campaigns to encourage more people to make the switch from fuel to electric cars. People can then learn more about the advantages of purchasing an electric car from your well-trained staff, leading them toward a purchase.

Start offering electric vehicles and stay ahead of industry trends

The fact is that electric cars are only going to become more popular in the coming years. If you want your dealership to thrive, you'll benefit from selling these vehicles to your customers. With the right preparations internally and in your marketing, you'll have the chance to make the most of this trend and maintain a competitive edge. The key is knowing how to successfully integrate electric vehicles into your business model and how to encourage more people to purchase and service them at your dealership. With the right strategy, your business will be able to flourish in this industry.