Raphael Stevens

At a time when the box office is starved for content and audiences seem pickier than ever, Fathom Events is posting record revenue gains.
The joint venture between AMC, Regal and Cinemark has been best known for bringing alternative content to the big screen in the form of classic Hollywood titles, live telecasts of theater and opera productions and concerts.
Its value proposition is twofold: It breathes new life into older films, and into theaters.

Still from 2009’s “Coraline.”
Focus Features | Universal

At a time when the box office is starved for content and audiences seem pickier than ever, Fathom Events is posting record revenue gains.
For 20 years, the joint venture between AMC, Regal and Cinemark has been best known for bringing alternative content to the big screen in the form of classic Hollywood titles, live telecasts of theater and opera productions, concerts and even television series.

Most recently, it ventured into the specialty distribution space to deliver “The Blind,” “The Chosen,” “Jesus Thirsts” and “Waitress: the Musical” to audiences. Still to come is “The Journey: A Music Special from Andrea Bocelli.”
In 2023, Fathom generated $100 million at the box office, a 116% increase over 2019 levels and its highest-grossing year ever. And that momentum has continued into 2024, as the company tallied $43 million in the first quarter, up nearly 140% compared to the $18 million it tallied in the year-earlier period.
Fathom’s relationships with Hollywood’s biggest studios and its cinematic reach — as the partnership of the industry’s three biggest theater chains — has made it a formidable force at the box office. Its value proposition is twofold: It breathes new life into older films, and into theaters.
“Falling mostly under the event film banner, anniversary titles have truly come into vogue seemingly more so now than in years past with a particular emphasis given to these beloved older films,” said Paul Dergarabedian, senior media analyst at Comscore. “These anniversary re-releases are a win-win, providing joy to movie fans and notably additional revenues to movie theaters often decades after initial theatrical run.”
In post-pandemic times, Fathom has acted as a crutch for many smaller cinema operators, providing much-needed content for the big screen amid a drought caused by pandemic and strike-related production shutdowns. 

Season 4 of “The Chosen,” a faith-based television show about the life of Jesus, generated $32 million at the box office for Fathom, around 75% of its first-quarter haul. 
“‘The Chosen’ was through [Fathom], and it was huge for us,” said Brock Bagby, president and chief content, programming and development officer at B&B Theatres. “It gave us a lot of extra revenue in February and the beginning of March that we wouldn’t have had.”
Fathom has also benefited from its anniversary titles and classic cinema showings. Each year, the company brings films back to theaters to celebrate milestone years alongside fan-favorite titles. 
“We’ve seen that there’s a growing segment in the box office, people that are interested in seeing older films on the big screen,” said Jordan Hohman, vice president of project development at Phoenix Theatres. “These audiences are getting to enjoy classic films, either for the first time or for the first time, in a new way. I think that that’s valuable.”
This year, the company celebrated the 85th anniversaries of “The Wizard of Oz” and “Gone with the Wind” as well as the 35th anniversary of “Steel Magnolias.” Still on the calendar is the 50th anniversary of “Blazing Saddles,” the 70th anniversary of Alfred Hitchcock’s “Rear Window,” the 40th anniversary of “Neverending Story” and the 20th anniversary of “Mean Girls.”
It also has a film series called Studio Ghibli Fest, which features all 14 films from the studio in their original Japanese and English dubbed versions. This year, the lineup boasts the 20th anniversary of “Howl’s Moving Castle,” the 25th anniversary of “Kiki’s Delivery Service” and the 30th anniversary of “Pom Poko.” 
And these titles can generate big box-office hauls even decades after they were first released. 
Fathom’s three-weekend run of the original Lord of the Rings trilogy resulted in $8.2 million at the box office. 
“Lord of the Rings was wildly successful nationwide, and for us,” Bagby said. “We just did 4DX Lord of the Rings this weekend in our new Dallas theater, and we sold out every single show.”
4DX is a screen format that utilizes motion seats, practical effects and sensory elements to immerse viewers in a movie experience.
Audiences are already buying tickets for showings in August celebrating the 15th anniversary of “Coraline,” which will be shown widely in 3D for the first time since its original release.
Fathom re-released “Coraline” twice before with great success. In 2022, the film showed in 800 theaters for one day and tallied $1.2 million in ticket sales. Last year, the film extended its release to five days and snared $7.1 million, making it the highest-grossing classic film release in Fathom history.
That $7.1 million figure is about 10% of the initial domestic run for “Coraline” in 2009 and 42% of its opening weekend, according to data from Comscore.
What’s more, 53% of the audience who attended screenings of the film last year were 34 years old or younger.
“New audiences are seeing it for the first time although the film is 15 years old,” said Ray Nutt, CEO of Fathom Events.
Fathom reports presales for this year’s screenings of “Coraline” are selling seven times as many tickets per location as were sold during the same period last year, with two-thirds of those ticket sales for the 3D version of the film.
Because Fathom has a wide footprint through its parent companies and nationwide marketing, it does the heavy lifting for smaller theater chains. 
“[Fathom has] built a lot of relationships,” Phoenix Theatre’s Hohman said. “They worked out the licensing and they created the marketing behind re-releasing these classic films that, you know, we just can’t do ourselves. It’s a national campaign. So, I think that they just offer a lot of value.”

