Modeling the households’ satisfaction level with the first electric vehicle and the time until the purchase of the second electric vehicle

Abstract

This paper addresses the interaction between the household level of usage satisfaction of the first EV and the intention to buy a second EV. Random parameters ordered probit models are formulated to provide insights into this interaction. Estimation results show households with EVs that are loaded with safety and convenience features and who have experienced running cost savings with the usage of the first EV are more likely to be satisfied with their first EV. Furthermore, the influence of both various charging methods and EV characteristics on the household satisfaction level is significant. Time until the purchase of a second EV turned out to be influenced in part by the households’ level of usage satisfaction/dissatisfaction with the first EV and the extent of utilization. Households who are very satisfied with their first EV are more likely to select a shorter time duration to purchase a second EV. Moreover, the majority (87.89%) of households that use the first EV more frequently are more likely to select a shorter duration to buy a second EV. While EVs with shorter (less than 200 km) driving ranges are likely to force households to delay the purchase of a second EV. Households that intend to buy a “new” second EV are more likely to delay the purchase decision and select a longer time duration as part of a waiting strategy to acquire a second EV with higher performance. The EV brand turned out to influence the time duration to the purchase of a second EV.

Keywords:

• Adoption of second electric vehicle
• electric vehicle satisfaction level
• heterogeneity in means and variances
• household’s first electric vehicle
• random parameters ordered probit model

Acknowledgments

The authors would like to acknowledge both the Editors and three anonymous referees for their insightful comments and constructive suggestions, which have improved the quality of the paper significantly.

Disclosure statement

The authors confirm that no conflict of interest exists.