Tesla sales have dropped - is the BEV market starting to decline?

Tesla sales have dropped fairly drastically over the past 12 months.

The question is, is this a sign of fatigue in the BEV industry?

In the EU alone, Tesla's BEV sales have dropped by close to 50% in 12 months, from 137,071 sold to only 77,446. This is a big drop for one of the leading brands in the industry and on the face of it, could lead you to believe that customers aren't as interested in BEVs as they once were. Is this the case, or are there other factors at play?

Tesla may be having a tough time of it, but the same cannot be said for the market as a whole. Total sales of BEVs have grown by almost 200,000 units year-on-year and accounted for 15.6% of all newly registered vehicles, indicating that the market itself is growing at a strong rate. From being the big name in electric transport to now a bit part player, Tesla's decline is likely down to a few factors.

With this market dynamic, though, comes an opportunity for other BEV manufacturers to gain a bigger market share. And what's one thing that often rises when companies are looking to grow? That's right, hiring. With that in mind, let's have a look at what all of this could mean for recruitment in BEV manufacturers.

More companies, more jobs

The first factor is likely the first one that sprang to your mind; the change in market dynamics may create a rise in companies, or new electrified lines from existing car manufacturers, entering into the industry to grab a slice of the ever-growing pie. Despite high barriers to entry, the commitment from governments across Europe to developing infrastructure for EVs, along with the decline of a major player, makes it a very attractive, and potentially very profitable, proposition.

Additional companies will mean that there is increased competition for talent, and even an increased risk of your existing talent being poached. It would be worth looking into your benefits package in comparison with the rest of the market - if someone can earn a similar salary at many different companies, then their decision could come down to those extra perks.

Widening the talent pool?

With increased competition often follows increased demand for talent in the industry. And there is something of a skills shortage of BEV skills across the world anyway, so naturally, this could create a slight dilemma in the market. But there is a way forward to fill teams, and that's by widening the talent pool that you search in. Whilst BEV skills may not be prevalent, there are adjacent industries where people will have plenty of transferable skills to step into a vacant position. Think about looking into renewable energy or battery production for the skills you need.

There are also talent hotspots for battery production, with the biggest coming from outside of Europe. China is chock-full of talented people with the skills and knowledge to develop batteries for electric vehicles. If you want to stay clear of battling competitors for the signature of the best local talent, looking further afield could prove to be a smart choice. But be aware of the price tag associated with relocation packages!

Making your proposition undeniably attractive

Good candidates will have plenty of choice in this market. There is no shortage of companies that will be vying for their signature. To stand out from the competition, the proposition to market needs to be different and hard to turn down. This isn't about the compensation package; this is about the intangibles of a job offering that are appealing to the market. These can be elements of the role that are particularly unique, or it can be the mission that your company strives to achieve; these elements of a job offer can be important.

How do you get this across to candidates? Make it loud and clear in any job adverts that you publish in the market, as well as anywhere that interested people may look for more information (such as your website or social media pages). This is where content from your Marketing or People team could really come in handy, showcasing the great work environment and what your employees love about working at the company.

All in all, this is an exciting moment for the wider BEV market. The opportunity for growth is more apparent than ever before, and ensuring your recruitment strategy is on point could be crucial in achieving this growth.