Indian e-scooter and bicycle company Hero Electric has partnered with OTO Capital, a two-wheeler finance startup, to bolster the e-scooter industry, the Economic Times of India reported on Tuesday (February 8th).
The team will offer low-cost business-to-business (B2B) financing solutions in the electric scooter category. B2B partners using OTO’s flexible plan will now be able to book a test drive with the scooter of their choice and will enjoy greater flexibility in how they pay.
Under the agreement, Hero Electric will deploy more than 20,000 vehicles by 2023. Additionally, other financing options for the Hero Nyx line of bikes will be added, according to the report.
CEO of Hero Electric Sohinder Gill said the partnership would provide easier financing options and provide a model for sustainable transportation.
“With the government’s emphasis on the adoption of electric vehicles, we are confident of greater acceptance of clean and electric mobility in India,” he said, according to the report. “The lease option is an attractive concept for the growing Indian customers.”
Meanwhile, the co-founder of OTO Sumit Chazed cited the popularity of two-wheelers in the country, saying growing customer interest is helping the industry gain momentum.
PYMNTS recently wrote that micromobility is growing in popularity for several reasons, including that sometimes traveling by car isn’t the most practical way to get around a particular area.
Read more: Connected micromobility solutions tackle the “last mile” of the daily commute
Smaller, more environmentally friendly means of transport are especially good for tourists, allowing them to see more sights.
“It’s of course used by tourists, and increasingly, as the service has become wider and more reliable, we’re seeing it becoming part of people’s daily journeys,” said Jonathan Hannestad, director of the Helbiz operation, at PYMNTS.
Helbiz offers micromobility services worldwide, with a focus on Italy and the United States. Recently, this company partnered with Google Maps to show their products on the map with the approximate location.
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NEW PYMNTS DATA: 70% OF BNPL USERS USE BANK PAYMENT OPTIONS, IF AVAILABLE
On: Seventy percent of BNPL users say they would prefer to use the installment plans offered by their banks – if only they were made available. PYMNTS’ Banking On Buy Now, Pay Later: Installment Payments and the Untapped Opportunity of FIssurveyed over 2,200 US consumers to better understand how consumers view banks as BNPL providers in a sea of BNPL pure-players.
