Roam signs first major supply agreement with M-KOPA for Electric Motorcycles in Africa

Swedish-Kenyan technology company Roam has signed a major supply agreement with M-KOPA, a leading fintech platform with operations in Kenya, Uganda, Nigeria, and Ghana to deploy electric motorcycles in Africa.

The deal, which is the first-ever large-scale supply agreement for electric motorcycles in Africa, will enable the credit sales of electric motorcycles, lowering the barrier to entry for customers through affordable payment plans.

In a statement released on Tuesday, it noted that this milestone supports Roam’s vision of making electric vehicles more accessible to a broader market.

 “The fleet of Roam electric motorcycles features advancements of previous pilots, including optimization of performance, effectiveness and a more robust design. The motorcycles can be used for personal use but are also appropriate for cargo transportation and taxi services. Additionally, they come equipped with a removable dual battery pack, lowering downtime and increasing rider flexibility,” it stated.

Changing the Livelihood of drivers

The statement noted further that by combining the power of digital micropayment with the internet-of-Things (IoT) technology, M-KOPA enables underbanked customers to access a broad range of products and services without collateral.

“M-KOPA will aid in the deployment of the motorcycles through its innovative ‘Pay-As-You-Go’ model, which allows customers instant access to products while building ownership over time through flexible micro-payments,” it said.

“Working with M-KOPA will streamline the distribution of electric motorcycles and, at the same time, provide the opportunity to grow Roam’s market reach in regions across Africa where M-KOPA operates, starting in Kenya. This will enable customers to lower their operational costs by over 70%, which results in increased daily income by 50%, a boost that can fundamentally change the livelihoods of the drivers,” it added.

Commenting on the agreement, the Co-Founder and Chief Commercial Officer  Roam, Mikael Gange, stated that “This agreement is an incredible trigger for electric motorcycle adoption in emerging markets and validates our vision of releasing a locally designed product that exceeds the experience of traditional fossil fuel motorcycles for a similar price. We want to provide a compelling environmental and economic solution for markets that haven’t been part of the electric vehicle transition yet. We believe the motorcycle taxi industry is one of the most impactful areas to start, given the growing market size and importance for low-income earners not only in Africa but globally. Our partnership with M-KOPA will drive us both towards our shared vision of cleaner mobility.”

Managing Director for M-KOPA, David Damberger, also remarked that “The partnership with Roam aligns us with a major player equally committed to Africa’s sustainable development and sees us expand our product offerings to include electric motorcycles, which is a true testament to the versatility of our fintech platform. At M-KOPA, we’re committed to lowering the barriers to entry and making everyday essentials accessible, especially to underbanked customers, through flexible payment plans. This rollout will have a transformative effect on the daily incomes of business people and reduce the environmental footprint of commerce, as it continues to grow in rapidly developing markets.” 

By: Kanto Okanta