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Companies have tread lightly this Pride month, as they brace for a divisive presidential election and are mindful of conservative public backlash against Target and Bud Light.
Tractor Supply on Thursday said it would end all spending tied to diversity and environmental causes, including no longer sponsoring Pride festivals.
But nonprofit advocacy group GLAAD CEO Sarah Kate Ellis said she’s seeing more companies get involved in year-round philanthropy and activism instead of just flying rainbow flags during Pride month.

Parade participants are seen marching during the 2024 Kentuckiana Pride Parade on June 15, 2024 in Louisville, Kentucky. 
Stephen J. Cohen | Getty Images

Pride month is winding down — and this year, the corporate world took a more cautious approach.
June tends to bring a wave of rainbow-themed merchandise and affirming ads and social media posts from retailers and consumers brands, coinciding with parades and other events that celebrate the LGBTQ+ community.

As the presidential election approaches, however, some companies have grown quieter about diversity, equity and inclusion efforts to avoid stepping into the culture wars or facing the blowback from conservative customers that Target and Bud Light did a year ago.
The starkest example of that came late Thursday: Tractor Supply, a retailer that sells animal feed, cowboy boots and lawn supplies in rural parts of the country, said it is ending all spending tied to diversity and environmental causes. That includes no longer sponsoring Pride festivals, the statement said.
The move, while an outlier in its magnitude, underscores how some companies that made inclusion commitments in recent years are treading cautiously.
It is difficult to track how many companies shared supportive messages, donated to LGBTQ+ causes or sold rainbow-themed merchandise in June compared to previous years. According to Gravity Research, a Washington, D.C.-based reputational research firm, 45% of Fortune 100 companies had at least one social media post on LinkedIn or X explicitly related to Pride as of June 21 this year, compared with 51% last June.
Gravity Research President Luke Hartig said the volatility of the presidential election and the two candidates’ willingness to call out companies by name has also made companies less likely to go public about their stand.

“There’s a little bit of like, ‘keep our heads down while we go through this election,'” he said.
Tim Bennett, cofounder of Tribury Productions, a marketing company that specializes in reaching LGBTQ+ Americans, works with Fortune 500 companies, including recent projects with Procter & Gamble. He said more clients have taken “a wait-and-see” approach to marketing to LGBTQ+ consumers or decided to scatter efforts throughout the year instead of making a big splash in a single month.
“June this year has not been like the last five or six,” Bennett said.
That may not be a bad thing for LGBTQ+ initiatives and charities. Sarah Kate Ellis, CEO of nonprofit advocacy group GLAAD, said she’s seeing more companies get involved with year-round philanthropy and activism in more meaningful ways.
She also pointed to a survey by Gravity Research that found that 78% of companies did not plan to change their Pride strategy this year. Thirteen percent were unsure whether they’d make changes and 9% said they planned to revise their strategy. Gravity Research surveyed 45 corporate executives and Fortune 500 leaders across industries in April.
“The visibility of companies putting flags out and having product to celebrate our Pride and to mark a month that’s really significant and important for our community is really important, and I don’t want to ever devalue that,” Ellis said. “I do think, though, those companies must look inside and make sure that they have the policies and the HR practices that match their outward marketing.”
Major companies are still writing checks for LGBTQ+ causes, too. A GLAAD spokesperson said Friday that the group has not seen donations or corporate support decline this Pride month, though it does not yet have a total tally.
On Friday, when the Stonewall National Monument Visitor Center officially opened its doors to commemorate the New York City bar that was a catalyst in the LGBTQ+ rights movement, the event had major backing from the business community. Supporters included Google, Amazon, JPMorgan Chase and Booking.com.
President Joe Biden also made an appearance and remarks at the monument’s opening.

