Record Number of Shoppers Considering Hybrids, Electric Vehicles

Sean Tucker 02/16/2022 8:06am

Hybrids and electric cars have gone mainstream. In the fourth quarter of last year, 28% of car shoppers considered at least one of the two. Several hybrids or electric vehicles (EVs) earned a close look from more car shoppers than any gasoline-powered vehicle of their type.

The numbers come from Kelley Blue Book’s quarterly Brand Watch report – a survey that also weaves in consumer shopping behavior to determine how a brand or model stacks up with its segment competitors in a dozen factors key to a consumer’s buying decision.

KBB researchers produce separate reports covering luxury and non-luxury shoppers each quarter. Last quarter, Ford was the brand more affordable car shoppers considered than any other, ending Toyota’s years-long hold on the top spot. Lexus won out among luxury brands, edging out BMW and Tesla by a nose.

But the rise of hybrids and EVs was the story in both reports.

Hybrids Still Beating Out Electric Cars

Twenty percent of shoppers looking for a new car between October and December considered a hybrid or plug-in hybrid, up from 18% in the third quarter. Thirteen percent considered an EV, up from 9%.

The Toyota RAV4 Hybrid was the electrified vehicle (a category that includes hybrids, plug-in hybrids, and EVs) that earned consideration from more buyers than any other. It was the seventh most popular non-luxury vehicle of any kind – the first time an electrified car has broken into the Top 10.

Tesla In Control of EV Sales, But Getting Rivals

Several hybrids or electric cars were the most popular model in their class. In the fourth quarter, the Tesla Model 3 was the most shopped of all luxury vehicles. The Model Y was the most-shopped luxury SUV.

Last quarter, Tesla became America’s best-selling luxury brand, beating out traditional marques like BMW and Mercedes-Benz.

But Tesla wasn’t the only brand with something to celebrate. Most automakers are introducing new electric cars this year, giving the now-Texas-based company competition it hasn’t faced before. In these early days of mainstream electric cars, Ford seems to be the biggest threat to Tesla’s dominance. Ford placed four vehicles among the Top 10 most considered electrified vehicles.

Let’s Welcome the Newcomers

EV-only startups Rivian, Lucid, and Polestar made their first appearances in the Brand Watch studies. But they remain small, competing with boutique luxury automakers who don’t aim for mainstream numbers. Just 2% of luxury shoppers considered Rivian and Lucid in the fourth quarter of 2021. By comparison, Jaguar was at 3%. Nearly 1% shopped Polestar — about the same that considered Alfa Romeo and Maserati.