Client Success Story: The Introduction of Low Voltage High Power EV Motors to the Indian Automotive Market
When did it begin: In the year 2019
Technology under consideration: Low voltage, high power integrated electric drive (InED)
How did the first contact happen?
During one of our visits to Germany in mid-2019, our team led by a senior member from the Quanzen team connected with one of our contacts and sent them a presentation. During a half-day face-to-face meeting, the concerned company sales manager and the head of the organization were keen on taking discussions forward. They signed the NDA then and there and the interactions began.
The early engagement:
We presented the opportunity for our client’s e-systems in the Indian market, but since the product was in the initial stages of development, the discussions did not progress. In June–July, 2020, Quanzen started these discussions again and proposed a two-stage approach which resulted in a Letter of Intent (LOI) being signed in October, 2020. The goal of the first three months was to create market awareness for our client’s technology and assess whether there is an opportunity for them in India.
The actual work begins:
Our client‘s’s product roadmap had three different products to cover a wide range of vehicles, though the only product that was on the anvil was a particular 36KW InED. When the first phase was started in November 2020, our client’s focus was on agricultural and construction equipment and their preference was off-road vehicles. This was the time when we had signed a number of new supplier partners and it was necessary to quickly connect with prospects in the off-highway segment for our client. Here we felt that our existing network was not sufficient, and we were running out of our bandwidth. We decided to take outside help in the form on an independent consultant for the same. This was our first initiative to involve an independent consultant as a project associate to speed up the project.
This strategy was useful to some extent, and we were able to connect to some of the prospective customers quickly and create awareness. Additionally, more customer- connects were done through our own network and efforts on LinkedIn. As a result of this effort, Quanzen could arrive at following conclusions about the product potential in different segments –
Tractor Segment :
It was found that in the Tractor segment, some movement towards electric tractors had started in the Indian industry very recently, with Escorts exporting small electric tractors since November–December and Sonalika introducing electric tractor for the Indian market in last week of December; But we also realized that multiple motors are required and those of a power rating much lower than what our client had to offer; At one of the leading tractor makers, we introduced our client’s solution to their DGM, E&E for Farm & Construction Equipment. We received the SOR for their Electric Ride on Mower and New Mini Tractor Project.
Construction Equipment Segment:
In the construction equipment segment, we found that most of the manufacturers operating in India are MNCs with their design centers and HOs outside India. At a leading construction equipment manufacturer, we introduced our client’s solution to their Head – Product Development Centre and were able to get RFQ for two types of construction machines. However, in this segment too, it was found that either the vehicles use multiple motors with lower power rating than our client’s InED or much larger than our client’s planned higher end InED.
Working through this phase, it was clear to us that to move forward, we needed to zero in on segments and customers who needed electric drive with power requirement which is close to what is being developed currently by our client.
The first breakthrough:
We found a perfect match in the ‘last mile goods delivery vehicle’ segment and were able to successfully promote our client and InED product USP of low voltage high power platform. We were also able to set up calls with various last mile delivery vehicle OEMs.
At one such OEM, Quanzen had already been in touch with their CTO for another Quanzen principal. We introduced our client’s solution to him and convinced him of the advantages of high power, low voltage system for their upcoming last mile 4-wheel goods carrier. Once he was convinced of the benefits of the technology, we also set up multiple calls with our client’s team to discuss techno-commercial details. The OEM is keen on testing the client’s prototype and talks for the same are currently ongoing.
At another such leading OEM, we have been in contact with their Managing Director and their Head of RD. We introduced our client’s solution to them and they showed a keen interest, to the extent of discussing strategic alliance, as they had not come across such a low voltage high power solution yet. This is something they were looking for, for their upcoming last mile goods carrier. We set up calls between the teams of OEM and our client and discussions are ongoing.
At yet another mega OEM, we have previously been in contact with their VP – EV and eMobility solutions and introduced him to our client’s solution and also set up a call with our client’s team. We have already received product specification requirements from him.
We also introduced our client and set up a call with a fourth CTO of a leading Electric Mobility OEM.
The future path:
The period of the LOI ended on 31 st January 2021. It was clear by then that there is a perfect fit for the prototype that our client had developed with the last mile goods carrier segment and we had three live cases under discussions. But for our client to decide India strategy going ahead, one crucial factor was missing and that was the commercial acceptability of their prices in the Indian market. So, it was decided that the LOI will be extended by another three months starting from March. We successfully got the confirmation during this period that our client’s price is acceptable in one case.
Value added by Quanzen:
Knowing what you don’t know is the best thing to know. As we started working with this client, we realized that we were dealing with a segment with which we had not engaged intensively before. To secure our client’s interests, Quanzen joined hands with external help in form of a consultant as a starter and quickly developed personal contacts independently. This case highlights Quanzen’s determination to get things done, expertise in finding and harnessing newer approaches. This case also highlights the deep trust that Indian OEMs have towards us and the openness with which they embrace ideas that Quanzen brings in.