EV, Hybrid Vehicle Trade-in Re-purchase Loyalty Falls To All-time Low

Mini E

In brief: Ownership loyalty for electric vehicles and hybrids falls to all-time low as customers trading in electrified vehicles are far less likely to apply the trade-in to another electric car.

The word

A new analysis by Edmunds.com has found that only 27.5 percent of those trading in a hybrid or electric vehicle in the U.S. so far in 2016 are doing so in order to purchase another hybrid or EV. The 2015 rate was 38.5 percent, showing a sharp drop has occurred in owner loyalty.

Owners are returning to gasoline-powered vehicles, Edmunds says. 33.8 percent of those purchases from electrified trade-ins go towards sport utility vehicles, with 25.7 percent of EV trade-ins going to those SUVs. Only 4.8 percent of EV trade-ins are applied to another EV.

Overall, electric and hybrid electric vehicle sales are flagging, with the alt-fuel category of vehicles dropping 10 percent from the first quarter of 2015 to the first quarter of this year.

And so ...

Sales of electrified vehicles compared by quarter (Q1 2015 vs Q1 2016) are up, however, by a healthy 40 percent.

Photo credits: BMW

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