Scooters are silent, portable, safe, and help you get a little exercise without feeling tired. They are a great way to meet friends, to arrive on time or to discover the hidden corners of a new city. E-scooters have become an urban mobility symbol in some of the most developed cities in the world. And in most of them, there is a range of sharing operators to choose from in case you decide to rent a scooter. This article will explain a little more about the e-scooter sharing business.
How do scooter-sharing systems work?
Scooter-sharing systems work by providing users with a way to travel that doesn’t involve any extra steps or human interactions. Users download an app that allows them to unlock a scooter wherever they find one. There are also scooter stations in strategic spots of the city, where the customer can find several scooters and choose one to rent. As long as there is a digital payment method that can connect to the operator’s app, it’s possible to proceed with the rental. After reaching the destination the user parks the scooter locks it and ends the ride.
Are scooter-sharing companies profitable?
Although not every scooter-sharing company will necessarily become profitable, it is safe to say that most of them do. These factors can help to get there:
- Obtaining a fleet of over 50 good vehicles
- Choosing a city that is supportive of sustainable mobility
- Launching in a high season for kick-scooters, such as summer
- Knowing the market and your competitors
- Strategically planning the price of your rentals
- Being efficient with your maintenance and charging
When these things are all in check and if you are following industry profit margins, it shouldn’t take long to become profitable.
How to start a scooter-sharing business
1. Branding
Your e-scooter business will need to have a well-defined brand to stand out in the market. You will need a name and a logo, as well as different brand guidebooks for design and tone of voice. Your branding will be seen in the streets when people look at your scooters, but also on your app and website.
2. Brand Loyalty
Brand loyalty is something you’ll need to establish to survive in a competitive market. For that, you’ll need to deliver quality and value. Be consistent, guarantee a great customer experience, keep a close eye on your numbers and have feedback loops with your customers - Make sure that they are willing to use your scooters again.
3. Goals and targets
It’s important to set realistic goals when starting your scooter-sharing business. These goals would change depending on which business model you would like to create. Will you build a system directly targeting the consumer or one that other businesses can implement?
4. The right scooter
The right scooter is really important for your business to succeed. You need to remember that the purchase price of your scooter is just one small detail of its cost. So choose a good manufacturer with scooters that are not expensive to repair, have a good lifespan, easily replaceable parts, a powerful battery, and of course they should also look good and be safe to ride.
5. Documents, licenses, and authorizations
Different cities will have different regulations and will require different parking parameters, storage requirements, limitations on quantity, and more. Have this thoroughly researched and make sure to have proper identification and insurance to appease city officials.
6. Security
You want to take good care of your fleet. So make sure to choose a vehicle with a good locking device and a simple locking mechanism for customers to use. To know where every vehicle is and keep your fleet secure, make sure to have a good GPS tracker as well.
Final thoughts
Scooter-sharing has seen overwhelming success in recent years. In a time where we’re searching for urgent solutions to pollution and traffic, scooter-sharing became a good option for everyone. Also, technology in the mobility sector is at its best so no wonder the market is turning in this direction. Scooters have an important role to play in the future of mobility and will only increase their popularity and become more profitable.