EV Insider by Recurrent

The EV Bridge That Rural America Needs with Christopher Singleton

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0:00 | 14:11

Can EVs work in rural Texas? Christopher Singleton says yes, but only if dealers get the strategy right.

Christopher Singleton, Managing Partner at Mike Terry Auto Group, oversees four dealership locations across central and east Texas—markets where diesel trucks dominate, charging infrastructure is sparse, and shoppers prioritize reliability over technology. In this conversation, Christopher shares how his team is navigating the EV transition in communities where the use case has to be proven, not assumed.

What we cover:

Why most of buyers end up purchasing something different than they planned, and how that creates EV opportunities

The myth of range anxiety: Why Christopher changed his mind after personally owning EVs

Why hybrid technology may be the smarter near-term strategy for rural dealers (hint: it's about service margins)

How to match inventory to local demographics: income levels + infrastructure = success

Why education (not pressure) is the key to converting skeptical shoppers

Christopher brings a refreshingly honest, business-focused perspective to EV adoption. He's not anti-EV, but he's meeting his rural customers where they are. 

🔗 Learn more about Recurrent: https://www.recurrentauto.com

SPEAKER_02

I think that it'll help service before it hurts them. And what I mean by that is if lineups go fully electric, I think there'll be some people that'll be keeping their gasoline engine vehicles for a longer period of time, which means it's gonna require more service. So I think it's gonna be like a bit of the slingshot effect. The old guys are like I'm gasoline till the day that I die. I think that they're actually going to hold on to their vehicles longer, and then we're gonna notice an increase in service before we notice a decrease.

SPEAKER_00

Welcome to Eevee Insider by Recurrent, where we make it easier to buy and sell electric cars by giving you access to leaders from across the industry. Let's get started.

SPEAKER_01

So uh let's start out with your name, your role, your dealership, a little about your dealership group.

SPEAKER_02

My name is Christopher Singleton. I'm the managing partner here at Mike Terry Chevrolet. Mike Terry has two Chevrolet stores, a Ford store, and also a Nissan store. I've been here about three years. I was the chief operations officer over the entire group. And then about a year, just over a year ago, I uh took on the role and bought into one of the stores as the managing partner. So now I'm on the the ownership side and I'm getting to get to see a different side of the business.

SPEAKER_01

And where you guys are serving, you you serve uh uh eastern central Texas, right? Like what are your markets like?

SPEAKER_02

Yeah, so it's Rafiro, which is near Corpus Christi, and also uh close to the Houston markets, which is Silsby, and then also Mehaya, which is just uh north of Dallas, or just about an hour and a half outside of Dallas.

SPEAKER_01

Okay, so that's like a a big chunk of the state then. I mean, I know Texas is a big state, but you guys are kind of all over, so you're seeing different regions within the state.

SPEAKER_02

Yeah, central, north, and and and south Texas. Okay, cool.

SPEAKER_01

Okay, so um a lot of our viewers, you know, uh will hear Texas and they'll think diesel trucks, you know. So what's the EV market like in your area?

SPEAKER_02

Well, we're primarily in rural markets, so uh the EV market in our particular area is uh it's it's a bit parsimonious to say the least. Uh we are the manufacturer has has mandated some some uh EV compliance and and we're definitely staying compliant. I think that it especially in our areas, the infrastructure isn't uh it isn't analogous with what the manufacturer would like us to sell. And so we're we're still hitting our necessary benchmarks, but I don't think that the infrastructure is quite there, at least not in in our particular areas of Texas.

SPEAKER_01

But you do sell some, so uh, you know, so I'm curious like like what kinds of people are buying an electric car or a plug-in hybrid from you? Like, are there certain segments or demographics that you think it works better with, um, even with even given today's infrastructure?

