Study: Four of five new-EV buyers can charge at home

A recent survey of new-car buyers suggests 4 of 5 will be able to charge an EV at home—making it even more critical that they understand how charging is actually done.

If projections from major carmakers are to be believed, the bulk of electric cars that will travel on US roads in 2026 haven’t been sold yet. Over the next five years, EV sales are expected to rise steadily, surpassing in five years the 1.4 million sold in the previous 10 years.

The industry and the journalists who cover it often focus on the 17 million new vehicles sold each year in the US, not the roughly 40 million sold as used cars. But as EV percentages grow, those new vehicles will contribute the bulk of the demand for EV charging by 2026—not the used ones.

To understand how and where those new EVs will be charged, we need to look at the people who will buy them—and not the much larger pool of US drivers overall.

To understand how and where those new EVs will be charged, we need to look at the people who will buy them—and not the much larger pool of US drivers overall.

Buyers of any new vehicle occupy the upper end of the economic scale. With the economic impact of the Covid pandemic unequally distributed—those at the bottom end of the economy were affected far more than the professionals who found they could work from home—that trend has only increased.

And those buyers are now willing to pay more for their vehicles. With income from working during lockdown that they couldn’t spend on vacations or meals out, plus limited supply of new vehicles due to chip shortages, fully 40 percent of new-vehicle shoppers would pay up to $5,000 over sticker price to get the vehicle they want, according to a Cox Automotive study last month.

The result is that new cars have gotten steadily more expensive, and at a faster rate. The average transaction price of a brand-new vehicle sold in April was $40,768, according to Kelley Blue Book.

As the industry tries to predict the charging behavior of all those new EV drivers, data from a 2013 study published by Carnegie Mellon is sometimes used to suggest overnight home charging is only suitable for a small number of Americans.

While it’s certainly not suitable for all EV buyers, a new survey suggests at-home charging will be a much larger part of the total than suggested by the CMU study. And that understanding makes it even more crucial to address the lack of awareness of home charging among potential EV buyers identified in the J.D. Power 2021 EV Home Charging Study.

(Those buyers will separately still have to be educated on the different types of EV charging, how each works, and where they’re found—but that’s a topic for another time.)