New study shows that consumers across Southeast Asia continue to show high enthusiasm to own an electrified vehicle. The enthusiasm is largely driven by a growing need to create a more sustainable future.
37% of the surveyed car drivers state they would certainly consider an electrified vehicle as their next car purchase within the next three years. Respondents from Indonesia, the Philippines and Thailand show the most eager purchase consideration for an electrified vehicle.
The second edition of the Nissan-commissioned study by Frost & Sullivan, titled “The Future of Electrified Vehicles in Southeast Asia” was released today during “Nissan FUTURES – Electrification and Beyond”, a virtual gathering of industry leaders, government officials and media.
Consumer research in Thailand, the Philippines, Indonesia, Malaysia, Vietnam and Singapore reveals that nearly two-thirds (64%) of respondents across Southeast Asia say they are more willing to consider an electrified vehicle than they were five years ago. 66% of consumers across the region believe they will inevitably adopt electrified mobility as part of their lives in the near future.
Isao Sekiguchi, regional vice president for Nissan in ASEAN, said: “We are encouraged by the fact that consumers in ASEAN see electrified mobility as a viable means to support them in being more environmentally friendly, and to help reduce the stress on our megacities.”
Speaking at the event, Sekiguchi added: “As the pioneer in electrified mobility, Nissan is delivering on its commitment to making electrified mobility more accessible to more people. We have already introduced electrified vehicles to Singapore, Malaysia, Thailand and Indonesia, as well as to Hong Kong. And Thailand is the first country outside Japan to produce e-POWER, Nissan’s unique technology that provided the excitement of driving an electric vehicle, but without the need to charge. Today, I’m proud to announce that we will also bring the Note e-POWER to Singapore and Hong Kong within the coming months.”
Contribution to a greener future
The study also unveils growing environmental awareness across Southeast Asia, with respondents believing that their adoption of an electrified vehicle would undoubtedly contribute to environmental protection. In 2020, 38% of respondents can be classified as ‘environmentalists’, compared to 34% in a similar research in 2018. This group of consumers is driven by strong environmental awareness and climate change concerns. They view electrified vehicle use as a way to do their bit for the environment.
81% of study respondents mentioned that their choice would be significantly influenced by different power sources. This care for the environment was found to be most important to consumers in the Philippines and Thailand.
Barriers for adoption reduced
The fear of running out of power before arriving at the charging station (48%) continues to be the most significant barrier in the adoption of an electrified vehicle. However, the perception of the respondents towards barriers to purchase electrified vehicles has significantly improved as compared to three years ago, demonstrating an increased enthusiasm for electrified vehicles across the region.
“Our findings show that consumers generally value the overall driving experience of an electrified vehicle, given their innovative and high-technology features matched with high performance engines. Over time, increased environmental awareness, lower maintenance costs for an electrified vehicle coupled with tax incentives and improved public and private charging facilities will be key motivators for consumers to possibly switch to electrified vehicles, and purchasing one in the near future,” noted Vivek Vaidya, Associate Partner and Senior Vice-President, Mobility, Asia-Pacific at Frost & Sullivan.
In line with the 2018 findings, over three-quarters of the recent study respondents (77%) indicate that tax benefits and installation of charging stations at residential buildings (75%) are the top-2 incentives for them to switch to an electrified vehicle. This demonstrates the ongoing need for car manufacturers, policy makers and private parties to collaborate to spur the adoption of electrified mobility.