New data shows that Extended Range Electric Vehicles (EREVs), vehicles that combine battery-powered electric motors with small ICE engines, could accelerate the shift to electrification if consumers better understood how they work.
The details: A report by Escalent highlights a significant opportunity for automakers to position EREVs more effectively by addressing consumer misconceptions and providing clearer information.
More than 40% of new car buyers are unaware of what an Extended Range Electric Vehicle is.
Only 6% believe EREVs can run “only on gas,” while more than half (55%) think they operate “only on electricity.”
Once informed of the powertrain’s connection to gas, consumer favorability scores for EREVs rose from 58 to 61 on a 0-to-100 scale.
Why it matters: EREVs tackle one of the largest barriers to EV adoption: range anxiety. They’re also typically cheaper to produce than BEVs (Battery Electric Vehicles), which can help lower sticker prices for buyers.
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Between the lines: Automakers have been expanding EREV offerings as part of their broader electrification strategies.
Ram has doubled down on plans for an EREV pickup after canceling its all-electric Ram model.
The 2027 Nissan Rogue will feature the company’s e-Power system—an EREV setup—when it launches in the U.S. next year.
Volkswagen-backed Scout Motors plans to include EREVs in its lineup, noting that those models have already received “considerably more” deposits than its BEVs.
What they’re saying: “EREVs could help smooth the transition from ICE vehicles to BEVs by serving as a bridge technology for consumers as charging technology continues to improve and BEVs become more cost-competitive around the world,” noted a McKinsey & Company report. “Car buyers who are hesitant to buy an EV could be tempted by EREVs, provided that manufacturers can clearly articulate the benefits of the technology.”
Bottom line: EREVs could play a pivotal role in long-term, mainstream EV adoption. But to fully capture the opportunity, automakers will need to do more than educate consumers—they’ll also need to speed time to market and streamline supply chains.
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