Electric vehicle rental service operator eBikeGo has announced its ambitious plan to expand its e-two-wheeler fleet to 100,000 units by the fiscal year 2026. This decision comes in response to the rapid growth of the last-mile and e-commerce delivery segments. As of the first quarter of 2024, the domestic last-mile delivery and e-commerce business has been growing at a rate of 6.4%.
The increasing demand for direct-to-consumer delivery has highlighted the need for affordable and efficient transportation solutions. eBikeGo aims to meet this demand by significantly expanding its fleet. Over the past three years, the company has established a strong presence in seven metropolitan cities. Moving forward, eBikeGo plans to extend its operations to tier I and tier II cities across India.
The hyperlocal delivery segment, which eBikeGo caters to, is expected to grow at a compounded annual growth rate (CAGR) of approximately 16.14% from 2024 to 2029. This growth trajectory is projected to result in a market volume of USD 92.50 billion by 2029. The company noted that hyperlocal delivery models are also gaining traction in tier II and III cities, as well as rural areas.
Irfan Khan, founder and CEO of eBikeGo, emphasized the company’s success in metropolitan areas and its readiness to expand into smaller cities. Established in 2019, eBikeGo currently operates a fleet of over 3,000 e-bikes, serving businesses like Zomato, Swiggy, and various FMCG brands in major metropolitan cities.
By broadening its reach and increasing its fleet size, eBikeGo aims to capitalize on the burgeoning demand for sustainable and cost-effective delivery solutions. This expansion aligns with the company’s strategy to strengthen its foothold in the rapidly evolving electric vehicle market and support the growing needs of the e-commerce and last-mile delivery sectors.