In a time when electric vehicles were not yet in the spotlight, Zypp Electric emerged as a trailblazing leader in last-mile delivery fleet management. Founded by Akash Gupta and Rashi Agarwal in 2017, Zypp Electric embarked on a mission to revolutionize the Indian market by providing electric scooter solutions. Their vision was clear: to promote sustainable mobility and combat pollution by encouraging the widespread adoption of electric vehicles. With their innovative approach, Zypp Electric transformed the delivery landscape and paved the way for a cleaner, greener future.
“Solving the pollution problem presented the greatest opportunity within this business,” expressed Akash Gupta, reflecting on his motivation to venture into the industry. With a deep passion for travel, Gupta had personally witnessed the presence of clean air in numerous countries. However, in India, pollution remains a daily concern for its inhabitants. Observing the increasing adoption of electric vehicles in countries like the US and China, Gupta recognized the potential to introduce this transformative solution to India, offering its people a cleaner mobility alternative. Driven by his conviction, Gupta boldly decided to leave behind a lucrative job and embark on this entrepreneurial journey, starting the business from scratch. His vision was clear: to provide India with a viable pathway toward cleaner and clearer mobility options.
Zypp Electric introduced a groundbreaking business model in India that was previously nonexistent, stated Akash Gupta. As a comprehensive EV service provider, the company has taken on the mission of decarbonizing last-mile deliveries. By offering a full-stack solution, Zypp Electric is revolutionizing the way goods are transported, eliminating carbon emissions from the final leg of the delivery process. With their innovative approach, Zypp Electric is spearheading the transition towards a greener and more sustainable future for last-mile logistics in India.
“Our business model is truly unique because we employ a full-stack approach that has never been seen before,” emphasized the co-founder of Zypp Electric in an interview with Natnavi. He explained that Zypp Electric acquires vehicles directly from original equipment manufacturers (OEMs), incorporating their proprietary IoT technology onto these vehicles. The company collaborates with financiers to facilitate the acquisition of these vehicles. Subsequently, Zypp Electric recruits skilled drivers to operate the bikes. Finally, the company establishes partnerships with renowned delivery platforms such as Zomato, Swiggy, Amazon, Flipkart, and Big Basket to provide efficient and eco-friendly delivery services. This comprehensive and integrated approach sets Zypp Electric apart, paving the way for a truly disruptive business model in the industry.
Additionally, Zypp Electric has established a dedicated experimental team to train and oversee drivers, further highlighting their commitment to social impact. Akash Gupta emphasized that the business plays a vital role in supporting individuals from low-income backgrounds by providing employment opportunities as drivers within Zypp Electric. The company prioritizes a robust onboarding process to ensure that these drivers receive the necessary training and support to excel in their roles. By empowering the lives of individuals from economically disadvantaged groups, Zypp Electric not only drives environmental sustainability but also fosters positive socio-economic change within the community.
“We go above and beyond to provide our drivers with the industry’s best insurance service, offering coverage of up to ₹1 lakh for their personal well-being,” added Akash Gupta. In addition to insurance, Zypp Electric ensures that drivers have access to essential healthcare support, including on-call doctors and assistance with Yoga. With just a click of a button, drivers can avail themselves of a range of services, such as bike servicing, maintenance tickets, charging or swapping support, and even extra credit earnings. Zypp Electric strives to create a comprehensive support system for its drivers, offering a multitude of benefits and services to enhance their overall experience and welfare.
Akash Gupta highlighted the challenging circumstances that Zypp Electric faced during its inception, as the company was founded at a time when crucial elements such as electric vehicles (EVs), battery stations, suitable batteries, and even the knowledge required to ride electric scooters were scarce. These limitations posed significant hurdles for Zypp Electric throughout its journey. However, despite these obstacles, the company persevered and overcame the lack of infrastructure and awareness surrounding EVs. Through their determination and innovative mindset, Zypp Electric successfully navigated these challenges, contributing to the growth and development of the electric mobility ecosystem in India.
Despite facing significant challenges in securing financing for an electric vehicle startup, Zypp Electric’s co-founder emphasized their success in creating multiple layers of financing and establishing partnerships with like-minded OEMs. This strategic approach enabled them to overcome the initial funding constraints and progress toward their mission.
Zypp Electric currently operates a fleet of approximately 15,000 electric vehicles. However, their ambitious vision is to deploy 200,000 electric vehicles within the next two years and reach an impressive milestone of 500,000 electric vehicles in the following 3.5 years, as highlighted by Akash Gupta. Additionally, Gupta revealed plans to expand their operations by introducing Zypp Electric scooters in five more cities by the end of the current year. Presently, the company offers its services in two cities, and this expansion will further extend its reach and impact.
“We have the potential to expand into several global markets if we achieve success in India,” explained Akash Gupta, expressing Zypp Electric’s ambitious vision. The company aims to continue its expansion and contribute to decarbonizing last-mile deliveries on a global scale. With their target set to reach half a million e-scooters within the next 3.5 years, Zypp Electric envisions significant growth. Gupta confidently stated that this scaling effort could potentially lead to a business worth over 1,000 crore rupees, highlighting the substantial economic impact and market potential of their venture.
In its first year of operation, Zypp Electric generated revenue of ₹50 lakhs. However, the company is now aiming to achieve a significant milestone by entering the ₹500 crore club this year, as stated by the co-founder. This ambitious target highlights Zypp Electric’s rapid growth and expansion plans, reflecting their commitment to scaling up their business and becoming a prominent player in the market. With an impressive revenue goal in sight, Zypp Electric is poised to make a substantial impact in the electric mobility sector.