Electrification: Simon Ouellette – Canadian Auto Dealer https://canadianautodealer.ca Thu, 19 May 2022 00:03:06 +0000 en-CA hourly 1 Selling EVs for all seasons https://canadianautodealer.ca/2022/06/selling-evs-for-all-seasons/ https://canadianautodealer.ca/2022/06/selling-evs-for-all-seasons/#respond Fri, 03 Jun 2022 04:01:19 +0000 https://canadianautodealer.ca/?p=56438 Be up front with your customers about the impact of winter on your EV’s performance and you’ll build a lasting trust As most Canadians are seeing the last bits of snow melt and are starting to install their summer tires, one may think that we can all completely forget about winter until it’s time to... Read more »

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Be up front with your customers about the impact of winter on your EV’s performance and you’ll build a lasting trust

As most Canadians are seeing the last bits of snow melt and are starting to install their summer tires, one may think that we can all completely forget about winter until it’s time to put those winter tires back on again next fall. While most Canadians can do just that, savvy EV dealerships won’t fall into this trap.

For our sector, these issues have been problematic on many levels. After all, as consumers turn their attention to the prospect of a new vehicle, the vast majority will visit a new car dealer lot with the intention of viewing the latest models, new technologies and features.

While many consumers may be aware of the semiconductor shortage and other supply chain challenges and their impact on the new vehicle market, that doesn’t necessarily mean they will be more understanding when it comes to limited availability and longer wait times involved with ordering a new vehicle.

So, in the face of these inventory shortages, how are we best to collectively address this particular challenge? Certainly not by burying our heads in the sand until this period of uncertainty passes. Rather, it’s by upping our game and developing an effective communication strategy that is reflective of your brand promise—to help to build trust with buyers, through proactive and personalized information.

A critical aspect of such a plan is an honest assessment of the situation, so you can communicate with customers in a manner that is realistic and creates a level of predictability.

The best EV dealerships are like good real estate agents; they don’t wait for summer customers to ask winter questions.

As we continue to endure inventory shortages, other important aspects of your strategy should be focused on addressing the current needs of customers. In many cases, a dealer’s business development centre is serving as a form of ongoing customer concierge—identifying customers who will likely need service soon and then delivering personalized messaging at the right time to entice customers to act.

It’s also critical that dealers identify prospective buyers before they return to the market by engaging them about the prospect of tailored offers and financial deals that may speak to the buyer’s unique situation before they go price shopping.

Every dealer across the country has their usual set of touchpoints they typically leverage to contact customers. Whether it is regular emails, SMS text campaigns or something more old school, your customers expect to hear from you in certain ways.

The key element of success here is communicating with a personal touch, engaging customers in a manner that addresses their unique needs.

Especially important is capturing customer feedback following a dealership visit for sales or service—dealers that have fine-tuned a strategy to deliver excellent customer reviews to their Google business, Facebook, website listings and more can stand out from the crowd, helping win new customers by positively influencing word-of-mouth.

The present situation is by no means ideal for dealers or consumers. Buying a new car should be an exciting time for consumers, and the current challenges are frustrating for all involved. Collective patience and thoughtful engagement will be key, until we return to some level of normal.

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EV charging in Canada: where are we now? https://canadianautodealer.ca/2022/04/ev-charging-in-canada-where-are-we-now/ https://canadianautodealer.ca/2022/04/ev-charging-in-canada-where-are-we-now/#respond Fri, 29 Apr 2022 04:01:06 +0000 https://canadianautodealer.ca/?p=55837 There will soon be more charging locations than gas stations. Imagine that. While the past two years have been a rollercoaster ride for the automotive industry as a whole, there is one corner of the industry where things have been moving constantly “up and to the right”: public EV charging deployment. Here’s a look at... Read more »

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There will soon be more charging locations than gas stations. Imagine that.

While the past two years have been a rollercoaster ride for the automotive industry as a whole, there is one corner of the industry where things have been moving constantly “up and to the right”: public EV charging deployment.

Here’s a look at the current state of EV charging in Canada and how things have progressed despite the pandemic.

(All statistics are taken from the ChargeHub.com database)

As of early 2022, there were 18,842 charging ports deployed in about 7,500 locations in Canada. These include 15,718 level 2 (240 V) ports and 3,784 DC Fast Chargers (DCFC).

When comparing these numbers with the beginning of the pandemic, we see a growth of more than 42 per cent in the number of public charging ports over this two-year period. This increase wasn’t equal in 2020 and 2021. There were almost 900 more new ports deployed in 2021 when compared to the first year of the pandemic (2,367 and 3,225 new ports in 2020 and 2021 respectively).

When looking at how these ports were distributed between level 2 ports and DCFC ports we see that a growing percentage of the ports being deployed in Canada are DCFC ports.

In 2020, there was one DCFC port deployed for every five (5) level 2 ports deployed during the year.

In 2021 that ratio increased to one DCFC port deployed for every three (3) level 2 ports deployed during the year.

The numbers don’t lie, EV charging deployment is increasing at a rapid rate in Canada, and a growing share of the stations being deployed are fast chargers. This is great news for all the EV buyers who will be receiving their cars thisyear after having waited for a prolonged period due to various supply chain issues.

The numbers don’t lie, EV charging deployment is increasing at a rapid rate in Canada, and a growing share of the stations being deployed are fast chargers.

Similarly to the auto sector, EV charging equipment is not immune to supply chain issues, however most deployment projects are planned many months and often years in advance. Therefore, thus far there hasn’t been a major negative impact in deployment numbers in Canada due to supply chain issues.

There were signs of EV charging equipment supply chain issues later in 2021 however this did not affect the 2021 deployment since most of the deployment is done in the warmer months of the year.

It will be interesting in the coming months to see if supply will be sufficient for all the planned projects in each and every Canadian province and territory in 2022. If there are no supply issues in 2022 and the yearly increase in deployment rate continues to increase at the same pace, we could have close to 25,000 public charging ports in Canada by the end of the year.

This possibility points to a major milestone around the corner in the transition from fossil fuels to electric power.

