Charging should be a non-event: 6 insights about the EV industry

The future of the EV industry includes boosting media coverage, enhancing user-friendly charging, and smart integration for business products.

So, where is the industry in mid-2024?

As highlighted by Auto Trader’s Head of Strategy and Insights at the recent EV Summit, the registration of new electric cars has surged to 167,000, reflecting a growing consumer interest and commitment to sustainable transportation.

Businesses play a crucial role in supporting this transition. In this article, we delve into five major insights and ideas essential for driving the EV revolution forward.

Interesting data points from the EV Summit:

• 167,000 BEVs sold in the first half of 2024 (EY UK & Ireland) 
• One-third of today's public charge points were installed in the last 12 months
• Less than 1% of vans in the UK have been electrified 
• Over 70% of people living in flats are completely reliant on public charging (ChargeGuru)

1) Should the charging experience be a "non-event"?

Consider any activity essential to modern life, such as sending a bank transfer or booking a flight online. We expect these administrative tasks to be easy, safe, and accessible - essentially, they are so convenient that they become almost invisible, a ‘non-event’. 

Charging an electric car should be no different. 

This was a huge talking point at the EV Summit, with industry leaders emphasising that the customer charging experience should be seamless, whether you are a private EV driver, a fleet manager or a CPO.

However, it's up to businesses to deliver this experience, and product integration can help (something we explore below). 

“The best payment systems are invisible”, MD at leading EV manufacturer

But in order to make charging a “non-event”, there also needs to be a standardisation of charging protocols. With various manufacturers and charging providers in the market, a unified system would simplify the user experience, much like how the USB standard simplified charging for electronic devices. 

This would not only enhance convenience but also build consumer confidence in the reliability and accessibility of electric vehicle charging.

2) Tackling the gap between reality and perception 

‘Charge-anxiety has replaced range-anxiety’ a representative from Polestar, a leading EV manufacturer, comments. 

One of the most pressing issues regarding EVs, despite the substantial growth in EV registrations, is that many potential buyers remain sceptical about the practicality and reliability of electric cars. 

This scepticism often stems from outdated perceptions of limited range, inadequate charging infrastructure, and safety. And it’s a perception that everyone within the industry has been battling to change - although misinformation is ripe.

It's also important to recognise that the industry is still in its early days and, therefore, still adjusting to ever-new policies and requirements, such as PAS and DDA. 

To counteract these misconceptions, it is crucial to build positive narratives around EVs, showcasing their benefits and the advancements in technology that have significantly improved their usability and convenience. 

While internal efforts to promote these stories are important, success will also depend on strong media partnerships, pro-electric government policies, and widespread collaboration within the industry.

In essence, let’s build more positive stories around the EV experience!

3) Expansion of charging infrastructure 

With ChargeUK’s data showing that there are now over 930,000 charge points already in place in the UK and a 38% growth in the last three years, there has been significant progress in installing charging infrastructure. 

Remarkably, one-third of today's public charge points were installed in the last 12 months, highlighting the rapid expansion of the charging network.

However, despite this progress, drivers still perceive chargers as light on the ground, as mentioned above.

Additionally, the industry is still behind the number of charge points needed to support the number needed by 2030 - The Society of Motor Manufacturers and Traders (SMMT) advises that the UK will need approximately 2.3 million charging points by 2030.

One-third of today's public charge points were installed in the last 12 months.

For drivers to feel confident in transitioning to electric vehicles (EVs), they need to know that the infrastructure exists to support this change in lifestyle. This requires: 

• Greater installation of charging points to meet growing demand. 
• Thoughtfully considered charging point locations, from commercial sites (E.G. office car parks and fleet depots) to public sites (E.G. hotels and retail parks) to home charging (E.G. houses and flats). 
• Clear signage for chargers and user-friendly apps to help drivers easily find chargers. 
• Easy-to-use and intuitive chargers and payment systems. 

All stakeholders in the EV infrastructure ecosystem, from charger manufacturers to Charge Point Operators (CPOs), should carefully consider what they need and who they need in order to grow a sustainable business and propel the industry forward -  especially if they want to survive a turbulent economic year.  

4) Why businesses need to prioritise integration

Most people agree it’s time to break down the garden walls in the EV industry. 

From drivers finding a charge point to easy payment solutions, industry leaders pushed the point that the EV driver experience should be seamless. But what happens when each part of the process is siloed? 

Integrated solutions are essential for delivering the above. Businesses have a few options to consider: 1) develop products or services in-house or 2) partner with a business that already delivers what you need - both can be beneficial. 

However, when it comes to in-house development, you may find that you lack the internal talent to deliver an exceptional service, or you simply don’t have the time to dedicate to it.

Partnering can be a useful alternative, but you still need to do quality control - do your due diligence so that your chosen partner is capable of not only delivering on their service claims but they’re people whom you can build a long-term relationship with. 

5) Addressing the needs of commercial fleets 

The Sales Director at Evolt Charging highlighted that less than 1% of vans and lorries in the UK have been electrified - data published by Inverto in December 2023. 

For heavy goods vehicles (HGVs), the challenges of transitioning to electric power are even more significant. With long transportation times and complex logistics, HGV operations must be seamless to minimise costs. 

Automated payment and invoicing processes, along with access to data for effortless expense tracking of EV drivers and vehicles, play a crucial role in achieving this efficiency.

Other technology, like the implementation of Vehicle-to-Grid (V2G), Vehicle-to-Load (V2L), and more, which allows EVs to feed energy back into the grid or simply utilise energy in a smarter way, presents an opportunity for fleet operators to earn revenue through grid balancing and management. 

Less than 1% of vans and lorries in the UK have been electrified. 

However, the transition requires substantial investment and strategic planning to ensure a reliable and efficient charging infrastructure for commercial vehicles.

It’s important to recognise that there is no one-size-fits-all solution for fleet electrification. 

6) Why scaling sometimes requires outsourcing

Scaling requires resources - whether it’s time for developing innovative products, budget allocations for digital initiatives, or securing the right expertise.

The electric vehicle (EV) industry faces several challenges in scaling up. 

The challenges of growth in this sector are multifaceted, from navigating evolving regulatory landscapes to keeping pace with rapid technological advancements. To overcome these hurdles, businesses may need to reassess and, if necessary, migrate existing partnerships to better align with their strategic objectives. 

Finding a partner who not only understands the EV world but also shares your vision is crucial. Such a partner can provide valuable insights, help mitigate risks, and drive the collaborative innovation needed to stay competitive in this rapidly growing market. 

Building strong, future-proof alliances will be key to unlocking new opportunities and achieving long-term success in the EV space.