Low commutation cost and low carbon emission make electric scooters a preferred mode of transportation in Urban Areas: Future Market Insights
Future Market Insights (FMI) estimates that the global electric scooters market will expand at 9.0% CAGR over the forecast period of 2021 to 2031. Despite limited sales during global pandemic, the global electric scooters market grew by 5.5% year on year in 2021, bucking initial skepticism about how the market would perform post-global pandemic.
Driven by the pressing need to control carbon emission from vehicles, increasing traffic congestion in urban areas, and growing population, the demand for electric scooters is expected to grow significantly over the forecast period.
Top market players are emphasizing on launching hybrid and technologically advanced electric scooters to cater to the ever-growing demand for eco-friendly modes of transport. This will also spur competition prevailing in the market. FMI reports that top ten market players account for more than 55% of sales in 2021.
Three-wheeled electric scooters are gaining traction in developed economies of Europe and North America, as they assist in reducing high congestion in roads and provide superior stability and durability.
Electric scooters are becoming popular in university campuses and neighborhoods owing to their high convenience, easy mobility and stylish design. Emerging economies like China and Mexico are preferring two-wheelers and three-wheeled electric scooters. The growth uptick can be attributed to easy accessibility of e-scooters, its low maintenance cost, and excellent navigational features offered by these vehicles.
Despite COVID-19 hindering the sales of electric scooters, it positively changed consumer’s perspective towards electric scooters. As the lockdown regulations are getting relaxed around the world, people are choosing e-scooters over public transport to avoid contracting virus. This trend will boost the market growth for upcoming years.
“Rising government initiatives to reduce the carbon emission, rapid urbanization especially in developing countries, and increasing awareness promoting the adoption of e-scooters will fuel the market growth throughout the forecast period”, remarks the FMI analyst.
Key Takeaways
- The U.S. electric scooters market is forecast to grow at 8.4% CAGR during the assessment period. Increasing demand for three-wheeled electric scooters and adoption of bike sharing schemes will emerge as the key growth driver in the country.
- Rising popularity of e-scooters in tourist mobility and adoption of decarbonization strategies will drive the sales of electric scooters in U.K.
- Increasing fuel prices along with favorable government policies promoting the adoption of electric scooters will propel the e-scooter market in India.
- Increasing environmental awareness and rising population in China along with wide acceptance of electric scooters is prompting top manufacturers to enter the Chinese market, thus driving the market growth in China.
- Japan and South Korea will collectively account for 8.7% of the global electric scooter market share in 2021. Increasing adoption of e-scooters in online food delivery and e-commerce will boost the market growth in these countries.
Prominent Drivers
- Increasing popularity of electric mobility among millennial population is driving the sales of electric scooters around the world.
- Increasing penetration of electric scooter sharing services along with growing awareness regarding decarbonization will boost the market growth through 2031.
- Increasing government backed subsidies and increasing urbanization will augment the market growth.
Key Restraints
- Lack of charging infrastructure will hinder the sales of electric scooters during the forecast period.
- High maintenance and manufacturing cost of electric scooters will hamper the market growth over the assessment period.
Competitive Landscape
According to the market research analysis, Alta Motors, Ather Energy, Bajaj Auto, BMW Motorrad International, Cezeta, Energica Motor Company, Evoke Motorcycles, Hero Eco, Johammer e-mobility GmbH, KTM AG, Mahindra GenZe, Ninebot Limited, Okinawa Autotech Pvt. Ltd., Piaggio & C. SpA, ReVolt Electric Motorbikes, Xiaomi, and Yamaha Motor Company Limited are identified as key players in the electric scooters market. They collectively account for more than half of global market share in 2021.
To cater the increasing consumer demand, leading market players are focusing on launching new model equipped with modern technology and have futuristic design. For instance, BMW Motorrad unveiled its new CE 04 electric scooter in July 2021. The new electric scooter is geared with a permanent magnet motor, has traction control system, and a ventilated mobile charging compartment.
In June 2021, Bajaj Auto decided to launch two variants of its Chetak e-scooters, Chetak Premium and Chetak Urban, with delivery begining in September 2021. These scooters will come with built-in data communication system for advanced security and user authentication.
Intensive research and development for enhancing the performance of electric scooter along with facility expansion will emerge as key strategies employed by manufacturers in the market. For instance, Piaggio announced to launch its latest electric scooter series known as “One” and revealed their technical specifications in June 2021. These new scooters will be launched in three variants One, One+, and One Active, with a digital instrument panel and removable battery system.
Xiaomi launched new electric scooter called “Ninebot C30 electric scooter” in China in July 2021. These new e-scooters are designed for teenagers and young adults looking for affordable and light-weight vehicles for easy navigation in Chinese suburbs.
Leading players profiled by FMI operating in electric scooters market include:
- Alta Motors
- Ather Energy
- Bajaj Auto
- BMW Motorrad International
- Cezeta
- Energica Motor Company
- Evoke Motorcycles
- Hero Eco
- Johammer e-mobility GmbH
- KTM AG
- Mahindra GenZe
- Ninebot Limited
- Okinawa Autotech Pvt. Ltd.
- Piaggio & C. SpA
- ReVolt Electric Motorbikes
- Xiaomi
- Yamaha Motor Company Limited.
More Insights on FMI’s Electric scooters Market
The latest market study on global electric scooters market by Future Market Insights gives a detailed segmentation for the forecast period of 2021-2031. In order to gain a better perspective of the global market potential, its growth, trends, and opportunities, the market is segmented on the basis of
By Product Type:
- Standard
- Folding
- Self-Balancing
- Maxi
- Three-Wheeled
By Battery Type:
- Li-Ion
- NiMH
- Lead-Based
By Technology:
- Plug-In
- Battery
By Region:
- North America
- Latin America
- Europe
- South Asia
- East Asia
- Oceania
- Middle East and Africa
Key Questions Covered in the Electric Scooters Market Report
- The report offers detailed insights into electric scooters demand outlook for 2021-2031
- The market study also highlights projected sales growth for electric scooters market between 2021 and 2031
- Electric scooters market survey identifies key growth drivers, restraints, and other forces impacting prevailing trends and evaluation of current market size and forecast and technological advancements within the industry
- Electric scooters market share analysis of the key companies within the industry and coverage of strategies such as mergers & acquisitions, joint ventures, collaborations or partnerships, and others.
