Leading the Charge

The noise surrounding the EV transition in the Automotive industry is so loud that it feels like watching the NBA Finals where every fan and player also thinks they are the commentator! Hopefully this writing serves to cut through some of that noise by sharing data and anecdotes serving just one point of view in this complex shift to EVs: Car Dealerships and their Principals, GMs, and Marketing teams.

EV Market Share Myths

Despite negative headlines, EVs are taking market share away from ICE vehicles. Not only are EV sales taking more & more market share (most recently reaching 8.9% of new vehicle sales in June), but they are also coming from brands other than Tesla (which fell below 50% of EV sales for the first time in Q2)! The point here is that EV sales will continue to grow as a % of total cars sold, and dealerships are finally competing in this race.

For dealers, this may seem like a huge positive! Not every day does a brand new product category opens up in an industry. EVs inherently compete against ICE vehicles, however, and very likely will not significantly impact the total quantity of sold cars annually. This means that as a Dealer Principal, GM or Marketing executive responsible for growing your business, to sell more cars, you will have to take them from someone else. To beat your competitors, you will have to do something different…

Automotive is a competitive industry that requires a Zig while competitors Zag. I believe EV specialization is an incredible differentiator for automotive leaders to grow your businesses.

EV Specialization Done Right

Picasso supposedly once said “Good artists copy, great artists steal.” A Reddit user added some much needed clarification on this point, writing, “In reality what it means is "good artists merely imitate others (copy), great artists study the works of others and make it their own (steal)." Automotive marketing professionals need to study some of Tesla’s value-based selling strategies and best practices in order to properly market and sell electric vehicles.

Tesla invented the EV category, and has 4-5x more experience marketing and selling EVs than any other company. Their best practices are industry-standard. Let’s take a look at how Tesla builds value in EVs below.

Tesla Range Graphic

Tesla EV Savings Calculation

Tesla EV Marketing?

Tesla has nailed key messaging around marketing and selling EVs. The first eliminates Range Anxiety in their shoppers, and the second explains the lower Total Cost of Ownership of EVs. Together, these factors demonstrate to millions of Tesla buyers that an EV is actually a better option for them than ICE!

Dealership EV Marketing

At this time, Dealership EV VDPs still have not nailed EV messaging...

On one hand, dealership EV VDPs still lacking data & visuals specific to EVs is not surprising given these websites were originally built to sell ICE vehicles. On the other hand, with dealerships spending $10k, $20k, or even $50k+ per month on their website, seo, and other advertising, the lack of EV specific information is mind-blowing…

Lectrium EV Range Map + EV Savings Badge

This lack of information is where my company, Lectrium, comes into the equation for Dealerships. We transform Dealership EV and PHEV VDPs to show information shoppers care about, and frankly need to see in order to purchase an EV or PHEV.

Our EV Range Map shows how far a new EV can drive, either one-way or round-trip with a spider map around a dealerships’ location (more features coming soon!) and our EV Savings Badge aggregates applicable federal and state EV + PHEV rebates and calculates fuel savings directly on your VDPs.

Dealers, we have taken Picasso’s logic and created these tools for you to succeed as EV marketers and sellers.

How Dealers Win in EVs

Dealers: your focus is on selling and servicing vehicles. You need tools to empower marketing and sales teams at least to the level of Tesla. Dealerships also need to tailor their marketing to their region and customer base. Do your buyers care more about Range? Savings? Charging?

• Luxury brands like BMW or Mercedes? Probably care more about Range (running out of charge could be embarrassing!)
• City customers? Probably worry about savings or where they can charge.
• Suburban customers? Make it easy for them to install a charger at home!
• Rural buyers? Defeat range anxiety showing them this vehicle works for their daily commute.

Everything considered, EVs represent a generational opportunity to grow dealerships, now more than ever before. I encourage dealers to analyze their circumstances individually, and to reject fear in their decision making. Reach out to me at [email protected] to catch up, grab dinner, or simply chat about basketball, EVs, or entrepreneurship.