EV charging is the latest business in town that is exponentially growing globally. If you are an EV charging start-up looking to get into the EV charging business, this is the right place for you! We’ll discuss in-depth how your business can generate income through EV Charging Network. For readers who are totally new to the EV charging industry, the latest report published by Data Bridge Market Research on globenewswire.com states that the electric vehicle charging stations market was valued at USD 6.97 billion in 2021 and is expected to reach USD 167.52 billion by 2029, registering a CAGR of 48.80% during the forecast period of 2022 to 2029. Therefore the scope of grossing through this business is high and will only grow in the coming years.
What to do before building an EV Charging Network?
Setting up the EV charging business, of course! In order to do that, you must follow the below steps:
Research & Costing:
Research is the first step to take before getting into any business. In this one, you need to do thorough research on the following:
- EV charging industry
- Market values of charging stations
- Different business models
- EV charging software
The market value for charging stations has already been mentioned above, but what you aren’t aware of is that charging stations’ chargers vary depending upon the light, medium, and heavy-duty electric vehicles. According to a recent report by Spherical Insights, published by globenewswire.com, the Global Heavy-Duty Electric Vehicle Charging Infrastructure Market has been forecasted to grow from USD 2.57 Billion in 2022 to USD 45.11 Billion by 2032 at a Compound Annual Growth Rate (CAGR) of 33.18% during the forecast period. Furthermore, the report also stated that the Asia Pacific region is currently ruling the market with approximately 41.7% shares. This means that the heavy-duty EV charging infrastructure will soon be exponentially growing in India. Conducting meticulous market research will lead you to a better understanding and help you decide which business model will be more appropriate according to your budget.
Select EV charging business model:
There are several EV charging business models you can choose from, depending on what you feel works best for you:
Local fast charging networks:
Business owners who already have their own properties can provide EV charging station services to their customers. This business model can improve their customers’ experiences. Choosing this model will help business owners boost their footfalls, increase their sales, and give them an edge over their competitors.
EV-based Fleets and Enterprises:
Major businesses like Uber and BluSmart are rapidly expanding their use of electronic fleets. Fleet managers are investing in electric cars to meet demands pertaining to government guidelines and goals to achieve Net Zero Emissions and provide seamless services to customers. Another advantage that fleet owners have is that of finances. The adoption of electric vehicles contributes to lower expenses on recharging and tax rebates for employees. Electric fleets offer the advantage of lower maintenance costs and advanced technology that provides real-time data for better operations and planning. The combination of environmental consciousness, financial incentives, and advanced technology makes the transition to electronic fleets attractive to businesses.
Commercial EV Charging Business Model
Businesses with available parking spaces can offer EV charging services, including large food chains, retailers, and hotels. They can consider adopting an EV charging station business model to attract customers who drive electric vehicles. Even small businesses can invest in this model with low investment and risks. Implementing a charging point management system (CPMS) helps handle user billing effectively.
When choosing an EV business model, it is important to consider the ongoing costs, the types of drivers who will use the charging station and the nature of the business itself. The EV charging industry is growing quickly, so adaptability and scalability are essential. Charging points and business models can vary depending on the location, so it is crucial to partner with a charging provider who takes the time to understand your specific needs.
Find the Right EV Charging Software
Once your business model has been decided, the next thing you will require is seamless EV charging software (a.k.a EVCMS and EV Charging/Central Management System/Software). CMS is a software platform allowing operators to monitor, control, and manage multiple charging stations from a centralized location. It provides features such as real-time monitoring, remote diagnostics, session management, billing, and reporting. There are three types of EVCMS depending upon the business model you choose.
White Label EV Charging Software:
White label EV charging software are ready-to-use software solutions that allow businesses to brand the software as their own. This software’s features can be customized according to your choice of business model while maintaining the essential charging management features. In YoCharge’s White Label EVCMS, you will only have to pay a one-time fee for the branding and customization. After that, it would be a monthly or yearly subscription payment. This software model is available for EV charging businesses that are outside India. If you are looking for an EVCMS provider, YoCharge is one of the rapidly growing EV Charging Management Software Solutions providers in the EV charging market. We are known for launching White label EVCMS platforms within a span of just seven days!