Pride Month merchandise is displayed at a Target store on May 31, 2023 in San Francisco, California. 
Justin Sullivan | Getty Images

The Bud Light and Target effect

Consumer staples brands were the most likely to say they planned to shift their Pride month strategy this year, according to Gravity Research’s survey. That may stem from the conservative boycotts of Target and Bud Light last year.
Target has carried a Pride collection for over a decade. Yet last year, the big-box retailer removed some items and moved displays after employees faced threats. Boycotters targeted items for transgender shoppers, such as “tuck-friendly” swimsuits, and also criticized separate Pride merchandise for kids.
Instead of putting Pride merchandise in all stores this year, Target only carried it in the locations that accounted for 90% of total Pride sales in 2022 and 2023. It also stopped selling any Pride apparel for kids.
On the company’s website and in those select stores, shoppers can find a wide variety of Pride-themed items.
The volume of negative feedback to the Pride collection externally and internally is “significantly lower” this year than in 2023, according to a Target spokesperson.
In a statement, Target said it is “committed to supporting the LGBTQIA+ community during Pride Month and year-round” and would participate in Pride events across the country and support LGBTQ+ groups, in addition to offering Pride products.

A sign disparaging Bud Light beer is seen along a country road on April 21, 2023 in Arco, Idaho. Anheuser-Busch, the brewer of Bud Light has faced backlash after the company sponsored two Instagram posts from a transgender woman.
Natalie Behring | Getty Images

Anheuser-Busch InBev and other large beer brands, on the other hand, have backed away from public support of the LGBTQ+ community.
Conservatives like singer Kid Rock and Florida Gov. Ron DeSantis called for a boycott of the beer and its parent company, Anheuser-Busch InBev, after Bud Light sent personalized cans of its beer to transgender influencer Dylan Mulvaney. The marketing campaign coincided with the March Madness college basketball tournament.
Bud Light sales tumbled around 25%, and the brand lost its spot as the best-selling beer in the U.S., ceding the position it held for more than two decades to Constellation Brands’ Modelo.
AB InBev distanced itself from Mulvaney and fired Bud Light’s vice president of marketing. In October, AB InBev CEO Michel Doukeris said the brand would focus its marketing more on events like sports games and concerts. It also returned as the official sponsor of the UFC.
In recent months, some consumers have returned to Bud Light, as RBC Europe analysts estimate that the brand’s U.S. volume is down only about 10% these days. For its part, Bud Light hasn’t posted in support of Pride month on its Instagram or X pages this year.
The boycott was unusually sticky for a few reasons, according to Neil Reid, a geography professor at the University of Toledo who researches the beer industry. Studies have shown that consumers’ loyalty to top-selling beers may be more tied to the brand than the taste, Reid said.
Right-wing news outlets like Fox News also devoted plenty of airtime to the controversy, stretching its duration and potentially reaching new consumers who missed the initial reaction. Plus, once Bud Light sales fell, retailers gave more shelf space to its rivals.
“You can look at this issue from a moral, ethical perspective or you can also look at it from a pure business perspective. Those two often don’t result in the same strategy,” Reid said.

The New York Stock Exchange welcomes e.l.f. Beauty (NYSE: ELF), on March 18, 2024, to the podium to celebrate its 20th anniversary of founding. To honor the occasion, Tarang Amin, Chairman & CEO, joined by Tara Dziedzic, NYSE Head of Listings – U.S. Sectors, rings The Opening Bell®.   

