Better Place Consumer Research Highlights - USA

13 July, 2009

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Electric vehicles: Assessing U.S. consumer demand Highlights of results from a multi-national consumer survey

We know Americans love their cars

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Image credits: http://www.flickr.com/photos/rberteig/1584456085/sizes/l/, http://www.flickr.com/photos/six27/245962932/sizes/l/, http://www.flickr.com/photos/joelpenner/568282077/sizes/o/, http://www.flickr.com/photos/phototram/410207404/, http://www.flickr.com/photos/givingkittensaway/73346572/sizes/l/, http://www.flickr.com/photos/moresheth/2980518875/sizes/l/, http://www.flickr.com/photos/astrocoz/23962788/sizes/o/, used under Creative Commons license; does not imply artists’ nor subjects’ endorsement of Better Place

We know Americans love their cars

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Image credits: http://www.flickr.com/photos/rberteig/1584456085/sizes/l/, http://www.flickr.com/photos/six27/245962932/sizes/l/, http://www.flickr.com/photos/joelpenner/568282077/sizes/o/, http://www.flickr.com/photos/phototram/410207404/, http://www.flickr.com/photos/givingkittensaway/73346572/sizes/l/, http://www.flickr.com/photos/moresheth/2980518875/sizes/l/, http://www.flickr.com/photos/astrocoz/23962788/sizes/o/, used under Creative Commons license; does not imply artists’ nor subjects’ endorsement of Better Place

We know Americans love their cars

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Image credits: http://www.flickr.com/photos/rberteig/1584456085/sizes/l/, http://www.flickr.com/photos/six27/245962932/sizes/l/, http://www.flickr.com/photos/joelpenner/568282077/sizes/o/, http://www.flickr.com/photos/phototram/410207404/, http://www.flickr.com/photos/givingkittensaway/73346572/sizes/l/, http://www.flickr.com/photos/moresheth/2980518875/sizes/l/, http://www.flickr.com/photos/astrocoz/23962788/sizes/o/, used under Creative Commons license; does not imply artists’ nor subjects’ endorsement of Better Place

We know Americans love their cars

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Image credits: http://www.flickr.com/photos/rberteig/1584456085/sizes/l/, http://www.flickr.com/photos/six27/245962932/sizes/l/, http://www.flickr.com/photos/joelpenner/568282077/sizes/o/, http://www.flickr.com/photos/phototram/410207404/, http://www.flickr.com/photos/givingkittensaway/73346572/sizes/l/, http://www.flickr.com/photos/moresheth/2980518875/sizes/l/, http://www.flickr.com/photos/astrocoz/23962788/sizes/o/, used under Creative Commons license; does not imply artists’ nor subjects’ endorsement of Better Place

But, these cars are the source of

critical challenges…

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But, these cars are the source of

critical challenges…

air pollution

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But, these cars are the source of

critical challenges…

air pollution

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climate change

But, these cars are the source of

critical challenges…

air pollution

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climate change

dependence on OIL

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We wanted to understand car buyers’ perspectives…

How concerned are Americans about these challenges?

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How concerned are Americans about these challenges?

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Are they willing to give up their gas cars?

How concerned are Americans about these challenges?

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Are they willing to give up their gas cars?

Are Americans ready to embrace electric cars?

To find some answers, we surveyed nearly 2,500 Americans…

Sample stratified on age, gender, and income to represent local markets; screened for their role in the decision to purchase their curent car or their expected role in the selection of their next car; Study conducted during March and April 2009, by IPSOS, the global leader in market research

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Image credit: http://www.flickr.com/photos/jamescridland/613445810/sizes/l/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

The findings may surprise you…

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How concerned are you personally about [air pollution, climate change]? (1 [not at all] to 7 [extremely concerned] scale); top 3 box used

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are personally concerned about our dependence on oil

compared to 63% who are concerned about terrorism.

How concerned are you personally about energy/oil dependence? (1 [not at all] to 7 [extremely concerned] scale); top 3 box used Image credit: istockphoto, 1397752

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Which of the following opportunities, if any, would you like the United States to be a leader in addressing?

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Which of the following would you want to see significantly improved compared to your current car the next time you purchase a car? (pick 3 from list that includes greater safety, reliability, maintenance costs, etc.)

Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

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Which of the following would you want to see significantly improved compared to your current car the next time you purchase a car? (pick 3 from list that includes greater safety, reliability, maintenance costs, etc.)

Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

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How interested would you be in test driving an electric car? (1 [not at all] to 7 [extremely interested] scale); top 3 box used

Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

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Which of these types of cars would you consider for your next purchase? (gas, hybrid, ev options available)

Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

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Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

How interested are you in purchasing an electric car for your next car? (1 [not at all] to 7 [extremely interested] scale); top 3 box used

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EV interest is broad-based…

…strong among men and women, across the age spectrum, and across income levels

Image credit: http://www.flickr.com/photos/aigarius/542611389/sizes/l/; Used under Creative Commons license; does not imply artists’ nor subjects’ endorsement of Better Place

Strong interest around the globe

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30%

35%

39%

40%

57%

United States

Canada**

Australia*

Denmark

Israel

* Sydney/Central Coast, Melbourne/Geelong, Brisbane/Gold Coast ** Greater Toronto area Image credit: ©google.com

How interested are you in purchasing an electric car as your next car? (1 [not at all] to 7 [extremely interested] scale); top 3 box used

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Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

They need assurance that… •  batteries are safe, environmentally friendly, reliable

•  charging is available, easy, fast

•  vehicles will meet their standards •  costs are reasonable

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Image credit: http://www.flickr.com/photos/fboyd/3214815323/sizes/o/; used under Creative Commons license; does not imply artists’ endorsement of Better Place

Summary: Americans ready for EVs

•  The majority of Americans are concerned about climate change, air pollution, and dependence on oil

•  There is a strong desire for the U.S. to provide leadership in the development of renewable energy

•  Americans’ top priority in their next car is better fuel efficiency and many are looking beyond gas-only cars

•  Nearly 1 in 3 are interested in an EV for their next car •  Interest is strong and widespread among all demographic groups

and driving patterns

•  There are many questions left to be answered but given the breadth of the interest… •  Demand could easily outpace initial supplies •  There will be significant opportunities for old and new companies to

capitalize

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Appendix

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Methodology

• Survey of 8,000 car owners in Israel, Denmark, U.S., Australia and Canada

• Participants screened for role in the decision to purchase their current car or expectation of having a significant role in their next car purchase decision

• Survey conducted online in March and April, 2009 by leading global market research company Ipsos

• U.S. study based on stratified sample of nearly 2,500 U.S. drivers, designed to represent driver population with respect to age, income, & gender

• Provided comparable descriptions of EVs, hybrids, gas-only cars

• Margin of error based on sample size +/- 2.5% (expected estimates for comparable samples should be within 2.5% points)

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