From Code to Revenue: Mastering the Steps of E-Scooter App Development

According to a recent Simon-Kucher & Partners Global Sustainability Study with over 10,000 participants in 17 countries, there has been a noticeable change in consumer perceptions regarding sustainability. 85% of global consumers were found to be adopting greener purchasing habits, with Millennials and GenZ contributing significantly to the change.

The EY Mobility Consumer Index (MCI) 2022 study, encompassing nearly 13,000 consumers across 18 countries, reveals that consumer confidence in electric vehicles is growing, with 52% considering fully electric vehicles or hybrid vehicles.

Over the years, consumer concern has changed, taking into account both financial and environmental factors. This opens up a latent business opportunity for those who look to invest in electric vehicle apps. One such excellent app opportunity is electric scooter app development.

The e-scooter sharing app, or e-scooter rental app niche, is steadily gaining traction. Navigating the streets on an eclectic scooter isn’t only sustainable, it is also fun! Join us as we navigate the nuances of e-scooter sharing app development and explore the opportunities as well as challenges of this terrain.

What Is the Demand for E-Scooter App Development?

Market Overlook

The electric scooter market worldwide, valued at USD 37.07 billion in 2023, is anticipated to grow at a CAGR of 9.9% from 2023 to 2030. (Grand View Research)

The Asia-Pacific Electric Scooter Market is expected to reach $625.03 billion by 2029, with a projected CAGR of 28.9% between 2022 and 2029. Additionally, the market volume is set to increase at a CAGR of 26.4%, reaching 266.04 million units by 2029. (Meticulous Research)

Trends and Potential Growth

Though seen as a high-end specialty, electric scooters are becoming more and more popular, especially in large European countries like Italy, Spain, France, Germany, and the UK. There has been a steady increase in registrations in these areas for the past three years. (IDTechEX)

More than 1.5 million journeys were made on dockless e-scooters and e-bikes in 2022 alone. (National Association of City Transportation Officials)

A Quick Look at E-Scooters in Vietnam

By 2024, Vietnam’s E-Scooter-sharing sector is expected to bring in US$178,500 in income, with a compound annual growth rate (CAGR) of 11.14%, predicting the market volume to reach US $272,300 by 2028. (Statista)

Vietnam ranks second in the world, behind China, in the ASEAN area for two-wheeler electrification. (MotorCycles Data)

All of this is to say that the e-scooter market is growing steadily with latent potential. It is not too late for a new electric scooter rental business to join the market.

How E-Scooter Sharing Apps Work

New users of e-scooter mobile apps first need to download the application, then browse the app to find the nearest scooter location, scan the QR code on the vehicle, and take the ride. After the ride is finished, users park the scooters at designated parking spots (if available) and pay. The sum is automatically calculated and charged after the ride has ended.

For the scooter-sharing business, however, things are a bit more complicated. First, businesses need to place charged scooters in areas with a large volume of pedestrians. The company also takes care of recharging and maintenance of the vehicle. There are often designated parking spots, but some e-scooter companies allow their users to park their vehicles anywhere as long as it does not obstruct traffic. This can be risky and harder to manage, however.

Why Develop E-Scooter Apps?

The e-scooter business is attractive. Here are four more reasons for you to consider e-scooter mobile app development if you are still pondering.

Environmentally Friendly

E-scooter apps contribute to a more sustainable urban environment by reducing carbon emissions. This is especially important given the real and apparent consequences of climate change.

Reduced Traffic Jam

Electric scooters help alleviate the problem of traffic jams. Along with public transportation, e-scooters are a great way to reduce stressful traffic congestion.

Convenience

Electric scooters are a convenient mobility option. They are flexible and easy to rent when one is running an errand, going to work, or even traveling and wants to sightsee more. The payment is automatic, making the process easy and intuitive.

Key Features of an E-scooter Sharing App

User Registration

The registration process should be short and quick. New users are most likely downloading and registering outdoors to use the electric scooter rental app right away, so make it intuitive and only ask your users for the essential information. It would be even better if they could register using their social media accounts.

GPS Integration and In-App Navigation

The fundamental feature of every electric scooter-sharing app is enabling users to easily locate and view nearby scooters on the map. Users can check the scooter’s status and battery life and reserve it for a ride with a simple tap. In addition, the app enables users to track their route and provides navigation guidance to their destination.

