With the rising inflation and fuel costs, people are now more inclined towards electronic cars than ever before. Owing to this demand, many companies are now considering launching electronic smart cars or electronic versions of their existing cars. It is slowly becoming a trend that is expected to change the shape of the automotive industry. Experts predict that the year 2025 will see a tremendous rise in the demand for electronic cars jumping from 3% in 2015 to 23% in 2025.
Big brands like Rolls Royce are also launching an electronic version of their infamous Phantom car called the “Silent Shadow”. Electronic smart cars are also becoming a fad, they have distinct features that can be managed remotely through smart applications. Running these applications smoothly requires reliable and quality Spectrum internet only plans. Replacing traditional fuel and diesel engines with completely electronic engines has been challenging for the automobile industry.
Let’s discuss in detail the challenges, benefits, and future of electric cars in the article below.
Types of Electric Vehicle
There are three types of electric vehicles.
HEV
HEV or hybrid electric vehicle is a car that incorporates features of both, the conventional fuel engine and the electric engine. It benefits from the reduced running costs of an electronic engine in addition to the fuel efficiency of the conventional diesel/fuel engine. The average distance traveled by these cars on electric power is 2 miles.
PHEV
Plug-in electric vehicle has a larger and longer-lasting battery pack. It has a travel range between 20 miles to 50 miles. When the battery of the PHEV finishes, it automatically shifts to the fuel engine
BEV
A battery electric vehicle is a car solely operated on electric batteries. It does not have any fuel or diesel motor.
Advantages of Electric Vehicles
No Fuel
Electronic vehicles do not require fuel, which cuts down on a major cost. On Average, an electric car owner saves up to $700 yearly by choosing a completely electronic car over the hybrid or traditional fuel-consuming car.
Eco-friendly
Electric cars are eco-friendly and do not emit pollutants into the air.
Lower Maintenance
Electric motors have fewer parts and are easy to maintain than complex traditional engines. Therefore, they require less maintenance and reduce operational costs.
Performance
Electric cars have high acceleration and are lighter due to a smaller electric motor engine as compared to the heavy traditional internal combustion engine.
Incentives to buy Electric Vehicles
Worldwide sales of electronic vehicles are increasing with every passing year as they are slowly capturing the mainstream market. Some countries offer cash rebates and tax cuts to encourage people into buying electric vehicles as they are eco-friendly and largely reduce the dependence on fuel reserves.
Challenges Faced by the Electromotive Industry
The electromotive industry is growing and so the demand for raw materials is also growing. The prices of raw materials like graphite, nickel, aluminum, steel, copper, and carbonate are constantly fluctuating. The constant rise in prices not only disrupts the production process but also increases the cost of production.
The increased demand for electronic vehicles has increased the demand for a skilled labor force trained in electronic motors, repair, and engineering. Engineers should be well equipped and have hands-on experience with electronic as well as traditional motors to face the challenges and shifting preferences.
Future of The Automotive Industry
The future of the automotive industry is largely based on electronic cars with additional features of a smart car. Much innovation and research are being conducted in the automobile sector regarding e-mobility such as, Creating self-aware cars.
Cars with a huge amount of interconnected and integrated sensors and ECUs (engine control units) that provide data and information.
Creating attractive bundles for car sales that may include utilities like ride-sharing, electronic car charging, car sharing and parking services. They can be subscription-based and bundled up with car sales or offered separately.
Insurance services can be connected to the cars through smart algorithms to extract important information.
Offering advanced fleet services for electronic cars and expanding operations to include charging points.
Success Strategies
The automotive industry should consider the following to match the shifts in consumer demand and win them over.
Customer Centric Approac
Interacting directly with the customers increases the level of trust and loyalty. It can be especially helpful when Specialty products are involved.
Mobility
The evolving automotive industry will bring the automobile industry from a specialty to a convenience category. New business models and payment methods such as pay-per-use and monthly/yearly subscriptions will be the future of the new-age automobile industry.
