EV Maintenance Low Cost Is the Real Reason Dealers Talk You Out of EVs

The reality of electric vehicle ownership is that maintenance costs are not the problem for you—they are a significant problem for your dealer. New-car margins are notoriously thin (often just 5–7% of the sale price), so the real money comes from the “fixed ops” side of the house (parts and service), where gross margins often live in the 45–55% range. The EV maintenance low cost fundamentally disrupts this core business model.

When you pay for an oil change, a coolant flush, or a brake job on a gas car, you’re feeding the profit engine that provides the stable revenue dealerships rely on. Take away that stack of required internal combustion engine (ICE) maintenance visits, and the entire financial structure begins to wobble.

Here is a breakdown of the math and why your dealer isn’t rooting for EVs.

The Financial Engine: Fixed Ops vs. Sales

Contrary to popular belief, new vehicle sales are the lowest-margin activity at a dealership. Fixed operations—service, parts, and body shop work—are the primary source of stable net profit.

Revenue Stream	Average Gross Margin	Role in Dealership
New Vehicle Sales (Variable Ops)	5%–7%	Drives volume and brings customers in the door.
Service & Parts (Fixed Ops)	45%–55%	The primary source of stable, dependable net profit.

A loyal gas-car owner becomes an annuity, returning every 5,000–7,500 miles for mark-up on parts and labor. This steady revenue stream is what allows a dealership to cover its overhead costs, a metric known as “service absorption.”

What EV Owners Actually Spend

Real-world data consistently confirms the EV maintenance low cost reality. Over the life of a vehicle, EV owners spend about half as much on maintenance and repairs as gas-car owners.

Consumer Reports/Argonne Lab: Real-world data shows EVs are about 40% cheaper per mile to maintain than comparable gas cars.
AAA Data: Tracked average maintenance for new EVs at about 8.12 cents per mile in 2023—the lowest of any vehicle category.

For you, the driver, the maintenance list shrinks to a boring lineup: tires, cabin filter, brake fluid checks, and general inspections. There is no timing belt, no exhaust system, no spark plugs, and regenerative braking dramatically extends the life of brake pads.

Why Your Dealer Isn’t Rooting for EVs

The picture is clear: your EV doesn’t hurt the dealer on the initial sale, but it hurts them because the lucrative after-sales service revenue shrinks significantly.

ICE Model: High-margin parts and labor are baked into the 5,000-mile service interval schedule.
EV Model: Less service, less money, and less opportunity for the service department to “find” something else that needs attention.

This financial incentive directly shapes the story you hear. Concerns about battery replacement or resale value for EVs get plenty of airtime, while the boring, consistent math of the EV maintenance low cost gets a softer sell. Buyers should treat EV advice from a showroom as they treat finance offers: assume there is a strong house edge.

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