Market Analysis for Electric Vehicle Charging Services

This market analysis focuses on the electric vehicle charging services industry, including industry overview, product nature, demographics and segmentation, target market, market needs, growth and trends, market share, potential, competitive analysis, and barriers to entry.

8. Market Analysis
8.1 Industry Overview
he automobile industry is preparing the electric vehicle retraction by the invention ofT
ingenious automobiles that are electrically inspired he electric revolution within the automobile. T
sector has additionally taken a different transformation with multiple countries increasingly recognizing
the importance of lectric Vehicles subsequently car manufacturers in various countries haveE , ;
adopted and paid more attention to the electric vehicle turnaround ith the e pected increase of the. W x
electric vehicle predomination in future the service technology industry will in addition have major, ,
impacts resulting from the inventions he demand for services in the industry is e pected to rise in the. T x
recent future in the nited States and Asia the outlook foretells major market polarization with an, U ,
e tension of more than by Consequently there will be a new approach in the servicex 35% 2035. ,
technology industry that will result to demand of the services his paper will focus on the service. T
technology industry and the services provided to the owners of the electric vehicles in a specific
market usain(H , 2011).
8.2 Product Nature
he business will offer simply one product but in three different levels of charging he serviceT . T
involves lectric vehicle charging which will consist of the fi rst level where only charging services willE , ,
be offered the second service is that of supplying of electric vehicle equipment for V owners who, E
require convenience in charging their vehicles Additionally the business will supply plug in hybrid. , -
chargers to owners of lectric Vehicles and business as well he nature of the service is significantlyE . T
the key aspects for its viability with the new approach the inventions will foster environmental,
conservation and protect the environment.

8.3 Demographics and Segmentation
As shown in fi gure the demographic market segmentation does not involve subdivisions into1,
subgroups but generally targets a specific group of consumers regardless of gender or ethnicity or,
religious differences he predicted market demographics of the business services include. T
entrepreneurs and business who currently use or have the potential to own electric vehicles in future,
the business is focusing on targeting customers in Riyadh and later Saudi Arabia in future .
igureF 1 Demographics and Segmentation:
he service in addition targets customers in a specific class that can afford electric vehicles thatT , ,
might be termed lu ury goods lectric Vehicle charging services marketing efforts will focus onx . E
encouraging the potential electric vehicle owner Dibb Simkin( & , 2016).
8.4 Target Market
he geographical location of the major target consumers will include RiyadhT and Saudi Arabia.
Riyadh being a city that holds potential in growth and technological advancements will be a great
opportunity for the business to invest in , the city potential has seen it adopt current technological
inventions especially in the fi eld of the automobile which will contribute significantly to the success of,
the business or e ample the through adaption of modern technology the advertisement of. F x , ,

automobile has reached many parts of the world through online and internet advertisement n. I
addition selling of the automobiles is easy and many potential customers are able to purchase even,
through online through electronic selling . he business in addition targets entire Saudi Arabia as soonT , ,
as the whole country advances technologically.
8.4.1 Market needs, Growth and Trends
he current automobile market has faced various challenges in terms of fuel consumptionsT
and environmental management owever the niche in the market has been greatly thought of and. H ,
reduced by the ingenious invention of electric vehicles that are charged instead of using fuel this has, ,
in addition created opportunities for establishments of electric charging businesses, .
igureF 2: Market needs rowth and rends/G T
Market needs rowth/G
and rendsT
Market summary
Market attributes
 invention of electric
vehicles
Market needs
 current automobile
market
Market growth
 V chargingE
equipment s’
Market trends
 efficiency in usage of
electric vehicles

he growth of the market holds significant potential hence the adoption of ownership of electricT
vehicles the current trends in the market and constant usage of electric vehicles has opened new, ,
markets the number of entrepreneurs using V is e pected to increase over ti me as utilities get on; E x
board with the genius inventions (See igureF 2) undamentally other V charging equipment s are. F , E ’
certainly looking at potential demand responses services as well and are developing their products to
enable efficiency in usage of electric vehicles Mudie( , 2016).
8.4.2 Market Share
he e pected percentage of the market is estimated to rise over ti me ocusing on the industryT x . F
size the penetration of electric vehicles is high in developed regions ; globally the market is e pectedx
to garner billion by with a market share of worldwide$8.02 2020, 30.7% (Dibb Simkin& , 2016).
8.4.3 Market Size and potential
he market for electric vehicle charging systems is e hibiting a positive growth once its launchT x .
According to Ramady (2010), in Saudi Arabia especially in the capital city Riyadh with a significant,
rise in the adoption of electric vehicles in the ne t few years by at least billion adoption orx $ 9.05
equivalent to of total sales31% , the demand of the vehicles will rise due to the awareness of the
ongoing environmental friendly nature of the products and its maintenance he market growth in. T ,
addition is e pected to develop dramatically within a period of fi ve years due to the technological, x
advancements and the price of fuel that have emphasized on the development of affordable charging
solutions.
8.5 Competitive Analysis
Currently in Saudi Arabia plans are underway with the Saudi lectricity Co S C deal with, E ( E )
commercial vehicles and cars he competitive analysis is evaluated from to Commercial. T 2014 2022.
vehicles are more competitive as compared to the cars hey both install faster charging systems. T -

which will be developed to charge in minutes he electric vehicle charging systems market will30 . T
obviously face significant competition following its e pected high growth in the ne t few years thex x ,
increasing quest for energy efficiency and increasing demand for technological advancements in the
auto mobiles industry will ignite the competition Ramady- ( , 2010).
igureF 3: Competitive Analysis
n RiyadhI , the nature of the customer base comprised a lucrative class of entrepreneurs who
will be using the services nvestors will adamantly establish lectric vehicle charging services and, I E
other business that complement the services in the area because there is potential (See igureF 3) his. T
will consequently result to competition however the e tension of the application areas and other, , x
business that consist of these services and products are likely to contribute towards the
development of the market Sandalow( , 2009).
8.6 Barriers to entry
he real barriers to entry in the market lie in the hurdles of the adoption of electric vehiclesT .
irst consumer behavior fueled by cognitive mindset is a major factor that contributes to the barriersF ,

of entry to the market without people buying the electric cars there will be no charging services, ,
therefore when if most people will not adapt to the electric vehicles relying on their long held, , -
norms driving fuel vehicles the electric vehicle charging services will not be relevant Secondly. ,
technological advents are a major problem that can slow down the market in the future the,
technology of automobiles is advancing which means in the ne t few years the auto mobiles, x -
manufactures can switch to other models of automobiles that do not necessarily rely on charging.
8.6.1 Regulation
he legal formalities which will be required to set the business in Saudi Arabia Riyadh includeT ,
business licensing compliance with the safety standards market regulation and government, ,
subsidiary n Saudi Arabia the regulation and supervision bureau issues regulatory framework of. I ,
electric vehicles charging stations the framework consists of technical regulations and the installation,
guidelines.