Maine auto dealer Adam Lee believes the rapid adoption of cellphones occurred because they filled a void for consumers.
Stellantis is hoping for a similarly robust buy-in from customers to help meet its goal of having electrified vehicles account for more than 40 percent of U.S. sales by 2030.
But Lee doesn’t see the same need for plug-in vehicles as there was for phones, so he’s skeptical that the automaker can hit its target.
“We didn’t realize how convenient it would be to have a phone, which is like your computer in your pocket,” Lee, chairman of Lee Auto Malls group, told Automotive News. “Well, we have cars. It’s not like we don’t have cars and suddenly they invented the electric car.”
Stellantis CEO Carlos Tavares said the global response to EVs will be influenced by regulations and that public opinion could shift as people become more sensitive to climate change and how to fix it. Tavares said training dealerships on how to sell electric vehicles in the years ahead will be important to the automaker reaching its EV sales target, but retailers such as Lee aren’t sure they can get there.
Lee, who has two Stellantis stores, believes in the technology and has been a Tesla owner for seven years. Long term, he said, people will see the benefits of battery-electric vehicles, in particular, because of lower operating costs. No engine means no oil changes or other related upkeep, and electricity generally is less expensive than gasoline.
He just doesn’t think the market is ready to tip as heavily toward electrification as Stellantis is aiming for. It’s a steep slope, he said, made more difficult by the fact that the former Fiat Chrysler Automobiles is known for its Jeep crossovers and Ram trucks, not low-emissions vehicles.
Scott Ritter, general manager of Planet Chrysler-Dodge-Jeep-Ram in Miami, shared Lee’s skepticism.
“It is not realistic,” Ritter said. “Obviously, there is a lot of attention on the subject and all of the OEMs want to seem on board and proactive, but EVs have their own practical and environmental challenges.”
Stellantis said it plans to invest more than $35 billion through 2025 in electrification and software to help reach its goal. The company plans to have four EV platforms that support driving ranges from 300 to 500 miles.
Tavares said Jeep will lead the company’s EV charge in the U.S.
The Wrangler 4xe is selling quickly, only lasting on dealership lots for about five days on average. Jeep said dealers have placed enough orders to fill the entire model year’s production.
The model soon will be joined by a plug-in variant of the redesigned Grand Cherokee, and the brand is promising zero-emission 4xe variants in every utility-vehicle segment by 2025.
Although Lee isn’t convinced Stellantis can hit its mark, he’s happy to see the company and other automakers set bold agendas.
“I’m glad to see all the manufacturers have these incredibly ambitious objectives,” Lee said. “I think almost every one of them is really aspirational. In most cases, I think it’s wishful thinking. That’s OK. Sometimes what’s necessary for progress is to do a little wishful thinking, and sometimes that comes through.”
Doug Wilson, who owns Collierville Chrysler-Dodge-Jeep-Ram in Tennessee, doesn’t think Stellantis is overreaching with its U.S. EV goal.
The probability of success boils down to affordability and performance, he said, calling the Wrangler 4xe “hot as a pistol” because of its capability. And he expects the electric Ram 1500 to be a worthy addition as long as it fits into the lifestyle of truck owners who often haul heavy loads and tow boats and campers.
He’s confident the country’s network of charging stations will continue to develop as Stellantis launches more electrified models.
“There’s a very small portion of the people that are so concerned about global warming that they are going to change their own habits, and change their own mode of transportation,” Wilson said.
“For the vast majority of people, it’s going to come down to economics. If it’s more economical to operate a vehicle that’s electrically powered, versus ICE-powered, then they’ll instinctively go for that,” he added. “Ten or 15 years ago, it would have been inconceivable that Chevy would be selling a four-cylinder full-size truck, but they are, and the customer doesn’t really care as long as it performs and does what it’s supposed to do.”
Steve Wolf, dealer principal at Helfman Dodge-Chrysler-Jeep-Ram in Houston, believes Stellantis’ EV goal actually “might be a little conservative.” He wasn’t sure how consumers would respond to the Wrangler 4xe, but it turned out to be fun to drive and is selling well, he said.
Wolf converted some loyal customers to the Wrangler 4xe when their Grand Cherokee lease was up. The couple was thinking about buying another Wrangler but wanted to explore electrified options. They didn’t seem to be aware of the 4xe, so Wolf encouraged them to check it out. They ordered one and now love it, he said.
Wolf expects electrified vehicle technology to continue making gains over the next decade and said cost of ownership will be significantly reduced by 2030.
“Where were we nine years ago with electric cars? Look at the progress all the manufacturers — look what Ford’s done, look what Audi’s done, look what Chevrolet and GM [have] done, especially with Hummer coming,” Wolf said.
“The ship is sailing, and it’s coming, so be prepared, and you better have that competitive technology, you better have the range and the safety and you better have it well thought out because it’s going to be a battle, but it’s going to be fun.”