Doubling down on diversity

While some companies have grown more cautious about promoting diversity efforts, others have stepped up inclusion initiatives. E.l.f. Beauty, for example, launched a provocative advertising campaign in mid-May called “So Many Dicks.” The ads, which were on billboards in prominent places in New York City, highlighted that there are more men named Dick (including Richards, Richs and Ricks) than entire groups of underrepresented people. It also included video spots with athlete and social rights activist Billie Jean King.
The beauty brand is one of only four U.S. publicly traded companies with a board that’s made up of members who are two-thirds women and one-third ethnically diverse.
E.l.f. Beauty CEO Tarang Amin said customers, especially its core audience of Generation Z shoppers, want brands to stand up for causes they support. He said he’s noticed corporate leaders have grown more skittish about speaking up than they used to be.
“Our values are one of the things that really differentiates E.l.f. and what our community expects,” he said.
Amin added: “If you don’t stand up for what you really believe, and you’re only going off of fear of what somebody may object to, I think you lose the opportunity of making a real difference in the world.”
Amin said the company’s stock performance shows its diverse board and inclusive messaging are also lifting its bottom line. Shares of E.l.f. are up about 46% this year, outpacing the approximately 15% gains of the S&P 500.
Pride initiatives continue this year elsewhere in the business world. Skittles sold a limited-edition Pride pack of its rainbow-colored candies like it has over the past five years. The brand, which is owned by Mars Wrigley, donates $1 for each Pride pack sold to GLAAD, up to $100,000 and matching donations of up to $25,000.
Macy’s highlighted LGBTQ+-owned, founded and designed brands on the websites of Bloomingdale’s, Bluemercury and its namesake brand in June. Over the past five years, the department store operator has raised more than $6.2 million for the Trevor Project, a nonprofit that supports suicide prevention for LGBTQ+ young people.
GLAAD’s Ellis said she’s encouraged by companies’ continued support and said they “are going to be on the right side of history with this.”
But she said there’s work to do, especially to support the transgender community. Politicians across the country have proposed bills that restrict gender-affirming care and transgender rights.
Gravity Research’s Hartig said companies have backed away from including transgender people in marketing after conservatives targeted them in political campaigns and during last year’s Pride month.
But not all of the backlash against corporate diversity, equity and inclusion efforts has gained the traction activists would have hoped.
The number of shareholder proposals opposing environmental, social and governance initiatives has surged, according to ISS-Corporate, a Rockville, Maryland-based provider of data and analytics to corporations. Anti-ESG proposals have been voted on at meetings of Russell 3000 companies held between Jan. 1 and June 30 this year rose to 83, up from 55 in the same period in 2023 and 37 in 2022.
Yet voter support has fallen each year, to a median support rate of 1.5% in 2024, versus 1.7% in 2023 and 2.9% in 2022.
— CNBC’s Amelia Lucas contributed to this report
Disclosure: CNBC is owned by Comcast NBCUniversal, which is one of the corporate sponsors of the Stonewall National Monument Visitors Center. More

Thirty-five athletes are supported by Bandit Running’s Unsponsored Project, an effort to challenge the standard sponsorship model for professional athletes and boost up-and-coming competitors.
Bandit’s deals have a built-in release clause, cofounder Tim West said, allowing an easy out for athletes who get a traditional sponsorship offer during the trials.
Considering the costs of training, flights, hotels and apparel, even just showing up to compete in the Olympic trials can be expensive.

Christopher Royster, left, and JT Smith, athletes who participate in Bandit Running’s Unsponsored Project, at the 2024 Olympic trials in Eugene, Oregon.
Courtesy: Bandit Running

There’s an army of unsponsored athletes commanding attention at the U.S. Track & Field Olympic Trials this year, decked out in all-black, logo-less gear.
The 35 athletes are supported by apparel company Bandit Running’s Unsponsored Project, an effort to challenge the standard sponsorship model for professional athletes and boost up-and-coming competitors.

Unsponsored athletes in track and field would typically purchase their own apparel bearing the emblems of major brands, effectively providing free advertising for the companies. Instead, Bandit Running offers Olympic hopefuls the all-black kits and warmups — along with short-term endorsement deals.
Bandit co-founder Tim West said the company is giving out at least 35 two-week deals for unsponsored runners at the trials, a U.S. Olympian’s gateway into the four-year games. The deals consist of unbranded apparel, a platform and cash to cover expenses. Last year, Bandit partnered with nine athletes.
“We’re really hoping for a new sponsorship model where brands take a healthy piece of their budget and apply it to the kind of amateur, sub-elite athlete to help grow the sport. I think when you lift up, sort of the bottom, everything pushes up,” West told CNBC.
Bandit’s deals have a built-in release clause, West said, allowing an easy out for athletes who get a traditional sponsorship offer during the trials.
Given the high prices associated with competing, West said unsponsored athletes are “investing in themselves,” posing an opportunity for brands to step in and help out.

And, the all-black, logo-free kits help call attention to which athletes may be available to strike a longer-term deal.
Among them is Courtney Okolo, a 400-meter runner.
After winning a gold medal in the 2016 Rio Olympics and being sponsored by Nike for four years, Okolo, 30, is embracing the Unsponsored Project. She said getting support while competing without a sponsorship is difficult, but Bandit’s initiative makes it feel like she isn’t doing it all on her own.