According to the Canadian Fuels Association, there are 11,908 retail gasoline stations in Canada and this number is on the decline.

At the current ratio of charging ports per location, this means that some time next year there will likely be more public EV charging locations in Canada than gasoline stations.

Most non-EV drivers don’t realize the extent of Canada’s public charging deployment and many still have “range anxiety” when thinking about possibly owning an EV in the future.

With the extent and the growth rate of Canada’s public charging network, however, this fear is, in most Canadian regions, a perception issue based upon the lack of knowledge about the true state of public charging deployment.

Canadian dealerships can gain from having a strong sense of the current state of EV charging deployment in order to reassure potential EV buyers with range anxiety.

Those wanting to visually see the extent of public charging can visit ChargeHub.com’s free public EV charging map at (chargehub.com/map) and, when useful, share this information with their prospective buyers who are not well informed on the extent of locations with public charging stations in Canada.

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EVs in Canada: how are we doing? https://canadianautodealer.ca/2022/03/evs-in-canada-how-are-we-doing/ https://canadianautodealer.ca/2022/03/evs-in-canada-how-are-we-doing/#respond Mon, 28 Mar 2022 04:01:37 +0000 https://canadianautodealer.ca/?p=55261 A look at the sales numbers reveals some interesting trends to watch. 2021 was by no means a “normal” year for Canadian dealerships. With supply chain issues and varying COVID restrictions at different times of the year, it would have been just about impossible to predict how it would end for EVs.  Now that it’s... Read more »

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A look at the sales numbers reveals some interesting trends to watch.

2021 was by no means a “normal” year for Canadian dealerships. With supply chain issues and varying COVID restrictions at different times of the year, it would have been just about impossible to predict how it would end for EVs. 

Now that it’s over, however, it’s interesting to take a look at what happened in Canada on the EV front and see what it might mean for the future.

The first thing that jumps out when looking at IHS Markit’s 2021 EV and PHEV vehicle data is the continuous growth in sales year over year. All in all, throughout Canada EVs have seen a year over year growth in sales of 51 per cent while PHEVs have seen a 73 per cent year over year growth.

This extremely high year over year growth could be in part a result of some 2020 purchases being pushed back to 2021 for various reasons. However, in an industry which as a whole is currently in a downward cycle in terms of sales volume, such high growth percentages definitely stand out even if some circumstantial factors may be involved.

The three leading provinces in terms of total EV and PHEV sales in Canada are without surprise Quebec, B.C. and Ontario. Quebec has 43 per cent of all EV and PHEV registrations in Canada with B.C. and Ontario following with 28 per cent and 23 per cent respectively.

Does this mean that all the EV action for dealerships is happening in those three provinces only? Definitely not!

While Ontario has a large volume overall, it also has a much larger population and ultimately many more dealerships. 

If one looks at the percentage of light vehicles sold that were EV or PHEV, the podium changes. 

Canada-wide EV and PHEV sales now represent almost 4 per cent of the entire light duty vehicle market.

B.C. gets top spot with 13 per cent of all light vehicles sold that were EVs or PHEVs. Quebec comes in second spot with 9.5 per cent of all vehicles sold that were EVs or PHEVs. And in third place….. give yourself a major pat on the back if you guessed… Yukon Territories! 

Yes, Yukon passed Ontario for 3rd place in 2021 with 4.5 per cent of all light duty vehicles sold being EVs or PHEV. Ontario’s 3.3 per cent left it outside of the podium.

I believe that this latest stat is proof that vehicle electrification is not just specific to Canada’s most populous provinces with large metropolitan areas. Dealers in all corners of the country are starting to see the share of EVs being sold increase.

Volume wise, obviously large metropolitan areas still lead the way with Vancouver registering an EV for about one in seven vehicles sold in 2021 and Montreal registering an EV or a PHEV for every nine light duty vehicles sold. 

Interestingly, while Toronto saw a large increase in its year over year EV and PHEV sales, it still lags the leaders considerably with one in every 23 vehicles sold. Toronto was lagging even more in 2020 with just one in every 40 vehicles being an EV or PHEV back then. 

It will be interesting to see if Toronto can claw back the four to six year gap it has with other major metro areas like Vancouver and Montreal. With improved EV charging initiatives both at the municipal level in the GTA and also some good province-wide initiatives from OPG and Hydro One, Toronto EV drivers are starting to have much better access to charging. 

It will be interesting to see if this will be sufficient for the GTA to continue to grow its EV numbers at the current pace or if it will be stuck in 3rd place until the Ontario government follows the lead on B.C. and Quebec and incentivizes EV and PHEV purchases.

Canada-wide EV and PHEV sales now represent almost 4 per cent of the entire light duty vehicle market. From what I’ve seen in the last two years, there are two factors primarily responsible for this percentage not being at 10 per cent yet. 

First is the short-term limited availability of models already offered to customers. It is clear that there is currently more demand than supply for existing models. This limits the number of drivers able to get their hands on an EV or PHEV in a given year. 

Many buyers have ordered their EV and are waiting for it, and others couldn’t afford to wait and have thus pushed back their EV purchase to their “next” car and decided to opt for one last gas car this time around. Had the orders been available rapidly, EV and PHEV sales would likely represent a higher percentage of overall sales.

Second is the current lack of options in the pick-up truck and mid to large SUV category. Almost every major truck manufacturer has by now made some announcements on their upcoming EV truck model. 

Once the EV pick-ups already announced become widely available and supply is also less constrained for other EV models, I expect the Canadian market to climb rapidly from the low double digit territory to the mid double digit territory in terms of per cent of EV and PHEV sales.

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The new reality of home charging https://canadianautodealer.ca/2022/02/the-new-reality-of-home-charging/ https://canadianautodealer.ca/2022/02/the-new-reality-of-home-charging/#respond Fri, 25 Feb 2022 05:11:20 +0000 https://canadianautodealer.ca/?p=54755 To really serve their customers well, dealers need to understand the home charging options too. For nearly a decade, charging an electric vehicle (EV) or a plug-in hybrid electric vehicle (PHEV) at home has remained relatively unchanged.  As the new generation of EVs are starting to hit the market, it’s bringing something new to the... Read more »

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To really serve their customers well, dealers need to understand the home charging options too.

