EV-only car searches rise 60%, Tier-2 cities emerge as India’s next electric growth engine: CarDekho

EV-only car searches rise 60%, Tier-2 cities emerge as India’s next electric growth engine: CarDekho

CarDekho said EV research activity in Tier-2 and smaller cities is growing nearly three times faster than in Tier-1 cities.

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EV trend appears to be strongest outside India’s largest metropolitan marketsEV trend appears to be strongest outside India’s largest metropolitan markets
Business Today Desk
  • Jun 30, 2026,
  • Updated Jun 30, 2026 1:21 PM IST

India’s electric vehicle (EV) market may be entering a new phase of consumer adoption, with a growing number of buyers researching only electric cars while interest in conventional internal combustion engine (ICE) vehicles declines.

According to consumer insights released by CarDekho, the number of users researching only EVs on its platform increased 60% between May 2025 and May 2026. In contrast, users researching only ICE vehicles fell 14% during the same period, signalling a gradual shift in buyer preferences toward electric mobility.

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MUST READ | Delhi EV policy 2026: Should you buy these premium electric SUVs & MPVs under ₹30 lakh?

The trend appears to be strongest outside India’s largest metropolitan markets. CarDekho said EV research activity in Tier-2 and smaller cities is growing nearly three times faster than in Tier-1 cities. Bhubaneswar recorded the highest year-on-year growth in EV research at 84%, followed by Gurugram at 75% and Jaipur at 72%. Cities such as Agra, Patna and Ludhiana also registered more than 50% growth in EV-related searches despite many of these markets still developing charging infrastructure.

The data also indicates that consumer preferences are shifting towards larger electric vehicles. SUVs accounted for 82.5% of total EV consideration on the platform, while hatchbacks represented around 11%. The trend reflects increasing consumer preference for premium electric vehicles that offer more space, features and performance, mirroring the growing pipeline of electric SUVs being introduced by automakers in India.

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Running costs are also emerging as a key factor influencing purchase decisions. Searches related to EV mileage calculations surged 242% in May 2026, suggesting prospective buyers are increasingly evaluating ownership economics rather than merely exploring electric vehicles as a new technology.

CarDekho’s data further showed that periods of elevated fuel prices significantly boosted EV purchase intent. Enquiries related to buying electric vehicles increased 51% during phases of higher fuel prices and remained 38% above normal levels even after prices stabilised, indicating that interest in EVs is becoming more structural than cyclical.

MUST READ | Delhi EV policy approved: Road tax exempted for cars up to ₹30 lakh; ₹50,000 subsidies for EV buyers

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The findings come at a time when India’s EV ecosystem is expanding through new model launches, wider charging infrastructure and evolving government support for electric mobility. While the data reflects online consumer behaviour rather than actual vehicle sales, it suggests that EV consideration is becoming broader, more geographically diverse and increasingly driven by long-term ownership costs rather than early-adopter enthusiasm alone.

India’s electric vehicle (EV) market may be entering a new phase of consumer adoption, with a growing number of buyers researching only electric cars while interest in conventional internal combustion engine (ICE) vehicles declines.

According to consumer insights released by CarDekho, the number of users researching only EVs on its platform increased 60% between May 2025 and May 2026. In contrast, users researching only ICE vehicles fell 14% during the same period, signalling a gradual shift in buyer preferences toward electric mobility.

Advertisement

MUST READ | Delhi EV policy 2026: Should you buy these premium electric SUVs & MPVs under ₹30 lakh?

The trend appears to be strongest outside India’s largest metropolitan markets. CarDekho said EV research activity in Tier-2 and smaller cities is growing nearly three times faster than in Tier-1 cities. Bhubaneswar recorded the highest year-on-year growth in EV research at 84%, followed by Gurugram at 75% and Jaipur at 72%. Cities such as Agra, Patna and Ludhiana also registered more than 50% growth in EV-related searches despite many of these markets still developing charging infrastructure.

The data also indicates that consumer preferences are shifting towards larger electric vehicles. SUVs accounted for 82.5% of total EV consideration on the platform, while hatchbacks represented around 11%. The trend reflects increasing consumer preference for premium electric vehicles that offer more space, features and performance, mirroring the growing pipeline of electric SUVs being introduced by automakers in India.

Advertisement

DON'T MISS | Delhi EV Policy 2026 Explained: What's changing for car, bike and auto buyers

Running costs are also emerging as a key factor influencing purchase decisions. Searches related to EV mileage calculations surged 242% in May 2026, suggesting prospective buyers are increasingly evaluating ownership economics rather than merely exploring electric vehicles as a new technology.

CarDekho’s data further showed that periods of elevated fuel prices significantly boosted EV purchase intent. Enquiries related to buying electric vehicles increased 51% during phases of higher fuel prices and remained 38% above normal levels even after prices stabilised, indicating that interest in EVs is becoming more structural than cyclical.

MUST READ | Delhi EV policy approved: Road tax exempted for cars up to ₹30 lakh; ₹50,000 subsidies for EV buyers

Advertisement

The findings come at a time when India’s EV ecosystem is expanding through new model launches, wider charging infrastructure and evolving government support for electric mobility. While the data reflects online consumer behaviour rather than actual vehicle sales, it suggests that EV consideration is becoming broader, more geographically diverse and increasingly driven by long-term ownership costs rather than early-adopter enthusiasm alone.

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