Courtney Okolo, an athlete participating in Bandit Running’s Unsponsored Project, at the 2024 Olympic trials in Eugene, Oregon.
Courtesy: Bandit Running

Considering the costs of training, flying to Eugene, Oregon, for the trials, booking a hotel and buying apparel to compete in, Okolo said, even just showing up to compete is expensive. Though she added that she’s been able to pace herself with money acquired over four years via her previous sponsorship, only a few athletes within the sport have such partnerships.
“I know for a lot of athletes, it’s super hard,” Okolo said. “They could still be running well, but financially, they can’t do it because training and all that takes so much of your time. It’s hard to have another full-time career to support yourself financially and train and be the best athlete. So, sometimes you have to just pick one or the other, and that can be really tough.”
Since graduating college, Brandee Johnson, 26, has been working two jobs and a side gig while training for hours a day to make her Olympic dreams happen. Johnson is an unsponsored track athlete who qualified for the Olympic trials this year.
Johnson said she joined the Unsponsored Project as an alternative avenue to achieving her goal, while attaching her name to something that is making a positive impact in peoples’ lives.
“It helps me be more comfortable and take a deep breath and be like, ‘Okay, I can do this, and I have everything that I need in order to be successful,'” Johnson said. More

The Summer Fancy Foods Show, hosted by the Specialty Foods Association, returned to the Jacob K. Javits Convention Center in New York.
The trade show has gained a reputation for being a place to spot the next big flavors, foods and drinks that will dominate menus and grocery store shelves.
Some of the standout trends included honey as a flavor, taking fish to go and more adventurous salami flavors.

The budding trends in food sound like a return to the diet of cavemen: Fish is the hottest protein, honey is the flavor du jour and game meat is an upgrade to charcuterie boards.
That’s according to the hundreds of items on display at the Summer Fancy Food Show, a trade show hosted by the Specialty Food Association that has gained a reputation as a place to spot the next big flavors, foods and drinks that will dominate menus and grocery store shelves. The annual show returned to the Jacob K. Javits Convention Center in New York this week, running Sunday through Tuesday.

More than 2,400 companies exhibited their foods and drinks for attendees, which include restaurant operators, specialty food retailers and trendspotters. Past show trends that are making their way to mainstream consumers’ palettes include yuzu, mushrooms and sophisticated alcohol substitutes.
Previous shows have also been a springboard for small brands seeking a wider audience. Honest Tea, Ben & Jerry’s and Tate’s Bake Shop are among the companies that attended the show in their early days on their way to becoming well-known consumer brands now owned by the industry’s biggest players.
Here are some highlights from this year’s Summer Fancy Food Show:

Honey — as a flavor

Owl Creek Organics & Natural Products’ lineup of honey spreads at the Summer Fancy Foods Show
Amelia Lucas | CNBC

Humans have been eating honey for thousands of years, but it’s taking center stage as a flavor with some food and beverage makers. In the SFA’s preliminary report on the show, its trendspotters called out honey, noting its health benefits.
Honey was the star in both foods and drinks across the show. Green Bee showed off its honey soda, which includes a Honeycomb Cider flavor. Owl Creek Organics & Natural Flavors displayed honey spreads, with flavors ranging from caffe mocha to lemon poppyseed. And Dutch company Klepper & Klepper used honey as a flavor for their licorice.

Tinned fish

Krill Arctic Foods’ tinned krill meat
Amelia Lucas | CNBC

In years past, tinned fish was relegated primarily to booths in the Spanish and Portuguese pavilions. But this year, exhibitors showed off their tinned fish products across the show floor.
TikTok helped fuel the tinned fish trend last year, boosting sales of canned sardines. Now specialty food companies are responding.
This isn’t the canned tuna of yore. There are more flavors, different seafood varieties and trendier packaging. Wildfish Cannery, an Alaska-based company that was founded in 1987, showed off a new retro design for its sockeye salmon, giving it a more upscale feel. Krill Arctic Foods exhibited its canned krill meat, which may lack the same curb appeal on its packaging but boasts about the food’s nutritional profile.

