Electric Vehicle Manufacturers Will Pursue New Revenue Streams beyond Vehicle Sales in 2014

BOULDER, CO--Jan. 8, 2014: The global electric vehicle (EV) industry is expected to expand significantly in 2014. The selection of models will increase, as luxury automakers Audi, BMW, Cadillac, Mercedes, Saab, and Volvo will all introduce their first EVs and more affordable EV options are introduced by Kia, Mahindra, Skoda, and Volkswagen. Click to tweet: According to a new white paper from Navigant Research, the coming year will see automakers move into multiple adjacent markets, including tapping into plug-in EVs’ inherent connectivity to offer information and entertainment options and operating their own carsharing services.

“One of the most promising avenues is partnering with utilities and energy aggregators to incorporate electric vehicles into demand response and other ancillary services.”

The white paper, which identifies 10 significant trends that will shape the EV market in 2014 and beyond, is available for free download on Navigant Research’s website.

“Since electric vehicles require less maintenance and replacement of parts, which currently provide considerable revenue to dealers and automakers, car companies are looking to diversify their revenue streams,” says John Gartner, research director with Navigant Research. “One of the most promising avenues is partnering with utilities and energy aggregators to incorporate electric vehicles into demand response and other ancillary services.”

This will be a watershed year for electric vehicles, according to the report, as the market reaches several milestones, including the elimination of more than 1 million tons of carbon dioxide emissions and the shipping of more than 2.2 million electric drive motors. Other key trends examined in the white paper include:

Automakers will accelerate their push for changes to California’s zero-emissions vehicle mandate Electric motorcycles will break out as a transportation alternative Fuel cell vehicle launches will spur a new round of the “fuel cell versus battery electric” vehicle debate EVs will play a leading role in the growth of the carshare market Wireless charging will move from the lab to the street Vehicle-to-grid pilot projects will expand, and begin generating revenue, in the United States

The white paper, “Electric Vehicles: 10 Predictions for 2014,” analyzes 10 key trends that will influence the development of the EV market in 2014 and beyond. Conclusions and predictions in this paper are drawn from Navigant Research’s ongoing Smart Transportation program research coverage, with forecasts included for key market sectors. A full copy of the white paper is available for free download on the Navigant Research website.