The Canberra Business Podcast

Scoot Over: Three Wheels and AI To Impact Future of Urban Travel In The City

Canberra Business Chamber Season 3 Episode 18

The urban mobility landscape is changing, and ARIO stands at the forefront of this revolution. Founded just last year with a bold vision to transform how we move through cities, ARIO has quickly established itself as not just another scooter company, but a technology-driven solution to long-standing problems in the micro-mobility space.

Mitchell Price, Head of Government Relations for ARIO, reveals how their three-wheeled scooters incorporate AI-powered technology that's solving the issues that have plagued e-scooters since they entered Australian cities in 2017. Their innovative approach includes sensors that detect double-riding, remote parking capabilities that allow operations teams to move improperly parked scooters, and speed-limiting technology that automatically slows vehicles in designated areas. Perhaps most impressively, ARIO's $50 penalty for unreturned helmets has created unprecedented compliance with safety requirements.

As ARIO looks toward potential expansion into Canberra, Price emphasizes their community-first philosophy and readiness to adapt to local needs rather than imposing a standardized approach. For businesses considering expansion into new markets, he offers valuable insights about resilience, patience, and the importance of building social license through genuine community engagement. 

Speaker 1:

Hello and welcome to the Canberra Business Podcast. I'm Greg Harford, your host from the Canberra Business Chamber, and today I'm talking to Mitchell Price, the Head of Government Relations for REO, one of our members. You might have seen them with their scooters at our recent Welcome Back to Business cocktail function. Mitch, welcome to the podcast. Thanks for having me. Greg Tell us a little bit about Ario. Who is Ario? You're not actually here in Canberra at the moment, but it's great that you've joined the Canberra business community. What's it all about?

Speaker 2:

Yeah, ario was formed in 2024 on the back of an idea that we can do micro mobility better. Micro mobility and active transport modes of e-scooters and e-bikes have been in Australia since 2017. There's been different iterations there's been push bikes, there's been e-bikes and now we've seen e-scooters. And now we're seeing the next wave being REO. We were formed with the idea that technology through AI with the brains of smart people in good cities, can get people out of cars onto different modes of transport, and that is what REO's mission is.

Speaker 1:

So e-scooters have a pretty bad rap right. They're left around the place lying down people riding them unsafely on the footpaths. Do we really need another scooter brand coming into Canberra?

Speaker 2:

Well, reo is not just a scooter brand. Reo is its own technology and the next wave of this industry. Its own technology and the next wave of this industry REO brings a whole new set of technology advancements that the industry's never seen before. The issues that have plagued the industry for years now inappropriately parking scooters being pushed on the side, helmets not with the devices, people not wearing helmets, people double riding, people not wearing helmets, people double riding, people not parking properly, people zooming around cities Today I was in London Circuit and saw firsthand myself just the chaos that the current e-scooter brands are causing.

Speaker 2:

Here in Canberra. We've solved those issues and we've solved that through two things One, having the right people in the right roles We've got some of the best minds in the business that have joined REO when our team led by Adam Rossetto is just forming really strong relationships across communities. And secondly, our technology. We can detect if there are two people riding an ARIO, and that is through sensors on the feet. We can detect the speed that people are going and have a number of slow zones operating in markets where we are now, where if an ARIO enters that zone, it will slow down to a more responsible pace. We also have technology that has been rolled out for helmets. I travel around the region australia, new zealand every city every week and I spot hundreds of helmets not on devices, our helmet. If you don't return the helmet at the end of your trip, you get charged $50. You'll do it once, but you won't do it twice.

Speaker 1:

So there's a real kind of big brother thing going on here, right, because you're making sure that you're keeping an eye on your products. Is that intrusive from a privacy point of view? No.

Speaker 2:

Look from our perspective, safety of our users is paramount and safety of the community is something that comes with no non-negotiables. We have worked with some of the smartest minds in the legal space to ensure that our vehicle meets the privacy standards across Australia. We have worked with regulators. I first brought e-scooters to Australia in 2018. So some people, when I meet them, either love me or they hate me, because I'm the guy that they either have an issue with, with e-scooters. However, when I joined ARIO, I knew that the technology-first approach to ensuring that the problems that cities have are being solved is at the forefront of what we're doing.

