Rad Power Bikes has announced that it will start offering ebikes as a subscription service next week. The company is partnering with Cycle, a Berlin-based e-bike subscription service that caters to couriers and last mile delivery, to pilot the offering in Berlin.
Cycle will provide two cargo bikes beginning in September 2022, the RadRunner and RadWagon. Customers will be able to rent with a starting price of €79.90 per month and the choice between a rolling monthly rental or a yearly contract, according to Cycle.
“With this pilot we want to understand the size of the demand and the exact value these customers are looking for,” Saladin told reporters.
“This will help us to determine what the optimum value offer is and the demand potential.”
The subscription is Rad’s first as the company has been hyper focused on direct to consumer sales but also wants to attract a new segment of customers that would prefer to pay for the usage of the bike rather than paying for it outright.
Subscription services are also new for Cycle. The young startup has mainly focused on last mile delivery workers and fleets.
Cycle has the on-the-ground operations, bike maintenance and subscription infrastructure in place to make it work in Berlin, so all Rad has to do is deliver the goods. Customers will be able to collect their fully assembled e-bike from Cycle’s workshop in Kreuzberg, Berlin.
Service is included, and repairs can be booked using the Cycle app. Paranoid customers can add on a “peace-of-mind” package that would significantly reduce the excess in case of massive damage or theft.