For nearly a decade, charging an electric vehicle (EV) or a plug-in hybrid electric vehicle (PHEV) at home has remained relatively unchanged. 

As the new generation of EVs are starting to hit the market, it’s bringing something new to the home charging front. Understanding this shift is key to ensuring that EV buyers are well equipped for what lies ahead.

For many years, the vast majority of vehicles came with a Level 1 (120V) charging cable. Most EV drivers would keep this cable in their trunk for use when topping up when visiting Grandma.

For their daily home use, most got their electrician to wire up a 240V socket and they would then purchase a Level 2 charging station which they would plug into that 240V outlet to increase their charging speed at home.

Generally speaking, most PHEVs could charge at a rate of up to 3 to 4 kW on a Level 2 charging station and most EVs could charge at rates up to about 7kW on a sufficiently powerful Level 2 charging station.

Recently new EV models, however, have started to make their way into Canadian dealerships with standard Level 2 charging rates of up to 10 or 11kW. That’s up to 50 per cent faster charging at home!

But does that mean that dealerships should, from now on, push all EV drivers to install 11kW home chargers? What about existing EV owners who are upgrading their current car for the latest model? 

I think doing so would be premature.

First off, let’s look at the “real-life” daily advantage of an 11kW charger over a 7.2kW charger (the most common maximum power output installed by EV drivers to date). 

Understanding this shift is key to ensuring that EV buyers are well equipped for what lies ahead.

Let’s use an average person driving an EV with 400km of range and a 60kWh battery (an average battery size these days). If they do a 100km round trip daily to go to the office and back and charge right away when they get home at 6pm: 

  • On a 7.2kW charger their car would be fully charged (go from 300km of available range to 400km of available range) by approximately 8:30pm;
  • On a 11kW charger their car would be fully charged (go from 300km of available range to 400km of available range) by approximately 7:40pm.

Let’s be honest, for most EV drivers having their car fully charged by the first or second intermission of their favorite NHL team’s hockey game makes no meaningful difference in their lives. 

Therefore, while a faster charging rate can be a pleasant thing to have at home, on a daily basis, it won’t be very perceivable for most. What’s more, 11kW chargers typically cost more to buy and also to install than a 7.2kW unit.

The extra installation costs come from the fact that 11kW chargers demand higher amperage and therefore require larger cables and a larger breaker in the electrical panel.

For some EV drivers the larger breaker in the panel can also be problematic. If their electrical panel is already almost fully loaded, they may not have the room to add the large 60A breaker typically required by 11kW chargers.

Lastly, there is currently only a limited number of 11kW home charger models on the market, and the 11kW home chargers currently on the market may not have the features a specific EV driver is looking for.

Hence, while 11kW home charging is a good step forward, the real-life impact may be less significant that most would expect.

When adding to this the extra costs and the potential limiting constraints, it remains important for dealers to understand their customer’s situation before blindly pushing them to equip themselves with a 11kW home charger.

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Choosing winter tires for electric vehicles https://canadianautodealer.ca/2021/12/choosing-winter-tires-for-electric-vehicles/ Fri, 24 Dec 2021 18:00:17 +0000 https://canadianautodealer.ca/choosing-winter-tires-for-electric-vehicles/ There are a lot of factors to consider, and educating your dealership team will help provide valuable advice to EV owners. Electric vehicles are similar to gasoline-engine cars in terms of the need to properly equip them for Canada’s winter months. In most of the country, winter months equal winter tires. But should the criteria... Read more »

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There are a lot of factors to consider, and educating your dealership team will help provide valuable advice to EV owners.

Electric vehicles are similar to gasoline-engine cars in terms of the need to properly equip them for Canada’s winter months. In most of the country, winter months equal winter tires.

But should the criteria for selecting winter tires for an EV be the same as for a gas-powered car?

Many drivers only think of the price tag when it comes to outfitting their cars with winter tires. There are, however, a number of factors to consider when it comes to making the right decision. This is true for all vehicle types, and even more so for EVs.

Well-trained parts and service staff can make a world of difference in overall customer satisfaction if they can direct them towards the most appropriate set of winter tires for their EV. To better understand what this means, I’ve included some of the key criteria for dealers to consider when helping EV drivers pick winter tires.

Knowledgeable technicians understand the different performances and characteristics of winter tires, and how different tire models may be better suited for different driving patterns on different vehicle types. What’s tricky about EVs is that they tend to be heavier than an equivalent gas car of the same model.

For example, the Hyundai Kona EV is 11 per cent to 28 per cent heavier than its gasoline variants. That’s a substantial amount of extra mass that the tire is expected to bring to a halt in a short distance on slippery winter roads. Therefore, customers who used to cut back on performance for budget reasons when selecting winter tires will be in for a surprise.

If not equipped with good winter tires, that extra 28 per cent in vehicle mass (and the rest of the vehicle mass and occupants too!) could end up in the middle of the intersection, instead of being safely at rest behind the stop line.

Weight isn’t the only key difference between EVs and gas cars when it comes to selecting winter tires. Another major difference is the absence of engine noise in EVs.

A vehicle’s engine noise can often blend with and mask a tire’s baseline road noise. Furthermore, a tire’s punctual sounds when interacting with a bump or a hole will typically register as an annoyance if it goes beyond a certain level above the ambient noise. The issue here is that EVs don’t have engine sounds as ambient noise to mask a tire’s road noise.

A tire that seems relatively quiet on a gas car, may sound substantially louder on an EV. Since winter tires are often noisier than all-season tires, the occupant’s perception of this effect gets amplified in an EV. Therefore, EV drivers will often benefit more from selecting a “quieter” winter tire than other drivers.

Noise isn’t the only factor where typical differences between all-season and winter tires get amplified in an EV. Efficiency is another one.

