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Why is Zypp Electric Expending so many Electric Scooters for Last Mile Delivery?

Recently, Akash Gupta, the Co-Founder of Zypp Electric, announced that Zypp Electric intent to deploy more than 20000+ delivery electric scooters by December 2025. The Gurgaon-based, Electric vehicle as a service startup is also concentrating on advancing its operations to Pune, Mumbai, Jaipur, Calcutta, Hyderabad, Chennai, and Ahmedabad too. They are in the final stages of talks for raising Series B funding of $ 25-30 million.

Cited by Zypp, they are adding more than 1000 vehicles month over month, which helped them in saving 29 million Kilo grams of CO2 till now. The leading electric vehicle providers plan to arrange 100,000 EVs in the next 18 months and further double that frequency in 2025, mainly supporting last-mile deliveries. 

Now the question arises, why is Zypp Electric so focused on deploying more and more Electric vehicles for the last delivery model? What’s the need for this?

What is the last-mile delivery concept?

Last-mile delivery is the end stage of the whole e-commerce trade. It is the term used for the transportation/shipping of a parcel from the nearest and dedicated warehouse to its final destination, such as the customer’s house or your workplace. The main aim of employing last-mile deliveries by several leading brands is to provide a satisfactory customer experience while reducing the company’s costs at some time. But due to inefficient transport structure and lack of human resources, last-mile delivery can become tricky. 

E-commerce growth spurt in India.

According to a joint report by consulting firm Bain and Flipkart, during the financial year, there was a 25% growth in e-retail during F.Y. 2020-21. Due to the recent surge in the E-commerce sector in India, the need for a fast and reliable logistic chain has become crucial. Customers’ only trusted brands or e-stores provide them with an easy and quick Shipment process. Several brands are trying to capture the maximum share of the customer base through this lucrative delivery model.

But all this can put delivery riders’ environment and safety in a tough spot. A recent study discovered that 66% of total trips made in India are last-mile deliveries, contributing to maximum pollution.

Alliance of E-commerce and Last-mile Delivery.

India brand equity finance(I.B.E.F.) is a trust set up by the Department of Commerce and Ministry of Commerce and Industry to endorse and initiate international awareness for the Made in India label in overseas markets. The trust disclosed, “India’s social commerce can expand to $16–20 billion in FY25, growing at a Compound annual growth of 55-60%. India’s e-commerce market will likely reach $111 billion by 2024.”

Need of Electric Vehicle for last-mile deliveries.

Easy rentals, abundant space for storing parcels, low maintenance costs, and no need to spend thousands on fuel make electric vehicles the first choice for many logistic companies and brands for their last-mile delivery. There will be no harm in saying that India’s e-commerce penetration depends entirely on last-mile delivery efficiency. If we want India’s place to be prominent in the global supply chain, we must consider our current logistic situation seriously. 

Suppose we compare the state of India’s last-mile delivery to other leading global markets, such as the U.S.A. or China. India’s last-mile delivery market is heading in the same trajectory as markets like China and U.S.A., where the penetration has reached more than 10%. If the market is favorable, India is ready to strike a market size of $6-7 billion by 2024.

That being the case, the leading electric vehicle as a service provider, Zypp Electric vehicle, is all set to grab this opportunity by deploying many of their electric vehicles for the last-mile delivery model.

Recently, Zypp partnered with Gogoro Inc., a global leader in the 

battery swapping industry for a strategic B2B initiative and partnership. The amalgamation of both companies primarily focuses on advancing urban shift of logistic trends and last-mile delivery to electric by using battery swapping technology. The project primarily focused on increasing the quantum of last-mile delivery in India and reducing pollution. 

With an accelerating population rate, climate change, and budding players every day in the e-commerce space and instant delivery service players, India needs a reliable logistic chain with a strong backbone to support the economy. Reliable last-mile delivery can also be a game changer for India’s tier 1 and 2 cities. With 100% environment-friendly electric vehicles and zero maintenance cost, Zypp is the preferred last-mile logistic partner for many leading brands such as Zomato, Swiggy, Big Basket, Amazon, Flipkart, Myntra, PharmEasy, Jio Mart, Delhivery, Spencers. 

With the abundance of opportunity for Electric Vehicles in the logistic chain, it is expected that Zypp to invest their E.V. as a service for strengthening last-mile delivery. The Indian government also supports the whole E.V.sensation by giving various subsidies and tax benefits. 


Team Zypp Electric
Team Zypp Electric

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