The entry of new diversified products along with an expanding network will play a big role in tripling and quadrupling the penetration of electric vehicles in the Indian market, says Tarun Mehta, CEO of Ather Energy.
Speaking at the Seminar on EV manufacturing in Gandhinagar at the 10th Global Summit of Vibrant Gujarat, Mehta said many major players are currently selling only one or two products in the marketplace, which is not common. "You need a variety of options for people to feel compelled to walk in. A wider product portfolio is as important as distribution growth. As we go from having one scooter each to possibly two or three scooters and three or four bikes each, the current penetration levels will automatically triple or quadruple, you add a layer of distribution and the fast penetration is inevitable," said Mehta.
He added that larger cities like Bengaluru and Nashik have penetration of 30 percent and 45 percent, respectively.
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"Imagine what can happen when we all have enough scooters, we all have motorcycles and enough distribution. And none of this requires new fancy technology by the way. All of this is good old fashioned engineering hours put in to crack it," he explained.
During the calendar year 2023, the electric two-wheeler market registered a growth of 36 percent with retails of 8.57 lakh units, accounting for 60 percent of 1.5 million EVs sold in the country. Mehta forecasts that the Indian electric two-wheeler market should grow more than 10 fold in the next five years to about 1.2 crore or 12 million units, with almost 10-15 percent of the total output will go towards the overseas markets.
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The company has cumulatively sold over 2 lakh units, and the last 1 lakh units were achieved in the last one year alone.
Ather Energy has already announced that the company plans to add a family scooter to its existing line up of products. “It's designed with your entire family in mind, offering comfort, ample size and a whole lot more – all wrapped up in one fantastic package. We're ensuring it's affordable, making the Ather family experience accessible to more people,” Mehta had said late last year.
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With inputs from SHAHKAR ABIDI.