Volta Charging, a start-up that is slowly yet surely making its mark in the electric car industry, is persuading big brands to sponsor its electric car chargers**.** The novel business model involves building free electric car charging stations across several communities with the costs paid for by advertisers (i.e., brands).
Think of it as an exchange that will ultimately benefit Mother Nature. Brands have the opportunity to maximize a previously untapped source for reaching environmentally-conscious consumers. Even a single advertisement in an electric car charging station can make an impact on brand recall for the consumers charging up.
Consumers also have the opportunity to further save on the costs of charging up their electric cars. The appeal of these emission-free automobiles then increases especially among the cohorts that continue to cling to their gas-guzzling cars.
Australian Solar Quotes founder Darryn Van Hout says that electric vehicles will become a booming industry even outside the US and Europe, with Australia projected as an ideal marketplace for the new technology
Volta Charging will continue to gain traction in its mission to use technology as a force for social change. Led by its CEO, Scott Mercer, the start-up is getting both advertisers and consumers into a place where each one benefits from the other.
According to Volta, it has installed approximately 110 electric car chargers in several shopping centres across the United States, both on the mainland and in Hawaii. It is also set to expand its network with new stations by late 2015.
Each electric car charging station features a wide range of brand advertisements. So far, the brands on board include Sungevity with their advertisements featured in eye-catching LED displays.
Volta has experienced impressive growth since its start 5 years ago. It has raised $4.5 million in a new round of equity funding, which was led by Three Bridges Ventures, and $3 million in SQN-funded project financing round for the installation of more kiosks.
CEO Mercer also told Fortune about the company’s plans for using the new funds in the installation of 400 charging stations by the end of 2015. The new funds will also be used in refining its technology.
While the ads are still mostly static, Volta plans to make the advertisements more user-interactive. A mobile app is in the works, which will allow drivers to check the available stations in their areas before rolling in.
Volta, which was co-founded by CEO Mercer and CTO Michael Menendez, was originally a Honolulu-based pilot project. Since Hawaii has one of the most expensive gas prices in the United States, aside from its relatively small size, electric car manufacturers found it be a natural breeding ground for their products.
As Volta grew, it expanded its operations to Los Angeles, San Francisco, Phoenix, and San Diego. These highly-populated areas mean more views for brands and more use of the charging stations. In Los Angeles, for example, Volta has a deal with Whole Foods in the installation of 37 kiosks, which are popular among electric car owners.
Aside from the free electricity for users, Volta also assumes the cost of installation for each charger. The costs for installation, maintenance, and electricity are completely offset by the sponsorship deals. The advertisers appear to happily pay for the sponsorships because of the special affinity established among their customers, such as when an electric car owner also being more likely to purchase solar panels from Sungevity.
Photo courtesy of Håkan Dahlström