Payment Gateway

Most successful e-scooter app development services have payment gateways to automatically charge the fee after each ride. Since payment information is sensitive data, make sure you use a secure payment gateway during the development process.

QR Code Scanning

One more essential feature is the ability to scan QR codes so users can quickly unlock and access their vehicles.

Smart Lock

While QR code scanning helps you unlock the vehicle, having a smart lock provides users with more security and peace of mind by locking it.

Reporting and Feedback

Incorporating a feature that allows users to report issues and give feedback can greatly enhance their experience with your electric scooter app. This feature enables your business to identify any problem areas and address them promptly, ensuring the continued quality of your service.

Legal and Regulatory Considerations

E-scooter apps face several unique challenges regarding the law and safety regulations.

Compliance with Local Transportation Laws

It’s important to note that the electric scooter service is subject to local transportation laws and regulations. Depending on the city or country where you plan to operate, there may be a variety of permits, licenses, and safety regulations that you need to comply with. You also need to be mindful of where and how e-scooters can be used in certain locations.

Safety

User safety is a huge concern for electric scooter services. Your app should have safety guidance and tips before every ride, and speed limits and other relevant guidelines should be implemented to ensure responsible riding.

Scalability

As your user base expands, your app needs to seamlessly manage the surge in traffic and demand, requiring robust scalability in both infrastructure and app architecture.

E-Scooter Development Steps

Market Research

It is a great start to define the goal, niche, and vision of the application, but don’t forget to conduct thorough market research. What does the demand look like? Who are the top players on the field? What are they doing well? What can your product do better?

Keep asking yourself questions and adjust the goal, vision, and scope along the way.

Define the Features of Your Product

The next step is to choose the features. There are, of course, essential features that an e-scooter app should have. However, no two apps are the same, and slight tweaks or differences in the UI/UX design might provide your customers with entirely different experiences. It is best to consult a professional scooter app development company like Orient Software to select and define the best features.

Write the Code, Test, and Launch the First Version

At this stage, you can choose to build a software development team from the ground up or outsource scooter app development services. While an in-house development team gives you full control over the project, the recruitment process is costly and time-consuming, possibly resulting in cost overruns. Outsourcing app development companies helps you keep your budget under control while also having access to a massive talent pool. With the right strategies, you can even save money.

The codes should be tested throughout the development process to make sure there are no bugs or issues. Testing is an integral part of any software development projects, so you can deliver a reliable app and the best customer experience.

Then, your app is ready to launch!

Feedback, Maintenance, and Update

The first launch will most likely receive feedback from users. Be open, listen to suggestions, and continue to work on improving the app. While improving the app is important, don’t forget to do regular maintenance work and update the application, ensuring its performance and security.

Making Money with E-Scooter Apps

Pricing Models (Per-Minute, Flat Rate)

Pricing models are a straightforward monetization strategy, and there are several ways to go about this.

Charge users per minute: Similar to a taximeter, you charge users every minute of the ride. The rate might fluctuate based on the demand or time of the day, but once users start their rides, the number should stay the same.

Flat rate: For this model, you can set a base fee (e.g., a set fee for the first 30 minutes of using the scooter) and charge an additional fee based on the time or duration traveled.

Partnerships with Local Businesses

Collaborating with local businesses presents an excellent opportunity to provide users with exclusive discounts at selected restaurants or retail stores. Sponsorships can further amplify this approach, not only boosting revenue but also elevating the user experience with additional benefits and perks.

Advertisements Within the App

In-app advertisement is another common revenue generation strategy. You allow businesses to place their ad within your app in the form of banners, pop-ups, or sponsored content. However, you need to be careful with this model because showing too many ads might scare users away.

Subscription Plans for Regular Users

By offering subscription plans, loyal users can enjoy exclusive perks such as reduced riding fees, extended reservation times, and exclusive promotions. This monetization model not only brings in a steady stream of income but also encourages customer loyalty and helps to build a strong customer base.

Are you ready to earn your first revenue stream from your won e-scooter app? If the answer is yes, don’t hesitate to contact the Orient Software team so we can help you kickstart the project!