[DonghaengJunggi] Sienkei "The 'Sold-Out Streak' of Electric Two-Wheelers Is the Power of Win-Win with Tmon"

CEO Lee Yong-woo Revives Business with Online Sales
200 Units Sold in Two Days... Online Sales Channel Opens
Electric Two-Wheelers Produce No Emissions or Noise, Reduce Fuel Costs
"Government Subsidies Should Be Expanded for Small Businesses"

Electric Two-Wheeler 'Duo Max'

"At that time, no one thought about selling electric two-wheelers online. On the first day of sales, 100 units sold out within 5 hours, and another 100 units were sold the next day."

Lee Yong-woo, CEO of CNK, a specialized electric two-wheeler manufacturer, cannot forget April 2018 when they started online sales on TMON. Until then, the market response to electric two-wheelers was lukewarm. They were considered weaker than engine motorcycles and limited by the need to recharge batteries. Sales were so low that they even considered shutting down the business. Then, as air pollution issues came to the forefront and the Ministry of Environment began promoting eco-friendly two-wheelers, the atmosphere gradually changed. In 2018, the number of electric two-wheelers eligible for government subsidies increased to 5,000 units. CNK experienced an even more dramatic change after receiving a call in February of that year from Park Sung-ho, Head of Partnership Business at TMON (then Partnership Business Team Leader). The proposal was to sell electric two-wheelers online through an ‘E-mobility Special Exhibition.’ CEO Lee recalled, "At that time, it was a daring attempt that no one had thought of," adding, "I thought it would be fortunate if we sold 200 to 300 units a year."

Lee Yong-woo, CEO of CNK

Unexpected Sell-Out Streak... Corporate Synergy

The results exceeded expectations. The 100 units prepared that day sold out, and another 100 units were sold within 8 hours the next day. The response was so hot that the factory had to run overnight, and order acceptance had to be suspended. That year, CNK’s electric two-wheelers sold about 1,800 units, achieving the number one nationwide sales position and receiving a commendation from the Ministry of Environment. Naturally, this led to publicity, gaining credibility and improving consumer perception. CEO Lee said, "It was so surprising and moving," adding, "If we hadn’t met TMON, it would have been difficult to enter the two-wheeler market." TMON lowered the sales commission CNK had to pay, and CNK agreed to refund deposits if customers canceled orders. The two companies compromised and demonstrated a spirit of coexistence, joining forces.

Electric two-wheelers replace internal combustion engines that use fossil fuels with batteries, resulting in no exhaust emissions or noise and being economical. Based on a daily travel distance of 60 km, the annual fuel cost savings compared to engine motorcycles reach 1.15 million KRW. However, since delivery occurs only after applying for and receiving government subsidies, it is difficult to experience the product at stores. To sell high-priced products online, indirect consumer experience had to be provided. CEO Lee said, "We succeeded by filming test rides in parks and uploading videos on YouTube, explaining the product performance in detail."

Electric Two-Wheeler 'Trio'

Massive Influx of Chinese Products... Performance Upgrades Are the Only Answer

As rumors spread that electric two-wheelers were selling well, a large number of low-priced Chinese products began to flood the market. In 2019, CNK’s market share significantly decreased compared to the previous year. They continuously improved quality and performance and strengthened after-sales service. They obtained green technology certification from the Ministry of Land, Infrastructure and Transport and were recognized as a venture company. The number of models approved for government subsidies increased to five. They also developed a product capable of traveling up to 80 km on a single charge. This year, sales from January to May have been strong enough to surpass last year’s figures.

CNK’s electric two-wheelers have two rear wheels. They have received patents in both Korea and China. Compared to other products, they offer higher driving stability on wet roads, slopes, and corners. CEO Lee explained, "Each rear wheel has its own motor," adding, "It has climbing ability good enough to ascend slopes of up to 25 degrees." CNK’s electric two-wheelers are assembled and produced at a factory in Chilgok-gun, Gyeongbuk Province, and use Samsung SDI batteries. With government subsidies, the consumer price ranges from 1.2 million to 1.3 million KRW.

Subsidies for 20,000 units planned for distribution this year are expected to be fully exhausted in the first half of the year. CEO Lee said, "Since electric two-wheelers are mainly used by small business owners, I hope government support such as subsidy programs will be further expanded."

This content was produced with the assistance of AI translation services.