SPEAKER_02

Yeah, I think that uh selling EV really comes down to the education of the consumer. Um when people think EV, they can get nervous, scared. So I think it starts with educating your consumer on how long the technology has actually been around. Uh Toyota actually pioneered some technology in the in the mid-1990s. Uh so some some of these uh some of this EV technology is is nearly as old as as some of the consumers who who are purchasing it. Um so I think educating the consumer is is super important when it comes to uh selling EVs, and I think selling to people from all genres of life, the manufacturer has helped by putting considerable rebates, lease payments, and trying to make it as as attractive as possible, even with there being tier tear bumps with certain credit tiers. So uh sometimes when people just want to get a car, they're just happy to get a car. Uh if you have some EVs, there's a there's a little bit more flexibility and latitude when it comes to securing approval with them. So I think that that actually helps in introducing some people to the EV market for sure.

SPEAKER_01

Hmm. Okay. And what percentage of your the people that eventually buy an EV from you do you think walk in thinking, I'm going to buy an EV versus walk in without really a preference on fuel type and or sort of managing what the monthly payment is?

SPEAKER_02

Yeah, I think uh contrarily, most people come in uh looking for a different fuel type, in fact. And it's about the education showing the customer the the EV, have you uh considered an EV? Those are the things that that uh, you know, there's a statistic. I want to say it's 74% of consumers come in and purchase something different, whether it's EV or non-EV, they'll come in and purchase something different from what they and and initially intended on on purchasing. So I think if somebody just comes in and buys exactly what it is that they came in for, then it's kind of order taken. We are the experts in the automotive industry, not forcing anybody into anything, but essentially educating them. And when you go to a doctor, you don't say, well, let me get this type of medicine, that type of medicine. You go in there, you tell them their symptoms, your symptoms, and then they prescribe the appropriate medicine. And I think we're kind of doctors of autoology, if you will. Uh come in, tell us what your symptoms are, and we'll prescribe.

SPEAKER_01

So, what about like you personally and your sort of like educational journey on EVs? What's something that you believed about EVs two years ago that you don't believe now? It's like you've changed your mind on.

SPEAKER_02

Um I think one of the things is I immediately thought uh range anxiety uh was going to be such a prodigious factor in the in the purchase of it. But when you look at standard gasoline ranges, uh you do have to be a bit more judicious about things like trip planning and where things are. But if you're driving a vehicle around town and you have uh you know an EV system set up at your house, a charging port, uh, then it's really not much different from driving a gasoline engine. Uh because the standard range on vehicles, you'll get, you know, around 300 miles or so, and most EVs are equipped to go uh that or more uh nowadays as well. So it's similar to to me the way that uh and I've owned personally owned some EVs. So it's hey, drive around town, do whatever you want to do, just whenever you come home, you know, uh plug it up to the charger and then kind of forget about it. So there's there's an ease associated with it. It's not as cumbersome or as arduous as uh initially anticipated maybe a few years ago.

SPEAKER_01

Yeah. I think that there are an awful lot of people. I mean, over the next like five years, I think the main use case is gonna be people from the suburbs with a two-car garage that have one gas car and one EV, and they use the gas car for the longer trips and they use EV for the around town. And um, that just becomes the normal. Um feels like that's they're like more likely than like mass market going all electric, that to me anyway.

SPEAKER_02

Yeah, yeah, no, I I definitely agree. I I think uh I think that that's a great strategy if you have the financial means to to have uh one for each occasion, uh maybe even a convertible for the summers, uh, then then I think that's a great strategy.

SPEAKER_01

So there's a lot of things that we don't know about what happens next year. I mean, we're sort of we're post-eve tax credit now, so there's a lot of uncertainty in the market. But like, what are one or two things about uh EVs or plug-in hybrids that you think like this is definitely going to happen next year? And I can set my watch by it, that you can sort of set strategy for your dealership. If there are any.

SPEAKER_02

I'll say with the turbulence of not only the economic times that we live in, but also uh with the current administration, uh, you never know what tweak may go out, what uh what new bill may be passed. So I'm um I wouldn't bet on anything. Uh is I I want to I want to start by saying that. To me, market sentiment seems to be going away from EVs as opposed to towards the EVs, in large part because the EPA, the the initial regulations, some of those are easing. Uh consumer sentiment uh is easing, even the amount of EVs that are that are being built um are being uh you know that's that's being minimized a bit. You can look at Tesla slot stock, the value of Tesla. So I think that there's gonna be a little bit of a cooling, at least for a brief period of time, and I think we're gonna re- and readjust some of the EV strategies. Um one, we have to increase the the infrastructure for EVs, and two, I think we have to find a way to get back to really pushing the EV narrative. So they're not going away by any means, but I don't think that they're going as full force as maybe they were.