Speaker 2:

We've always seen in cities scooters that are parked inappropriately across the driveway, across an access point, and you're just fed up with seeing them on the ground. Well, because we have three wheels, our device doesn't have a kickstand, so the likelihood of them being pushed on their side is next to none and we have a remote parking function. This is game changing. It is operated by our team remotely here in our warehouses in Canberra, in cities where we operate, and that allows the scooter to be moved out of harm's way. Even just a slight distance can be changed to move that scooter out of the footpath which makes it compliant for people with disabilities, and we've seen that support from people like Vision Australia.

Speaker 1:

So that's mind-blowing really in terms of that functionality. How is this working? There's a lot of tech built in here. You can check how fast people are going where they've parked all that sort of stuff have. Have you literally got sort of teams of people standing at banks of computer monitors? Very similar.

Speaker 2:

Yeah, that's bang on, greg. We've got people all around the region. Here in Australia and in New Zealand. Our operations are all local. So if we get the chance to be here in Canberra in the next iteration of micro-mobility, here in the Territory we will have locals that will be running these operations just like we do in our active markets now. So where are you operating now?

Speaker 2:

So we first launched with our first market being in Townsville, and that was a 250 scooter market or REO market. We then launched our e-bike, which has just taken off. Sydney-siders tourists, visitors who visit Sydney, are absolutely falling in love with our e-bike. I love our e-bike and I'm not a bike rider. And is that a three-wheeled bike? It's a two-wheeled bike. Then we launched our product in Christchurch a thousand vehicles. So this is taking us now to running an experienced big fleet. We now have the experience, just like any of the other operators that are vying for the opportunity here in Canberra. There's no reason why ARIA is not fit, and just recently, about two months ago, we launched up in far north Queensland, in Cairns, and we're seeing great adoption rates to our devices up there as well.

Speaker 1:

So when are we going to see you here in Canberra?

Speaker 2:

That's a million-dollar question, greg. I'm in Canberra at the moment meeting with stakeholders and you know the Canberra Business Chamber being one of them, and you know you guys do great work on advocating for business and I can say as a member it's been valuable the connections that we've made through the chamber. So thank you for your advocacy in that space. Hopefully we're going to see them this year. We've been told that the timeline is sometime this year. So hopefully we're going to see some action from the government and actually get a new program.

Speaker 2:

Because I've been walking around today and scooting around, must I say, and the technology that's on the street is old, it's four years old. The devices are old. There's helmets everywhere, not on people's heads. There's people zooming around Meeting with stakeholders today who told me they're just absolutely fed up with them. I can understand why. Because when you have to deal with pedestrians, prams, cyclists, bins, cafe tables, a range of different hazards, and then you have people zooming around on e-scooters that have got four-year-old technology, then I'd also be fed up. And this is the nation's capital. Why don't we have the best technology here?

Speaker 1:

Absolutely, because Canberra should be the jewel of the crown in Australia.

Speaker 2:

That's it. Well, you know it's not the capital for nothing and I can tell you it's something pretty special riding around Lake Burley Griffin on an REO and being able to ride up towards the nation's parliament and see that view. Like you know, we've all done it in the car, we might have done it on foot, but I can tell you it's just a whole new experience. When you see the museum, you see the lakeside, you see the parliament, you see all of the Lake Burley Griffin itself, you see these features that you read in a map or I picked up a tourist map at the hotel earlier but to see it on an REO, it's just a whole new experience.

Speaker 1:

So riding around the lake, which I did myself the other day on my bike, is not necessarily for the faint-hearted. How fast do the REOs go?

Speaker 2:

So they do have a top speed of 25, but they can be speed limited and we do that in many cities where we have slow zones or no parking zones, no ride zones. All of our technology is held on our device so, unlike others where they're pushing signals to satellite, we're dealing with it with our device, so instantly we're seeing improvements with how the device reacts. So if there was a slow zone around the lake and I'd be encouraging one to be there, just given the number of pedestrians and cyclists and a range of other things you would probably look at having a slow zone so everyone can feel safe. But today I was going 25, not always 25, because there was a couple of offshoots that are dirt or gravel that I had to experience suddenly today, with all the upgrades that are coming, but that experience was a lot of fun, yeah.

