Are Drivers Ready to Rent EVs?

The J.D. Power North America Rental Car Study sheds light on trends and challenges within the industry. As rental companies adopt electric vehicles (EVs), understanding the dynamics of customer engagement and infrastructure support becomes critical.

Adoption Hurdles EVs Face in the Rental Industry: Familiarity

Despite the push for electrification, rental car companies face several obstacles in integrating EVs into their fleets. Among the most prominent challenges is customer education. On average, 34% of Rental Car Study survey respondents report having "never been in" an EV. Without first-hand experience in an EV, customers are hesitant to rent one. 

Comfort

Concerns about comfort are also top of mind for customers, despite the driving experience of an electric vehicle generally being considered to be smoother and quieter than that of a gasoline-powered car. Electric vehicles have instant torque and accelerate quickly, resulting in a more responsive and enjoyable driving experience. Additionally, electric vehicles produce zero emissions, which can result in a cleaner and more pleasant driving experience.

Range Anxiety

One of the major barriers to consumer EV adoption in the rental car market is concern about long-distance travel, or “range anxiety.” Many renters worry about limited charging infrastructure and whether they can complete their journeys without frequent stops or delays. These worries often stem from misconceptions about the availability and speed of charging stations. An extensive network of public charging stations is being developed, making it easier than ever to charge on the go.

Benefits of EV Rental Options

Transitioning to electric vehicles offers many rental benefits, including:

• Reduced fuel and maintenance costs
• EVs produce no tailpipe emissions and have a lower overall environmental impact than gasoline-powered cars
• Electricity used to power electric vehicles can come from renewable sources, further reducing their environmental impact
• Many regions offer tax credits and incentives, making the initial investment in EVs more affordable

What Can Be Done?

To improve the EV rental experience, companies can implement best practices such as clear communication on charging procedures, real-time charging station information, and partnerships with reliable charging networks. These processes will help establish trust and familiarity with EVs, creating a smoother transition to electric mobility.

As the shift toward electric vehicles accelerates, rental car companies must prioritize customer education and seamless charging solutions to stay competitive. The 2024 North America J.D. Power Rental Car Study provides crucial insights to guide these efforts, offering data-driven strategies to enhance customer experience and drive EV adoption. Study results will publish on October 9^th. 

Never miss a study release: Sign up for the latest Travel Insights today >>