Makers of electric bicycles, who until recently did nearly all their business in Asia because of tepid demand in the U.S., are suddenly seeing their revenues explode but it’s not bikes that they’re selling.
Manufacturers like Van Nuys-based Currie Technologies have changed gears somewhat to meet America’s newest transportation craze: two-wheeled electric mini-scooters.
“Last year’s revenues were $600,000 in total, but in June our revenues were $1.5 million and every month since it has been consistently over $1 million,” said Currie Technologies co-founder and Chief Executive Malcolm Currie, the former CEO of Hughes Aircraft who patented the propulsion system used in his scooters.
Company President Ken Justice says the firm has experienced such tremendous growth in the last 18 months that he expects revenues to hit anywhere from $8 million to $10 million this year. Of that total, 70 to 80 percent is expected to come from electric scooter sales in the United States.
The company currently sells three models of electric scooter: the Phat-E (priced at $599) and Phat-Phantom ($499), and the Scoot-E, which is made exclusively for sale at Sam’s Club stores. In fact, business is so good that Currie’s manufacturers based in Taiwan and Thailand, and expanding into China, can’t supply the scooters to the U.S. market fast enough to build inventory.
“We are literally having to pedal faster to keep up with the high demand,” Justice said.
Currie is introducing three new models in the near future: the Phat Flyer for $589, a high-performance scooter with a more powerful motor; the Phat Long Ranger for $699, which will go twice the distance of the other models (meaning 17-18 miles without a charge); and a specialty scooter for the rental business whose price has not yet been determined.
Edward Benjamin, managing partner of CycleElectric International Consulting Group who projects U.S. industry sales of over 300,000 units for the coming year believes these scooters represent more than just a fun fad.
“Electric motor mini-scooters are the first small electric vehicle success story, paving the way into the future where every vehicle will be electric,” Benjamin said. “Humans won’t be driving cars after this generation because we don’t have an unlimited supply of gasoline. We are the last generation of the human race that will regard a gasoline automobile as ordinary transportation.”
Besides the electric scooter’s broad appeal among baby boomers, retirees and teens, Justice says they are practical for almost everyone. “They are easy to store and recharge and can be packed onto a private airplane, boats and RVs for land transportation, and kids are now using them for transportation to school in lieu of automobiles,” he said.
The hottest brands of scooters, beside Currie Technology’s Phat E and Phat Phantom, are the popular Zappy electric scooter at $499 and the City Bug at $699. But price tags can soar to $1,650 for scooters with fancier features, including higher speeds and longer ranges, alloy frames instead of wood, faster charging times and comfortable seats and big baskets.
Most mini-scooter models can be purchased through mass merchandisers, specialty bicycle shops, catalog retailers and e-commerce sites.
