Here Come the Family EVs

America’s de facto family hauler—the large, three-row SUV—is finally going electric.

Car companies are planning to roll out a slew of seven-seater electric SUVs, with some, such as the Kia EV9 and Volvo EX90, expected in showrooms in coming months. Today there are scant electric options in the large-SUV category, which has become the people-mover of choice for U.S. families.

Auto executives say introducing larger plug-in SUVs will broaden the appeal of EV ownership to a new pool of buyers. Many car shoppers—especially parents who shuttle children around town—have bypassed electrics because they haven’t had the option for a larger vehicle with a third row of seating and more cargo space.

“For a lot of people, that third row is the No. 1 reason for purchase,” says Jess Bala, director of global product planning at General Motors ’ Cadillac brand, which is scheduled to reveal an electric Escalade IQ large SUV in August. “Those are often younger buyers who already are more interested in EVs.”

Other car brands that have confirmed large electric SUVs in the works include Hyundai, Ford and Toyota.

There was just one large, seven-seat electric SUV on sale in the U.S. for model years 2022 and 2023, according to research firm J.D. Power: Mercedes-Benz’s EQS, priced at about $105,000. A few plug-in SUVs that J.D. Power categorizes as midsize also have a third row, including Rivian’s R1S and Tesla’s Model X. 

Meanwhile, there were 22 small or compact electric SUVs for sale, the firm said. Many automakers targeted their earliest EV efforts at compact SUVs—the largest U.S. vehicle category—and pickup trucks, because they have traditionally been big moneymakers. Seven-seat SUVs are a logical next step because of their popularity, analysts say. 

Through June, the top three EV sellers in the U.S. were Tesla’s Model Y, a midsize SUV that offers a snug, optional third row; Tesla’s Model 3, a compact sedan; and GM’s Chevrolet Bolt, a small hatchback. 

Buyers of those EVs tend to be early adopters—predominantly male—who are attracted by new technology. As automakers roll out bigger, family-oriented electrics, they have the chance to draw more female buyers, executives said.

For example, Kia expects women to account for about half the buyers of the EV9, a futuristic-looking three-row SUV set to go on sale in the fourth quarter. Kia’s EV6 customer base—a midsize SUV that competes directly with Tesla’s Model Y—is 75% men.

“We’re getting interest from people who have never thought about buying an EV, because they see that it still fits their lifestyle,” said Kia’s U.S. marketing chief, Russell Wager. “It’s got the spaciousness and towing capability to get out of town, to take it camping.”

Automakers, which are investing heavily to develop and produce new EV models, need to broaden interest in electrics as they roll out new entries. EVs account for roughly 7% of new-vehicle sales in the U.S. 

Larger offerings could help. SUVs that fit seven or eight people have surged in popularity over the past two decades, largely displacing the minivan as the family car. Some popular models include the Toyota Highlander, Ford Explorer and Chevrolet Tahoe.

Sales of midsize and large SUVs—most of which offer three rows of seating—have grown steadily, to 26% of U.S. vehicle sales this year through May, from 21% from the same period in 2018, according to data from research site Edmunds.  

The pending influx of larger electric vehicles looms amid signs of some softness in the EV market. EV leader Tesla and other carmakers have cut prices on popular electric models in recent months. While electric sales are growing faster than the broader car market, the pace of growth eased in the first half of the year.

The rollout of bigger SUVs also will represent a test of Americans’ readiness to go electric with vehicles that are more likely to be used for road trips, where finding available charging stations can be a logistical challenge and lengthen travel times. 

“I think there will be a lot of skepticism among consumers about how suitable a family EV will be for a road trip,” said Ed Kim, president of automotive-research firm AutoPacific. 

Many of the larger SUVs headed to market are expected to have driving ranges of at least 300 miles on a single charge. Kia’s Wager said that is an important psychological number to help buyers get past range anxiety.

April Conyers is more concerned about the vehicle’s size than its range, after having a baby late last year. She and her husband own a smaller Volvo EV, but things have gotten a little snug with the second-row car seat. They recently put down a deposit on a Volvo EX90, a three-row electric scheduled to go on sale next year.

“We’ve run into some practical space issues that we hadn’t really thought about,” said Conyers, a 41-year-old communications consultant. “The electric cars that are offered today aren’t very big.”

Auto executives say the interior space on the three-row EVs will be a selling point because in many cases they will be roomier than comparable gas-powered versions. That is partly because of the mechanical layout: no engine under the hood allows for a large front trunk, often called a frunk, which adds storage space.

“That extra cargo space we think is one of the biggest benefits these buyers will uncover,” Cadillac’s Bala said.  

John Patterson, a car dealer with Hyundai, Kia and Mazda stores in Southern California, said EV sales have been brisk, and he is eager to offer more choices.  

“I think we’re going to see a good amount of 28-to-45-year-old women” coming in to buy the Kia EV9, he said.

Write to Mike Colias at [email protected]