Speaker 1:

So you've launched. Sorry, when did you start launching? About a year ago.

Speaker 2:

So we started launching in late last year. So we're sort of you know we're seven months in now to the business, but collectively around the table we have over 50 years of experience from different companies.

Speaker 1:

And what's been the customer response and the reaction that you've found in other places?

Speaker 2:

Yeah, we're seeing a huge bit of feedback recently from riders and non-riders. People who are riding them are feeling safe. They feel like this is not a toy. The technology is game-changing for them and we're seeing some really positive results out of New Zealand game-changing for them and we're seeing some really positive results out of New Zealand. The cohort of people that we're targeting is not your regular 18 to 25 year old male. We're looking at that cohort of people of females and older generations, getting them onto an REO. An REO is a great way to run an errand, to visit family friends, medical appointments, whatever it might be, and there's no reason why this device cannot be a vehicle of choice for everybody.

Speaker 1:

And having a vehicle on the street. I mean, I guess they get a fair bit of wear and tear and so forth. How long do they last for?

Speaker 2:

Yeah, the lifespan depends on the use of the devices and the number of devices that we have in a city, but we have built the REO with sustainable products in mind and ensuring that we do our bit for CO2 and for our own emissions by having a vehicle that is sustainable in its operation and sustainable in how it's used.

Speaker 2:

Of course, the more rides the device has just like if you're driving your car the more wear and tear you put on it, the sooner it's going to need a bit of a trip to the mechanic. Nothing different to an REOrio. Our team work on the devices at all times. We have a touch point on the on the ario to ensure that we are looking at ways to ensure that is safe, that the brakes are safe, the tires are great, everything is ready to go. Indicators working, lights are there, the helmets are if they need replacing, if it needs, the helmets get cleaned by our team. Every time that there's an REO touch point on that scooter, which would be no more than 72 hours, you would see someone wiping the helmet, cleaning the helmet, and also that happening a lot regularly as well, because we know that the Canberra market, if we get the opportunity to come here and the honour to work and operate a business here in the nation's capital. We know that Canberrans are going to love it.

Speaker 1:

And so how are they charged? Do they need to go back to a depot to be charged in a 72-hour session?

Speaker 2:

Well, each of the device has a swappable battery. So when we talk about sustainability, that is one thing that we've really ensured that we have either e-cargo bikes and central hubs for battery charging, but also ensuring that our batteries have enough battery charge in them so we can keep the device on the streets and we simply bring around batteries, swap them out, take the battery back. We have a state-of-the-art battery technology which none of our fellow industry counterparts have, and that technology, because of the focus on lithium-ion batteries at the moment, we've put a lot of focus in that technology. So we've got different sensors. If the battery charging unit is overheating, it will turn off. Send a sensor to the operations manager. It's fitted with state-of-the-art technology to make contact with the fire department and other services. So it's a really smart piece of kit and what that does is ensures that batteries are charged safely and also that anything that we're doing on the streets, that we're actually putting a safe battery back into our devices.

Speaker 1:

The e-bikes, I guess is the other thing I wanted to ask about. You run e-bikes as well as scooters in different places. Are you looking to bring your e-bikes here to Canberra as well?

Speaker 2:

Yeah, look we're open to bringing all of our different vehicle options here. Our first preference is, of course, bringing our REO and our seated REO. We then have the REO e-bike as well, and that's great for longer distance travel. We will work with TCCS Transport City Services here in Canberra to understand what it is that Kemp Barons want. Rather than me coming here and sort of telling locals what they need, I want to hear what locals want, and any of your members that have any suggestions on feedback they hear this podcast. I'd love them to get in touch with me and provide that feedback as well, because that's how we learn as a business. Reo is community first. It's all about us coming here and trying to dictate how we operate our business. We are just like any other business here in the territory. We want to understand locals, support local and and do that the best way we can.

