- With approximately 4,700 two-wheelers under its fleet at the moment, the company says it is handling over 800 two-wheeler rental enquiries every day
- The company is also looking for an ideal GPS device for two-wheelers
Self-ride two-wheeler rental company Royal Brothers aims to induct over 12,000 electric two-wheelers (E2W) in its fleet before the end of FY25. Abhishek Chandrashekar, Cofounder, Royal Brothers, in a conversation with Electronics For You, noted that electric two-wheelers are slowly gaining acceptance in the rental self-drive two-wheeler industry.
“Our projections show we will have to deploy at least 50,000 two-wheelers before the end of FY25, and as a target, we aim to have at least 25% of these as electric,” he said.
With approximately 4,700 two-wheelers under its fleet, the company handles over 800 rental enquiries daily, mostly from Southern states in India. In deploying more two-wheelers, the company also focuses on extending its wings to all other parts of India, especially metro cities falling in the Delhi-NCR region.
First EV experience for end consumers
Chandrashekar believes that the rental motorcycle and scooter industry can help India adopt electric vehicles. In the past, the company has conducted such rides for Ather.
“Test rides available at dealers only allow end-consumers to experience a vehicle for a limited period and distance, say not more than five km. However, when these rent two-wheelers, they explore the ins and outs of a vehicle, which in turn helps them make a decision,” he said.
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The success of the Yamaha Fascino scooter and many motorcycles is credited to these being available in Goa for rent at economical prices.
Chandrashekar added, “We have seen many individuals rent two-wheeler models to try them out. Some of these have even asked our team about the pros and cons of a particular model they want to invest in.”
Everyday rental and subscription model
Operating on the everyday rental and subscription model as its sources of revenue, the company says it is the former that is leading the revenue generation for them. Going forward, the company will also focus on increasing its share of business from the latter.
“I feel the subscription model is still a new concept for us Indians. While 10% of our overall revenue comes from the same, I am positive that this will increase significantly with time,” Chandrasekhar explained.
The company is also ramping up its tech stack to manage enquiries and bookings on its platform. Residual value and repair costs are the biggest challenges that it sees associated with electric two-wheelers.
“Having GPS-enabled two-wheelers is another big challenge. We are working with some startups to have all our assets fixed with GPS trackers but have not found a good solution. Most of these devices in India today were originally made for four-wheelers and commercial vehicles,” he added.
