Zapp Electric Vehicles is charting a course to evolve its London-origin electric two-wheeler initiative into a worldwide sensation, with India marked as a crucial stepping stone, according to exclusive details obtained by TechCrunch.
The firm is poised to introduce its inaugural offering — the i300, a city-focused electric scooter — in the UK promptly, with Thailand next in line. India is the latest addition to its strategic deployment, representing a significant market that will rigorously test its aspirations for global reach, Zapp’s founder and CEO Swin Chatsuwan shared with TechCrunch.
Prompted by India’s promise, the Nasdaq-listed venture is moving forward with its plans in the country. India isn’t just a massive two-wheeler market, enjoying annual sales in the millions; it also stands as the world’s second-largest two-wheeler manufacturer after China.
“Originally, we considered India for our second phase, but earlier this year, we realized the opportunity was too compelling to delay,” Chatsuwan remarked.
In forging ahead, Zapp has partnered with Indian electric two-wheeler enterprise Bounce Electric 1 to locally manufacture and retail the i300 in India. After clearing the homologation process, sales are anticipated to commence in 2025, with the UK-based firm aiming for an annual production of at least 5,000 units in India, contributing to a global target of 25,000 units by 2026.
Chatsuwan highlighted to TechCrunch that out of the 17 million two-wheelers sold in India last year, 2.8 million were high-speed models, with 36% comprising heavyweight cruiser bikes from Chennai’s Royal Enfield. Zapp aspires to emulate Royal Enfield’s triumph with its i300 model, first revealed in 2018.
“Our goal isn’t to dominate globally or to usurp half of Royal Enfield’s market in India to sell 500,000 bikes. We view ourselves aligned with the quality and performance standards of BMW, especially their CE 02 and CE 04 electric scooters,” Chatsuwan told TechCrunch.
The introduction of the i300 in India is set to broaden Zapp’s total addressable market (TAM) by 25%, enhancing its first-phase market entry TAM to 30 million units annually, as per company statements.
Launch preparations in India will afford Zapp a deeper understanding of the country’s supply chain capacities, which could eventually support the brand’s global distribution, Chatsuwan explained. Furthermore, unlike offerings from dominant Indian brands such as Ola Electric, TVS Motor, and Ather Energy, priced between $1,000 and $1,800, the i300 will enter the market as a high-end option, slated for a European debut priced at $7,590 before taxes.
While its Indian pricing remains under wraps, Chatsuwan indicated it would not exceed one million rupees but is unlikely to fall below 500,000 rupees.
The Arrival of the i300
First presented in 2018, the i300 incorporates an aerospace-grade alloy framework and a chrome-moly steel underframe. It boasts an air-cooled electric engine with 14kW peak power and houses dual portable batteries, each offering 720Wh capacity.
Zapp began accepting i300 pre-orders soon after its unveiling, with a 100-euro booking fee, and pledged to start deliveries by the fourth quarter of 2019. However, the emergence of the COVID-19 pandemic caused unforeseen delays in production and delivery timelines.
Despite these setbacks, Zapp is gearing up to distribute the i300 in the U.K. within the forthcoming weeks and plans to extend its market to Thailand this year through a Bangkok-based facility.
Zapp’s Vision to be a Comprehensive Motorcycle Provider
“We aim to prove that Zapp is more than a one-time success. We’re committed to establishing ourselves as a comprehensive motorcycle brand, starting with the successful launch of our first product,” Chatsuwan told TechCrunch regarding potential product line expansions.
The enterprise is also enhancing the i300 with a multitude of personalization features and accessories. Already available in four distinct models, Zapp allows customers to customize colors and wheel designs and add various accessories, including hidden storage and a fast-charging option.
With ambitions to enter markets in Spain, Italy, Vietnam, Indonesia, the Middle East, and South America, Zapp envisions becoming the modern-day counterpart of legendary brands such as Triumph, Royal Enfield, and Norton, as per Chatsuwan’s aspirations.
Compiled by Techarena.au.
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