Speaker 1:

So I mean from a from a stepping back from the details of your business, and it's a really interesting model to be launching into multiple markets. What advice would you have for businesses that might be looking to take their product into another market where they haven't been operating before?

Speaker 2:

yeah, I think the first thing you need to do in any of these situations is have resilience. Resilience that you're going to be told no, far too many times before you're going to be told yes. But the key is not to give up. You know, continually engaging with stakeholders and building that community. Support For me whenever I'm going into a new city. I want to build social licence, and creating social licence is not something that happens. Support For me whenever I'm going into a new city. I want to build social license, and creating social license is not something that happens overnight.

Speaker 2:

If you are expanding your business into different jurisdictions, different states, whether it's here in Australia or internationally, into different countries, you need to understand the local lay of the land. Pretending that you understand that or that, if whatever happened works in Canberra, it's going to work in New Zealand, it's going to work in London, it's going to work in the US that's not the case. Every city is unique. Every city has its own set of challenges and own set of parameters. So resilience, patience, the willingness to pivot quickly.

Speaker 2:

Sometimes your strategy is not going to be the right one and you have to be able to, at a moment's time, be able to go okay, I'm going to pivot. I'm going to quickly reassess and I think the way we do business now is dramatically different to how we did business five, ten years ago. It's ever evolving. The customer is expecting a lot more, the circumstances are a lot tougher and earning a dollar is not easy. So being out there, building that resilience, being able to pivot, but having the patience and, most of all, have fun if you don't enjoy what you do, being able to be passionate about it when you're going to meet new stakeholders, that can be a challenge. So I love what I do, I love the team that I work with, the technology that we have and I'm excited about bringing it to the Territory.

Speaker 1:

So where does the technology come from?

Speaker 2:

So the technology is all built in-house. So we have a range of team both here and overseas. We are part of a global company that is a listed company, which is based in Singapore, but our head office here in Australia is in Melbourne and every office we have different territory, regional headquarters. We have one in Lot 14 in Adelaide, we have one in Sydney inbd, as well as botany, where our regional warehouse for sydney is.

Speaker 2:

We've got locations on the gold coast brisbane, cairns, townsville, christchurch next stop, canberra so, and how many people would you be employing in australia at this point?

Speaker 2:

oh gosh, I think the last check at the moment would be 50-plus right now, and that doesn't include our partners that we work with so small businesses. Whether it's printing signage, whether it is spare parts, whether it is van hire, warehouse hire, whether it's trades because every time we go to a new city we employ trades to come in and get the warehouse electrical right, the plumbing right. There's small modifications that we make to the warehouse for it to be local. We source local printing, we source local people on the ground. I was saying before, one of the things in London that the London cab drivers have to do is they have to do a test to understand and to prove they know the streets of London back to front. So you can't be a cabbie over there. If you don't know, you can't pass the test. Nothing's different to running an area operation. We want to make sure the people we have employed at REO know their local community. So if you can't pass, the test.

Speaker 2:

Nothing's different to running an ARIO operation. We want to make sure the people we have employed at ARIO know their local community. So if you don't know your local area, if you don't know the different suburbs between Gungahlin, Mitchell and the CBD, well, that's going to be the first step of getting your foot in the door with ARIO. I'm still learning where all these places are, but I'm sure that towards the end of our relationship, even before we get started here in Canberra, I'll be able to quote them back to you, Greg.

Speaker 1:

We'll give you a test on that next time you're in town. Mitchell Price from REO. Thank you so much for joining us. It's been really interesting to hear a little bit more about REO and the journey, and I wish you good luck as you try and roll the product out here in the ACT.

Speaker 2:

Thanks.

Speaker 1:

Greg, thanks for having me Just a reminder that this episode of the Canberra Business Podcast has been brought to you by the Business Chamber with the support of CareSuper, an industry super fund with competitive fees and returns, exceptional service and a focus on real care. You can learn more at caresupercomau and don't forget to follow us on your favorite podcast platform for future episodes of the Canberra Business Podcast. We'll catch you next time.