Is Electric Vehicle Charging Stations A Good Business Opportunity?

There are two types of charging stations for electric vehicles. They are AC and DC charging stations. AC charging stations offer high charging speeds, while DC charging is slower. The speed is also affected by the presence of an energy converter. For DC stations it is inside the vehicle and for AC stations it is located directly in the vehicle. These parameters are important for commercial EV charging stations for sale.

Power and charging speeds are higher in DC stations. AC power stations are much slower, charging a vehicle battery for 8 hours or more. But there are considerably more AC stations in the world, with only one DC station for every 10 of them. This gap is due to different consumption patterns.

AC stations are so-called destination stations. They are located where the vehicle is for a long time – at home or in the office. Such commercial ev charging stations put a load on the grid comparable to that of an electric kettle.

Electric DC refueling stations are used like conventional petrol stations. They are needed if the driver needs to recharge his vehicle in a rush, and are also installed on highways between cities. In 10 to 20 minutes of use, it is possible to obtain 200 to 300 km of energy.

To develop your commercial charging station business, you must consider that consumers will in any case look for a station that is the most attractive in terms of price. But on out-of-town routes, there will be no alternative for him.

Location of the station

On the highway, the optimal distance between stations should be about 50 km. In the city the denser the stations, the better for the consumers of commercial EV charging service.

Global experience shows that a charging station located near a shop, restaurant, shopping center or some other facility brings additional traffic. This includes charging stations for schools , where large numbers of people come systematically.

According to studies, between 60 and 80% of electric vehicle owners go shopping at the mall where the charging station is located. This can be compared to having a car wash in a mall or a children’s room in a restaurant. That’s an added benefit for the customer.

Business prospects and profitability

The commercial EV charger market is growing very rapidly, at around 30% a year. At this rate, even the major service providers cannot keep up with the increase in capacity to meet the needs of car owners. The key factor is service after sales of recharging equipment for electric vehicles. Many entrepreneurs have experienced that after one or two years they have problems with equipment maintenance. Equipment suppliers have not yet established this aspect of their work.

Stations may regularly require repairs and software updates. If you do not act promptly and fix these problems, they will reflect on your service to customers.

At the start of the business, we recommend being flexible and establishing a quality service for your customers. Marketers know that a customer remembers well the first station where they are offered favorable terms. Whoever does a good job in sales stays with the customer for a long time. This is your opportunity to gain a foothold in the market. Usually, large suppliers miss this point. You can use this to your advantage.

The payback point comes on average after 1 or 2 years of operation of the charging station. After 5 or 6 years, you can expect to make a consistently high profit. You don’t have to worry about demand. Currently, only 20-30% of the world’s demand is covered by working charging stations.

The weak point and the risk of such a service remain the maintenance of the stations. Suppliers are actively working on this and we can expect innovative technology solutions that speed up charging station maintenance in the coming years.