Frost Radar: Electric Two-wheeler Battery Swapping Stations, 2022

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Battery swapping stations are an important component of the $40 billion electric two-wheeler industry. The battery swapping market is in the growth stage and moving toward consolidation.

The food delivery and courier, express, and parcel industries have been making the move to electric mobility fleets, most notably with the use of two-wheelers, because of the promise of convenience and faster delivery times. A battery swapping mechanism would be an integral part of a successful new mobility operation, allowing fleet managers to minimize vehicle downtime through quick changes, mobile swapping stations, or even on-demand battery delivery services.

A lithium-ion battery is about 40% of an electric two-wheeler's cost. A battery swapping station network would allow manufacturers to produce vehicles without the power source and save money on battery management system (BMS) development, software updates, and charging infrastructure. Vehicle owners would benefit in that they would always have access to the latest battery technologies.

To gain a competitive advantage, swapping systems must be compatible with a variety of vehicle brands and types and have a future-ready design to easily accommodate advancements in battery technology. An ideal network would be able to offer batteries for several types of vehicles.

The Frost Radar™ reveals the market positioning of companies in an industry using their Growth and Innovation scores as highlighted in the Frost Radar™ methodology. The document presents competitive profiles on each of the companies in the Frost Radar™ based on their strengths, opportunities, and a small discussion on their positioning. Frost & Sullivan analyzes hundreds of companies in an industry and benchmarks them across 10 criteria on the Frost Radar™, where the leading companies in the industry are then positioned.