Please share details about Euler Motors. What gave you the vision to form the company?
Euler Motors is an automotive OEM that manufactures light commercial electric vehicles for intra-city transportation. The company was set up in 2018 with the objective to accelerate India's shift to sustainable mobility.
There are numerous challenges right from the lack of supporting infrastructure, performance to range anxiety that are detrimental to the fast adoption of EVs. Our approach will address these challenges while making customers more comfortable with the idea of transitioning to EVs. Using a full-stack ecosystem model, we not just manufactured vehicles, but provided a complete round-the-clock service along with charging infrastructure for electric vehicles. We are running pilots with major e-commerce companies such as BigBasket, EcomExpress, and Udaan in Delhi NCR for their last-mile delivery requirements.
What are the business priorities of Euler Motors for the next year?
We are gearing up to launch our first electric three-wheeler in the next 2-3 months. We will target fleet owners, and customers across various market segments and industries including e-commerce, fashion, along with retail, FMCG, pharma, and other utility segments.
Our priority will be to scale up and ramp up production to meet the demands in the electric three-wheeler segment markets. We also want to expand our market reach with cities like Bangalore, Hyderabad, Pune, and Chennai. We are planning to set up charging stations followed by other production plants. We are adding more R&D capabilities to develop telematics and forecasting software solutions to enhance our services support.
How do you plan to differentiate yourself in the market? Please tell us some unique selling points.
We are in the light commercial segment where customers seek vehicles having high-payload capacities with good performance. Lower TCO with the ability to operate against ambient temperatures and road conditions is an add-on expectation in this segment. Our vehicles are the biggest differentiator for us. We have designed it to give a seamless experience that is at par with any ICE-based vehicle in the same segment. We have developed our chassis and battery packs for greater payload capacities. Our vehicles are equipped with battery thermal management systems to ensure the safety, longevity, and functional robustness of EV battery packs. It makes the vehicle perform well under extreme weather or uneven terrain. With our advanced battery technology, we are trying to address the issue of range anxiety.
At Euler Motors, we also understand the importance of supportive infrastructure. Therefore, we have built a holistic ecosystem for smooth operations of EVs. We have built a network of 100+ chargers in Delhi-NCR for charging 200+ electric vehicles. We continue to expand this framework to new locations and plan to increase this number in the coming years.
How many funds have you raised till now? Who are the key investors?
Euler Motors has raised INR 35 crores till date in series A round. Inventus Capital India, Jetty Ventures, Euler Motors has received funds from Blume Ventures, Emergent Ventures, Andrew Lee and Sujeet Kumar have invested in us.
According to you, what are the growth drivers in the light commercial electric vehicle segment? How do you see the role of electric vehicles in the last mile deliveries?
The growth in electric vehicles in India is expected to be driven by electric three-wheelers. The light electric commercial market has seen a steep rise in the last few years, in passenger as well as last-mile segments. The ease of driving these vehicles at a lower TCO with reduced carbon emission has helped this segment grow. The lower total cost of ownership and operating costs have made light commercial electric vehicles more attractive. What attracts more is the operational cost of a vehicle being 1/6 of a petrol or a diesel-fueled vehicle. The second major offering is the reduced carbon tailpipe emissions by 13 tons per 100 km. Moving towards an ecosystem that offers support to EV’s sufficient charging, servicing stations, we will see more adoption of EVs in this segment.
The light commercial vehicles carrying cargo within the city have become important for e-commerce and utility companies. In-fact, the success of e-commerce today rests on efficiency in the last mile as doorstep deliveries have increased. In the coming years, majority of the vehicles are expected to be powered by electric technology and batteries, making every mile completely emission-free. EVs in the last mile connectivity is a win-win for customers as well as the larger society. We need these vehicles to be as efficient as any ICE vehicles in this segment particularly. EVs that easily carry a similar payload and yet cover more trips at lesser costs is what this segment needs.
What has been the Impact of COVID-19 on the EV industry? Tell us about your operations during the pandemic.
Last year was unparalleled for not just us, but the overall industry. The pandemic disrupted supply chains across India and abroad while delaying our plans for product launch. However, it also made us introspect and be resilient to ensure business continuity. We have invested in software and telematics in our products and enabled successful remote operations throughout the year.
While our business took a 35% hit at the start of the pandemic outbreak, we reached pre-COVID levels within a month. We completed over 1 Lakh deliveries in Delhi-NCR, seeing an almost 170-200% increase in demand. The vehicle demand in the last mile delivery space has increased by almost 50-100% as with the surge in doorstep deliveries. In the next few years, EVs will be a large part of this market.