Tires are always a blend of compromises between different characteristics. More often than not winter tires are optimized for driving traction and/or braking ability in snow and/or on ice.

Generally speaking, one characteristic that gets partially sacrificed in this optimization game is a tire’s energy/fuel efficiency. This potential sacrifice in efficiency on winter tires is particularly hard on EVs, since EVs are already facing a larger reduction in their range capability in cold temperatures due to climate control.

Combining this range loss, due to temperature, with an added efficiency loss, due to tires with poor efficiency, can be significant for EV owners. So while winter tires will rarely have as good an energy efficiency as their all-season cousins, selecting winter tires with above-average energy efficiency can make a significant difference to EV drivers.

Weight isn’t the only key difference between EVs and gas cars when it comes to selecting winter tires.

In the end, the customer has the last word, but a well-informed customer may make a different decision if they have a better understanding of how winter tire grip, noise, and efficiency will affect them—specifically if they own an EV.

Cost will almost always be a factor in their decision, but hopefully, thanks to well targeted education, it won’t be the only factor so they can enjoy more safe and comfortable kilometres per charge—thanks to their dealership team’s EV expertise.

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EV travel: The journey doesn’t need to be the destination https://canadianautodealer.ca/2021/10/ev-travel-the-journey-doesnt-need-to-be-the-destination/ Mon, 25 Oct 2021 14:10:51 +0000 https://canadianautodealer.ca/ev-travel-the-journey-doesnt-need-to-be-the-destination/ Driving an electric car is starting to feel very similar to driving a gas car, at least where vacation planning is concerned. Canadians love to travel, and with the COVID-19 situation many Canadians who typically fly to their summer vacation destination opted instead to travel by car to new destinations in 2021. As the number... Read more »

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Map of DC Fast Charging stations within a 3 km of rank 1, 2 and 3 highways (excluding Tesla’s proprietary Superchargers).

Driving an electric car is starting to feel very similar to driving a gas car, at least where vacation planning is concerned.

Canadians love to travel, and with the COVID-19 situation many Canadians who typically fly to their summer vacation destination opted instead to travel by car to new destinations in 2021.

As the number of dealership customers considering an electric vehicle continues to grow, there will inevitably be an increase in the number of questions from prospective buyers on traveling with an EV.

Traveling in an EV today has nothing to do with what it meant to travel in one five or 10 years ago. That’s due to two major differences: vehicle range and DC Fast charging station coverage.

Almost all EVs currently being sold in Canada now have a 300 km-plus range, with ranges approaching and exceeding 400 km becoming the norm rather than the exception.

Five years ago an EV “road trip” meant that the “road would define your trip”—as in, you’ll be stopping regularly every 100-200 km to charge, and you will need to plan each activity carefully around charging locations to make the most of your travel time.

The increase in EV range in recent years has had a major effect on EV travel. With today’s range, most EV charging stops are no longer being made because the car had to, but because the driver (and/or passengers) wanted to.

Whether the stop was for a night at the hotel, for a meal, for a planned activity, or for a coffee and washroom break, most EV charging events today happen simultaneously, and as a convenient “by-product” of another trip event (and not the other way around). This makes EV travel much more similar to what most Canadians were previously accustomed to with their gas car.

On top of the vehicle range increase, there is another factor that has had a major impact on long range EV travel in 2021: the deployment of public charging infrastructure.

The areas where a majority of Canadians live, travel and vacation are now entirely serviced by DC Fast charging stations, in such a way that there is almost always a DC fast charging station next to the highway on any 50 km stretch of road.

The map above, compiled from ChargeHub’s data in the first quarter of 2021, shows the exact coverage for highway-adjacent DC Fast charging stations. It is clear from this map that most of Eastern and Western Canada’s southern highways are now well covered.

Central Canada still has some highway gaps that make EV road trips in the prairies a bit similar to what they were five years ago in Eastern and Western Canada. But all in all, most Canadian EV drivers are in a position to plan their trips around where they “want” to stop, as opposed to where they “have” to stop.

What’s the net effect of this for Canadian car dealers?

For a majority of car dealers, this means that prospective buyers can be reassured that yes, they can do their annual summer road trip with their new EV and stop where they want to, for whatever reason, the same way they used to with their previous gas car.

Total amount of highway kilometres vs. DC Fast Charging Station coverage by province (excluding Tesla’s proprietary Superchargers).

What’s more, given the rapid rate of deployment of new DC fast chargers in Canada, by the time you review the map within this column, with any prospective EV buyer, actual highway coverage will likely have increased to a point where only very remote highways are not yet fully covered.

In fact, since the compilation of this map and data just a few months ago, Newfoundland Labrador has already deployed 14 new DC fast charging stations that cover a majority of its highway system!

Five years ago an EV “road trip” meant that the “road would define your trip.”

The fact that, for most Canadians, vacation travel in an EV is becoming analogous to vacation travel in a gas car removes a barrier to adoption. Old habits die hard, but luckily, with good education, most prospective EV drivers entering your dealership will realize that nowadays, they don’t need to change their traveling habits in a meaningful way when driving an electric car.

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Selling used EVs requires the right environment https://canadianautodealer.ca/2021/09/selling-used-evs-requires-the-right-environment/ Fri, 24 Sep 2021 14:00:36 +0000 https://canadianautodealer.ca/selling-used-evs-requires-the-right-environment/ Here’s how you can create that environment, where used EV sales can happen—seamlessly. They say there’s no such thing as a product that sells itself. When it comes to selling used electric vehicles (EVs), top performing dealers know they can do so when good prospects are provided with a pro-EV dealership experience. Mikaël Pilotte is... Read more »

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Here’s how you can create that environment, where used EV sales can happen—seamlessly.

They say there’s no such thing as a product that sells itself.

When it comes to selling used electric vehicles (EVs), top performing dealers know they can do so when good prospects are provided with a pro-EV dealership experience.

Mikaël Pilotte is the ninth team member at ChargeHub to transition to an EV. Based in Saint-Jean-sur-Richelieu, Mikaël was certain his next vehicle would be second-hand. Today, he shares his experience to offer his perspective on a mindset dealerships will increasingly face: prospects looking to purchase used EVs.

