Electric Vehicles

Increased confidence from car dealers on EVs

The National Franchised Dealers Association (NFDA)'s biannual survey examining the relationship between franchised dealerships and manufacturers has seen an increase in confidence around electric vehicles (EV).
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James Evison

The National Franchised Dealers Association (NFDA)’s biannual survey examining the relationship between franchised dealerships and manufacturers has seen an increase in confidence around electric vehicles (EV).

The trade association’s survey from its Winter 2025 edition, taken in January and February 2025, included responses from 2,204 sites across 31 franchised networks, equating to a response rate of 61.3%.

Total New Vehicle Margin saw its first increase in rating over recent surveys, potentially signalling an improved optimism across the dealer network.

Future EV/PHEV range has also entered into the ‘top 5’ ratings, showing dealer confidence in new EV products beginning to improve.

The total margin on new EV and Hybrid sales compared with petrol or diesel new car sales saw a large improvement from a 5.2 to a 6.4, and while remaining one of the lowest scoring sections, there is a clear shift to more positivity around EVs.

But the survey did add that overall profit and EV margin, while not decreasing, continued to score low, potentially showing wider concerns for overall return on capital ratings.

In terms of manufacturer ratings, Kia came top with an average of 9.3 out of 10 and Ford came bottom with 4.0 out of 10. Citroen and Peugeot were the most improved with an increase of 3.4 and 2.1 points respectively. Citroen had previously been the lowest-rated manufacturer in the last edition.

The Winter 2025 edition of the survey saw improvements across all areas, with every question showing an improvement.

Paul Philpott, President and CEO of Kia UK, said:

“This is a truly exceptional result and one we couldn’t be prouder to achieve. We have said that dealers are at the core of our business, so it’s particularly noteworthy that they agree and have now rated Kia the best brand for the fifth consecutive NFDA survey.

“With numerous challenges facing our industry, we are incredibly proud of our dealer partners whose proactive approach has ensured Kia continues to lead the industry. Together, we have just achieved a record-breaking Q1 and best-ever month in March, with our latest fully electric model, the Kia EV3, becoming the UK’s best-selling retail-market EV in Q1.

“We would like to express a heartfelt thank you to all our dealer partners for their commitment to Kia and the hard work they put into the brand’s success every day.”

Sue Robinson, Chief Executive of NFDA, said: 

“The Winter 2025 NFDA Dealer Attitude offers an in-depth look at the evolving relationship between manufacturers and franchised dealerships, shedding light on both advancements and persistent challenges.

“This edition of the survey shows increases in all areas. There has clearly been significant progress with EVs, but challenges remain. The survey reveals a trend of how EV related questions improved the most, but the relative scoring remains stubbornly low compared to other areas.”

Image from Shutterstock

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