Nissan Leaf Electric-Car Sales Slump: What's Happening Here? Page 2
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"You have to be an electric-car person to buy a Leaf at this stage--and we did a poor job of educating dealers how to market the car, and who to market to."
So now Nissan encourages dealers to participate in electric-car groups, environmental causes, and other local activities where likely electric-car buyers may be found.
"You need to be included in these kinds of events," Nissan is telling its dealers, Castignetti said, among "this audience, the green community."
"That's our biggest challenge."
(3) Increased competition in California
A third factor that may be slowing Nissan Leaf sales is the loss of its unique status in California as the sole affordable car granted permission to travel in High Occupancy Vehicle lanes with just a single occupant.
Last year at this time, the electric Leaf was the only new car to qualify for a white zero-emission vehicle HOV-lane sticker in California (aside from the $109,000 Tesla Roadster and a handful of natural-gas Honda Civics).
This year, both an updated 2012 Chevrolet Volt and the new 2012 Toyota Prius Plug-In Hybrid qualify for HOV access, under a new green-sticker program for vehicles that can operate solely on electricity for part of the time.
The Volt eliminates concerns about limited electric range, and the plug-in Prius has both the name recognition and reputation for reliability of the standard hybrid Toyota Prius. Each is a formidable competitor to the Leaf.
And with California having cut its clean-car purchase rebate from $5,000 to $2,500 as more electric cars are sold, the check sent to every Leaf owner after buying is smaller--raising the Leaf's effective cost.
So what now?
Castignetti--befitting his role as a sales VP--remains highly optimistic about the long-term prospects for the Leaf.
It's a question, he said, of focusing on the long-term sales strategy versus short-term results this year.
And, he said, the Leaf is bringing buyers into dealerships that have never before bought a Nissan car--the coveted "conquest" buyers from other makes.
He also noted that Nissan's dealers are excited about being able to sell the only affordable battery electric car built in the States next year, once Leaf production at the Tennessee plant starts in December.
"With the uncertainty about gas prices in the industry, and China, India using more and more," he said, "how long can gas stay at $3.20 or $3.50 a gallon?"
"It can't. Everyone knows it can't."
Prius history as model
"We're betting long-term that the Leaf will be a nice car to have in the stable" for that inevitability, he said. "This will become an amazingly popular platform."
Castignetti ended the interview on an up note. "I was at Toyota [in 2000] when it launched the original Prius," he said.
He's been through the early ups and downs of launching an entirely new type of cars--hybrids, in that case--and he's well aware of how successful the Prius brand is today, 13 years later.
"Sixty percent of Leaf buyers are coming out of a Prius," he noted. "If I could get even 10 percent of Prius buyers into a Leaf ... that would be huge."
What do you think? Do Castignetti's explanations hold up? Or are there other issues with Nissan Leaf sales in the U.S. as well?
Leave us your thoughts in the Comments below.
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Have an opinion?
it seems to be the biggest complaint by far.
http://gas2.org/2009/12/01/with-new-battery-nissan-plans-to-double-ev-range-by-2015/
Doubling the range would go along way in making the car more mainstream, but I do believe price is still the main issue. Too bad there is an obvious trade off between these two problems.
range, whatever the issue, applies to all evs.
if nissan has even hinted at changing that, it would almost definitely curtail sales to a large degree.
another question - if one is driving in cold or hot climates with a battery that does not have thermal management, and therefore probably needs to be charged more often - does that also mean that the life of the battery is also reduced ?
Leather seats and a better heater, the geezer is clearly in lala land.
With corporate BS like that Nissan have not got a hope capturing hearts and minds.
Your typical Leaf buyer will be a well educated professional to "tempt" them as if they were some mindless Kardashian worshipper is arrant nonsense.
Castignetti needs to start looking for ago on Jersey Shore.
http://www.mynissanleaf.com/viewtopic.php?f=31&t=11829
Nissan took the expensive rare earth's out of the motor's magnets (makes it cheaper) - pretty staggering really when you consider the 2013's are 100lbs lighter. Lease only thank you very much...
showrooms. For Nissan and the Leaf's sake,I hope there are far brainier company folks thinking about the car's many problems.
