EV buyers’ experience, affordability options grow in new J.D. Power EV Index

Whether it be range anxiety, cost, or service reliability unknowns, there are a lot of factors to consider when switching to an EV these days. J.D. Power, a consumer intelligence and data provider, today introduced the J.D. Power EV Index, an analytics tool to track and publish monthly data on the U.S. EV market.

Using a 100-point scoring system, each month the EV index will arrive at a score to track the progress to parity of EVs with traditional internal combustion engine (ICE) vehicles. Additional sub-category numbers will represent the roadblocks to EV:ICE parity.

Currently the U.S. EV Index score is far from passing– at 47 — based on data culled through November 2022. Going forward the EV Index score and analysis will be available monthly.

“Vehicle electrification has industry leaders grappling with billion-dollar decisions, and hyper-detailed data and analytics will help guide their decision making,” said Elizabeth Krear, vice president of J.D. Power’s EV practice. “We’ve created a smart and dynamic way to capture how the EV marketplace is performing in relation to gas-powered vehicles, and the index provides a heightened level of detail never seen before in this arena.”

The six EV market sub-categories to parity adoption include:

• Interest—This factor measures the potential commitment to purchasing an EV based on voice of the customer and online behavioral data. J.D. Power’s latest interest score is 32, up 8% year over year from its pilot phase, due to the growing number of EV models available or soon coming to market.
• Availability—This measures the proportion of new-vehicle buyers who have an EV purchase option that meets their buying needs, reflecting price, manufacturer origin, segment and other inputs. The latest availabilit score is 30, a 12% improvement year over year due to the ongoing introduction of additional EV models.
• Adoption—This factor measures the proportion of new-vehicle buyers who purchase an EV to those with a viable substitute meeting their needs. J.D. Power’s current adoption score is 22, a 4% decrease year over year due to the expansion of EV model availability outpacing EV retail share.
• Affordability—This factor measures the total cost of ownership of an EV compared with its ICE segment counterpart- after tax credits, rebates, incentives, operating costs and residual values— for purchases and lease transactions. The current affordability score is 84, down 12% year over year as EV prices have increased and 15 models were disqualified in August when the Inflation Reduction Act’s North America manufacturing criteria kicked in. The Affordability score is expected to change dramatically based on January 2023 data as the manufacturers’ volume cap is lifted, but vehicle price thresholds and income limits are factored into the purchase of an EV. Leasing, which is currently at 10%, also is expected to grow because the criteria are less restrictive for leasing.
• Infrastructure—This factor measures the availability, location, speed, quality and reliability of EV charging systems compared with gas stations for ICE vehicles. J.D. Power’s infrastructure score is 27, down 4% year over year because the volume of EV units on the road is outpacing the rate of reliable charger installations.
• Experience—This factor measures owners’ satisfaction with their EV, including appeal, quality, durability, range and the sales and service experience, as compared with an ICE equivalent. The experience score is a solid 89, down 2% points year over year due to declining satisfaction with the sales experience.

 J.D. Power’s first-of-its-kind EV Index for the U.S. market enables automakers, utilities, suppliers, charge point operators and legislators to navigate the rapidly evolving EV environment with real-time data from a web-based portal. The website includes a simple-to-understand dashboard and search tool that can help various groups make faster and more reliable decisions.

Increased data granularity shows the EV adoption trend at the national, regional, state and Designated Market Area (DMA) levels, and can also be broken down by EV segment, brand and model.

Formed  in 1968, J.D. Power is headquartered in Troy, Michigan and provides consumer ratings systems across North America, Europe and Asia.

On January 26, J.D. Power will provide its J.D. Power Automotive Summit presentation at the National Automobile Dealers Association (NADA) trade show in Dallas, Texas. Registration for the conference and trade show is available here.  Beside auto manufacturers, additional confirmed speakers at the event include Michael Berube, deputy assistant secretary for sustainable transportation at the Department of Energy, Nadia El Mallakh from Xcel Energy’s clean transportation group, and Eileen Falkenberg-Hull, senior editor of Newsweek’s auto coverage and host of the “Fast Women” podcast.