Here’s what to consider:

If a prospect is looking for a used EV at your dealership, you most likely have the model they want.

“I had a 2006 Mazda 3 that was reaching the end of its lifespan and told myself I would purchase a used vehicle once I completed my studies,” said Mikaël. “At the time, I was looking at all the different possibilities, including electric models.”

He said joining ChargeHub gave him “a boost to go more in-depth in my search for a used EV model that would be a good fit for my lifestyle.” With the financial incentives offered when purchasing an EV, Mikaël said it was clear his next vehicle would be electric.

He said his go-to source for information was Auto Hebdo (or AutoTrader.ca in English), and that his research helped him narrow down which model he wanted: a Chevrolet Bolt. Reviews and comparisons revealed a great quality and price ratio, with good range for 2017 to 2019 models.

To successfully sell an EV, Mikaël said the dealership needs to develop a different approach towards these customers so that they feel confident in their purchase.

“Of course, the newer the model, the better the range,” said Mikaël. “Still, I was open to purchasing a 2017 model if it crossed my path.”

In the end, Mikaël visited three dealerships in his area because he was aware they had Chevrolet Bolts. He eventually purchased a 2019 model.

How prospects discover your salespeople don’t know their stuff when it comes to used EVs

Curbside Level 2 charging stations are increasingly being deployed on streets by cities and municipalities. These can provide a full charge overnight to a standard EV (typically six to eight hours, depending on the model).

According to Mikaël, there are still many misconceptions on what EV charging and maintenance entails.

“Upon purchasing the EV, when the salesperson explained what my warranty included, they said it was the usual stuff, like an engine and transmission,” said Mikaël. “But that doesn’t apply to an EV! This happens all the time: a bunch of EV drivers share their experience in forums about how they get call backs from their dealers to schedule an ‘oil change.’”

To successfully sell an EV, Mikaël said the dealership needs to develop a different approach towards these customers so that they feel confident in their purchase. And that confidence needs to be present at each and every touch point the prospective buyer has in their used EV buying journey with the dealership.

Understanding the basics of EV charging

“I remember the salesperson telling me I needed to purchase a home charging station,” said Mikaël. “Of course, if I end up owning a house, there’s no question it’s more convenient to have one installed. However, I live in an apartment and it’s important to know that there are options for those people who are not living in single-homes.”

Mikaël said he knew it was still possible to charge at home because he had private parking and access to a 120V outlet. He also uses public charging regularly.

“My go-to spot is a Level 2 charging station operated by FLO near the soccer field where I coach in the evenings,” said Mikaël. “Furthermore, when work resumes, I know I can charge there too.”

We all have that image of a salesperson who can convince prospects into buying any car. But with used EVs, even the best salesperson can see its performance hindered if the dealership doesn’t adjust its overall experience to ensure it caters to those buyers specifically walking in to buy a used EV.

For used vehicle sales staff to reach peak performance, dealerships need to reduce friction that could get in the way of selling used EVs seamlessly.

The specific mindset of prospects like Mikaël, who seek to purchase a used EV, must be understood in order to be efficient at selling these cars—whether you have just one used EV or an entire fleet for sale on your lot.

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When buyers can’t charge their EV at home https://canadianautodealer.ca/2021/07/when-buyers-cant-charge-their-ev-at-home/ Wed, 28 Jul 2021 14:00:41 +0000 https://canadianautodealer.ca/when-buyers-cant-charge-their-ev-at-home/ Solutions dealerships can suggest to garage orphans. When selling electric vehicles, dealers repeatedly answer fundamental questions from new buyers: how to charge an EV at home, what model best suits a certain lifestyle, what EV maintenance looks like and more. But increasingly dealers are being asked: what are my options if I can’t charge my... Read more »

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Solutions dealerships can suggest to garage orphans.

When selling electric vehicles, dealers repeatedly answer fundamental questions from new buyers: how to charge an EV at home, what model best suits a certain lifestyle, what EV maintenance looks like and more.

But increasingly dealers are being asked: what are my options if I can’t charge my EV at home?

You may be a leading EV dealership, but that doesn’t necessarily make it any easier to talk to buyers who can’t charge at home—commonly referred to as garage orphans. The added challenge is that, for most prospective buyers, their living situation and potential charging solutions won’t be the same.

The best way to talk about EVs when buyers can’t charge at home is to cover the following solutions:

DC Fast Charging (DCFC) stations:

As more and more are being deployed, DCFC stations have become a more popular option for garage orphans because they offer a full charge in as little as 30 minutes. DCFC stations typically operate at power levels of 50kw or 100kw, and offer a similar approach to refuelling a vehicle to gas stations.

In other words, in the same way a driver will make a detour once a week or so to fill up a tank at a gas station, an EV driver will make a detour to a hub of DCFCs to charge their vehicle.

One of our employees is an EV garage orphan, and has relied mainly on curbside charging from the very beginning.

Curbside charging

Curbside Level 2 charging stations are increasingly being deployed on streets by cities and municipalities. These can provide a full charge overnight to a standard EV (typically six to eight hours, depending on the model).

In May 2021, Montreal had 488 Level 2 charging stations operated by Circuit électrique, the majority being curbside charging. In March 2020, there were 422, which is close to a year-over-year increase of approximately 15 per cent.

One of our employees is an EV garage orphan, and has relied mainly on curbside charging from the very beginning.

“I have never had the option to charge at home, so I use curbside charging,” said Jules, accountant at ChargeHub and owner of a Bolt 2019. “Near my apartment, there are four curbside charging stations operated by Circuit électrique, which I’ve been using for over a year now. It costs me 35$ per month for charging sessions.”

Workplace charging

One solution is that you can direct garage orphans to check with their employers on whether workplace charging can be offered. Progressively, thousands of electric vehicle drivers rely on workplace EV chargers to stay fully charged.

