EV battery after-sales management: unlike any other spare part in the traditional automotive ecosystem

The EV battery is an auto part like any other and thus has a natural after-sales demand. Degradation over time below a certain level of SOH (state of health) – typically around 70% – would require replacements, on warranty or otherwise, depending on its mileage and the number of years driven. Recalls, accidents, and unexpected failures all add to the after-sales demand, similar to other parts in a vehicle.

Challenges within the EV Battery business

However, the high prices of EV batteries and the massive investment required to produce them bring unprecedented challenges to the industry. These are further compounded by the rapid evolution of battery technology, which makes a battery outdated within a decade, as well as the difficulty in transporting and storing them, making conventional after-sales procedures unsuitable.