Electric scooters have been witnessing sizable demand throughout the country in recent years. This is considered a natural trend since millennials represent a generation that is readily embracing electric mobility due to growing awareness. At the same time, sales figures are also increasing for electric scooters in Pune and other Tier-1 cities in the country. So what lies behind the millennial generation’s eagerness to swiftly adapt to electric mobility? Here’s decoding the same in this article.
Key trends witnessed in the industry
People are nowadays more aware of electric scooter models, their nearest electric scooter dealerships, and other EV industry-related aspects, including the environmental benefits. The Indian Government has already announced its intentions to undertake a total transition to EVs by 2030. Although this is still regarded as highly ambitious, it is considered achievable by a wide section of experts. The automobile sector and Government are already working on several ways to scale up the penetration of EVs while setting up the requisite charging infrastructure in the country as well.
This is a big reason behind millennials embracing this generational shift towards electric mobility. Reports estimate more than 7.5 lakh units in EV sales for the financial year 2019 alone, which was proof enough of the market potential. Needless to say, the market has grown exponentially since then, with several new EV players entering the industry with attractive propositions for buyers. In addition, the younger generation is also drawn to several Government incentives on EVs along with offers from leading brands.
Some other aspects which are drawing younger buyers include lower ownership costs and superior performance. At the same time, millennials hold a firm belief that EVs are better than petrol vehicles owing to several factors. These include lower operating and running costs, lower noise levels, and of course, environmental friendliness, which is a key motivator behind these purchase decisions.
Some other market trends that are worth noting
Several millennials and even older buyers are looking to exchange or replace their older petrol scooters with electric scooters as per industry trends in recent times. Simultaneously, there has been a huge demand for new vehicles from buyers in the age group of 25 to 35. Most buyers are those who already have two-wheelers and wish to make the transition to cleaner electric mobility solutions. Several owners of motorcycles/bikes are also switching to electric scooters due to performance, convenience, and other reasons. Prices of petrol have already jumped over the psychological barrier of Rs. 100 per liter, while the Government has also doubled its subsidies for electric two-wheelers, lowering costs of acquisition considerably for buyers. Multiple Indian States are offering further incentives above the same as well. The acquisition costs for petrol two-wheelers have also increased by 15-20% over the years, according to reports. These are key reasons motivating consumers to explore the possibilities of electric two-wheeler ownership.
Millennials are also attracted by the stylish designs of new-age electric scooters along with the plethora of smart features offered by most of these models at a competitive price, something that is a far cry from the conventional scooters and bikes still retailed in the market. That said, attractive ownership plans and other freebies are also reasons behind the high-interest levels of millennials in owning electric scooters. Growth in charging infrastructure, improvement in driving range, and easy access to charging points at home/work are other factors that are already driving this massive industry-wide shift. Industry experts believe that these trends will continue spurring momentum throughout the electric scooter segment in future years.
