Shipper

Why 2022 Is Shaping Up to Be the Year of Going Electric

by Ben Price

The automotive industry is changing in a big way. During the 2022 NADA Show earlier this month, one of the biggest talking points was regarding EVs (electric vehicles) and how many believe that they are the future of the auto industry.

And with many factors at play such as rising prices of gasoline cars, improved EV technology, and the issue of climate change looming overhead causing more drivers to go green, it’s not hard to see why. There are many different reasons as to why 2022 is shaping up to be the year of going electric, which we’ll be discussing today.

Increased Production

One of the reasons that it has taken so long for consumers to adopt electric vehicles is the fact that there simply hasn’t been nearly as many EV options available as gasoline cars. This is starting to change, however, as there were about 370 electric car models available in 2020, a 40% increase from 2019. And going into the rest of 2022, this number of options continues to rise as new electric car models are getting introduced.

Just as new models are being introduced production is speeding up in order to meet the rising demand of consumers. In 2020, the global electric car stock hit the 10 million mark, which was a whopping 43% increase over the previous year.

This of course will also change how dealerships will need to go about selling to customers – EVs will be changing how the automotive industry functions from a sales perspective as well, with dealerships implementing new tactics in order to better sell to consumers.

Gas Cars Are Becoming Less Affordable

This major shift to electric vehicles has been aided by the steady rise in the price of gasoline and gas-powered cars. Russia’s invasion of Ukraine and inflation have both contributed to the sharp increase in gas prices, with some areas of LA county costing upwards of $7 per gallon

And with prices showing no signs of going down any time soon, electric cars seem like a better and better alternative. While electric cars still have high MSRPs, fuel and maintenance are considerably lower than gas cars – and adding in the fact that electricity is a much more stable source of fuel and quite a bit cheaper than gasoline, it’s no wonder that more consumers are purchasing them.

But even before this drastic rise in gas prices, consumers’ interest in electric and hybrid vehicles has already been growing with EVs making up about 6.2% of all new car purchases in the United States in 2021.

Charging Stations

One of the biggest concerns over the years by many EV skeptics has been “range anxiety,” which is the fear of driving an EV and running out of power, because of an inability to find a charging station. 

This concern is getting addressed, with many parts of the United States expected to see a huge increase in EV charging stations. California, for example, is expected to receive $384 million for charging stations, in order to eliminate this issue for most drivers.

This, in addition to newer EVs featuring better batteries with a much higher driving range, will increase electric cars’ driving range and long-term sustainability substantially.

An Online Emphasis

Of course, 2022 is shaping up to be the year of going electric for consumers in other ways as well. The automotive industry is slowly becoming more online-focused, with more consumers purchasing vehicles online through services like Carvana, and dealerships, brokers, and carriers using online load boards like Super Loadboard to deliver vehicles.

Shippers and carriers are also beginning to use online management software like TMS solutions to simplify how they do business, like automating billing and delivery updates and cutting down on time spent doing paperwork. 

The car industry is truly going electric in more ways than one, with both workers and consumers are benefiting from this change.

Try Super Dispatch

If you want to boost workflow and cut down on time spent on paperwork and other mundane tasks, then you may want to invest in Super Dispatch. With an advanced TMS solution and highly active load board marketplace, Super Dispatch can allow you and your employees to move cars faster. Sign up for a free demo today!

Published on March 30, 2022

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