40% Of Urban Indians Are Ready To Accept Alternative Fuel Cars: GfK Report

The Indian automotive landscape is undergoing a transformative shift, as highlighted in Growth from Knowledge (GfK). Nearly 40 per cent of urban Indian consumers express a desire to purchase alternative fuel cars.

“The report underscores the evolving expectations of surveyed urban Indian consumers, envisioning not only safer and more enjoyable driving experiences with in-vehicle technology but also expressing a burgeoning curiosity towards hybrid vehicles. This shift is propelled by factors such as advanced technology, fuel savings, environmental friendliness, low running costs (inclusive of tax benefits), extended driving range, established technology, and the accessibility of fast charger stations in local areas. These factors collectively contribute to the escalating inclination of individuals towards the purchase of electric vehicles (EVs).” said Ravi Arya, APAC Lead for Brand and Advertising at GfK.

While only 9 per cent of surveyed urban Indian consumers currently own alternative fuel vehicles, 40 per cent see themselves purchasing an alternative fuel passenger vehicle in the near future, signalling a potential paradigm shift towards more sustainable transportation options.

Electric vehicles have emerged as the most coveted alternative engine. For more than 55 per cent of respondents, electric vehicles stand out as the primary motivator for those considering the fuel type for their next purchase.

What fuel engine do you prefer for your next purchase?

29 per cent of surveyed consumers expressed interest in plug-in hybrid electric vehicles (PHEVs), while 25 per cent showed interest in fuel-cell electric vehicles (FCEVs). This data shows how consumer preferences are changing and how their enthusiasm for different alternative fuel vehicles is growing.

Nevertheless, a significant 58 per cent of respondents cited the lack of charging stations as a major concern, restraining them from choosing a fully electric car.

Additionally, 53 per cent were disinterested in EVs due to their perceived expense and extended charging times, with concerns about potential resale value also influencing purchasing decisions.

Concerns about the shorter driving range of Electric Vehicles (EVs) account for approximately 43 per cent of consumer decisions to refrain from buying them.

Although consumers in India would consider full electric vehicles if they can drive around 335km when fully charged and expect 8 hours to fully charge the battery, the report.

Another significant factor influencing 30 per cent of prospective buyers is their concerns about the durability, reliability, and overall quality of EVs.

In addition to these concerns, the report highlights the tangible impact of the current economic climate on purchase decisions, with nearly 50 per cent of surveyed urban Indian consumers indicating that prevailing economic conditions influence their considerations for a new car.