4 July, 2023

Maximising ROI from Commercial EV Charging Stations

With approximately 600,000 electric vehicles (EVs) predicted to be on UK roads by 2023 and demand continuing to rise, installing EV charging stations will be a great way to set your business apart from the competition. But how profitable are EV charge points and how can you maximise their return on investment (ROI) to ensure a profitable revenue stream? In this article, we’ll tell you how. 

Can Commercial Charging Stations Offer an ROI? 

Yes, commercial charging stations can offer an ROI when implemented and managed effectively. While the specific ROI will vary depending on factors such as 

location, charging rates, operating costs, and market demand, there are several ways in which commercial charging stations can generate revenue and contribute to profitability. 

5 Ways to See ROI from Commercial Charge Points

1. Set Charging Fees

As a charge point owner, you can set a charging fee for the use of using the charge point. This is on top of the electricity used to charge the driver’s vehicle. You can also set the amount charged for the electricity used within the charging session, all of which if set using competitive pricing structures and flexible payment options, businesses can generate revenue directly from the charging fees.

2. Partnerships & Advertising

There are various partnership and advertising opportunities available when you own EV charging stations that can allow for additional income and thus a better ROI. Whether it’s revenue sharing, sponsorships or promotional activity. 

3. Create a Membership Program

Offering a membership program for your charging stations could attract regular customers and provide a steady stream of revenue. Exclusive benefits could include discounted charging rates, priority access to charging stations or loyalty rewards, and the membership fee would contribute to the overall ROI of the 

charging stations whilst encouraging customer loyalty.

4. Energy Demand Management

By effectively managing the energy demand of your charging stations, you can minimise your costs and take advantage of utility company incentives. For example, adjusting charging rates during peak and off-peak hours or implementing load-balancing techniques. 

5. Data Monetisation 

Charging stations collect valuable data on customer behaviour, usage patterns and charging preferences. This data can be analysed and anonymised to generate insights and trends, which can be sold or shared with relevant stakeholders, such as EV manufacturers, urban developers, or utility companies, creating an additional revenue stream. 

Ways to Maximise ROI From Commercial EV Charging Stations

So once you’re generating recurring revenue from your charging stations, how do you start to maximise ROI? There are several ways in which to improve your ROI surrounding revenue, costs and efficiency. Some of these can be made once the charging stations have been installed, but others are best to be planned and carried out before their initial installation.

1. Utilise Government Grants 

There are many government grants available to support the upfront costs of charge point installation. By utilising these from the start, your initial costs will therefore be lower, making for more achievable ROI. 

2. Offer Customised Pricing Models

Offering different and customised pricing models for your charge points can significantly maximise ROI. Structures such as time-based charging (per minute), energy-based charging (per kW), membership programs and dynamic pricing that are all tailored to customer preferences and local markets will allow for maximum profitability. Flexible payment options can also attract a wider customer base and encourage repeat business such as pay-as-you-go or subscription-based plans.

3. Integrate Renewable Energy Sources

Using renewable energy sources and integrating them into a business, such as the use of solar panels, can help reduce operating costs and therefore maximise ROI from your commercial charging stations. 

4. Leverage Data & Analytics 

The data collected from charging stations are valuable in providing insights into usage patterns, peak demand periods, popular charging times, and customer behaviour. These insights can then be used to optimise charge point operations, plan future expansions and help you have informed business decisions in improving efficiencies that will result in ROI. 

5. Choose Efficient Charge Point Management

Choosing the right charge point management system is key to maximising ROI on commercial charging stations. Easily manage tariffs, charging fees, opening hours, off-peak and peak pricing and much more that will result in a better customer experience, and minimised operational and maintenance costs. 

6. Scalable & Future-Proofed Infrastructure

Investing in EV charging infrastructure that’s scalable and acts to future-proof your site is essential in maximising ROI long-term. Choosing a solution that aligns with the anticipated demand in your target market and considering factors like power capacity, expandability, and compatibility with emerging standards will all save on costs in the long run.

7. Choose Strategical Locations

Where you choose to install your charge points is key in influencing their profitability. Therefore strategically placing them in high-traffic locations with strong demand will maximise their ROI. Consider their proximity to motorways and major roads, shopping centres, business districts, and popular tourist destinations

Conclusion

EV charging stations, therefore, have the opportunity to be a profitable revenue stream that can be maximised using a comprehensive approach that encompasses strategic location selection, scalable infrastructure, efficient charging management, customised pricing models, renewable energy integration, and leveraging data and analytics. By implementing these strategies, businesses can position themselves for success in the rapidly evolving electric mobility landscape while contributing to a cleaner and greener future.

Maximising ROI with eFaraday 

eFaraday is an OZEV-approved EV charge point installer and EV charging solutions specialist, that offers a comprehensive management and 24/7 monitoring solution to ensure high-quality charge points remain just that. 

If you are wanting to maximise the ROI of your charge point system or want to get started with an installation, speak to the team for a free quote. Call us on 0330 002 1154 or alternatively, fill out our online form.