Electric vehicle (EV) maker and clean energy start-up Simple Energy recently started delivering its e-scooter Simple ONE, priced at Rs 1.45 lakh, and has already received more than 100,000 bookings. With an impressive range of 212 kms, making it the longest-range E2W (electric two-wheeler) in India, the Bengaluru-headquartered company aims to revolutionise urban mobility and “redefine the way people commute”.
Simple ONE is also the fastest E2W in its segment—it can go to 0-40 kmph in 2.77 seconds. Suhas Rajkumar, Founder and CEO, Simple Energy wants to be the number one player in the two-wheeler space by the end of next year. “We don’t want to take any other spot. Initially, we will be slow. I’m not saying that we will be very aggressive. The initial months will be the lowest I believe because we want to scale only in Bengaluru in Phase 1,” he said.
He added that in the premium segment, if two-wheeler makers give a great value proposition, consumers are willing to pay 10 per cent more. But what consumers are not fine with, he adds, is a 50 per cent premium over an average product. “Unfortunately, for most of the market, range and the kind of quality offered is not up to the mark for the price. The penetration (of EVs) in last eight months has been positive but it has kind of hit a plateaued. People now look at EV’s as a better option, not only in terms of economics, but also in terms of features, its powertrain, etc. I think by 2025 around 40–50 per cent of two-wheeler sales should be EV,” he said. “It’s not really a positive sign in terms of how we look at it because we expected it to be much larger market share by then. But I think it still needs some time to grow.”
He said that FAME (Faster Adoption and Manufacturing of Hybrid and Electric Vehicles) II subsidy cuts will put a lot of pressure on EV players. “I think that will definitely be a challenge. But that’s the strategy that people should have thought of because eventually someday it would have gone back and it has. Simple is superior to what is out there for multiple reasons: One is range and the performance figures that are certified. Third is its entire value proposition of smartness, usability, user experience, boot space, etc. We have a scooter which is giving you 2x more range than any other competition out there but not really compromising on safety or quality,” he said.
He said that to expand its footprint across the country, the company is looking to raise about $100 million more. “Our target is to have around 5,200 dealerships. We’re looking to scale into tier 2 rapidly and then to tier 3. The market is so big you can accommodate around 15 good players and then still have a great market share. We are focusing on two things: one is after-sales service and how the consumer connection is with us. So we will work on those two things because legacy players are very strong at their network and they have a great service network established,” he said.
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