EV Community Charging Software:
This software platform is for small EV charging businesses and people who are looking to earn a passive income by sharing EV chargers. The community software is free of cost, but businesses or people will be charged a small amount every time an EV driver makes a transaction to charge his electric vehicle. Also, the EV charging location on the maps of these businesses will reflect YoCharge’s brand name.
Fleet Management Software:
This type of software is designed to manage charging infrastructure for fleets of electric vehicles. It provides features like fleet tracking, scheduling, reservation systems, and monitoring of vehicle charging status. It helps fleet operators efficiently manage their charging resources.
All of this EV charging software come with mobile applications as a default. Also, YoCharge has a unique Scan, Pay & Charge, which can be easily done by scanning the unique QR code through your payment app. It does not require downloading any mobile apps.
Purchase compatible hardware
Now that you have sorted the business model and the EVCMS, it’s time for you to now decide on compatible hardware or, in other words, compatible EV chargers. There are three different EV chargers depending upon the charging speed and vehicles- Level 1, Level 2, and Level 3 chargers. Level 1 & 2 are compatible with all EVs, but Level 3 chargers are mostly compatible with heavy-duty EVs. As discussed earlier, Level 3 chargers are yet to be established around the country as the heavy-duty EV industry is still pretty much in its initial stages of growth.
Level 1 Chargers –
These are the most common EV chargers that are found in homes. The charging speed of this charger is the slowest, approximately 5-6 hours. These chargers are best suited for EV owners who can leave their vehicles on charge overnight.
Level 2 Chargers –
These chargers can be found in some residents but commonly in commercial or retail properties. Many turnkey EV charging solution providers prefer using this charger as the charging time is 1-2 hours maximum.
Level 3 Chargers/ DC Fast Chargers
These are the fastest charging chargers that have a charging time of approximately 20 minutes. These chargers are mostly available on highways and major thoroughfares.
How To Generate Income Through EV Charging Network
Finally, coming to our main subject, we’ll now be discussing different methods through which EV charging businesses can generate income:
Open EV Charging Stations at Retail Locations
Any location that receives major footfalls, like malls, schools, colleges, busy markets, etc., should be given first priority when considering any business. If you own a business around any of these places, setting up the charging stations will be smart.
Advertising & Sponsorships
Doing 360 degree advertising is very important for any start-up business. Printed ads in newspapers and running ads on Cable TVs are one thing, but if you want to create your brand’s presence, then you should turn to advertising on social media platforms. If you haven’t much expertise in social media or SEO, then you can outsource the job to digital marketing services, as they have skilled professionals for it. Most agencies also provide PR services along with digital marketing. Other than this, you can participate in EV exhibitions and related events. Also, sponsoring other events will generate brand awareness and customers for your business.
Value Added Services
Providing your customers with EVCMS features like pre-booking charging sessions and loyalty programs will help you generate loyal customers and revenue. Also, offering flexible payment options that ease the customers are a plus. For example, scanning the QR code and directly paying for the charging session.
Memberships & Subscriptions
Offering your customers monthly memberships for special discounts and exclusive offers would help retain loyal customers for your business. Perks like priority access to charging stations and giving vouchers from partnered businesses will also generate crowds in your charging stations. You can provide premium subscriptions on fixed monthly/ annual fees for unlimited charging or discounted rates based on usage volume, encouraging regular and long-term customers.
Adjusting Charging Rates during peak & off-peak hours
EV charging software can adjust charging rates based on electricity demand and grid conditions. The charging rates can automatically increase during peak hours to encourage EV users to charge during off-peak hours. This helps in load balancing on the grid and helps users save money by charging at more cost-effective times.
Data Analysis
Regularly analyzing data on the EV charging software will help gain a better understanding of consumer behavior, charging patterns, peak and off-peak hours, loyalty points, discounts and offers utilized, number of walk-ins daily/weekly/monthly, etc. You can use this data and plan business strategies accordingly.
Wrapping UP:
We hope this blog has given you the insights you were looking for to generate income through your EV charging network. Taking advantage of the EV charging business now would be the best time as many cities in our country still need the required amount of EV charging stations. If you want seamless EV charging software solutions for your business or want to know more about our services, you can connect with us at +91-9462878912 or Whatsapp.
Related Blog – How to Make Money using of White Label EV Charging Software?
