According to an S&P Global study, owners of combustion-powered cars tend to keep them for longer and longer, unlike electric vehicles, despite their generally higher cost. There are very specific reasons for this contrast.
3 times as many changes for electric cars
S&P Global, a company specialising in economic analysis, has examined the length of time that vehicle owners have owned their vehicles. The survey reveals major disparities between internal combustion and electric cars, due to a number of identifiable factors. Conducted in the United States, where the car plays a central role in daily life, the study reveals that drivers are keeping their vehicles for longer than ever before – a particularly marked trend for internal combustion models. On average, a vehicle is kept for 12.5 years, a figure that rises to 13.6 years for personal cars, excluding vans.
With a fleet of more than 284 million vehicles, this represents an increase of more than three times on the previous year. S&P Global sees this as confirmation of its projections: the average lifespan of vehicles is increasing, due in particular to a slowdown in new car sales. This is the sixth consecutive year that the average age of vehicles has risen, reaching its highest level since the 2008-2009 crisis. At that time, falling demand had already led to an ageing fleet. In 2022, supply difficulties, coupled with a fall in demand against a backdrop of slowing inflation and falling interest rates, accentuated this phenomenon.
Sales of new vehicles then fell by 8% on the previous year, reaching their lowest level in over ten years, with 13.9 million units sold compared with 14.6 million in 2021.
More frequent changes for more affluent customers
Several factors explain this increased retention of combustion-powered cars. One of these is the perceived reliability of these models for long journeys. Many households keep at least one internal combustion car, even if it is driven less frequently, to ensure that they have unrestricted autonomy, particularly over long distances.
Price inflation, for both internal combustion and electric models, also plays a role. On the other hand, electric vehicles are generally replaced more quickly: their replacement cycle is estimated at 3.6 years. This frequent renewal is explained in particular by their higher purchase cost, which attracts customers with greater purchasing power who are prepared to change models regularly.
Finally, it’s worth pointing out that the electric vehicle market is in the throes of change. Every year, new, more efficient and innovative models arrive on the market, encouraging motorists to take the plunge. Brands such as Tesla and BYD are contributing to this craze. Once converted to electric power, the vast majority of drivers remain loyal to this type of engine.
This has to be BS. I don’t know a single person with a car over 7 years old. That includes young people in their early 20s.