According to one recent report, the global e-mobility market was valued at nearly $152 billion in 2020. By 2030, that number is expected to reach $718 billion.
The term "e-mobility" is a wide-reaching one that encompasses all types of electronic vehicles, including e-bikes, e-buses, e-trucks, and more. If you're a small business owner, then it's important to keep a close eye on this growth.
The growing e-mobility market signifies a major shift toward more sustainable, eco-friendly endeavors, affecting both personal and professional spheres. Today, we're sharing seven facts that businesses need to know.
1. There Are Different Segments to Know
When it comes to e-mobility, there are three main segments of electric vehicles (EVs) driving the market today. These include:
Full electric vehicles
Hybrid/plug-in hybrid vehicles
Hydrogen fuel cell vehicles
Conversely, vehicles that run on fossil fuels and traditional diesel are known as internal combustion engines (ICE). While it's important to understand how broad the landscape is, the important concept is that these types of alternative vehicles are becoming increasingly popular.
Once heralded as nice-to-have luxuries for those who could afford them, they're also becoming more accessible to the general public. As a business owner, this means that you'll likely begin seeing them in your parking lots sooner than you expected.
2. They Hold Fleet Potential
Reports indicate that the total cost of ownership (TCO) for a light-duty EV is actually less than the TCO for conventional vehicles. If you're responsible for providing any type of fleet management services, then this is an important consideration to keep in mind.
The only caveat? While you can expect to reap the benefits down the road, you'll understandably have to pay more up-front for most of these vehicles. However, if you're willing to stay the course, then the payout can be substantial.
One study found that some of the top-selling EV models offer cost savings of between $6,000 and $10,000 over their lifetime. While you can expect manufacturers to roll out many new models over the next few years, there are some EVs already in production that can help you electrify your fleet today.
3. Cost of Maintenance Can Be Less
Another factor to consider as the EV market continues to grow? Whether you want to offer these as employee vehicles or transform an entire fleet, many EV vehicles cost less to maintain than their ICE counterparts.
This is because they usually contain fewer parts. While you might spend upward of $1,500 per year to maintain your gas-powered car, you could easily spend less than $1,000 to perform similar services on an EV. These are costs that savvy business owners must consider as they brainstorm a potential investment.
As you learn more about e-mobility and the ways it can benefit your business, an energy-specific API marketplace can help you find the news and data you need. Here, you can find resources to help you navigate market demands, research new opportunities, and scale your EV strategy successfully.
4. Early Adopters Are Hooked
Think that EVs are nothing more than a passing trend? A recent study by AAA explained why this is not the case. The survey, which interviewed current EV owners, found that 96% would buy or lease another EV vehicle when it came time to look for a new car.
Moreover, two in five EV drivers said they hit the road more now than they did with a gas-powered vehicle, and 78% said they head toward their EV every time they drive, even if they have an ICE vehicle in the garage, too.
The bottom line? This trend is spreading, and those who are already on board are avid adopters of the technology. Business owners can expect this movement to only gain momentum as time goes on.
5. EVs Can Help Companies Meet Sustainability Goals
According to one study, 92% of S&P 500 companies now report on sustainability. This means they're taking a closer look at how their operations impact the environment. They're also looking into methods that can lower their carbon footprint and mitigate those concerns.
Does this include you? If you're interested in creating a more sustainable business model, then an e-mobility fleet can help you get there. Not only can these vehicles help you reduce costs, but they can also cut emissions on the road. This is true whether your fleet is light-duty, medium-duty, or heavy-duty.
6. Supply Will Be Adequate for Demand
Worried that the recent surge in popularity will render EVs more elusive in the future? Don't be. According to the latest data, there will be plenty of electric vehicles to go around.
In fact, some studies show that the number of medium-duty and heavy-duty EV trucks is doubling each year. This comes as no surprise, given that leading manufacturers like Ford have made public commitments to expand their operations in the EV space. Recently, Ford announced that it would boost its total EV production to 600,000 new units each year, with models that include utility vehicles, vans, and cars.
7. Fleet Managers Are Petitioning
Looking for support as you seek to gain executive approval on an EV transition for your fleet? Point your C-suite to the current legislature.
To date, 15 states have signed a Memorandum of Understanding (MOU), petitioning that all medium-duty and heavy-duty trucks sold in their jurisdictions be electric by 2050. Leaders from Washington, D.C. have also signed the MOU. This comes on the heels of a recent announcement out of California, where legislatures recently introduced a zero-emission mandate for all commercial vehicles beginning in 2045.
Embrace E-Mobility and Reap the Business Benefits
Have you been on the fence about adopting e-mobility within your organization?
EVs are especially advantageous in the fleet management space and can help lower your total cost of operations and ownership over the years. Whether you're in charge of a few light-duty trucks or you manage a major fleet of heavy-duty vehicles, this technology is worth considering.
As you weigh the pros and cons for your business, we're here to keep you updated on the technology news you need. Be sure to check back often for more informative guides!