Two for the road
Environmentally friendly two-wheelers are hip, fast and even sexy, but don’t expect them to become daily transportation for the masses
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October 2011
Paul Thede made headlines this August when he exceeded 200 miles per hour (322 km/h) on an electric motorcycle for the first time. Although fast, environmentally friendly and cool, electric motorcycles have two major drawbacks – limited range on a single charge and a higher price tag than a petrol-fuelled equivalent.
Much like their electric four-wheel counterparts, battery-powered motorcycles are in production and available in many markets around the world. But like the Segway (promoted early on as a game-changer), electric motorcycles are unlikely to achieve near-term mass production or mass-market saturation in Asia, or elsewhere, despite the efforts of Thede and many others to bring them into the mainstream market.
“Breaking the 200 mph barrier on an electric motorcycle is really special because it isn’t just another record; it’s a step towards furthering ‘green’ technology around the world,” Thede says. “It’s not a matter of if, but a matter of when.”
Believe it or not, a large dose of reality can put a damper on such enthusiasm, according to Simon Clarke, Director at Synovate in South Asia. “Motorbikes in Asia are a utility, used for basic family or business transportation. If you have travelled in Asia, you will have seen a family of four on a bike or people transporting anything from fresh produce and animals to window frames, boxes and crates. So the decision for purchasing a bike is a very rational one.”
Some electric bikes are sold in Asia, although it is relatively small in comparison to the total vehicle sales. “But, I would guess that most of them are purchased based upon rational cost factors,” Clarke says. “There is also the issue that in some parts of Asia, especially developing markets, electricity is not guaranteed and there can be shortages and periods without any electricity.”
Electric motorcycles also face some competition in the two-wheel market with battery-powered bicycles. Taiwan and China, for example, have reasonably high penetration rates. Clarke estimates that 10-20 percent of all two-wheel vehicles in China are electric bicycles.
Synovate Motoresearch Associate Director Sumit Arora agrees with Clarke’s view. “Motorcycles or two-wheelers are very rational purchases, especially when considering fuel choices,” Arora says. “Low running costs and high mileage are the most important factors for all two-wheeler owners. In India, the electric or alternative-fuel market is negligible. There is not enough infrastructure to support electric two-wheelers or alternative-fuel technologies, so no major manufacturer has until now offered two-wheelers or alternative-fuel products. Current petrol products offer very high mileage and low running costs – 80km per litre is the norm in the economy segment (100cc). Whoever brings in electric two-wheelers or alternative-fuel technologies will have to beat this benchmark significantly.”
In Japan, the situation is a bit different, according to Synovate Research Director Shinya Goto. “Motorbikes are purchased for two reasons in Japan. One is their aura, such as dynamic design, powerful sound, speed and feel of the wind,” Goto says. “Both youths and adults prefer it and some affluent people even purchase Harley Davidson motorcycles. Another is utility, but this does not mean lower cost of purchase. Rather, it is the ease of parking a motorcycle at home or your destination, as well as getting through traffic.”
Bicycles are regarded as cool in Japan for two reasons, he says. “The first is that they are environmentally friendly with no emissions and the other is that they are good for your health. So, racing-type bicycles are becoming more popular in Japan. Electric motorcycles cannot meet all of these points. They may not be dynamic enough and cannot be ridden for long, so they are not suitable for touring. In addition, electric motorcycles may not appear to be electric at first glance. This is not good for people who want to show off that they are driving a no-emission motorcycle.”
All in all, even if electric motorcycles are the hippest toys around, consumers are not likely to be so quick on the uptake when basic necessities such as electricity access may affect the penetration of such bikes, like in Asia. Countries where consumers can realise the green benefits, however, may start to see two wheels as better than four.
For more information, please contact Simon Clarke, Director at Synovate in South Asia at simon.clarke@synovate.com, Synovate Motoresearch Associate Director Sumit Arora at sumit.arora@synovate.com and Synovate Research Director Shinya Goto at shinya.goto@synovate.com.

