Lack of electric car chargers opens big opportunity for businesses

Written by

Tim Greenhalgh

Posted on

September 2, 2019

Posted in

Rapidly increasing sales of pure electric cars over the past year signals a great opportunity for businesses to provide destination charging.

Latest data shows that the momentum is continuing with sales of pure battery electric vehicles (BEVs) in the UK rising by 158% in July compared to July 2018, with 2,271 new registered last month.

The move to EVs will continue to accelerate, driven by a combination of rising fuel costs, falling purchase prices, better battery technology and Government action to help meet ongoing targets toward the Net Zero goal. The National Grid forecasts that 36 million EVs will be on UK roads by 2040.

This means that a rapidly growing number of drivers will be actively seeking places where they can charge their cars and this demand makes destination charging a good option for companies – bringing revenue opportunities together with marketing, brand and corporate benefits.

EV demand rises

The Society of Motor Manufacturers and Traders (SMMT) data just released shows that 70.6% more EVs have been sold this year compared to the same point in 2018, which is in sharp contrast to the overall market that has seen a 3.5% decline since January.

So, while demand for diesel and petrol vehicles continues to ease, EVs are a preferred technology for a growing number of drivers seeking to reduce their carbon footprint but also take advantage of lower running costs.

Not surprisingly, pure EVs hold a small share of the total markets – at 1% – but popular models such as the Kia e-Niro and Hyundai Kona Electric sold out their entire allocation for 2019 several months ago. Hyundai’s EV sales were up by an impressive 334%, with Volkswagen up 64%.

Demand is being stimulated at the top end with the Tesla Model 3, which has been available in the UK for a few months months and has already set EV sales records across Europe, while the Audi E-Tron attracted 1,735 new owners in July. At the other end of the market, Renault’s Zoe electric city car attracted increased sales of 103% in the same month.

Plug-in car grant

At the same time, the taste for plug-in hybrid EVs continues to diminish with 49.6% fewer PHEVs sold last month in the UK than in July 2018 – 16,687 PHEVs bought in the UK in 2019, down from 24,703 at the same point last year.

This might be due in some part to the move by the Government late last year to restructure the plug-in car grant. No plug-in hybrid vehicle currently on sale is eligible, with this type of car having previously attracting an incentive worth £2,500.

SMMT chief executive Mike Hawes said:

“Despite yet another month of decline in the new-car market, it’s encouraging to see substantial growth in zero-emission vehicles. Thanks to manufacturers’ investment in these new technologies over many years, these cars are coming to market in greater numbers than ever before.

“If the UK is to meet its environmental ambitions, however, government must create the right conditions to drive uptake, including long-term incentives and investment in infrastructure. The fastest way to address air-quality concerns is through fleet renewal, so buyers need to be given the confidence to invest in the new, cleaner vehicles that best suit their driving needs, regardless of how they are powered.”

The SMMT forecasts that ongoing large-scale investment by car manufacturers into new, advanced powertrain technology see BEVs doubling their market share next year, with 51,000 registrations in 2020.

Destination charging solutions

Overall, there are more than 350 car models available in the UK, about 80 of them alternatively fuelled, including 21 battery electric, with more expected to arrive in showrooms later this year.

SaveMoneyCutCarbon provide Destination Charging Solutions for a wide range of customers including many world leading hospitality brands and these can be grant-funded.

Destination charging enables businesses to:

  • Generate revenue from chargers
  • Attract new customers and increase dwell time
  • Build brand loyalty and drive brand awareness
  • Meet Corporate Social Responsibility objectives.

Find out more about destination charging

0333 123 5464

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