Consumer sentiment on electrical vehicles (EV) in the United States is not as red hot as it was a few years ago, but it’s still quietly improving. 29 percent of consumers said their next vehicle purchase will be an EV, a five percent increase from last year, according to McKinsey’s 2025 Mobility Consumer Pulse survey.
Perhaps even more importantly, that switch is becoming a long-lasting change. For those who have already adopted an EV, 91 percent said they will not be switching back to an internal combustion engine powertrain. Adoption in the U.S may not be as fast as other regions, but satisfaction with EVs appears to be just as high. 76 percent of respondents who own a battery electric vehicle (BEV) said that their next purchase will be another battery electric vehicle.
These are not the only takeaways from the survey though, McKinsey shed light on a plethora of global consumer perspectives that are reshaping the EV landscape.
Regional Shifts in EV Adoption
Global differences in EV adoption are becoming more pronounced, as consumer intent and market trends evolve at varied speeds. China remains the clear leader in the EV market, with roughly 50 percent of vehicles sold being electric. Consumer demand has begun to drive the market, instead of the market growing from simply needing to meet regulatory standards. Notably, 82 percent of Chinese consumers indicated their next car will be an electric vehicle.
Europe continues to experience a moderate rise in EV adoption. While the share of new EV car sales dipped slightly from 24 to 21 percent in 2024, the intent to purchase has grown, particularly in specific countries like Germany, where BEV purchase intent reached 30 percent. As in the U.S., hybrids continue to play a significant transitional role as 27 percent of consumers said their next vehicle will be a plug-in hybrid.
The U.S. trails behind both Europe and China with just 10 percent EV market share. Adoption is highly fragmented geographically, with states currently following California Air Resources Board (CARB) regulations showing higher intent. 38 percent of respondents in those states said their next vehicle will be electric while only 25 percent are planning on going electric in non-CARB states. Urban areas display much stronger EV adoption sentiment than rural regions, emphasizing the importance of infrastructure. In fact, 29 percent of consumers in all regions said that availability of charging stations equivalent to gas stations would motivate them to finally purchase an EV.
Consumer Expectations and Challenges
EV adoption is slow in part due to a few key consumer concerns about range, affordability, and charging. The average consumer expects a minimum real-world range of 310 miles to feel comfortable transitioning to a BEV. For many, longer ranges are a safeguard for edge-case scenarios like road trips, even if their daily driving needs are far less demanding. With extended-range electric vehicles only widely available in China right now, the 43 percent who said they need a longer driving range to switch to an electric vehicle will have to wait a little longer.
Price sensitivity also remains a significant factor, with only 33 percent of global consumers willing to pay a premium for an EV over a comparable internal combustion engine (ICE) vehicle. Price parity or government subsidies could tip the scales, with 55 percent of respondents indicating a willingness to switch if costs align and 63 percent willing to switch if EV is the cheaper option.
The other issue that is top of mind for consumers is charging, both the infrastructure for it and the time it takes to get back on the road. In the U.S., battery charging speed is the third most important purchase criteria for consumers after range and price, with 24 percent of all consumers looking for faster charging before switching to an EV.
Loyalty and Brand Dynamics
Interestingly, consumer brand loyalty shifts significantly in the EV market. While ICE consumers are typically loyal to their chosen brands, EV buyers exhibit a higher rate of switching. Much of this is due to consumers caring more about their desired specifications than the exact brand they are buying from.
High-profile competitors from China, leveraging advanced technology and aggressive pricing, are also gaining ground internationally. Even in the U.S., where trade measures prevent Chinese EV sales, 27 percent of consumers said they have interest in the vehicles. For domestic automakers, this evolving landscape underscores the need for innovative approaches to retain customers, such as building differentiated features like advanced driver assistance systems (ADAS) and improved battery technologies.
The Role of Hybrids and Extended-Range Electric Vehicles
Plug-in hybrid electric vehicles (PHEVs) remain important steppingstones for consumers hesitant to fully transition to BEVs. For many consumers, these vehicles serve as a bridge technology. These models help alleviate concerns about range while familiarizing drivers with electric powertrains. For U.S. respondents, purchase intent was five percentage points high for plug-in hybrids than it was for BEVs.
Meanwhile, extended-range electric vehicles (EREVs) pose a significant solution to many consumers’ biggest EV roadblock. China is leading the way in deploying EREVs, and early indications suggest demand could grow in Europe and the U.S. provided automakers include these options in their portfolios. 23 percent of consumers said their preference would be an EREV if available at the time of their next purchase. Given the consistent consumer anxiety around driving range, the first automaker that can get an EREV to market in the U.S. will see a substantial uptick in adoption.
Tech Savvy Customers
Many automakers are now positioning themselves as leaders in “intelligent connected vehicles” (ICVs), which combine EV performance with advanced features like autonomous driving, immersive smart cockpits, and enhanced personalization. While Chinese consumers have fully embraced this tech-forward approach, Western markets are still catching up. However, as competition in ICV features accelerates, consumer expectations globally may shift in favor of these advancements.
Even if the advanced technology is not yet in the car, EV consumers still expect a modern purchasing experience. An omnichannel customer journey is crucial for consumers as 62 percent exclusively use online features in their search for a vehicle. This stage of the process is important for properly informing consumers about EV features and quelling concerns.
The purchasing process is not entirely virtual though and needs a seamless transition between online and in person. More than 85 percent of buyers want to test drive an EV before making a purchase and 54 percent want to place their order entirely at the dealership without any online component. Half of respondents also said they would want the charging experience to be a part of the test drive.
The consumer perspective is pivotal in shaping the ongoing transition to EVs. Understanding and addressing consumer preferences, managing prices, and providing state-of-the-art technology where desired will be critical for automakers as the segment of potential EV buyers continues to grow.
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