Electric Scooter Market Size, Share, Growth Analysis, By Battery Technology (Sealed Lead Acid, Lithium-ion), By Distance Covered (Below 75 miles, 75 – 100 miles), By Voltage (24V, 36V), By Technology (Plug-in, Battery), By Region-Industry Forecast 2024-2031

Drivers 

Increasing the Focus on Eco-Friendly Urban Mobility Solutions  

• Hundreds of cities across the globe presently face air pollution, congestion of the roads, and shortage of parking spots; hence, greener and quicker transportation alternatives are highly demanding. This makes electrically operated scooters a very envying solution to these problems since they operate solely on renewable energy and do not emit any form of pollution when used. Electric scooters provide an easy and affordable means for people residing in the cities to cover short distances while weaving through busy streets and reaching their destination at a great speed. Hand in hand with the rise in urbanization and population of cities, the demand for small and agile means of transportation that could weave their way through places where there is heavy congestion has been on the rise. 

Growing Recognition of Ride Sharing 

• Electric scooters have gained popularity because, with the emergence of various ride-sharing and rental companies, people have started renting or using electric scooters. On-demand services provide an easy, flexible mode of transportation for consumers who want to use a scooter less frequently or do not want to purchase a vehicle. Technological improvements in battery capacity and electric motor efficiency have resulted in better range and performance of an electric scooter, thus making scooters more acceptable to consumers. The industry is in a growth curve, where electric scooters are turning out to be an excellent alternative to fuel-powered vehicles, which in return has brought further development of battery life and faster charging. 

Restraints 

Regulatory Hurdles 

• The most significant hurdle to the electric scooter market is the regulatory environment. Regulations regarding the use of electric scooters vary from place to place, and this might affect the uptake of these devices and their commercial expansion. In some cities, strict legislation on safety, speed limits, or where to use the scooters may make them less popular and used compared to other cities. These rules tend to drive up manufacturer prices due to significant investments required in design and technology. Invasively changing regulations breed uncertainty, too, making planning and market investments difficult for any business. This may be a factor that could slow market acceptance and growth as companies and consumers work their way through the ever-changing legal system. 

Insufficient Infrastructure of Charging to Deter the Expansion of the Market 

• Inadequate charging infrastructure will be the major restrain to the growth of the e-scooter market. The convenience of charging an electric two-wheeler anywhere and at any time is the most critical factor for any customer to consider before the purchase. Unlike in developed countries, most developing countries do not possess the relevant charging outlets. While especially in developing countries, manufacturers are building their own networks of charging infrastructure, mainly as a first step; for the uptake of such cars to increase globally, governments and private investors must get involved.