Chris, it doesn't matter that the average journey is only 20 miles. People have got used to cars that do at least 250 miles on a tank so why should they settle for anything less? And even if these journeys are mainly just "down the road", it's the fact that they can fill up and travel that 250 miles if they so desire. Most peeps only have one car and it has to do it all, including hols and weekends away, so a car that costs a fortune and only has 100 miles of range won't cut it. And then when you turn on the lights and wipers and the sound system, and the heated screens, and want some heat in the cabin...there's a big chunk out of that 100 miles gone! And that's another problem with the weight, they're too heavy to push
I love the look of that Honda E thingy. Really clever, and actually desirable, as is the way with Hondas...but the range is daft. Doesn't matter what people "need", it's what they want, and that'll lose them loads of sales, except to those with another car for "proper" trips (and plenty of the old disposable).