From partnering with Large FMCG brands to helping small ready to eat food companies, how the Gurgaon Based Electric powered Logistic and Branding solutions company Evoo is transforming the Retail and Advertising space

Posted On Thu, July 15, 2021, 12:56 AM
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Evoo Cart for Branding

National Capital Region

Elettrica mobility private Limited,  the parent company of Evoo, a Branding and Logistics solutions company based out of Gurugram, started its operations as a manufacturer of electric carts with the aim of becoming a Supplier of these eco friendly battery operated carts to Logistic companies as well as to businesses that are retail focused such as Grocery businesses and dairy product suppliers. After investing considerable amounts on research and development of these customizable and technologically advanced carts, with built in RFID technology, when they went to the market with the finished product, they realised the hard way that the conventional businesses were still not ready for this move yet and wanted outsourced logistic companies to operate these before they make these part of their supply chain.

The logistic companies on the other hand wanted commitments from businesses before they move from conventional fuel guzzling diesel vehicles to these eco friendly Evoo carts. Despite trying out various permutations and combinations, the idea could not pick up.

That's when in later part of 2020, the founders of Evoo decided to do that themselves. They pivoted from manufacturing of these carts to being a Eco friendly logistic and branding company and launched a "customize and operate on lease" model.

Under this model, the businesses could have the carts modified and customized based on the product category and other factors such as display requirements and so on. For example, one of the early customers of Evoo wanted refrigerated carts where Milk products could be stored and displayed without the quality of the products getting impacted. In addition the company wanted Evoo to also manage the logistics including hiring and training of drivers cum sales representatives and wanted to see the response they get from the first cart before committing more numbers.. Bottomline, the client was still apprehensive of booking an order for a fixed number of Evoo electric carts and pay a fixed revenue and insisted on revenue share on the sales to begin with.

The issue with this model was that the cost of operating the carts would fall on Evoo till the sales pick up, which is a time consuming process especially for a new brand like the one in this case. 

The founders, however, still saw this as a great opportunity. The hardest part was that being completely bootstrapped they had to manage finances to get this going.

Luckily, friends and family pooled in and they were able to get three carts moving in quick time. In addition to that the company founders had realised in early stages itself that in the "Grocery electric carts space", which was one aspect of the Evoo Model besides the Logistic and Advertising Solution, the key differentiator between them and a local kirana/retail store and an online delivery platform would be the customer experience. They had included the "good" aspects of both of them in their model.

The approachability, ability to touch and feel, change or return products immediately as is the case with the local kirana/retail store and the ability to pay digitally, get the order delivered right at the doorstep and professional customer care of an online delivery platform - That's what Evoo offers. To add their customer base, Evoo tied up exclusively with more than 20 Resident welfare associations to have the "Evoo Grocery carts" with more than 300 products stationed at different times in these localities spread across Gurugram and Palam Vihar.

Over the course of last 6 months, EVOO has moved from 5 carts to 20 carts with 30 more carts in pipeline. COVID came as a blessing in disguise for their business and grocery sales rose at tremendous pace so much so that EVOO now has a new hub in Gurugram that supplies to all the carts.

Now, with the growing customer base and larger area being covered by these EVOO carts, they have been approached by some of the established brands in the FMCG space for their company branded carts managed on a customise and operate model. Soon these carts will be in the Gurugram neighborhoods.

As for the Evoo founders, the idea is to bring in a lot more of technology into this business. They also want to scale up the business to NCR in next 2 years deploying more than 2000 carts. 

Whatever happens, one thing is for sure, clean environment is a responsibility that every business has, however, some companies like Evoo have made that social responsibility commercially viable too.

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This press release is posted under categories Private Sector, India, Start Up, Business, Brands, Marketing

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