Media: Dealers Avoid Selling Electric Cars

Numerous recent reports have suggested dealers don’t like to sell electric cars. Why wouldn’t dealers want to sell electric vehicles?

The question of whether or not dealers want to sell EVs was tackled in a recent article by the New York Times. In the article, “A Car Dealers Won’t Sell: It’s Electric,” the times describes dealers as not having either the interest or know-how to move electric vehicles compared with gas or diesel powered machines.

There are stories in the write-up by the NYT about customers coming into dealerships looking for a specific electric or plug-in hybrid vehicle and beings steered toward a less expensive gas powered vehicle. The reason given for the apparent upside down bait and switch was either lack of income from service down the road with electric motors, or a simple lack of knowledge by sales staff, resulting in a reluctance to sell vehicles they aren’t comfortable with.

A 2014 secret shopper study by consumer reports sought to find out how much dealership staff know about electric vehicles. Part of their finding was, “…few (salespeople) provided accurate and specific answers about battery life and battery warranties. And many seemed not to have a good understanding of electric-car tax breaks and other incentives or of charging needs and costs.”

While the NYT and other outlets hyped the notion that dealers want to push consumers away from electric vehicles, there is room for skepticism. For example, a study from UC Davis found the average plug-in hybrid or EV makes the dealership more money at the point of sale than their gas-powered counterparts. Why would dealers try to push revenue out the door or minimize it? It’s also worth noting that progressive dealers adapt to changing times. It flat-out makes no sense for dealers to push aside electric vehicles, as they are likely going to be a major part of the future of retail automotive. Dealers who properly train their staff on new vehicle technology, whether that means EVs or infotainment systems will have a major leg-up on their competition across town.

What training do you offer your staff when it comes to new vehicle technology? What have you seen in retail auto when it comes to electric and plug-in hybrid vehicles? Do you see dealers trying to avoid having to sell them or do you see something else?