SPEAKER_01

So shifting over to um, you know, kind of like more around how your dealership is like what what makes your sales team um effective? Like have you felt like are there is there EV training or tools or resources that you that actually um you feel like are appropriate or uh for you know your region where maybe there is more skepticism initially around EVs? Like what's what's actually been effective for you?

SPEAKER_02

So we're more of a of a of recent to the to the EV certifications. General Motors is really good about putting out questions, uh certifications, uh mandatory trainings to ensure that we are fully equipped, even mandating some equipment like some EV chargers, some EV forklifts, uh you know, in order to ensure that we're not only equipped to sell the EVs, but also that the guys get the appropriate and adequate training. Um when they do vehicle launches, vehicle rollouts, uh if the guys want to get their you know money for their General Motors certification, then EV is becoming more and more uh prodigious in that. Uh and so that they're forcing uh that type of uh of education, mandating it into their standard curriculums and uh touch points with the with the dealers. And I think that that's that's effective because the more educated you are on it, then then the then the better uh you are. People don't realize that hey, this electric vehicle is gonna have a faster zero to sixty time and as much towing capacity uh as as your standard vehicle, maybe even more. Uh definitely a faster zero to sixty time, even more comfort because the the cabin is is a little bit quieter. So when you're able to educate the consumer on the capabilities, then you allow them just to be able to make the choice that works best for them.

SPEAKER_01

Uh you mentioned um, you know, GM anyway, and and Ford as well, um kind of recalibrating their EV lineups for next year and their their volumes. I mean, Ford, I think, like the announcement that came out pretty recently is they're changing over the F-150 Lightning to be, you know, have a medium-sized battery and then a uh gasoline generator in it. So sort of an extended range EV. Um, do you feel like those are good that that's gonna increase the the interest in your area? Absolutely.

SPEAKER_02

Thousand percent. Reason why is because people are afraid of uh I think general consumer sentiment, especially in some the older, the smaller towns can be a bit antiquated in their uh ideologies. And so as long as they know that they can drive up to the to the pump and put some gas in there, uh, then they then there's a bit of there's more safety, you know, in in their mind. That's that's a safer, that's a safer bed. That's something that they feel more most comfortable with. So I think stair stepping it and introducing uh consumers to uh a partial zero emission vehicle instead of fully zero or you know, introducing hybrid technology, which is kind of what Toyota did uh you know back in the day. They start off with with hybrids and gradually um you know went to the plug-in hybrids and then went to the to the you know fully electric vehicles. And so for the domestic manufacturers, I think following in that that that type of of trim, especially as the EV market cools a bit, allows you a way to introduce some electric technology uh without inundating them with.

SPEAKER_01

Yeah, I don't know if it's if you've if you guys have sold enough electric vehicles over the years to to notice any kind of an impact on the service department, but um like any sort of like th thoughts there on how it impacts service for you guys, if at all? Not right now.

SPEAKER_02

That's been a a looming question for me for sure is well, how will this you know eventually uh uh impact service? Uh I think that it'll help service before it hurts them. Uh and what I mean by that is some people if lineups go fully electric, I think there'll be some people that'll be keeping their gasoline engine vehicles for a longer period of time, which is which means it's gonna require more service. So I think it's gonna be like a bit of the slingshot effect where you know you're actually gonna increase service first, and then as electric vehicles become more and more prominent, then you may notice a a decrease in in service. But I think the the old guys are like, hey, let me let I want to I'm gasoline till the day that I die. Uh I think I think that that they're actually going to hold on to their vehicles longer, and and we're gonna notice an increase in service before we notice a decrease.

SPEAKER_01

That's interesting. Hmm. And that, yeah, with the with the numbers, with the new the sales numbers, you know, that I think we could reasonably expect over the next five years, that that basically is decades away by the time we got to the to the slower end of that slingshot. So, yeah, interesting.

SPEAKER_00

Thanks for joining this episode of Eevee Insider. Be sure to like, comment, and subscribe. And we will see you next time.