With the sustainability movement on its rise, the automotive industry is witnessing noticeable changes in the last decade. One of the biggest consequences of this is the prominence of electric vehicles for urban mobility transportation. If you are considering investing in an automobile dealership, this question must have occurred in your mind to analyze which is better- E Rickshaw Dealership or Traditional Vehicle Dealership? In this blog, we will attempt to answer this question with practical reasons. Let’s compare and get to a conclusion.
Comparing Traditional Vehicle and E Rickshaw Dealerships
1. Investment and Setup Costs
The startup cost in an e rickshaw dealership is usually lower than traditional. The infrastructure of the showroom is simpler and space required is lesser. E rickshaw components are smaller and less, hence spare part inventory required is also smaller. On the other hand, traditional vehicles require larger space, more maintenance workshops, and more marketing budget due to high competition against established brands. Therefore, e rickshaw dealership is more affordable for entrepreneurs and low risk entry point.
2. Market Demand and Growth Potential
E-rickshaws are seeing increasing demand, particularly in countries like India, where the need for affordable transportation is always high. As there is global focus on sustainability, and government incentives for electric vehicles are motivating, E-rickshaw dealerships can benefit from shifting consumer preferences. Fleet operators to local owners, the overall consumer base is growing. On the other hand, fuel prices are volatile and will continue to rise as they are limited resources. The market for traditional vehicles also gets saturated due to lack of innovations. To conclude, the E rickshaw dealership has a lot of potential growth in the market.
3. Environmental Impact and Consumer Sentiment
E rickshaws produce zero emissions and make minimal noise. They are becoming a reliable tool to combat global air pollution. Therefore, consumers are seeking them as a weapon against global warming and shifting towards urban transportation for short distance and last mile connectivity. On the contrary, traditional vehicles uses fossil fuels, and government bodies are taking steps to limit the use of these vehicles to curb pollution. E rickshaw dealership aligns with the environmental safeguarding trend and a better option for business practice in a climate conscious world.
4. Government Policies and Support
Government subsidies, tax exemptions and incentives reduce the burden on business operations and encourage e-rickshaw dealers. Traditional vehicle dealerships do not usually benefit from it and even get impost with environment compliance costs. Clearly, government support is in favour of e rickshaw dealerships, offering financial assistance and long term viability.
Conclusion: Which is Better?
Both E rickshaw dealerships and traditional vehicle dealerships have their advantages, but investing in E rickshaw dealership seems a smarter option in today’s day and age for high profitability and sustenance of business. Manufacturers like Jagran Motors support e rickshaw dealership by providing sturdy built e rickshaw that give high performance. They have excellent after sales support for quick maintenance assistance and repairing services. The consumer repeatability factor is high for these rickshaws, making them a sure shot choice for a highly profitable deal and healthy manufacturer-dealer relationship.