EV Adoption Study: Car Buyers More Likely to Get an EV if Neighbors Drive One

A recent report from Generation180, a national nonprofit organization focusing on clean energy, highlights a notable influence in buying an electric vehicle (EV): neighbors driving one.

According to TechXplore, the study, titled "Peer Influence and Electric Vehicle Adoption," conducted a comprehensive analysis of new EV retail registrations spanning five years. It revealed a discernible "neighborhood effect" in EV adoption trends.

Hot Spots and Cold Spots of EV Registrations

The report delves into geospatial analysis to identify "hot spots" of EV registrations in 2018 and 2022. These hot spots represent zip codes with higher EV registrations per capita, while "cold spots" indicate regions with fewer EV registrations.

Even in areas with slower-than-average growth in EV adoption, the study discovered clusters that suggested a neighborhood influence. The analysis utilized EV retail registration data sourced from S&P Global Mobility.

Stuart Gardner, the Program Director for Electrify Your Life at Generation180, commented on the findings, emphasizing the significance of individual influence in promoting clean energy practices like driving EVs. He noted that collective efforts in this regard can lead to substantial impacts.

This research stands out as one of the first instances of a wide-scale cluster analysis across key US markets to pinpoint zip codes experiencing robust EV registration rates per capita while factoring in the influence of neighborhood dynamics.

In the study period from 2018 to 2022, the report underscores a substantial peer effect on EV sales growth in 11 designated market areas (DMAs). All 11 DMAs displayed significant growth in EV registrations.

Some cities outpaced the national average growth rate considerably, such as Miami (571%), New York City (479%), Charlotte (476%), Philadelphia (426%), Austin (377%), and Los Angeles (357%).

Several cities saw growth rates below the national average, including Washington, DC (319%), Raleigh-Durham (316%), Atlanta (295%), Denver (253%), and Seattle (226%). The report supplements its quantitative analysis with qualitative insights from interviews with EV owners featured in 10 case studies.

These narratives shed light on the positive influence of peers, showcasing the benefits of choosing electric mobility for commuters, parents, and urban and suburban drivers, among others.

The Impact of Neighborhood Effect

While recognizing that elements such as income, education, age, and product accessibility may also influence an individual's choice to transition to an EV, the research places particular emphasis on the impact of the neighborhood effect.

Professor Kenneth Gillingham of Yale University highlighted the growing evidence suggesting that adopting clean energy practices can be influenced by observing such behaviors in one's community.

"This report is the latest to point to the role of a contagion effect of the good kind. Unlike a pandemic, this contagion can lead peers and neighbors to influence each other to adopt greener technologies," Gillingham said in a statement.