Why EV Cars and Similar Breakthroughs Dip After Early Adopters-- And How To Reverse that Trend
Despite high expectations, the uptake of electric vehicles (EVs) in 2023 fell short. Many were surprised by this trend, but if we peel back the layers, the signs were there. EVs are far from obsolete, yet the journey to widespread adoption has encountered significant roadblocks. It's a concerning fact that EVs now fall into the category of innovations that don't meet initial expectations—about 80%, to be precise.
Despite high expectations, the uptake of electric vehicles (EVs) in 2023 fell short. Many were surprised by this trend, but if we peel back the layers, the signs were there. EVs are far from obsolete, yet the journey to widespread adoption has encountered significant roadblocks. It's a concerning fact that EVs now fall into the category of innovations that don't meet initial expectations—about 80%, to be precise.
Beyond Price and Practicality
Why the hesitation? Most analysts will point to the cost—EVs and their charging requirements are expensive. They'll mention depreciation concerns or the hassle of finding charging stations. True, these factors play a role, but they're just part of the story.
Innovation isn’t just about solving for cost and convenience. At Third Angle, we delve deeper, using tools like the NEWCO Map™ (Networked Economy of Working Capital and Opportunities) to explore overlooked dimensions of economic and social behavior that are critical when introducing novel technologies.
Introducing the Right Arc of Innovation
After three decades of guiding companies through innovation, I’ve pinpointed a commonly missed element: the Right Arc of Innovation. This involves the human aspects—mindsets, cultural habits, and the foundational values that define our interactions and decisions. Successfully innovating means engaging with these human elements just as rigorously as we do with the technical and financial aspects (the Left Arc).
Here’s the kicker: Both arcs must evolve in tandem. From the inception of an idea to its full market adoption, these two arcs should influence each other, ensuring that the innovation is holistic and grounded in human reality.
Practical Steps for Fostering Successful Innovation
How do we turn this around? Here are three strategies to enhance innovation success:
- Transition Technologies: Take Toyota’s approach with hybrid vehicles as a model. By combining gasoline and electric power, they provided consumers a familiar yet progressive option, easing the transition towards fully electric cars.
- Design Support Ecosystems: Instead of isolating EVs as a standalone solution, we need to develop supporting infrastructures just as robust as those for gasoline vehicles. This includes everything from charging stations to specialized roadside assistance.
- Networked Partnerships: No single industry can build these ecosystems alone. The situation calls for collaborative efforts across sectors to create accessible, practical, and affordable solutions.
Forward-Looking Strategies
In my upcoming book, The Power of Hidden Treasures: How to Break Through Growth Barriers, I explore these themes further. You’ll discover how bridging the Left and Right Arcs of Innovation can uncover viable ideas and turn them into successful realities, ultimately benefiting businesses and communities alike.
Stay tuned: More insights are on the way, offering new perspectives on how businesses can not only adapt but thrive in the face of innovation challenges.
