Diversification essential for Tropical Battery’s future
Assistant General Manager at JMMB Group, Greig Lindo, says diversification is essential for Tropical Battery if the company wants to stay relevant in an increasingly competitive industry.
Tropical recently announced a zero-emission delivery service mobile and web app called Tropical Delivery.
The company said the platform will be an e-commerce marketplace that allows merchants to create virtual storefronts to sell EV products.
According to Tropical Delivery, it will partner with a range of merchants, including brick-and-mortar businesses and e-commerce platforms to offer delivery.
Lindo said the venture was a logical next step for the company to add to its list of services.
“Diversifying business is important in a company like Tropical because batteries are something that you have several choices, and Tropical isn’t necessarily the cheapest or offers the best warranty,” he said.
“However, they do have a very strong brand, so using that brand and trying to leverage it going into a complimentary business is a natural progression for them,” he added.
The delivery service is the latest push by the company to diversify away from its core business of selling vehicle batteries.
In August, the company announced plans to ramp up its exports by incorporating a new US subsidiary called Tropical Battery USA.
Tropical said it opened a Fulfillment by Amazon account or FBA. With an FBA account, Amazon will store, pack, ship, and deliver Tropical’s products to customers in every area it services.
Lindo said that Tropical still had a lot of work to do in order to successfully enter these markets.
“Tropical definitely has some work to do to see how they’re going to penetrate that side of the market,” he said.
However, he said it was necessary as the world moves towards more eco-friendly options.
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