Through an initiative created by Natural Resources Canada—the Zero Emission Vehicle Infrastructure Program (ZEVIP)—tenants and businesses are able to offer employees the ability to charge their EVs at the office. Concretely, the ZEVIP invests in the construction of curbside charging stations, at workplaces and in multi-unit residential buildings between 2019 and 2024.

The Program will pay up to 50 per cent of the total project costs to a maximum of $50,000 per charging unit, and up to $5 million per project.

There are also provincial programs such as:

Transition énérgetique Québec rebates: 50 per cent of the total installation costs up to $5,000 per Level 2 charger;

CleanBC rebates for BC Hydro and Fortis BC customers: 50 per cent of the total installation costs up to $2,000 per Level 2 charger;

Electric Vehicles for Municipalities Program in Alberta: for municipalities in Alberta, 50 per cent of the total pre-GST installation costs up to $2,000 per Level 2 charger or DCFC; and

Yukon Level 2 charger rebate: 50 per cent of the total installation costs up to $4,000 per Level 2 charger.

Several municipalities across Canada also offer their own rebates. The ChargeHub team maintains a list of such programs at: https://chargehub.com/en/charging-stations-incentives-in-canada.html

What’s next for buyers without access to home EV charging?

Understanding EV charging can be a make it or break it factor in someone’s decision on whether to purchase an electric vehicle. And you’ve probably noticed that listing these options does not magically generate a full solution. However, it’s a great first step. Having a generous supply of solutions makes EV adoption more inclusive and less painful.

But there’s still plenty of work to be done to make EV charging simple for all buyers, regardless of their living situation.

As EVs win over more Canadians, you can be part of the conversation to bring those solutions forward for your customers, and even more—walk the talk by taking advantage of the rebate programs and offer employees with EVs the possibility to charge at work.

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EV long distance driving tips to share with clients https://canadianautodealer.ca/2021/05/ev-long-distance-driving-tips-to-share-with-clients/ Mon, 31 May 2021 09:00:01 +0000 https://canadianautodealer.ca/ev-long-distance-driving-tips-to-share-with-clients/ Insights and comments from EV drivers that could benefit your customers. I once recorded a conversation with a potential electric vehicle (EV) buyer, where we talked about EV charging at home — and briefly discussed how to charge when traveling. Now, with the increase of electric vehicles on Canadian roads, we connected with new EV... Read more »

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Insights and comments from EV drivers that could benefit your customers.

I once recorded a conversation with a potential electric vehicle (EV) buyer, where we talked about EV charging at home — and briefly discussed how to charge when traveling.

Now, with the increase of electric vehicles on Canadian roads, we connected with new EV drivers, who shared their advice for long distance driving.

Johanne is the customer service and project coordinator at ChargeHub, and one of the eight EV drivers in our team. She’s completed several long distance EV trips, including from Montreal to Lac-Saint-Jean in Quebec, and Montreal (Que.) to Niagara Falls (Ont.).

Tristan is our marketing manager. He doesn’t own a personal vehicle, but was provided a 2020 Chevy Bolt by Bourgeois Chevrolet last summer to drive from Montreal to the Gaspé Peninsula, also in Quebec — a roundtrip of about 2,500 kilometres.

Here are their tips on long distance driving in an EV:

Plan your EV charging stops during your road trips

“It requires more planning; you can’t simply hit the road without having an idea of where you’ll charge your EV beforehand,” said Johanne. “That’s something that’s different. But I appreciate it because it makes me slow down and enjoy the full experience of the trip.”

“This means planning for the unexpected too. I always look at the map for two-to-three charging locations. My EV is a 2019 Chevy Bolt with 400 km of autonomy and I make a charging session stop after driving 200-250 kilometres,” said Johanne. “I prefer this because, say I drive to a town that only has one charging station. If I arrive on-site and find a defective charging station, I know I still have 200 kilometres of autonomy to drive to my next choice.”

Take advantage of one-pedal driving

For Tristan, one of his favourite discoveries during his EV road trip was learning one-pedal driving.

“It’s something that I practiced right away. I found the experience fun; to be able to brake by softening the weight of your foot on the pedal. Doing so also saves battery energy, because it activates regenerative braking,” said Tristan. “It made me realize that managing the EV’s autonomy is an art. What I mean is, the driving range is displayed in the dashboard and tells you when you are driving in an optimal way. At one point the Bolt displayed that I had about 380 kilometres of range left. But with one-pedal driving, I could easily drive up to 450 kilometres.”

According to Johanne, “It’s kind of like driving a golf cart. You put pressure on the pedal to go forward and when you lift your foot, it slows down.”

Change the way you drive and see the road

When we traveled to Lac-Saint-Jean, we planned to have dinner in La Tuque, a city I had never visited before, nor knew anything about,” said Johanne. “We went there because it was well positioned in our driving schedule, and because there were charging stations in the downtown area with several restaurants that interested us. We parked and plugged in at the charging station in the municipal library’s parking lot, and walked no more than five minutes to find a good restaurant.”

“It was pleasant,” Johanne recalled. If she did not have an EV, she said she probably would never have made the stop or discovered a new place. When she had a gasoline-engine car, she would often try to make her trips in one shot.

“For me, it makes me slow down and appreciate the experience of the trip, rather than trying to get to my destination as fast as possible,” said Johanne.

A 360-degree overview of EVs

If your dealership is selling EVs, of course you need to know the vehicles well. But it isn’t just product knowledge that makes the sell — it’s also providing insights on the EV lifestyle. It’s the 360-degree overview that your dealership provides.

“More and more of our customers call me to ask lifestyle-specific questions. They appreciate having the opinion of an EV owner who lives it every day. It’s always a pleasure to share my experiences,” said Johanne.

As for Tristan, when asked if the road trip influenced him in any way to purchase an EV, he said: “It definitely has. Although I don’t need a vehicle for my current living situation, I considered getting a used electric car after my trip. It was a really cool experience.”

