Growth strategy and sustainability

Growth strategy and sustainability

Kempower has formulated a growth strategy built on two distinct pillars. First, a go-to-market strategy outlining which geographic markets and customer segments Kempower will focus on during its five-year strategy period until the end of 2025. Second, an innovation strategy consisting of Kempower’s plan to continue developing its products and solutions portfolio. Sustainability is also key part of Kempower’s operations.

We aim to continue expanding in the European market in the short to medium term, and we target to establish operations in the U.S. by the end of 2023. Our focus is on organic growth, but in the future corporate or business acquisitions are possible.When evaluating potential markets for expansion, we assess the prospective market’s characteristics and customers. For example, market entry into new geographies in public charging is considered separately for each geographic market, and the market attractiveness is estimated by examining, for example, prospective market winning customers, how well the local regulations and political decisions promote EVs and electrification of traffic and the competitive landscape.

Depending on the customer type, sales are conducted through direct sales, local sales companies, a key account management model or business partners.

1. Current product offering as a basis for future growth

We aim to continue developing our current product offering by maintaining scrutinised product design and management in order to allow mass customisation. We intend to continue to focus on designing products that are easy to assemble for mass customisation, while simultaneously continuing to serve different customer and charging needs.

2. Cost and capital expenditure efficiency of production and operations

As we scale up our production capacity to meet the forecasted demand for our products, we will continue to follow a multi‑sourcing policy by outsourcing the production of materials to third‑party suppliers, while keeping the most critical phases of the assembly process in‑house. In addition, we plan to continue utilising standardised technology in our product assembly where possible.

3. R&D and innovation of new products and features

By continuing to invest in R&D and innovation, we aim to keep our existing products ahead of competition and to maintain financial competitiveness through design improvements that lower the production costs of our products. We aim to utilise market knowledge, consumer feedback and data collected from our chargers to improve our existing products and services and develop new products and services that meet our customers’ and consumers’ needs.

Kempower’s aim is to be the best partner for its customers in developing emission-free business and its solutions are designed to enable emission free mobility. We aim to promote fully electric transportation in society, decreasing the relative carbon footprint of our operations and products annually and increasing the end of lifetime recyclability rate for all our EV chargers. We believe that responsibly produced, durable EV charging solutions have an important role in a sustainable economy. When selecting suppliers, we value short transport distances and responsible operations. For example, since our production is located in Finland, a major part of the materials and components used are sourced from Finland.

Sustainability is a key criterion for selecting our suppliers. We require all our suppliers to fill in a self-assessment survey and we may reject suppliers based on sustainability related information provided in the survey.