August 10, 2023 | Executive Briefing
Brief gen1 
Consumer attitudes toward electric vehicles are changing fast—and the automotive retail industry must innovate to keep up. Our weekly digest of insights explores this topic and more.
Sustainable and inclusive growth: Briefing note #58, August 10, 2023
Electric vehicles (EVs) are growing in popularity among car buyers, but these consumers are also becoming more discerning. They expect a far more personalized, flexible, innovative, and transparent purchasing experience, compared with traditional car buyers. This week, McKinsey analyzes the changing preferences of today’s EV buyer—and what it means for automotive retailers. Elsewhere, a separate article explores the development of methane-reducing feed supplements and other decarbonization technologies in agriculture.
Changing consumer sentiment toward electrification is shaking up the automotive retail industry. As the general skepticism about EVs declines, an increasing number of people are considering buying battery electric and plug-in hybrid electric vehicles, according to McKinsey’s latest Future of Auto Retail consumer survey. Consumers’ expectations for these vehicles are evolving, too, with a deeper focus on innovation and convenience. McKinsey partner Thomas Furcher and coauthors analyze the trends and current pain points in the EV-buying process.
As the agriculture industry advances on its sustainability and decarbonization goals, new products to reduce methane emissions are seeing early adoption across some countries. One such product is Bovaer, a feed additive that has saved approximately 40000 metric tons of CO2 equivalent over the past eight months, according to Mark van Nieuwland, the company’s vice president. McKinsey partner Joshua Katz speaks with van Nieuwland about the agriculture industry’s methane emissions pledges—and the new decarbonization opportunities on the horizon.
Here are other recent notable findings from McKinsey research:
• Two new McKinsey Explainers published this week put the spotlight on different aspects of sustainable, inclusive growth. The first examines the rise of the gig economy—and the economic trends causing this workforce shift, while the second delves into the concept of financial inclusion and why it matters.
• McKinsey senior partner Martin Linder and coauthors examine the market for battery energy storage systems and key growth considerations for players.
• In the latest annual McKinsey Global Survey on the current state of AI, McKinsey senior partners Alex Singla, Alexander Sukharevsky, Lareina Yee, and colleagues explore generative AI’s disruptive effects across industries and business functions.
• In the latest edition of The Quarterly Interview: Provocations to Ponder, economist and tech historian W. Brian Arthur talks about the different skills and mindsets that businesses need to adapt to a world of continued uncertainty.
In the latest Author Talks, Zeynep Ton, professor of the Practice at the MIT Sloan School of Management and president and cofounder of the Good Jobs Institute, discusses her new book The Case for Good Jobs: How Great Companies Bring Dignity, Pay, and Meaning to Everyone’s Work (Harvard Business Review Press, June 2023). The author examines how targeted job strategies can improve performance, productivity, and profit.
McKinsey strives to create inclusive growth through collaborations with clients and local communities. By preparing students for the jobs of tomorrow, propelling wealth creation for working families, and supporting racial equity, McKinsey is helping to build an economy that works for everyone. To learn more about McKinsey’s efforts to create an inclusive economy, visit McKinsey.com.
This briefing note, based on McKinsey’s latest published insights, was prepared by Arshiya Khullar, an editor in McKinsey’s Gurugram office.
