5.8.2022BEVs are 22% cheaper to service than fossil fuel cars
The average transaction value for servicing fully electric cars is currently around 22% less than an equivalent fossil fuel car, according to Fleet Assist, which has released servicing and maintenance trends based on its 2022 data.
The findings are based on the 850,000 fleet vehicles using the company's 5,200-strong franchised and independent garage network.
Much of the lower cost can be put down to reduced labour times, which are currently 33% shorter for BEVs than ICE cars. For example, the parts component of an BEV job is typically 28% cheaper than an ICE car due to them having fewer working parts, with brake wear far lower. Plus, when considering parts prices which have risen by around 10% in the past 12 months the BEV/ICE SMR cost gap widens further.
Fleet Assist’s SMR data shows that currently the most common BEV parts being replaced are pollen filters, bulbs, key fob batteries, wipers, and brake fluid.
But despite this evidence, it does not guarantee that BEV servicing prices will reduce dramatically as dealers look to raise SMR costs to retain their profitability.
A recent survey by The Motor Ombudsman confirmed that six in 10 garages expected to raise their prices in 2022 to remain profitable against the background of rising overheads. Indeed, dealers are starting to feel the pinch of reduced servicing revenues as drivers cover fewer miles, which coincides with a rapid rise in operating costs, particularly technician salaries.
“Fleet and retail drivers cannot take it for granted that BEV SMR prices will remain cheaper than ICE cars, as over time costs could become more comparable,” said Vincent St Claire, MD at Fleet Assist.
“Garages are already starting to come to terms with how EVs will impact their servicing revenues and workshop traffic in the longer term. We may see more garages looking at ways to address how the paradigm shift of BEV aftersales is going to challenge their service provision and fees they charge.”