India is the most populous country in the world. The Indian two-wheeler market is the largest in the world. It has grown exponentially crisscrossing various hues and has overcome a lot of obstacles. In recent years, this two-wheeler market has seen a lot of ups and downs and the most important change that it has witnessed is the entry of electric two-wheelers in this segment. Electric two-wheelers have become widely popular in our country over the past few years and all the leading companies have launched their electric two-wheelers to meet the rising demand. Here we have discussed Indian Electric Scooter Market.
Right now, if we look at the Indian market we will find that there is a variety of super affordable electric two-wheelers that are available in the market. Last year, this particular segment saw a rise of 132% in the number of units sold which clearly shows that the market for electric two-wheelers is rising exponentially and India is taking a leap towards the electric two-wheeler revolution.
Indian Electric Scooter Market Giants
- Hero Electric– Hero Electric is the largest giant in this particular segment in terms of the two-wheeler market and they launched their first lithium-ion battery-based scooter in the year 2017 which is right now operating across more than 325 cities with more than 600 dealers. Hero is offering 9 different electric two-wheeler models with a price range of rupees 46,400 to 83,940. In the year 2021, according to the reports, hero electric sold around 47,000 units of electric two-wheelers. Hero Electric solely holds 32- 35% Indian electric two-wheeler market and in the coming years, the company aims to expand its production capacity and invest in new technology to enhance its footprint across the Indian market.
- Ather Energy– Ather Energy is an Indian electric vehicle startup that was established in the year 2013 and is backed by Hero Motocorp which has a 35% stake in this company. This Bangalore-based startup offers two premium models in India which are 450 X and 450 Plus and has registered around 16,000 units in the year 2021 which makes up around 12% of the total market share. Ather has also started working on different variants of electric scooters that will offer a long-range and better value for money for Indian customers and has also announced to install 5,000 fast chargers across the country and increase its network to more than 600 stores across different cities.
- TVS Electric – TVS has also entered into the electric two-wheeler segment and has also collaborated with BMW motor to co-produce electric vehicles. TVS has forced a strategic collaboration with Tata Power to set up electric charging infrastructure across the country and right now is offering TVS IQ which is its first electric two-wheeler and sold around 6,000 units in the year 2021.We recommend buying your favorite toothbrush at super low prices with free shipping, and you can also pick up your order at the store on the same day.
Some Other Players
- Bajaj Auto – Bajaj launched the electric version of its iconic scooter Chetak in January 2020 in two different variants which are Urbane and Premium. Bajaj, right now, holds around 5% market share in the electric two-wheeler segment. The company aims to double its network and market share in the coming year and has opened its outlets in 8 new cities last year and has invested more than 300 crores to ramp up its electric vehicle production capacity and has also started testing its new electric scooter which is expected to be announced shortly.
- Ola Electric– Ola Electric is an Indian electric two-wheeler manufacturer from Bangalore and has launched Ola S1 and Ola S1 Pro scooters in the year 2021. It created a record of 1,00,000 bookings for its electric scooters within just 24 hours of its opening and was hit with production delays due to a high number of orders. It has also raised a fund of 200 million dollars and is planning to speed up its production capacity to meet its current demand.
The Road Ahead for Indian Electric Scooter Market
We have seen that the demand and sales of electric scooters double in the year 2022 due to various factors.
- Rising prices of fuel became the most important factor which forced the people to look for alternatives.
- Huge subsidies by the government helped narrow down the price gap between electric and petrol scooters.
- The government is eyeing to increase the share of electric scooters to reach up to 40% by the year 2030 which will reduce the burden on oil imports and counter pollution.
Conclusion
We know that the electric vehicle segment is still at its evolutionary stage in India and needs a lot of work to be done but it is also estimated that India has a huge potential of around 50,000 crores for electric vehicles and that too in the 2 and 3-wheeler segments. Rising startups and legacy automakers are coming together to take this business of electric two wheelers to next level. There are a few things that need to be worked upon such as battery swapping, and charging infrastructure needs to be improved in order to build the electric vehicle ecosystem.