Fish to go

Acme Smoked Fish’s Lox in a Box kits on display at the company’s booth
Amelia Lucas | CNBC

Exhibitors also showed off new ways to eat fish on the go, hoping to capitalize on consumers’ desire for convenience and more protein in their diets. The association named “satisfying snacks” as one of the trends that it’s been watching.
Acme Smoked Fish highlighted its new Lox in a Box snack kits, available with cream cheese or avocado. Legend of Master International, an Asian food supplier, sampled its Kani fish cake sticks, made to eat like string cheese or for cooking.

Upgraded charcuterie

Fossil Farms’ array of salami flavors, including lamb and bison
Amelia Lucas | CNBC

Like tinned fish, the popularity of charcuterie boards owes a lot to social media, where users can dazzle their followers with elaborate displays of preserved meats, cheeses and fruit.
Companies at the Summer Fancy Food Show showed off some new options to level up the charcuterie — especially the salami. Tempesta Artisan Salumi offered up black truffle-flavored salami, while Salt & Twine’s selection included a mezcal and salted lime flavor.
But exhibitors weren’t just having fun with the flavors. Some are looking beyond pork to make the cured meat. Driftless Provisions’ salami uses elk, venison and bison alongside pork. Fossil Farms’ salami lineup included lamb and wagyu beef.

Pairing snacks

Wine Chips’ Sel Gris-flavored chips are meant to be paired with sparkling wines
Amelia Lucas | CNBC

What’s a cocktail or glass of wine without a snack to go with it? Targeting consumers who need help finding the perfect pairing, both Wine Chips and The Drinks Bakery showed off their snacks, created to be eaten with specific alcoholic drinks.
The Drinks Bakery, a Scottish company, sells “drinks biscuits.” Its parmesan, toasted pine nuts and basil biscuits (called crackers in the U.S.) can be eaten with roughly 20 drinks, from a nonalcoholic lager to whisky highball.
Wine Chips, on the other hand, sells thick-cut potato cuts specifically made for snacking while sipping wine. For example, its Sel Gris flavor, named after the French sea salt, is made to be paired with any sparkling wine, like Champagne.

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Car buyers entering dealer showrooms for the foreseeable future may have a new challenge: an alphabet soup of “electrified” vehicle offerings.
As all-electric vehicle adoption occurs slower than many expected, automakers are increasingly releasing hybrid vehicle models as alternative options to EVs and traditional gas-powered engines.
Each type of vehicle may be better for a different kind of customer. Here’s a breakdown of all the options on the electrified vehicle market.

GM launched ‘EV Live,’ a free online platform that connects electric vehicle owners or consumers who have questions about zero-emissions cars and trucks with an expert who can answer them.
Courtesy: GM

DETROIT — Purchasing a vehicle has never been that easy. But shoppers entering traditional dealer showrooms for the foreseeable future may have a new challenge: An alphabet soup of “electrified” vehicle offerings.
As all-electric vehicle adoption crawls along in the U.S., automakers are increasingly releasing various hybrid vehicles as alternative options to EVs and traditional gas-powered engines. A variety of models means more customer choice, but also more complexity for automakers and consumers, many of whom are returning to the new vehicle market for the first time in years following unprecedented supply chain shortages and record used vehicle prices.   

“More choice in the marketplace is good for consumers, but only if they understand the differences,” said Paul Waatti, director of industry analysis at AutoPacific. “There needs to be more clarity on what the terms and acronyms actually mean, and what the potential benefits and drawbacks are.”
A car shopper today has their pick of traditional internal combustion engine (ICE) vehicles; mild-hybrid electric vehicles (MHEVs); hybrid electric vehicles (HEVs); plug-in hybrid electric vehicles (PHEVs); fuel cell electric vehicles (FCEVs) and battery-electric vehicles (BEVs), also commonly known as EVs. Also coming later this year from Stellantis: range-extended electric vehicles (REEVs) that are similar to plug-in hybrid vehicles but can exclusively function as an EV, with its electric motors powered by a gas engine.
Each type of vehicle may be better for a different kind of customer. All except EVs and fuel-cell vehicles continue to offer a traditional internal combustion engine combined with “electrified” technologies such as a battery or motor to assist in performance or fuel economy.
Heather Seymour, of St. Johns, Florida, said she did quite a bit of research prior to purchasing a 2022 Jeep Wrangler Rubicon plug-in hybrid electric vehicle, known as a 4xe model.
“I knew I wanted to kind of dip my toe in the water of the hybrids. I wasn’t ready to go full electric, so the plug-in was definitely of interest to me,” said Seymour, who said she typically uses the all-electric range of the SUV, except on longer trips. “The more we learned about it, the more we figured out what we wanted.”