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Selling EVs requires full team contribution https://canadianautodealer.ca/2021/05/selling-evs-requires-full-team-contribution/ Fri, 07 May 2021 15:02:11 +0000 https://canadianautodealer.ca/selling-evs-requires-full-team-contribution/ Dealerships selling EVs may need to take a lesson from NHL teams. Is your dealership an authority on electric vehicles? If so, ask yourself this: Is it your store, or is it the EV experts in your team that provide that authority? Now, in your team — who exactly knows EVs? If the answer is... Read more »

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Sources: National Automotive Dealers Association; Adrienne Roberts. “Dearth of a salesman: Auto dealers struggle to recruit, retain younger workers,” Wall Street Journal, August 23, 2018.4 Deloitte Insights | deloitte.com/insights

Dealerships selling EVs may need to take a lesson from NHL teams.

Is your dealership an authority on electric vehicles? If so, ask yourself this: Is it your store, or is it the EV experts in your team that provide that authority?

Now, in your team — who exactly knows EVs? If the answer is “Jason, our best EV salesman”— that tells me your dealership is missing out on sales, and that your EV business line is at risk.

Here’s why: the automobile industry is notorious for hard-to-retain talent. Recent research by Deloitte conducted in the United States, reveals that it’s not uncommon for dealers selling the biggest volume brands to see annual turnover rates of up to 60 per cent for their salespeople, and up to 50 per cent for their service staff.

If your approach to selling electric cars is to staff your team with “the one amazing EV salesperson,” there is a more than 50 per cent chance that next year, you will no longer have that expertise in-house. Ultimately, this will put your EV sales back to zero. That’s why, in an industry with so much turnover, putting an entire dealership’s EV expertise in the hands of one or two individual salespeople is unacceptably risky.

Of course, having some staff with acute expertise in eMobility is important, but it’s not the only way to build your EV business. As it happens, there is one strategy that will not only mitigate the impact of employee turnover, but also increase EV sales.

Here’s what you need to do: focus on a baseline of EV product knowledge across departments. This is dramatically underestimated in the importance of growing your EV business in a way that can shield you from volatile talent.

It’s like winning at hockey. In 30 years, the NHL team with the season’s top goal scorer won the Cup only two times. Stanley Cup winners are usually the ones who have players that support their best goal scorers.

Selling EVs is no different.

Reception, maintenance and repair, F&I, and the go-to parts departments, might not be the ones that close the EV sale. But they do have an impact on EV buyer confidence. How they express what they know about EVs contributes to your authority.

It’s like winning at hockey. In 30 years, the NHL team with the season’s top goal scorer won the Cup only two times. Stanley Cup winners are usually the ones who have players that support their best goal scorers. Selling EVs is no different.

In fact, a lack of comfort in explaining the product can discourage potential EV buyers who are ready to purchase, but won’t do so from a dealership that seems unfamiliar with the eMobility lifestyle they reflect on — things like “it seems expensive” or “it seems complicated to charge on the go,” or even “it seems difficult to buy and install a home charging station.”

And, in the event that the EV expert is out for lunch or not on shift, the client might think other dealerships have better EV information.

Now, if the importance of having an EV baseline across departments doesn’t resonate, consider this: imagine you were interested in buying an Italian cooking course and considering three schools. Instead of commuting to all three, you start with a phone call.

“Hello, I’m interested in your Italian cooking course and I see that you have different chefs and time slots. Which one would you recommend?”

“Hello! Do we? Oh, I wasn’t aware. Let me ask my colleague, one second.”

Five minutes later.

“Hi again! So, it looks like the only person in our company who knows about the course just quit this morning! Please come visit us for more information.”

Although perhaps an obvious example, ask yourself: would you make the commute? Would that phone call be enough to interest you? Or would you cross the name of that school off your list?

Now think of a prospect calling in to learn about your EV offerings. If the reception desk answers with uncertainty, do you think the buyer would come visit your dealership? If the answer is no, then it’s clear what to focus on.

At the end of the day, establishing your authority means having employees who know what they’re talking about and are able to express it well. It really comes down to explaining the EV with simplicity: its features and benefits, and most importantly — the lifestyle that comes with it.

This strategy mitigates the impact of employee turnover, because it ensures that each department can still provide quality information while there is a void to fill. However, this strategy is also about maximizing EV sales. When done right, EV product knowledge is the most competitive value proposition a dealership can provide.

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How to grow your EV business? We asked the experts https://canadianautodealer.ca/2021/04/how-to-grow-your-ev-business-we-asked-the-experts/ Tue, 06 Apr 2021 14:11:48 +0000 https://canadianautodealer.ca/how-to-grow-your-ev-business-we-asked-the-experts/ We reached out to two general managers of award-winning EV dealerships to better understand the ingredients to their success. Federal government rebate and incentive programs, which vary in each province, are clearly growing customer demand for electric vehicles (EV) — yet some dealerships feel left out of this booming market. To better understand how dealerships... Read more »

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We reached out to two general managers of award-winning EV dealerships to better understand the ingredients to their success.

Federal government rebate and incentive programs, which vary in each province, are clearly growing customer demand for electric vehicles (EV) — yet some dealerships feel left out of this booming market.

To better understand how dealerships can best position themselves, no matter their location, we spoke with two general managers of award-winning EV stores in British Columbia and Quebec.

Mandu Goebl, General Manager of Campus Nissan Victoria in B.C., said they were among the first Nissan stores to get into electric vehicles 10 years ago. “Although the people coming in asking for them represented a small market, the EVs were nice and buyers really enjoyed them, so we knew we were on to something,” said Goebl.

Campus Nissan Victoria has been operating for 41 years, has 70 employees, and is part of Campus Auto Group.

We then spoke with Hugo Jeanson, General Manager and Co-owner of Bourgeois Chevrolet Buick GMC. Operating since 1964, this dealership has 55 employees and isn’t part of a dealer group.

Jeanson’s path to bringing Bourgeois into the Canadian Electric Vehicle Awards Hall of Fame started in 2012. A customer came in to exchange a Chevrolet Volt PHEV previously purchased elsewhere. Influenced by hype, he purchased it without understanding the need to charge the battery.

