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A newly released study of the US EV market exposes some dismal flaws in the Tesla marketing plan. Consumers just don’t trust Tesla anymore.
The Electric Vehicle Intelligence Report (EVIR) into US EV sales was built in April from over 8,000 consumer responses. The report was designed to provide a clearer view of what US consumers today think about EVs.
The EVIR is a market research and consumer sentiment tool and aims to offer stakeholders insights rooted in how real people feel about the EV landscape. EV purchase intent these days seems driven primarily by practical considerations such as gas cost savings, convenience of home charging, reliability, and government incentives.
Climate and environmental impact also rank high, while EV styling, impressiveness, and community perception rank — aka social signaling — rank low as motivations. Range anxiety and charging availability remain the top barriers for consumers considering EVs.
Weighted by education, race, gender, age, income, and geography, the US consumers who participated in the EVIR confirmed that some myths about EVs continue to prevail. It also pointed to positive changes within the automotive industry as it adds all-electric models to catalogs.
Of all the stats, it is the US consumer perception of Tesla — particularly that folks just don’t trust Tesla anymore — which is especially revealing.
What is Influencing Tesla Brand Perceptions?
Tesla’s brand image and reputation have soured. This applies not only to consumer purchase intent but also to the feeling that no longer is the brand safe, family-friendly, or trustworthy. A significant portion of the EV consumer and potential consumer base is feeling alienated from the Tesla brand, with negative perceptions growing faster than positive perceptions. Key metrics have fallen into worrisome territory.
In fact, Tesla ranks lowest in trust among the EVIR brands tested.
Yet, despite losing sales year over year for two years in a row, Tesla is still far and away the king of the US EV market. In fact, Ford is now at the point where it “just” needs to grow its EV sales 5.7 times over in order to catch Tesla in EV sales.
Where is the disconnect between US consumer perception and Tesla sales?
If US consumers trust domestically-made products, then Tesla should score much higher than it did on the EVIR study. American University’s Kogod School of Business lists Tesla as the car maker with the most domestically sourced components on average in their 2024 Made in America Auto Index, at 81%. Cars.com lists three Tesla models in the top 12 lineup for its American-Made Index in 2024.
Could the dip in confidence to trust Tesla have its roots in promises made but not kept?
As our intrepid CleanTechnica colleague, Tina Casey has reported, CEO Elon Musk built up the Tesla brand into an attractive allure for investors with goodies like FSD, the Cybertruck, robotaxis, the Semi Class 8 heavy duty truck, and a 50% EV sales increase every year. “All of these have been delayed, fallen short of expectations, or fallen way short of expectations,” Casey explains, “without anyone seriously questioning Musk’s judgment.”
Until now. Musk’s judgment is under lots of current scrutiny.
January 2025 research from JW Surety Bonds determined that one out of four US consumers “avoid Tesla’s technology due to their opinions on Elon Musk.” A quarter of the US public then wouldn’t consider Telsa, the contemporary forerunner of all-electric vehicles, because of Musk’s mercurial attitudes and right-wing actions. That was before the entire DOGE debacle became apparent. If that same research study were to be repeated, it stands to reason that Musk-Tesla effect would be oh-so-much-more worse.
Can Tesla turn around? Tesla adherents who had planned for years to upgrade from an existing Tesla to a newer one seem to be set in a holding pattern due to enormous Tesla model depreciation. Was it just a year ago that Tesla maintained an impressive 87% brand retention rate?
With all the malaise over the Tesla brand, you’d think that the Tesla board of directors would want him gone. Yet chair Robyn Denholm insists that a recent Wall Street Journal report claiming that Tesla began a March search for a new CEO is false.
Which Automakers are Surging Ahead with Consumer-Friendly EVs?
While Tesla’s stocks and sales plummeted early in 2025, consumers are still showing robust interest in other types of EVs, which as we know are less expensive to maintain than internal combustion engine-powered vehicles.
Honda, Chevrolet, and BMW are well-positioned with consumers looking for family-friendly, practical EVs. These are the brands that are viewed most favorably among mainstream consumers. They’re expected to accrue the most benefits from Tesla’s stumbles. Among EV owners, BMW replaces Chevrolet in the top three for safety.
Can Honda capitalize? Honda leads consumer EV perceptions in brand positivity, trust, safety, and family-friendliness; however, their individual models lag this chart-topping performance in terms of purchase intent and market share. Will they find a way to translate a winning brand into real sales?
Honda and Nissan are trusted and enjoy strong favorability, yet they rank near the bottom in terms of luxury perception. Audi, which is considered a premium brand, recently confirmed its plans to launch a new, entry-level electric vehicle similar in size to the ICE-powered Audi A3. That could elevate Audi’s status in the consumer-friendly market.
Will another dedicated EV manufacturer break out? Lucid, Rivian, and VinFast remain relatively unknown, although they do experience a higher familiarity quotient among higher-income cohorts. Porsche enjoys the highest “luxury perception” among consumers, followed by BMW and Cadillac.
Porsche is among the least “family-friendly” EV brands, alongside VinFast.
Electric car manufacturers aside, the EVIR authors wonder why Lucid, Rivian, and VinFast are still struggling for wider consumer recognition. Can any of them break out into the wider market, or will they be crowded out by major multinationals?
Are EVs commoditizing? As practical measures such as cost and range overtake style, technology, and other value-based factors in consumer consideration of EV purchases, will EVs become commoditized in the wider automotive market, or will they remain a distinct market category with their own consumer base?
What is the Electric Vehicle Intelligence Report? The Electric Vehicle Intelligence Report tracks actionable insights on consumer attitudes, trends, perceptions across the evolving US EV landscape. Its research is proprietary and intended to deliver real-time insights into how people are thinking about the future of driving. Its authors hope to uncover the truths behind what’s powering or stalling the EV transition.
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