EV naming

While consumers may not need to know every acronym or technology to find their right model, automakers aren’t exactly helping the situation with their consumer-facing naming.
For example, Hyundai’s Genesis brand calls its all-electric vehicles “electrified,” while many others reserve that term for hybrids. Chrysler’s Pacifica minivan is a plug-in hybrid labeled as a regular “hybrid,” and Toyota markets some of its traditional hybrids as “hybrid EVs.” Stellantis says its REEV vehicles are not PHEVs, despite operating similarly.
“Every automaker is using different terms. There’s no standardization, and that causes some confusion on the consumer side,” Waatti said.

GM’s 2024 Chevrolet Equinox EV (right) next to a gas-powered Chevy Equinox on May 16, 2024 in Detroit.
Michael Wayland / CNBC

Some automakers such as General Motors also use traditional nameplates such as the Chevrolet Blazer and Equinox for new EVs that share little to nothing with their gas-powered counterparts other than the name.
Stellantis’ Jeep also uses the “Wagoneer” moniker for two large gas-powered SUVs as well as a smaller, all-electric Wagoneer “S” SUV.
Jeep CEO Antonio Filosa has said he isn’t worried about any confusion, as the brand has a strong naming heritage and customers can decide which vehicle is best for their needs.
“I believe that we need education, but after education we have a lot of choices for the consumer,” he said during a recent interview. “It’s all for the benefit of the consumer. They will have a lot of flexibility.”

Education is key

One thing automotive executives from Japan and South Korea to Detroit and Germany can agree on is the need for consumer education.
Whether vehicles are electrified or all-electric, they’re critical for automakers to meet tightening emissions and fuel economy targets as well as to build production scale, reduce prices and increase profits.
“We don’t want to force a customer to do something they’re not ready for,” Kia America VP of Marketing Russell Wager told CNBC earlier this year. “We’re trying our best to educate them.”

2024 Jeep Wagoneer S EV

Kia and its dealers have put out myth-busting pages online to answer concerns or frequently asked questions about EVs and hybrids. They range from technical questions about batteries to practical questions like whether you can go through a car wash in an EV (you can).
GM has taken it a step further. The Detroit automaker launched “EV Live” in 2022. It’s an online video platform, now known as “GM Energy Live,” that allows participants to interact one-on-one with EV specialists and learn about electric vehicles and charging.
Ford Motor recently launched its own video-based training program, geared toward its more than 3,000 U.S. franchised dealers to improve customer service, better engage employees and provide dealers and the company with more data to help in selling the vehicles.
Auto executives say it’s up to the companies as well as their dealers to be trained and educated about the benefits of the vehicles, whatever they may be.
“Each customer, in the end, is very different,” said Jérémie Papin, chair of Nissan Americas, earlier this year. “I think it’s what the vehicle can do for them,” not necessarily how the technology works, he said.

Automotive alphabet soup

The automotive industry has more powertrain and “propulsion” options than ever before. Here’s a breakdown:

Internal combustion engine (ICE): A “traditional” vehicle with an engine that’s fueled with gasoline or diesel.
Mild-hybrid electric vehicle (MHEV): An ICE vehicle that functions largely like a non=hybrid vehicle but may include minimal electrified features such as a small battery, regenerative braking or electric motor.
Hybrid electric vehicle (HEV): Think of the Toyota Prius, a vehicle that has a hybrid powertrain system combined with an engine.
Plug-in hybrid electric vehicle (PHEV): These vehicles feature an internal combustion engine combined with a hybrid system, including a larger battery than traditional hybrid vehicles as well as a plug to recharge the vehicle’s battery. They typically allow drivers to travel a certain number of miles using the battery before the engine is needed to power the car or truck.
Battery-electric vehicle (BEV): These all-electric vehicles do not feature an internal combustion engine. Instead, they contain an electric motor that’s powered by a large battery. They need to be recharged using an electrical outlet and charging port or charging station.
Fuel cell electric vehicle (FCEV): Hydrogen fuel cell electric vehicles and equipment operate much like BEVs but are powered by electricity generated from hydrogen and oxygen instead of pure batteries, which commonly include lithium. They’re filled up with a nozzle, similar to traditional gas and diesel vehicles.
Range-extended electric vehicles (REEV): These are an emerging technology that largely function as a PHEV, however after the battery runs out of energy to power the vehicle, an engine works as a generator to exclusively power electric motors. The vehicle still drives like an EV instead of having the engine directly power the vehicle’s motion.

