RACE ON: THE LINEUP FOR THE REVOLUTION OF THE CAR INDUSTRY

THE LINEUP FOR THE REVOLUTION OF THE CAR INDUSTRY

Wherever you are in the world, it’s hard to deny that 2020 was a challenging year - not least the automotive sector. With car sales plummeting amidst stay-at-home orders, consumers had a chance to reflect on their environmental impact, and as a result, electric vehicles are now more desirable than ever. 2021 looks set to be the biggest year yet, with huge launches from some of the industry’s biggest players, helping to create a greener planet for us all.

CHANGING CONSUMER ATTITUDES

Though there has been a seismic shift in electric car adoption rates over the past decade, the coronavirus lockdowns drastically changed the way we work, travel, and play. Work from home restrictions meant that our cars were less useful than ever before, with 12% saying they’d give up their car permanently to save money and protect the environment. Many car dealerships were forced to close for months on end, and car buying ground to a halt, with sales plummeting 71 percent in China, 47 percent in the US, and 80 percent in Europe. Now, many consumers are coming around to the idea of an electric vehicle, which is not only more sustainable than gas-powered vehicles but more economical to run in the long-term. As a result, EV sales almost doubled in some European territories in 2020 despite the pandemic and its effect on the economy and consumer confidence. Thanks to generous government subsidies and grants in some European territories, sales are booming. Indeed, in Norway, electric vehicles now account for a breathtaking 54% of the market. However, it’s a different picture in the United States with stunted growth.

A report from Mckinsey, however, suggests that purchase intent is on the up, especially amongst higher-income households, although they add that all regions other than China are looking to spend less on their car than before COVID, which could put a dampener on electric vehicles which are traditionally expensive. Interestingly, their report also revealed digital is becoming more important in the purchasing funnel, with younger drivers not only more interested in EVS than their parents but more interested in buying online rather than inperson, a new direct-from-manufacturer model. With brands like Tesla perfecting this approach, it’s clear the industry is on a new path.

Perhaps one of the most concerning statistics for automotive giants, however, is mobility. 52% of respondents said that they’ll travel less than before COVID-19 in the future, with walking, biking, and micro-mobility likely to become more popular as a result of lockdowns and a renewed focus on health and wellbeing. It’s not all bad news, though: more than a third of consumers say that they value constant access to a private vehicle more than ever before, preferring to travel in their own vehicles than use public transport or rely on Ubers.

EXCITING LAUNCHES FROM ESTABLISHED BRANDS

Keen to tap into the growing demand for electric-powered vehicles, manufacturers are readying the release of dozens of new models in the coming months. Gas may be cheap and the economy might be unstable right now, but automakers are hedging their bets on new EVS which were designed for modern consumer

life. The 2021 Mustang Mach-e crossover, for example, has four doors, with room for groceries, without compromising on style or performance. Indeed, choose the Performance Edition and the Mach-e will hit 60 miles per hour faster than a Porsche 911 GTS, offering at least 300 miles on a single charge, which is comparable to the new Tesla Model Y crossover. Available from $43,000 in the US later this year, the Mach-e sports a signature Mustang design and is sure to be a popular choice.

Hummer, known for its gas-guzzling SUVS, has made a turnaround and enters into the all-electric sphere this year with the release of two EVS: an SUV and a pickup truck. Both will be sold with up to three motors, offering up to 1,000 horsepower, and a 400-mile range. As well as removable roof panels and quick charging options, they boast impressive offroad capabilities, with production kicking off early this year. The Hummer EV Edition 1 will be available from $112,000 this fall, whilst an EV 3X will follow in fall 2022 priced at $99,995.