Are you in a plan to initiate an electric scooter rental service company? Following are a few scooter rental start-ups.

With the increase in demand for e-scooters, many people are interested to know about the e-scooter business. Every coin has two sides. Stats report that ever since 2017, micromobility has been the new normal but it also has its problems. Despite its issues, the e-scooter rental business is expected to reach 40 to 50 billion 50 dollars by the end of 2025.

But before initiating the e-scooter business, here are some of the points which need to be taken care of. First, let us dig into the basic principle factors to understand more about the e-scooter rental business.

Future of electric scooter

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Legalization Issues

E-scooter rental business regulation is the only way to turn a mess of scooters into a novel form of transportation.

Initially, Austin ran a pilot program that was designed to help the city of Austin move safely. Four companies got permission like Jump, Lime, Scoot, and Spin. At last, finally, Germany was the latest nation to approve the use of e-scooters on roads and bicycle lanes.

Currently, there are still some countries that haven’t got the regulation on the use of e-scooters. Let’s have a look at the keywords that customers are using in the App Store Optimization strategy.


With the increase in demand for shared mobility of electric scooter business in India statistics, it is becoming famous and acceptable by the public. For instance, only 15% of adults in the US used Uber increased to 36%.

Despite the successive results, e-scooters are still considered as the private mode of transportation. It is considered ideal for short rides and last-mile rides due to lesser costs than other on-demand mobility. Irrespective of its great advantages and characteristics, still there is a big question behind the adoption of E-scooters.

The usability of e-scooter in sparsely populated cities is less as compared to densely populated cities. And in case, if any customer wants to buy the e-scooter, then they cannot afford it.

The other factors which have been a disturbance in the E-scooter rental business sector are public safety, rules, and parking.

Current Profitability Challenge

Despite the promising nature of the e-scooter rental business has been famous, their financial condition is still challenging.  On average, the e-scooter business has around just 3-4 months. The e-scooters were designed for running a private business, not for carrying out the rental business.

Less maintenance, multi-person handling, rough usability, and vandalism are some of the factors which affect the profitability of e-scooter.

The electric scooter rental business has the biggest concern of its operations and charging. Some rental business providers generally collect the e-scooters, transport them to a place where the charging facility is available, take care of maintenance and repairs, and then gain redistribute them the next day. Some providers try to refrain from these expenses by utilizing a crowd-charging model, in which they allow the customer to take the e-scooter home for charging and then return it the next day.

Some improvements are being made to utilize these e-scooter rental businesses in the long run. Longer-life batteries will reduce the requirement for charging and operations.

At the current rate, if the e-scooters are utilized for six months, they can be utilized to generate a profit. Another advantage is that some of the manufacturers are improving the hardware of the e-scooters so that they can be utilized for at least 10 months.

These changes can help you enhance profitability.

Speak to The Expert

    The battle to gain a name in the market

    To gain fame in the market, the e-scooter rental business in India is focusing more on ways to enhance profitability rather than calculating profits. Still, there is tough competition to establish a foothold in the market which has already become the top-notch business in the US. Many e-scooter rental businesses in India is launching their e-programs in Europe.

    At present, Bird, Tier Mobility, Wind Mobility, Flash, and Hive are some of the six companies which have become famous. On an additional note, Voi Technology and Arolla are going to make an entry into the e-scooter business.

    Every provider is trying their level best to offer their business in the nearest neighborhood so that the customers can access it at the time of requirement. These requirements are creating tough competition for every provider to stand out in their business.

    The providers strive hard to carry out promotion marketing and other promotional discounts, which can help you enhance the customer acquisition costs. At the same time, the exclusive freebies and discounts trigger overnight successive rates.

    Like for instance, one of the e-scooter rental services Bird announced our minute fee increase in April last year intending to improve the E-scooter’s finances.

    Do you think the price is the only factor that decides the success rates of the e-scooter rental business?

    No, price is not enough, since the providers need to focus on the availability of e-scooters in the nearby areas as compared to their competitors.

    Following are some of the strategies for the e-scooter providers to follow:

    • Durability enhancement: Improving the battery life is a critical process but it extends the battery life and makes it easy to manage mechanical breakdown, vandalism, and theft.
    • Reduction of costs:  The main challenge is to charge and relocate the e-scooters in every city of operation is one of the biggest challenges. Reduction of these costs helps to reduce the 50% of revenue which eventually leads to profitability.

    Investment in E-scooters is not enough: If any e-scooter rental business provider wants to rapidly upgrade their business, then they can try to expand their business in the field of cars, and other automobiles too. Partnering with public -transit agencies at local and regional levels can also help you gain some great developments.

    Hard work doesn’t stop here, since these e-scooter business providers operate on public streets, e-scooter companies need to address the major policy challenges:|

    • Seeking regulation: It will be required to get permission from civic-minded regulation at the local, state, and regional level such as concerns related to reducing clutter and congestion on streets or in other public places.
    • Rider Liability: Keeping an eye on the respective liabilities of e-scooter riders and providers has become more crucial.

    Get the right partner to start with

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    Thinking of developing an e-scooter app? If yes, then selecting the proficient team to develop the right app is most important. This is important as the right technology partner will help you shape the future of the E-scooter app. The selection will depend upon the complete cost of E-scooter app development depending upon the location and the team size of the company.

    A reliable company is something you must partner with. DxMinds is a great digital service provider with an expert team of professionals who offer digital marketing and app development services for various domains.

    DxMinds possess a professional team of experts who have immense years of experience in the field of app development. The app development depends upon the selection of technology, the number of years of experience in the field, and the number of features you need to add.

    Despite their drawbacks, the e-scooter rental business has great potential to fill an important role in urban mobility at a time when there is an urgent requirement to deal with congestion and pollution. The e-scooter rental business providers must start the business in the right way by testing and maintaining the e-scooters in many ways.

    Experts are Just a Click Away


      What are the advantages of e-scooter providers?

      The availability of e-scooters at reasonable rates, eco-friendly, less- congestion on public roads, no -pollution, and less congestion on public roads are some of the advantages of e-scooter providers.

      What are the main e-scooter companies?

      Lime, Bird, Tier Mobility, Wind Mobility, Flash, and Hive are some of the main e-scooter companies.

      What is the cost of development for basic features for the e-scooter app?

      Admin features – 72 days – $3600

      User features- 44 days- $2160

      Customer features- 26 days- $1296

      The overall development cost of the e-scooter also depends upon the number of features and the experience of the development team.

      Which country owns the biggest number of e-scooter players and what are the companies?

      The United States has a great number of e-scooter rental business players in 2018, Uber acquired Jump and partnered with Lime and a year later Bird acquired Scoot. The other players are Spin, Tier, Voi, Cirk, Flash, and Arolla.

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