The electric vehicle industry has seen a massive boom in popularity in recent years. As the world finally becomes aware of the negative effects of hydrocarbon emissions, more and more EVs are being deployed on the roads around the globe.

According to the Edison Electric Institute, there are already over a million electric vehicles in the United States, and that number is projected to see an increase over time. With more charging stations popping up, range anxiety has become less of a threat to potential buyers. Others are ready to leave their existing gas-powered vehicles to save hundreds of dollars on the yearly cost of operation.

Combined with the fact that more carmakers are getting on board to go green and sell electric cars, it’s only time we see EVs taking over the entire automotive industry.

The reasons behind Tesla’s success

Today, the name “Tesla” is synonymous with electric vehicles, since it’s one of the first companies to take a shot in the EV business and manage to succeed in a short period with its clever business model.

Initially, Tesla Motors began its long and arduous journey with the Tesla Roadster, a high-performance electric sports car targeted to a very niche group of auto enthusiasts. However, it was never their intention to be a luxury sports carmaker but to manufacture a wide range of reasonably priced family EVs in the long term.

The man behind Tesla’s success, Elon Musk, started with a solid plan. His goal was to create the ultimate electric sports car that could outperform gasoline-powered counterparts from Ferrari and Porsche, while also being more efficient.

After the success of the Tesla Roadster, Musk shifted the company’s focus to build an affordable car for EV enthusiasts, and then use the money to make an even cheaper car for the masses. The rest is history, with the Tesla Model 3 becoming the first plug-in EV to sell one million units worldwide last year.

Tesla’s clean and simple design philosophy from the very beginning is also what made their cars appealing to the general consumer. Its car designs somewhat became a status symbol to many, even if it meant driving a less than attractive model from a competitor.

The flagship Tesla Model S, despite its minimal design, manages to look incredible. Not only does it garner plenty of attention when seen on the streets but its raw performance also encourages more people to go green. Where other EV manufacturers have failed to leave a mark, Tesla is slowly working towards digging up a big hole to bury the idea of fuel-powered vehicles once and for all.

Ways Tesla sets itself apart

Tesla is currently one of the biggest innovators in the automotive industry, but contrary to popular belief, it didn’t happen overnight. As we see it, there are at least three ways Tesla sets itself apart:

1. Tesla sells cars like a software product

When strictly speaking from a technological standpoint, owning a Tesla isn’t much about the performance or looks, but it’s the user experience that matters.

The fact that the tech giant provides over-the-air software updates to its EVs to improve the experience over time gives existing Tesla owners an unprecedented feeling. In contrast, models from traditional automakers remain the same for as long as you drive them.

When someone buys a Tesla car, they become part of a software platform that’s constantly evolving and improving the driver’s experience. It includes the vehicle’s power, battery life, real-time street visualization, auto lane change, self-driving mode, collision warnings, etc. Other niceties are about entertainment, such as watching movies, TV shows, and playing full-fledged games when the car is parked.

In general, such free updates are anything but cosmetic, but they add to a whole new experience for something as serious as a car.

2. Innovation in battery tech

The working principle of electric vehicles is simpler than internal combustion ones. Tesla uses a substantially lower number of parts per vehicle for its battery-powered engines, making them not only easier to assemble but also cheaper to manufacture.

Tesla’s prowess in battery technology will only go forward now that they are acquiring various battery manufacturing and engineering companies. This will allow them to enforce cutting-edge battery tech into their EVs without further increasing their overall cost.

While other carmakers have also recently followed suit, it will be quite some time until they catch up with Tesla Motors.

3. It cuts out the middleman approach

When you go to buy a car from a dealership, they are the ones walking you through the buying process and are responsible for fixing your car when something goes wrong. However, it hinders your relationship as a customer with the carmaker itself since most of your interaction would be with a salesperson of a third-party entity.

Tesla does away with the dealership system and makes buying their cars relatively straightforward. You go to their website, pick a model, pay the deposit, and set a schedule for pickup. In case of a problem, you directly contact Tesla to resolve it.

By eliminating the middleman, Tesla manages to keep in direct touch with its customers, which is how they have built such a strong brand loyalty in the first place.

How other companies can enter the EV market

Tesla is currently the king of electric vehicles, but it isn’t too late for traditional automakers to join the EV race. One of the ways they can gain a share of the growing market is to convert their existing gasoline-powered, classic cars to run on clean energy.

Although it’s easier said than done, it makes a lot of sense when you consider the cost and time that goes behind the research and development of an electric vehicle from the ground up. They already have the designs of their existing cars, so why not just reinvent them as EVs?

Ford has done it with its F-150 Lightning, which is based on the company’s best-selling F-150 pickup truck. It’s only time for the rest of the automotive industry to follow suit. Here’s more on reinventing classics concept from Compare the Market.

Another way carmakers can attract potential EV buyers is by offering SUVs over sedans, given the ever-increasing popularity of the former in recent years. Families often prefer spacious cars, and SUVs just happen to meet their requirements.

Since there aren’t many affordable electric SUVs like the Tesla Model Y, it leaves a perfect opportunity for other companies to sweep some share in the EV market.

Conclusion

The rise of mainstream electric vehicles shows a great prospect in the automotive world, probably the biggest one after the introduction of Ford’s first mass-produced, gasoline-powered automobiles at the beginning of the 20th century.

It also opens up the opportunity for modern redesigns of classic cars, which is something established automakers have already managed to show this year. Hopefully, we will see more of them adopting to the EV industry in the next few years and so on.