Recent analysis from Auto Trader has identified a notable gap in retention rates between electric vehicles (EVs) and internal combustion engine (ICE) vehicles within franchise networks. The findings, which have been shared with OEM leadership teams, underline a growing challenge as EVs continue to increase their share of overall vehicle sales. Despite their rising importance, EVs are currently underperforming in terms of customer retention. Data shows that average franchise retention for 3–5-year-old EVs has fallen to 36%, compared to 54% for petrol vehicles. In some cases, retention rates are even lower, with certain brands seeing figures drop to as little as 25%. The analysis indicates that EV buyers are currently around half as loyal as their ICE counterparts. However, the issue extends beyond customer loyalty alone. Vehicles that leave the franchise network are being marketed at lower price points, with EVs priced on average 4.27% below those sold within franchise retailers. This equates to an average price difference of £4,041 per vehicle, contributing to downward pressure on residual values. While the underlying causes are complex and multifaceted, the data highlights the importance of addressing EV retention as part of a broader strategic response. As discussions with OEMs continue and businesses refine their approach to electrification, ensuring stronger retention outcomes will be critical to protecting both profitability and long-term customer relationships.