“At first, electric cars were reserved for big centres. Being based in Rawdon — a suburb over an hour away from Montreal — we didn’t have access to EVs. Also, only Volt-accredited franchises could sell them, which we didn’t have,” said Jeanson.

“When we exchanged for the Volt, I tried it; found it drove really well; and started using it for my trips to Montreal instead of my pick-up truck,” he added. “These trips would cost me 100$ a week. With the Volt, that amount dropped to about 20-30$ a month. It gave me great savings, which compelled me to pass them on to our clients.”

Although incentive programs stimulate demand, some changes must be made internally, starting with the dealership’s staff. At the fundamental level, EV sales growth for dealerships boils down to having a team committed to EV product-learning. Mandu Goebl of Campus Nissan Victoria offered his take on this one:

“A dealership has to work hard in training its staff into becoming dedicated EV sales experts. Creating a culture of EV knowledge within the dealership is critical,” said Goebl. “When the EV market comes in, that culture is what makes the customer feel confident in buying the vehicle. (The) next thing they’ll do is recommend it to family and friends. Your EV business will build that way.”

Goebl said their OEM helped them a lot in the beginning through training and having experts come into the dealership. “Afterwards, in addition to our regular sales meetings, we had weekly training sessions for those who wanted to sell EVs. These covered various EV specific topics, situations with customers, or knowledge testing,” said Goebl.

This theme of continuous EV learning — as a team — is a perspective shared by Bourgeois Chevrolet.

“The best way to adopt EVs is to try them. To understand EVs. We’ve become experts by experimenting with EVs in every possible situation: winter, summer, the coast,” said Jeanson. “The considerations that buyers have — well, it’s by driving EVs that you can answer them. The majority of our team has converted to EVs: technicians, accountants, sales representatives and so on. That’s number one; it takes at least one person in each department who fully understands EVs to be able to explain them to buyers.”

Jeanson recommends doing the same for customers.

“What made us successful was our 48-hour trials. We have a fleet of 30 EVs that are used as courtesy vehicles. So, for customers who need an oil change or vehicle maintenance, we lend them an EV while their vehicle is being repaired,” said Jeanson. “Putting the customer directly behind the wheel and letting them try the vehicle will show them how well EVs do the job.

Both dealerships indicate that the pace of the EV market shows no sign of slowing down.

“In Victoria, everybody knows an EV driver. There are so many in the community that only buyers come in — not ICE or EV buyers. Customers look at a gas vehicle and an EV, sometimes, side by side,” said Goebl.

As for Jeanson, he said approximately 50 per cent of their sales are electric cars. “If people choose us as opposed to going to a different dealership, it’s because they want to buy an EV.”

For dealerships that want to grow their EV business, start by asking yourself this question: How well do you know EVs?

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A shift in messaging around EVs https://canadianautodealer.ca/2021/02/a-shift-in-messaging-around-evs/ Thu, 04 Feb 2021 21:09:51 +0000 https://canadianautodealer.ca/a-shift-in-messaging-around-evs/ The messaging around electric vehicles has shifted, which means dealers will need to do the same. Years of early adopters have created the personas used to shape marketing messages within the electric vehicle (EV) industry. In this sector, it’s widely known that early adopters were individuals with high purchasing power who were willing to research... Read more »

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The messaging around electric vehicles has shifted, which means dealers will need to do the same.

Years of early adopters have created the personas used to shape marketing messages within the electric vehicle (EV) industry.

In this sector, it’s widely known that early adopters were individuals with high purchasing power who were willing to research their purchase. In a way, I’d say most of these people have facilitated many EV sales for dealers.

If you think this archetype of EV buyer is still the norm in Canada — read on — you might be surprised.

Through our unique perspective at ChargeHub, we are observing a steady shift in what we considered prospective EV buyers to be in 2020. We have over one million users on the ChargeHub platform, when combining our mobile app and web map. Our users include EV drivers, EV buyer prospects, and more.

In previous columns, I mentioned how in 2019 we were already starting to see more EV drivers within a younger demographic. By comparing our web and mobile demographic data from 2019 to 2020, we found that, across Canada, there continues to be a shift in demographic — transitioning to millennials (Gen Y) as the dominant age group that visits our website or uses our public EV charging map.

While the data has some limitations (for example, the age groups are relatively wide), the size of the sample and its national reach allow for clear patterns to emerge. See figure 1.

In 2020, the 18-24 age group (which includes the youngest millennials and the older Gen Z individuals) more than doubled its percentage in just twelve months. Meanwhile, nationally the core of the millennial age group (25-34) continued to grow. All this growth in the younger age groups has come at the expense of the 35-44 and 45-54 age groups. Not long ago, these were the two dominant groups when it came to EV interest.

Based on these numbers, it appears that millennials are becoming a dominant pool of potential EV buyers for Canadian dealerships.

It’s interesting to see that this shift is generally happening in all three provinces that individually define the EV market for the Eastern, Central, and Western regions. See figure 2.

The data shows that, regardless of the region, as members of Generation Y begin to enter an age where purchasing a vehicle is more accessible with more purchasing power, we see a peak in EV interests.

This can also indicate that, as members of Generation Z will begin to enter an age group with higher purchasing power, they will become a growing portion of the group of individuals interested in buying, leasing, or renting EVs.

Millennials are increasingly interested in EVs — for different reasons.

Based on these numbers, it appears that millennials are becoming a dominant pool of potential EV buyers.

At this point, mainstream media and channels have already clearly broadcasted that electric vehicles are better for the environment. This alone should not be seen as your path to turn millennials into your EV customers.

Go beyond “green.” Think of how millennials will want to use and be seen using these “green” vehicles. More often than not, the creative around millennials assuages the importance of work-life balance and the experience economy.

Canadian auto dealerships should keep these preferences in mind and design new customer journeys that echo this continuous shift in demographic. With government incentives and new long-range EV models entering the market at more affordable prices, the potential EV buying demographic is clearly evolving throughout Canada.

Shift the messaging to the experiences EVs offer that millennials will care about. A fresh mindset on who the EV prospects are today will empower Canadian dealerships to maximize the ROI of their campaigns.

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