KEY HIGHLIGHTS
- Simple Energy has recently launched the Gen 1.5 of Simple One electric scooter
- The brand is planning to open more stores in the coming month
The penetration of EVS is increasing in the Indian market, and OEMs are launching new products and features in their lineups. Simple Energy has launched a new generation of its Simple One electric scooter. In a conversation with Mr. Suhas Rajkumar, the co-founder of Simple Energy, he told us about the latest generation of Simple scooters and Simple Energy's plan. Read details of the new Simple One Gen 1.5 and the brand's plan below. Meanwhile, join the 91Wheels Whatsapp Channel to stay updated on the latest automotive news.
Also Read: 2025 Simple One Gen 1.5 Launched With New Features And 248 Km Range
Q. Tell us about the new Simple Gen 1.5 Scooters.
The new Gen 1.5 update is a super stack update for the Gen 1 system, which is now fully developed and is ready to be rolled out for all customers, both existing and new. One of the major updates is the improvement in IDC range, which has increased from 212 km to 248 km. This also enhances the real-world range by about 10%, making it a significant upgrade.
Moreover, we have made some software changes for better calibration and improved battery health, which, although a minor update, contribute to the scooter's overall performance. These improvements will boost customer confidence in the product. With over 2,500 customers using our scooters daily, this update will further strengthen their trust in the Simple Energy brand.
Q. What are your plans for the future? How are you planning to expand in terms of dealership and service centers?
Currently, we have 10 dealerships and service centre across the country that are fully operational. In the coming 20 days, we are planning to add 10 more showrooms and by the end of this FY (March), we aim to have 40-45 stores across the country. Also, we are looking forward to expand to approximately 400 stores nationwide.
In the last six months, we have built a strong team and gained some good experience in sales across key markets such as Karnataka, Andhra Pradesh, Tamil Nadu, Maharashtra, Goa, and Gujarat. While we are not yet fully operational in some regions, we expect to be present there in the coming weeks. Our experience in the southern market has been positive, with strong customer feedback helping us scale quickly. Given our current capabilities, funding, and market response, we are confident in our ability to expand further and boost sales in the near future.
Q. What are your plans for the northern market?
With the starting of the next financial year, we are planning to expand into key northern markets, including Delhi, Uttar Pradesh, Rajasthan, and Madhya Pradesh. In the first week of April, we aim to announce at least 7 to 8 new stores in these regions. By August, our goal is to establish around 50 stores across North India as part of our aggressive expansion strategy. We are currently in the process of finalise suitable locations and dealers, and we are on track to achieve this target.
Q. How do you differentiate yourself from other rivals like Ola & Ather in terms of your product, service experience & dealership experience?
Our three major USPs are product quality, safety, and service, and we are strongly focused on these aspects. Currently, we have 2,500 scooters on the road, and we have had no fire incidents, despite concerns often raised in the industry. Additionally, our product has had no major issues, and our warranty claims are the lowest in the industry. While our current scale is relatively small, we are confident that even when we reach 50,000 scooters, we will maintain the same reliability.
When compared to competitors, no other scooter in India offers the same range and performance that we do. Our local integration and vertically stacked manufacturing process make us stand out. Moreover, we are continuously working on improving battery technology, particularly in terms of safety and thermal management, ensuring longer battery life. This adds to consumer confidence when purchasing our product. Our commitment to safety, service, and product quality sets us apart. Unlike other players in the market, we offer all three in one package without compromise.
Q. Is Simple Energy focusing only on electric scooters, or can we expect the brand to enter the electric motorcycle segment as well?
While there is a lot of discussion around electric motorcycles, their viability is still uncertain at this stage. As an R&D-driven company, we always have platforms ready, and developing a new product takes us around 8 to 12 months. However, the key question we ask ourselves is whether we are truly addressing consumer needs or entering an unfamiliar market just for the sake of it.
For now, the electric scooter market still has immense potential, with around 6% market penetration. There is a significant market share to capture, and we believe scooters will perform better than motorcycles in the current scenario. Our focus remains on innovation in the scooter segment, with some groundbreaking developments planned for 2025. When the right time comes, we will announce our plans for motorcycles, but for now, our priority is maximizing our impact in the scooter market.
Q. Since Simple Energy is currently catering to the premium market with the Simple One and Simple Dot One, can we expect a budget-friendly electric scooter in the future?
I believe we have already positioned ourselves in the affordable segment. The definition of the premium market has evolvedwhat was once considered premium at Rs 1.5-1.8 lakh has now shifted beyond Rs 1.8 lakh. Today, the Rs 1.3-1.6 lakh range is considered the standard market.
Within this segment, Simple Energy offers the most value-for-money product. Our Simple Dot One starts at 91.45 lakh, making it a competitive and well-priced option. In terms of features, we provide a 248 km range, 0-40 km/h acceleration in just 2.77 seconds, a 35L boot space, comfortable ergonomics, well-tuned suspension, and strong braking performance. Given these offerings, we believe our current lineup already meets the needs of daily users without requiring an additional budget model.
Q. What caused the delays in deliveries and expansion, given that Simple Energy entered the market in 2023?
We delivered our first batch in June 2023, which was about 10 months later than originally planned. The delay was primarily due to a few key factors. First, we were selling in batches, which affected delivery timelines. Second, our production ramp-up faced challenges, not due to unforeseen external factors but because we made a conscious decision to refine our production process and supply chain. We wanted to ensure that all potential issues were addressed before scaling up operations.
Additionally, we were in the process of securing funding, which took some time and was finalized in April 2024. Once that was in place, we immediately initiated our expansion plans, officially opening our first store in August 2024. In just 45 days, we launched 10 stores, and today, we have 20 stores live and continue to expand rapidly.
While the delay did impact our initial market share, we believe it was necessary for long-term success. We now have a more mature production process that ensures better quality and reliability. The market is still in its early stages, and we are confident that we can recover lost ground and continue to grow.
Q.Where do you see Simple Energy in the next six months? You also mentioned the upcoming 20 stores, where are you planning to open them?
As of now, 10 stores are already live, and 10 more will be operational soon. These new stores will be located in Karnataka (2), Gujarat (1), Pune (1), Goa (1), Kerala (1), Chennai (1), and Hyderabad (1), among others. Our expansion strategy focuses on relatively smaller markets beyond Bangalore. By March 2025, we plan to expand into the North Belt, but until then, we will concentrate on Gujarat, Maharashtra, and the Southern region. Our sales have been strong in the markets where we have launched, and based on this positive response, we have set an aggressive expansion plan.
Over the next six months, we aim to be among the top six EV players in India and capture a larger market share. Our target is to expand to 80-90 stores across different cities, which will further strengthen our presence in the EV segment. Alongside this expansion, we also have a few product updates in the pipeline.
Q. What is your take on the recent announcements made by the Finance Minister?
The tax relief, bringing rates down to 12.75%, will significantly boost the automobile industry by increasing consumers disposable income. This will likely encourage more people to invest in two-wheelers and four-wheelers, thereby driving sales growth over the next five years. Additionally, the reduction in Basic Customs Duty (BCD) on several components will benefit local manufacturing and lower production costs. With around 38-40 items having reduced BCD, manufacturers like us can pass on cost savings to consumers, making EVs more accessible and affordable.
Overall, I see this as a positive move for the automobile industry, especially the EV sector. It provides relief to middle-class and upper-middle-class consumers, who form the backbone of the industry. This change will benefit not only EV manufacturers like Simple Energy but also brands across the market, from Hyundai and Maruti to TVS and Bajaj. This policy shift is expected to drive market growth and accelerate EV adoption in India.