Consumer adoption

According to Cox Automotive, 96% of those intending to buy a vehicle in the next 24 months could be enticed to consider an EV earlier than a three- to five-year window if they had greater knowledge of how EV ownership works.
That was true for Florida resident Seymour as well as Kevin Storimans, of Winnipeg, Canada, who leased a Jeep Wrangler 4xe plug-in. He said he wasn’t ready for an all-electric vehicle so he decided to lease the plug-in as a way to save money on fuel and as a potential stepping stone to an EV.
“It’s the best of both worlds. You got your gas engine. You got some electric range,” said Storimans, who previously drove a V-8-powered Jeep. “Do your research. There’s so much information and misinformation out there on PHEVs and electric vehicles.”
Consumers spend more time researching EVs on average than they do traditional gas-powered vehicles, according to Cox Automotive. The company found roughly 9 out of 10 EV buyers already have a vehicle in mind for purchase before they visit a dealership or order online.
“There’s a lot of information out there. It’s hard to explain,” said Stephanie Valdez Streaty, Cox Automotive director of industry insights. “The education is so critical. It’s the awareness, the education and the engagement for consumers.”

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Ford Motor expects to introduce a $30,000 all-electric vehicle that will be profitable in roughly two and a half years, CEO Jim Farley said Friday during the Aspen Ideas Festival.
Farley said Americans need to “get back in love” with small cars instead of larger ones, a surprising statement given a majority or Ford’s profits come from trucks.
Farley said it is crucial for Ford to make profitable EVs in the next five years as Chinese automakers continue to expand globally.

An electric Ford truck is displayed during the Electrify Expo D.C. in Washington, D.C., on July 23, 2023.
Nathan Howard | Getty Images

Ford Motor expects to introduce a $30,000 all-electric vehicle that will be profitable in roughly two and a half years, CEO Jim Farley said Friday during the Aspen Ideas Festival.
Farley did not release many other details about the vehicle, which is being developed by a Ford “skunkworks” team, but said its main competitors are expected to be Chinese automakers such as BYD and an anticipated entry-level car from U.S. EV leader Tesla.

Farley said Ford is first focusing on smaller EVs instead of larger all-electric trucks and SUVs, which have historically been gas-powered profit engines for the company, because such vehicles are “never going to make money.”
“You have to make a radical change as an [automaker] to get to a profitable EV. The first thing we have to do is really put all of our capital toward smaller, more affordable EVs,” Farley said during an interview with CNBC’s Julia Boorstin. “That’s the duty cycle that we’ve now found that really matches. These big, huge, enormous EVs, they’re never going to make money. The battery is $50,000. … The batteries will never be affordable.”
A Ford spokesman later clarified Farley was referring to large vehicles such as the company’s Super Duty models or vehicles that require massive battery packs to achieve significant EV ranges of 500 miles. He was not referring to ones such as Ford’s current all-electric F-150 Lightning pickup or next-generation EVs.
Ford earlier this year said it was postponing production of a large three-row SUV at a plant in Canada to 2027 from its initial plan of 2025. It also postponed a next-generation pickup, codenamed “T3,” from late 2025 to 2026.
Farley on Friday reiterated Ford’s next-generation vehicles would be profitable.

He also said Americans need to “get back in love” with small cars instead of larger ones, a surprising statement given a majority or Ford’s profits come from trucks and considering American carmakers have historically had trouble making money on small models.
“We have to start to get back in love with smaller vehicles. It’s super important for our society and for EV adoption,” Farley said Friday. “We are just in love with these monster vehicles, and I love them too, but it’s a major issue with weight.”
Ford’s EV unit lost $1.32 billion during the first quarter of this year on 10,000 vehicles wholesaled. While the unit also includes EV-related business such as software, those losses equate to a loss of $132,000 per vehicle the unit sells.
Farley said it is crucial for Ford to make profitable EVs in the next five years as Chinese automakers continue to expand globally.
“If we cannot make money on EVs, we have competitors who have the largest market in the world, who already dominate globally, already setting up their supply chain around the world,” he said. “And if we don’t make profitable EVs in the next five years, what is the future? We will just shrink into North America.”

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