After merger: E-scooter brand Tier disappears

As of: October 1st, 2024 10:14 a.m

After being taken over by competitor Dott, the Tier brand e-scooters received a new coat of paint. In the future there will only be one brand and one app.

The turquoise e-scooters and e-bikes from Tier will soon disappear from the streets of German cities, but will return in a new form. After being taken over by the Dutch-French competitor Dott in January, they will be repainted and will have the Dott design in the future.

When the Tier brand disappears, the associated app will also be switched off. Users are then redirected to the Dott platform, which covers offers in different countries. The changeover is scheduled to begin in Germany in mid-October and be completed in a few weeks. Recently there were animal scooters in more than a hundred German cities.

“We surveyed a lot of customers and noticed that Dott’s brand awareness is more pronounced across all 21 countries,” said Philipp Haas, Managing Director for the German, Austrian and Swiss markets. Animals are only better known in Germany. But: “In Germany we noticed that the branding or the brand is not that relevant,” says Haas. For users, the focus is on reliability in terms of the range and availability of vehicles.

Highly competitive market

Dott took over the Berlin-based provider Tier in January. Dott is particularly well represented in the Benelux countries and France, while Tier was particularly active in German-speaking countries. In addition to e-scooters, the portfolio also includes e-bikes. Tier separated from the traditional rental bike business after taking over Dott. E-mopeds have also not been part of the range for a long time.

The e-scooter market is considered highly competitive. After a strong growth phase in the first few years after approval in 2019, companies are now striving to save money and become profitable. Dott managing director Haas assumes that the consolidation of the market is not yet complete. “We do believe that there will be further mergers. But we will not be involved in that.”

Dott represented in 21 countries

There were no further large-scale job cuts at Dott and Tier as a result of the merger, said Haas. In 2022, Tier had already cut almost 200 jobs.

According to its own information, Dott has more than ten million users and a fleet of 250,000 e-scooters and e-bikes. The company is present in 427 cities in 21 countries in Europe and the Middle East. Dott wants to be in the black before interest, taxes, depreciation and amortization this year.

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