Ola Electric logs sale of 10,000 scooters in three days after price slash

21 Feb 2024 , 10:46 AM

IPO-bound Ola Electric’s recent effort to lower the costs of its two-wheeler scooters by roughly ₹25,000 per unit last week resulted in an increase in sales of around 10,000 scooters in the previous three days.

Ola Electric’s pricing adjustment has resulted in the firm selling 3X units of its S1 scooter portfolio – at over 10,000 (an average of over 3000 per day) in the previous 72 hours, according to sources.

To be sure, the government’s VAHAN statistics on EV two-wheeler sales for February will only be released in the first week of March. On February 16, the Bangalore-based business said in a statement that it had reduced the pricing of battery-powered scooters by up to ₹25,000 in February.

The firm’s scooters S1 Pro, S1 Air, and S1 X+ are currently available for ₹129,999, ₹104,999, and ₹84,999, respectively, until the end of February.

While announcing the price decrease, the Bangalore-based firm said that it could lower its product prices due to ‘robust cost structures,’ ‘vertically integrated in-house technology,’ manufacturing capabilities, and eligibility for manufacturing incentives.

Ola Electric continues to have a larger market share among EV manufacturers in India. In January, the company sold over 32,293 scooters, accounting for 40% of the market, while TVS Motor sold 15,279 and Bajaj sold 10,855.

Ola Electric has also been expanding its inventory with more cheap versions in order to promote uptake. The business recently unveiled its inexpensive EV range with the S1X scooters, which start at ₹79,999 per unit.

The company, which now manufactures one million electric vehicles each year in Krishnagiri, Tamil Nadu, plans to increase its capacity.

‘In the next six to nine months, our overall production capacity will increase to 2 million from 1 million each year. In a previous engagement, Bhavish Aggarwal, co-founder and managing director of Ola Electric, stated that the capacity we now have may be enhanced up to 10 million per year, which is our ultimate target.

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