Executive Summary

The project assesses potential opportunities for VARTA in the promising EU battery recycling market. Driven by increasing sustainability demands and new regulations, two segments arise: consumer battery recycling and electric vehicle (EV) battery recycling. By evaluating both market segments and the battery recycling process, an entry strategy is developed for VARTA to expand its business into this emerging market in the EU. 

Goal

The project objective lies in exploring the consumer and EV battery recycling markets, identifying the more profitable option and creating a market entry strategy for it. Built on the cornerstones – environmental protection, regulatory compliance, and business sustainability – the market entry strategy addresses potential entry barriers and risks along with mitigation measures aligning them with VARTA’s current strengths.

The primary research questions are:

1. Which segment – consumer battery recycling or electric vehicle (EV) battery recycling – presents the most viable opportunity for VARTA in the EU market?

2. What key factors should shape VARTA's market entry strategy for the chosen recycling segment, considering competition, technology, and potential partnerships?

 

Methodology

The approach combined comprehensive research and six expert interviews, which added practical perspectives on industry challenges, opportunities, and innovative approaches. Secondary research included industry reports, academic studies, and regulatory databases providing insights into market size, trends, competition, and legal frameworks. 

SWOT analyses were applied throughout the project to evaluate internal and external factors influencing both the consumer and EV battery recycling markets. This method highlighted VARTA’s strengths, potential weaknesses, market opportunities, and competitive threats, ensuring a strategic foundation for decision-making.

A country analysis of 17 European nations identified regional challenges, different approaches, and leading players. By integrating these findings, 

the methodology provided a robust and data-driven framework for developing a targeted and effective market entry strategy.

Results

Recognizing VARTA’s core competencies and financial priorities, consumer battery recycling was identified as the priority segment over EV batteries. Collection was identified as the most strategic entry point in the recycling process. Unlike other steps, which demand significant capital investment and technological dedication, focusing on collection provides a cost-effective and practical way to enter the market. Success in this area depends on establishing transparent data systems, engaging the public, ensuring producer responsibility, and standardizing collection systems.  

Recommendations focus on optimizing collection systems, centralizing operations for greater efficiency, supporting impactful collection initiatives, and exploring innovative concepts such as Battery-as-a-Service. These measures position VARTA for both immediate market entry and sustainable, long-term growth in battery recycling. 

Cooperation Partner

• VARTA AG

• VARTA-Platz 1, 73479 Ellwangen, Germany

• https://www.varta-ag.com/de/ 

Contact Person

• David Sven - s.david@montanatechcomponents.com

Student Team

• Delic Regina

• Lentsch Katharina

• Mantler David Oliver

• Priller Simon

Project Manager

• MA Dr. Horvath Dorothee

• Mag. Monsorno Benjamin