Does Character Sell?
Electric vehicles are lifeless. The first time I sat down in a Tesla Model S, it felt like I was entering an empty cardboard box with a few fancy bells and whistles. Come to think of it, the Tesla Model S reminded me of the “Idiot Box” Spongebob episode where Spongebob and Patrick use their imagination to play with an empty box. Much like Spongebob and Patrick, I felt as if needed to use my imagination to turn the Tesla Model S into the futuristic-looking car I had hoped it would be.
Don’t get me wrong, in terms of technology, Tesla was way ahead of its time. However, aesthetically, the Tesla Model S fundamentally lacked character. Does character sell? In Tesla’s case, the company is not selling character, it’s selling Electric Vehicles (EVs) in a day and age where sustainability is synonymous with survival. As such, the company was able to establish itself as an industry leader, setting the bar high for EVs to come.
That being said, what would happen if you combined character with EVs? On November 2, 2021, Ford unveiled its all-electric F-100 Eluminator concept truck utilizing the company’s 2021 Mustang Mach-E GT Performance Edition battery-electric powertrain. Saying this thing has character would be an understatement. Unlike the Cybertruck, which looks like it came right out of a 1st grader’s sketchbook, the Eluminator replicates the retro aesthetic of the 1978 F-100 pickup.
I don’t even like trucks, but I wouldn’t think twice about driving Ford’s Eluminator. Shortly after Ford announced its latest concept vehicle, Hyundai announced the Hyundai Heritage Series Grandeur and Pony EV concepts, which pay homage to their respective predecessors. While I could go on forever about how cool these cars are, let’s talk about what this means for the EV sector as a whole.
Companies like Ford and Hyundai appear to have picked up the ball that Tesla dropped in 2019 following the unveiling of the company’s Cybertruck. A simple Google search of Ford’s Eluminator or Hyundai’s Grandeur will generate countless articles, videos, and posts. With this in mind, breathing life into classic cars could be the next big thing for the EVs market. Regardless, investing in EVs is a no-brainer, whether you care about electric vehicles or not.
According to Research and Markets, the global Electric Vehicle Market was valued at USD$169.95 billion in 2020 and is expected to reach USD$802.81 billion by 2027, registering a compound annual growth rate (CAGR) of 22.6%. During the forecast period, North America and Europe are expected to witness considerable CAGRs of 27.5% and 25.3%, respectively. In total, North America is projected to reach USD$194.20 billion by 2027.
EV Technology Group Ltd.
- $193.625M Market Capitalization
EV Technology Group Ltd. (EVTG.NE) isn’t your average EV company looking for a piece of the lucrative EV market pie. EVTG, which was listed on the NEO Exchange on April 12, 2022, is looking to “create and redefine the joy of motoring for the electric age.” To be more specific, the Company looks for dormant brand equity in car brands that it can bring into the electric age. As defined by EVTG, the Company’s strategy is to revive “sleeping beauties.”
A sleeping beauty refers to the name given to a brand that is no longer active in the market but retains brand equity through its heritage, similar to Ford’s original F-100 or Hyundai’s Grandeur. EVTG’s strategy involves acquiring iconic motor brands and assisting their transition into the EV market. Additionally, EVTG’s strategic plan includes acquiring a tier-one manufacturing and supply chain company.
MOKE Stays Woke
Speaking of acquisitions, on November 22, 2021, EVTG announced that it had made a strategic lead investment in MOKE International Limited (MIL), the official producer of MOKE vehicles since 2015. MIL is recognized for its MOKE, a vehicle featuring a 4-cylinder injection engine, power steering, manual or automatic transmission, and waterproof seats, along with a multitude of accessories.
That doesn’t sound like an EV! Well, you’re right, because the MOKE is not an electric vehicle, at least not yet. With EVTG’s investment, MIL intends to launch the Moke Electric in 2022, in time for the summer seasons. Furthermore, EVTG and MIL will work together to roll out vehicles across Europe and other geographies.
In terms of capabilities, the MOKE EV has a top speed of 100 km/h and an 11 kWh battery capacity with a 144 km range. MOKE’s latest generation of MOKE EVs will target 95% sustainable and recyclable material while reducing the cradle-to-gate CO2 footprint by up to 75%. For context, cradle-to-gate refers to the carbon impact of a product from the moment it’s produced to the moment it enters a store.
