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Segway-Ninebot rolls into red-hot e-scooter market

By MA SI | China Daily | Updated: 2022-07-18 09:30
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A consumer participates in Segway Across America campaign for a journey on scooters in Seattle in August 2021. [Photo/China Daily]

Personal vehicle maker adjusts products to fit consumers of other countries

Segway-Ninebot, a Chinese company known for its self-balancing scooters, will push to expand its presence in the global short-distance transportation industry after its products and services have now become available in more than 100 countries and regions.

Aiming to be a pioneer in micromobility, Segway-Ninebot's efforts to resonate with global consumers offer a peek into how forward-looking Chinese tech companies are exploring overseas markets in unique ways.

Segway-Ninebot's international ambitions come as a growing number of workers around the world are gravitating towards micro-mobility vehicles such as bicycles, electric mopeds and electric kickscooters, after the COVID-19 pandemic abates and people began traveling more short distances, according to consulting firm McKinsey & Co's research.

Nearly 70 percent of 6,000 respondents from China, France, Germany, Italy, the United Kingdom and the United States said they were willing to use smaller, more environmentally friendly forms of transport for their commute, McKinsey said in a report in December.

Wang Ye, CEO of Segway-Ninebot, said as a smart mobility company, it aims to offer global consumers zero-emissions transportation tools for a variety of travel needs within a radius of 50 kilometers.

Already the world's largest electric kickscooter-maker and providing over 75 percent of shared scooters worldwide, the company aims to grow its overseas presence by fully leveraging its research and development prowess, global business layout and supply chain advantages in China.

"We are a product-driven company. When designing a product, we must be aware that it is developed for global consumers, like people in Spain, Japan, China and the rest of the world," Wang said.

According to Wang, consumer preference for products differs significantly by geography and culture. For instance, when the company developed its first-generation electric kickscooter, its size was designed to accommodate Chinese consumers' body types, so it was equipped with only a 300-watt drive motor.

But when the product went on the German market, it had to be redesigned, for Germans are generally taller than Chinese. Otherwise, the product could only be sold to German children rather than adults. Also, the road conditions in Germany vary considerably from that of China. Therefore, the tires of the electric kickscooters also needed to be altered.

Wang also highlighted the importance of strict compliance with laws and regulations in different regional markets and the efforts to be part of local communities.

Huang Chen, senior vice-president of Segway-Ninebot, said it is of high importance to focus on key markets when going global and come up with different strategies to stay close to local users.

When Huang found out in 2020 that Graham Pollard, an online influencer, initiated a 4,000-mile cross-country journey in the United States with a Segway-Ninebot electric scooter, he reached out to him and sponsored the journey. Later, Segway Across America became a major event in the US market-held for three consecutive years, with many users joining in for a long ride and exploring the country.

Segway-Ninebot came into being in 2015 after Beijing-based Ninebot acquired Segway, which was established in the US in 1999. The background laid a foundation for its global business layout.

Currently, Segway-Ninebot has established a presence in sectors including self-balancing scooters, e-scooters, e-bikes, e-mopeds and all-terrain vehicles. It is also actively exploring emerging businesses such as delivery robots, robotic lawnmowers and other innovative businesses.

The company said it has extensive partnerships with more than 1,000 overseas retailers and e-commerce platforms, including Amazon, Costco, Walmart, Athena, Best Buy and Indiegogo.

Segway-Ninebot is just one of the Chinese companies that continue to expand their overseas business despite the fallout from the COVID-19 pandemic.

Annabel Lin, managing director of China specialists and Asia-Pacific international growth at Google, said, "Over the years, we have seen that Chinese companies that have invested in building their brands are able to achieve sustainable, quality growth and find resilience during financially stressful times."

During challenging times, those brands have managed to stay the course and increase their trust and relevance with consumers around the globe, Lin said.

China's supply chain advantages are also one of the keys to helping Chinese companies such as Segway-Ninebot go global. Based on China's complete and highly efficient supply chains, Segway-Ninebot said it has accumulated enough manufacturing experience, as well as good quality control capabilities and price bargaining power in key components, such as chips and electrical machinery.

China produced 3.64 million units of e-scooters in 2020, accounting for 85.52 percent of the total global output. Segway-Ninebot was the world's largest electric kick-scooter producer, selling over 2.3 million e-scooters that year, according to data market research company QYResearch.

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