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<H1>New Research on Electric Cars Suggests Eager Drivers</H1>
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<DIV class=blog_entry_date>January 14, 2011 at 4:20<SPAN>PM</SPAN> by Jim
Motavalli | <SPAN class=comment_count_4875322><A
href="http://www.thedailygreen.com/living-green/blogs/cars-transportation/research-on-electric-cars-ibm#comments">Comment</A></SPAN>
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<P><IMG class=image_id__707664 title="ibm's electric car survey"
alt="ibm's electric car survey"
src="http://www.thedailygreen.com/cm/thedailygreen/images/ibmEV_Survey_Chart_Motivators_REV2b.jpg"
width=400 height=297></P>
<P> </P>
<P><EM>IBM's survey finds widely differing opinions among drivers and auto
executives. (IBM graphic)</EM></P>
<P>Will the fossil fuel era essentially be over by 2020, at which point electric
cars will attain market supremacy? The crystal ball is pretty cloudy on that
point, but IBM's Institute for Business Value (IBV) <A
href="http://www-03.ibm.com/press/us/en/pressrelease/33359.wss">is the latest
prognosticator to weigh in on the issue</A>. And although IBM's report sees some
bumps in the road, it also sees smoother sailing than many other analyses.</P>
<P>IBM actually conducted two studies: In addition to polling 1,716 auto owners,
it also talked to 123 auto executives who should know what they're talking about
(but may not when it comes to electrification).</P>
<P><IMG class=image_id__707666
title="think city: 100 miles of range on batteries" alt="think city"
src="http://www.thedailygreen.com/cm/thedailygreen/images/detroit2011thinkcity.JPG"
width=400 height=300></P>
<P><EM>The Think City, captured at the new factory in Indiana, offers 100 miles
of range. (Jim Motavalli photo)</EM></P>
<P>According to the IBM survey, a fifth of American consumers (19 percent) are
either "very likely" or "likely" to consider an electric-only car for their next
purchase. And in a break from <A
href="http://www.thedailygreen.com/living-green/blogs/cars-transportation/electric-car-facts-461210">other
data</A>, 30 percent said they would consider buying an EV that gets only 100
miles per charge (the basic standard). And 30 percent said they'd actually be
willing to live with <EM>less</EM> than 100 miles. In some earlier surveys,
consumers said they'd expect their plug-in to offer 350 miles of range.</P>
<P>For instance, <A
href="http://www.gizmag.com/electric-vehicle-survey-reveals-consumer-preferences/17418/">a
ZPryme Research and Consulting survey from earlier this month</A> went into the
weeds with the "very" or "somewhat likely" to buy an EV crowd and found 33.7
percent saying that 400 miles "would be a sufficient range," and 33.3 percent
"willing to settle for 300 miles." That's a fantasy for pure EVs, though plug-in
hybrids and standard hybrids regularly pull in that kind of range. </P>
<P>More than 32 percent also expected their car to recharge in four hours (at
the optimistic end of the 240-volt home charger spectrum) and only 20 percent
would want to wait eight hours. In an encouraging note for 480-volt fast
charging (capable of nearly filling up an EV in 20 minutes), 87.4 percent said
they'd pay a premium to charge their car faster. Nearly everyone, 93.2 percent,
thinks that at-home charging (a universal option for EVs) is "very
important."</P>
<P>Here's a good statistic: 40 percent said they'd pay up to 20 percent more for
an electric car (27 percent of them would pay only 10 percent more). That <A
href="http://www.annarbor.com/business-review/university-of-michigan-study-electric-vehicles-cost-is-main-factor-for-consumers/">compares
to a University of Michigan survey</A> reporting from 2009 that said 46 percent
would consider a $2,500 premiun on a plug-in hybrid, with the number dropping
for a $5,000 premium (30 percent) and even farther for a $10,000 additional
charge (14 percent).</P>
<P>I talked to Kal Gyimesi, the auto leader at IBM's IBV, and he said his
company's survey reveals that there is "a large, addressable market of consumers
for EVs." By addressable he means they can and should be reached with more
information. Although 55 percent said they had "a lot of knowledge" about
electric cars, 45 percent said they had little or no information -- a nicely
targeted public information effort wouldn't be wasted.</P>
<P>"When we got into buying criteria, there was some divergencies of answers
between the auto executives (who put more emphasis on price) and consumers (who
care most about charging and range)," Gyimesi said. That indicates that the
Chevy Volt, at $41,000, could be a bigger hit than most people realize. Auto
execs also don't think that consumers buy cars just because they're green, but
actually 48 percent of drivers in the survey said exactly that -- a car's green
attributes are an important buying consideration for them.</P>
<P>Gyimesi said the IBV survey is encouraging to this new product category, the
<A
href="http://www.thedailygreen.com/environmental-news/latest/new-electric-cars-460210">electric
car</A>. Some 80 percent of respondents say they have access to a garage or
driveway, which is very helpful in home charging.</P>
<P>What people say in surveys doesn't always get confirmed on the showroom
floor. And as the cars head to the dealerships this year, we'll see what
consumers actually do when they have to make hard choices. Will the green in
their wallets trump the green in the environment? Stay
tuned.</P></DIV><BR><BR>Read more: <A style="COLOR: #003399"
href="http://www.thedailygreen.com/living-green/blogs/cars-transportation/research-on-electric-cars-ibm#ixzz1BByWUpqL">http://www.thedailygreen.com/living-green/blogs/cars-transportation/research-on-electric-cars-ibm#ixzz1BByWUpqL</A></DIV></FONT></DIV></BODY></HTML>