Based on the case facts about the trends about American customers, how do

you think consumers in India will evolve their purchasing criteria for EVs?

American customers of electric vehicles have followed certain trends which can
be seen mimicked across countries. Some of these trends are:

1. Range anxiety – Customers were worried that they would run out of charge
mid-trip or that they would not be able to perform a recharge quickly.
2. Environment-friendly – EVs run on electricity generated by coal-powered
plants. Consumers wondered whether EVs really reduce carbon emissions.
However others argued that electricity produced by these sources are
generated by lower-emitting processes and support domestic companies.
3. Depleting and costly fossil fuels and pollution – Consumers switched to EVs
only when they realized that fossil fuels are exhaustible and it became too
costly to run a ICE-powered vehicle. EVs became even more popular with
rising concerns for the environment.
4. Price of EV vehicles – According to a survey conducted in U.S. markets,
consumers are less likely to buy PHEVs with the increase in cost premium.
EVs are generally higher priced due to battery costs and infrastructure
investment.
5. Durability of Li-Ion batteries in cold or hot temperatures – Li-ion batteries
tend to get overheated in hot temperatures and EVs may face operational
difficulties in cold temperatures.
6. Customer segmentation by driving mission – Customers of EVs can be
segmented based on their driving mission. Eg. Driving around town,
delivery, commuting, driving by sales people.

Based on these trends, a consumer in India would change their purchasing

criteria in the following manner –

1. A consumer would expect a decent range with charging stations or battery

exchange stations. Availability of charging stations is also important.
2. The range of the EV would depend on the driving mission of the consumer
3. The cost of maintenance and running of EVs should be lower than a
conventional vehicle as they cost more than a ICE-powered vehicle.
4. Consumers would expect performance and personalization of the vehicle as
they are paying a premium over a conventional ICE-powered vehicle.
5. Consumers would prefer their EV to look different from a conventional
vehicle as they want to be recognized as environment-friendly
6. The battery of EVs should not lose their useful capacity after some years
and there should be a guarantee from the company regarding this.
7. Users would also expect home charging options which would improve
usability
8. Performance-related expectations like fuel economy, low noise and
vibration are common purchase criteria.
9. Tax credits and other incentives from government as seen in other
countries would be expected by Indian consumers as well.