Since this article contains some of the latest info, as well as quoted lots of direct comments from Mr. Hu, which looked to me are genuine and fairly accurate, I’d like to fine-tune the translation of some of the important parts of it, and even add my own comments for your reference here. Here we go -
In Hangzhou, a "micro-bus" Tornado is blowing, and it is "blowing" into other cities.
About 5000 Kandi EVs have been delivered to consumers through CarShare and group long-term lease. There are two-seater and four-seater models for consumers to choose from. Rental fees by the hour: 2 car 20 yuan one hour, an annual rent of 9,600 yuan; 4 car 25 yuan one hour, an annual rent of 14,400 yuan. (My comment: sounds like the annual rental fees are standardized by now)
"We have a membership card, Annual rental system and other services, but we only rent not sell." Mr. Hu told reporters. He always uphold such a concept - at the current stage, PEVs can only be used, but not yet owned. Therefore, the matching business model is to rent but not to sell.
The key reason (bottleneck) is battery. "In lease format, we can take care of battery repair and maintenance. Frankly, currently battery technology has not reached the stage that you can “sell it and forget it”. We can’t deceive consumers about this fact. Battery will certainly have problems.". Mr. Hu said.
Micro-bus EVs have the maximum speed of 80 km / h, a full charge can travel 60-80 km. "If it is used for a short range purpose, such as go to work, go shopping, pick up kids, buy food, or go visit a friend or relatives, etc. then the micro-bus has already met the need as a transportation tool. ". Although Micro-bus still is facing Battery dilemma, Mr. Hu Xiaoming believes that as long as it has a clear position in the system, Micro-bus has a lot it can do.
To use a battery to its maximum limit is what "micro-bus" should do. Insiders know that as the usages grow, the battery will decay. Several factors will affect the battery’s life. "Draw a radius circle of your daily life, and you would realize that 60-80 km usage a day is enough." Mr. Hu said. This is a very large customer pool, once the service facilities built up, "micro-bus" runs through the entire city like public bicycle does, then perhaps it is not even necessary to buy a car.
Market: in short supply
Comparing with the pitiful amount of EVs sold, Hangzhou people more pleased to rent an EV. Since 2013, Hangzhou has increased 4436 rental EVs, but only sold 100 or so NEV. This to some degree proves Mr. Hu’s saying that NEV doesn’t replace ICE, but compliments it.
This May, Hangzhou Zhuantang Xiangshan community signed with Kandi a 707 "micro-bus" 3-year term lease. "Now residents are regret that they have rented too little," Xiangshan community leader Mr. Hu zuqing told the reporter. More residents strongly requested to rent more EVs.
“'Micro-Bus' usage in our hotel is quite high. We have eight EVs, often left only 1 or 2 cars. Sometimes the car is not enough, guests need to make reservations in advance." Radisson Hotel staff told us. Cars are rented mostly by the hotel guests.
Kandi plan to build 100 or so "micro-bus" parking garage and flat sites this year. In addition to hotels, the company also hopes to cooperate with supermarkets and other property. Moreover, through the improvement of APP, online booking or phone booking, etc., the car rental experience is also expected to be improved.
Prospects: Out Hangzhou
10 days ago, 208 Kandi "micro-bus" had been put into trial operation in Shanghai. Kandi said that operating model achieved in Hangzhou "micro-bus" will be replicated in other cities. August 14, the first Kandi EV has gone on the road in Jinshan District of Shanghai. It is understood that the Shanghai micro bus rental price system will copy the Hangzhou standards.
"So far we have been approached by city of Chengdu, Kunming, etc. They all stongly want us to go to their cities and start the 'micro-bus' projects." Mr Hu told reporter. The reasons "micro-bus" model is successful are 1) appropriate market positioning, and 2) "using correct type of battery to build suitable cars. "
With regards to the issues like insufficient charging Infrastructure, etc, Mr. Hu thinks that they don’t hinder "micro-bus" expansion. "Today ‘Micro-bus' has become a model. The fact that so many cities welcome us to go there shows that as long as the market positioning is precise, then there will be a huge demand.". Mr. Hu also predicted that, with a series of new policies to promote NEVs, "micro-bus" will usher in an explosive growth next year.
AI
