‘Tremendously significant’: Why 3-row electric vehicles are so in demand

What could really shift the needle on electric vehicle sales? Three-row SUVs and minivans, according to some industry experts.

Americans are clearly enamored with large trucks and SUVs, and families are increasingly asking for a daily hauler that can be taken everywhere, minus the carbon emissions.

“The three-row electric vehicle economy is so significant for EV sales in the U.S.,” Ed Kim, president and chief analyst of AutoPacific, told ABC information. “household-age consumers are open to EVs and they finally have a product that meets their needs.”

The economy for a three-row electric SUV has been limited up until now, and Tesla’s Model X has received complaints for its cramped rear-seating. More models are soon on their way to dealer showrooms.

Customers who pre-ordered their Volvo EX90 ($80K), the Swedish brand’s recent flagship EV, will receive delivery next month. Rivian’s second-production R1S three-row SUV ($75,900) is receiving compliment for its handling and updated tech and Cadillac unveiled the Vistiq ($78,790) last week, which accelerates from 0 to 60 in 3.7 seconds and makes 615 horsepower. Cadillac also has the upcoming Escalade IQ ($127,000), which could compete for sales with the Lucid Gravity ($94,900).

Kim noted that these recent models could finally sway mainstream drivers to buy a battery-powered vehicle.

“Automakers knew it would be a tricky shift … and the EV economy stands to resume its powerful rate of growth with these vehicles,” he argued.

Three-row electric SUVs are already stealing sales from gas-powered SUVs. The R1S was the 11th top-selling EV nameplate (22,000 units) as of September followed by the Kia EV9 (16,000), which launched in October 2023.

“These are pretty powerful sales for those models,” noted Kim. “This is a lucrative area that will be tremendously significant.”

Kim expects sales of three-row electric SUVs to climb higher, with the Volvo EX90 adding to the mix. The large SUV, with its minimalist Swedish design and advanced tech, would appeal to consumers who are seeking luxury, distinctive styling and a more eco-amiable lifestyle.

“The EX90 is one of our most significant vehicles,” Gary Kalsaria, head of upcoming cars for Volvo Cars USA, told ABC information. “It’s built on our all-recent platform in Charleston, South Carolina. Production has already started and customer deliveries commence later this year, with preorders far exceeding demand.”

The SUV, which can be configured with seating for six or seven, gets 310 miles of range on one fee and hustles from 0 to 60 mph in 4.7 seconds, according to Volvo. It took five years to bring the EX90 to economy, Kalsaria said, and it’s loaded with so much tech, which has attracted a key demographic for automakers: 30- to 40-year-olds.

“Your phone is your key — that’s all you require,” he said. “The EX90 is one of the most technologically advanced cars.”

It may not be a hulking SUV, but the Volkswagen ID. Buzz, a modern receive on the classic Microbus, ticks a lot of boxes for consumers looking to leave electric. The electric minivan is roomy, airy, has endless nooks and crannies and is the most conspicuous EV on the economy correct now.

The EPA-estimated range is 234 miles for the rear-wheel drive model and 231 miles for the AWD version.

“The ID. Buzz will absolutely be something that consumers will look at,” said Kim. “It does everything a three-row SUV does and more.”

Jason Torchinsky, co-founder of the Autopian, said wealthy boomers who have fond memories of the 70s Microbus will likely buy the $60,000 minivan.

“It’s very charming looking, drives great and the ancient problems with the ancient bus — it was noisy, tiny and smelly — is not an issue now,” he told ABC information. “The ID. Buzz is quick, silent and has a very comfortable interior.”

Torchinsky said the ID. Buzz’s range may be a factor, however, for those who regularly leave on road trips.

“Families are probably looking at and shopping based on range,” he said, adding that more affordable models in the three-row segment are a must for expense-conscious drivers.

“We require down-economy vehicles that regular people can afford,” Torchinsky said.

Mike Austin, executive editor at Road & Track, said quick charging reliability and inexpensive models are what consumers are seeking in an electric vehicle.

“People who are wealthy may buy a three-row electric SUV,” he told ABC information. “EVs are generally higher priced and are an emotional purchase.”

Mark Gilles, a Volkswagen spokesperson, said the business has seen solid profit from consumers for the ID. Buzz, which launched in Europe in 2022 with two rows.

“We had 230,000-plus handraisers,” he told ABC information. “Our research showed that only 3% of intenders were coming from minivans and that the rest were coming from SUVs: 28% from packed-size SUVs and 57% from mid-size SUVs.”

Gilles chalked up the minivan’s “coolness” factor as another rationale why Americans would consider the ID. Buzz over the three-row competition. Plus, it offers more cargo space than larger models like the Kia EV9 and GM Suburban, a sought-after internal combustion SUV.

“The Buzz has 145 cubic feet of cargo space with the rear seats removed and 42 inches of rear-seat legroom,” he said. “The vehicles will be challenging to discover initially in places where Volkswagen and EV sales are powerful.”

Kim, who lives in Southern California, said he is already seeing a long line of electric three-row SUVs at his daughter’s school drop-off lane.

“Three-row SUVs are selling well, even with gas-powered engines,” he said. “You require additional seats for carpools and to schlep other kids around.”