Overall, MOKE represents a significant acquisition for EVTG. The brand has amassed a cult following including celebrities like Joe Jonas, Kris Jenner, and Pete Davidson. While I can’t say I am a fan of any of these celebrities, they are certainly a testament to MOKE’s popularity. Moreover, MOKE has a global reach, creating the potential to create a global EV brand.
Latest News
On April 13, 2022, EVTG announced that its wholly-owned subsidiary, MOKE France SAS, has commenced construction on a MOKE flagship store in St. Tropez, France. To provide some background, MOKE International is the official MOKE manufacturer based in the United Kingdom (UK). With this in mind, MOKE France will handle the exclusive distribution of the company’s new MOKE Electric in France.
“Saint-Tropez has a strong resonance in the worldwide collective imagery, and Moke is almost the official car for local owners going to the beach…By opening Casa Moke, a house that feels like home where we will invite customers to experience the Moke art-de-Vivre, we celebrate our history in an authentic and meaningful way,” said Moke France CEO Willy Gruyelle.
Casa MOKE, the name of MOKE France’s new store, will be a place to gather and learn about MOKE’s EV. MOKE France hopes to complete construction before Summer 2022 when the high season starts in St. Tropez. MOKE France will be welcoming guests for both rental and purchase experiences, representing the brand’s first direct-to-consumer foray into France.
It is worth noting that a fleet of 100 MOKE vehicles can generate more than €3 million in revenue per year through sales, rental, experience, and taxi business streams. In addition to France, priority destinations for MOKE include the US West Coast, US Central, US East Coast, Greece, Italy, and Spain, all of which are popular destinations for beachgoers, one of MOKE’s dominant demographic of consumers.
More recently, on April 25, 2022, EVTG announced that it has strengthened its leadership team with the appointment of Dan Burge as Chief Product Officer. Mr. Burge is a highly experienced global automotive industry executive with over 20 years of high-level commercial, operational, and technical roles under his belt. He will play a pivotal role in building out EVTG’s product team, with a focus on incubating new models, brands, and other opportunities.
“I am extremely pleased to have Dan join the team as Chief Product Officer. The combination of his product design, commercial, and engineering experience is a perfect fit for EV Technology Group,” said Wouter Witvoet, CEO of EV Technology Group.
The appointment of Mr. Burge comes shortly after EVTG announced the appointment of Wijnand Donkers as an independent board member of the Company on April 14, 2022. This aligns with EVTG’s goal to rapidly expand its portfolio of companies, which currently includes MIL and MOKE France. Mr. Donkers’ experience related to mergers and acquisitions will greatly assist EVTG in expanding and achieving its growth targets.
“It is a great honor to welcome Wijnand Donkers to EV Technology Group as an independent board member. His expertise adds to our growing leadership team of senior executives from the automotive, finance, and public markets. I look forward to working with Wijnand as we continue to evaluate strategic acquisition opportunities for the group,” said Wouter Witvoet.
Here’s the bottom line. I like EVTG and I like where the Company is headed. Aside from MOKE, EVTG has its sights set on luxury commercial vehicles, high-performance sports cars, and SUVs, to name just a few. With this in mind, the Company has not bottlenecked itself to a narrow segment of the EV market. I believe EVTG’s strategy to revive sleeping beauties can be applied to just about any vehicle.
While MOKE may not be a sleeping beauty, it is a gem for the Company nonetheless. In addition to bringing character, which is EVTG’s niche, MOKE brings with it a global presence that has been recognized by some of the biggest celebrity icons. With the MOKE Electric launch planned for 2022, EVTG could very well deliver on its goal of generating day one earnings.
Looking forward, EVTG’s growth strategy for 2022 appears to be pretty tame, with a focus on building a strong foundation for the Company to build upon. The launch of MOKE Electric will assist the Company in meeting its goals for the year while also positioning EVTG to pursue additional brands. Personally, I am interested to see what brands EVTG will target. If they are anything like MOKE, then I am excited about the Company’s future.
EVTG’s share price opened at $1.49 today, up from a previous close of $1.35. The Company’s shares were up 9.63% and were trading at $1.48 as of 11:18 AM EST.