1. Extreme conservatism of car-buyers. It took a decade for most drivers to become sufficiently familiar with and trusting of hybrids to consider buying one. Absent a compelling need such as 1970s-style fuel disruptions, that is likely for plug-ins, too.
2. The fossil-fuel-industry-fueled mainstream-media-and-Republican-party anti-environmentalism, making caring about climate change seem uncool for many, unnecessary for many more.
3. Too few have experienced the exceptional driving experience of an EV. Even word-of-mouth needs help as, despite invitations, few have driven my Volt since 2010.
A visit to the Chevy dealership was even worse.
I think Tesla wins, hands down, with their retail stores in malls. Everyone selling a Tesla will love Tesla, just like everyone who sells Apples loves Apple products. Excitement is contagious, and no other car company can generate this kind of excitement.
1. Price. (Still too high. Drop it to $29k before the rebates and it will sell like hot cakes).
2. Battery. (Warranty it and add better cooling)
3. Charger. (3.3KW is too slow. 6.6KW is needed for lower cost in public charging station and match Ford Focus EV).
With limiting range, Leaf would need a good support network in the public to sell well. Public charging is EXPENSIVE. Some of the SF Bay Area charging stations cost anywhere between $1/hr to $2.75/hr. That is too much. Leaf can only charge about 10-15 miles in range per hour with its 3.3KW charger. At those prices, a Prius or the Volt is cheaper to run.
The only way to get rid of all your remaining battery anxiety might be to lease though since I don't think capacity is going to be warranted any time soon.
In particular, in my opinion, the 2013 Leaf needs a faster (6.6 kWH) on-board charger and an active thermal management system (to keep the main batteries cool in the summer and warm in the winter).
These things, unfortunately, add cost to the vehicle. And a rising price tag puts the Leaf in firmer competition with so-called pricier EVs such as the Ford Focus Electric and BMW Active E.
Corrections to article:
1) New Mitsu Miev EV n Ford Focus EV are direct competitors to Leaf not mentioned in the article. These vehicles may not be immediately available to all Americans but some don't mind waiting another few months for them.
2) 2013 Leaf is also competing directly against its 2012 brother. As the article and some have stated on this post, the 2013 will be better so why not wait a little longer.
Comments to replies above:
1) The price is fine for the Leaf now...however, Nissan should not raise price till next gen Leaf...even though more features are being added. Cost of EVs to operate is far lower then non-evs so total costs of ownership will be lower over time.
3) Therefore range is the vital feature to improve. If Nissan were to manage to increase the range to 130 or higher, many more folks would purchase the 2013 Leaf. However, this is unlikely to be done for the 2013 MY.
Suggestions:
1. Nissan needs to focus on increasing the Leaf range to at least 120 by the 2014 MY.
2. One way to increase range is to offer a coupe Leaf having just two seats and small area under hatchback. That should shave off at least 500 lbs. Use composites and other lighter alloys to shave off another couple hundred pounds as well.
4. Offer meeting space inside dealerships for local Leaf clubs to meet once a month. These meetings could enlighten potential Leaf buyers as well as Nissan dealership staff.
5. Provide a once a month free EV charge at dealerhips for Leaf buyers.
6. Inform the driving public and especially those at Nissan dealerships viewing Leaf of the simple, better economics of the Leaf compared to conventional vehicles.
hmmm, with 600 LEAFs currently being sold each month, somebody better check their math..
It's an expensive "spare tire" to have sitting in the garage because of it's limited range..........just like the "doughnut spare" in many cars.
And I agree about the price/fuel equation. My 1998 mazda 626 finally died last month with 176000 miles on it. At 26mpg average, I used 6770 gallons of gas, and at an avg. price of $2.5 through those 14 years, I paid $16,925 in gas. The leaf at $0.026 per mile, will cost you $4600 for the same mileage. Sure, the batteries will need to be replaced; but in 8 years they will be much cheaper.
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