India’s metros often dominate the national discourse on electric vehicles (EVs). However, in recent years, the demand for EVs from tier-2 and tier-3 cities has also witnessed rapid growth. As India’s largest shared two-wheeler EV player, Yulu is gearing up to meet this demand from every corner of the country.
In April 2024, Yulu made its first foray outside the metros when it launched its services in Indore, Madhya Pradesh, in collaboration with a local partner,Yuva Mobility. The launch marks the first operational partnership under the Yulu Business Partner (YBP) initiative. It is also the first instance of a franchise partner-led rollout in India’s shared two-wheeler EV industry, and will open up Yulu’s loved and trusted EVs to commuters and leisure riders across Indore.
In this article, we will take a closer look at how Yulu’s YBP initiative is democratising the EV revolution in tier-2 and tier-3 cities. But before we do that, let’s answer a basic question: What specific problems do EVs, especially two-wheelers, solve within these cities?
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Two-Wheeler EVs: A Solution for Mobility Woes in Smaller Cities
Shared two-wheeler EVs are a perfect fit for smaller cities because they are well-suited to deal with the challenges faced by people in these cities. These issues include:
- Traffic Congestion: Like their larger counterparts, tier-2 and 3 cities are seeing an explosion in personal vehicle ownership. This has resulted in traffic congestion at all hours of the day in these cities. Congestion is also an increasing concern for towns based in tourist destinations like Goa, Himachal Pradesh, Kerala, etc.
- Environmental Concerns: Larger cities are already badly hit by poor air quality due to high vehicular emissions. To avoid befalling a similar fate, smaller cities need to replace fossil fuel-based vehicles with EVs on their roads.
- Limited Road Space: Unlike metros, smaller cities typically have fewer wide roads or highways. Large vehicles further shrink the available space and are therefore impractical for intra-city commutes. Small form-factor EVs like Yulu perfectly fit the bill in this scenario.
- Shorter Commute Distances: Distances between homes, workplaces and commercial or recreational areas are relatively shorter in tier-2 and 3 cities. This eliminates the need for commuters to have larger or more powerful vehicles to get around.
Two-wheeler EV are perfect for tier-2 and tier-3 cities with their compact size, zero-emissions, high affordability, and convenience. They redefine urban commuting in these cities by providing an appealing alternative to conventional modes of transport.
Tech-Savvy Mobility is Taking Off in Emerging Cities
Consumers in tier-2 and Tier-3 cities demonstrate a growing inclination towards smart, eco-friendly mobility solutions. The rising adoption of EVs in smaller cities and towns can be attributed to a host of factors, such as:
- Influence of technology: Users in smaller cities are highly tech-savvy. As active consumers of OTT content, social media, ecommerce, and e-banking services, they are open to embracing technology-enabled solutions for mobility too.
- Environmental awareness: Residents of tier-2 and 3 cities are well informed about issues like environmental degradation, and want to take steps to mitigate it by making environmentally-friendly choices for daily living.
- Aspiration for modern amenities: Consumers in smaller cities are also increasingly seeking modern services and amenities that were once exclusive to metros.
These factors have created a fertile ground for EV services to flourish in emerging cities. By offering a blend of technology, sustainability, and modernity, these services cater to the evolving needs and aspirations of the people in these cities.
YBP – Filling a Vital Gap in Urban Mobility
The YBP initiative is a franchise partner-led model for shared e-mobility. It is the first of its kind in India’s shared mobility industry, and was conceived by Yulu to promote profitable, entrepreneur-led mobility ventures in emerging cities across the country.
Although Yulu operates 30,000 EVs on the roads in Bengaluru, Mumbai, Navi Mumbai, Delhi and Gurugram, it recognised the huge latent demand for shared EV services in smaller cities and towns. This realisation eventually became the genesis of the YBP initiative.
The intent of YBP is simple: rapidly scale Yulu’s world-class mobility platform to new audiences across the country by tapping into the entrepreneurial energies and local knowledge of founders and businesses in smaller cities and towns. These founders and businesses become Yulu’s partners for those locations, and Yulu provides them with its EVs; batteries and charging infrastructure through its battery as a service (BaaS) associate Yuma; and its technology stack.
Rather than setting up the business from scratch, the partner can use Yulu’s established mobility platform to quickly set up a profitable business that can be scaled up as needed. Yulu also provides operational training so that the partner can independently run the service and create a lasting impact on the mobility landscape of their city.
Here are some photos from the Indore launch by Yulu and Yuva Mobility-
The Yulu Miracle EV being officially unveiled in Indore by (clockwise, from L-R): Shivani Sharma – Co-founder, Yuva Mobility; Arvind Tiwari – Chairman, Indore Press Club; Pushyamitra Bhargav – Mayor of Indore; Pradeep Puranam – Head, Revenue and Operations, Yulu; MLA Madhu Verma; Navneet Patel – Director, Patel Motors; and Tarun Sharma, Co-founder – Yuva Mobility.
Yulu’s Miracle EVs displayed at the launch event.
In summary, the YBP initiative seeks to democratise EV mobility outside the metros by bringing affordable, convenient, and accessible rental services to users. Want to know more about YBP and how to join hands with Yulu as a partner? Click here!
FAQs
1. What is electric vehicle sharing?
Electric vehicle sharing refers to a system where electric vehicles (usually bikes or small-form factor 2-wheelers) are shared among multiple users. This is typically managed through a smartphone app where users can rent and return the vehicles at designated areas.
2. Why are shared EV services beneficial for 2nd-tier and 3rd-tier cities in India?
Shared EV services can help tackle traffic congestion, reduce pollution, make better use of limited road space, and offer an affordable mode of transport for short distances. These benefits make it an ideal solution for urban mobility in tier 2 and tier 3 cities.
3. What are some examples of shared EV services operating in these cities?
Yulu is India’s largest provider of shared two-wheeler EV services. It already has a presence in five metros and has recently started its operations in Indore, Madhya Pradesh, in partnership with a local business, Yuva Mobility.
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