EV Manufacturers Reduce Prices of Electric Scooters to Grab Market Share

With the intention to capture a larger share of the electric vehicle (EV) market, prominent players including Ola Electric, Ather Energy, Okaya EV, and Bajaj Auto-owned Chetak Technology have slashed prices of their electric scooters. Ola Electric, led by Bhavish Aggarwal, slashed prices by up to Rs 25,000 on its S1 Pro, S1 Air, and S1X+ models, leading to a surge in bookings. Similarly, Ather Energy reduced the price of its 450S model by Rs 20,000, while Bajaj Auto’s Chetak scooter is now available at more competitive price points.

Despite the rapid growth witnessed by the E2W sector, with sales growing by 26% in January compared to the same month last year. Electric scooters still constitute only a fraction of sales, accounting for 4.5 percent of the overall two-wheeler market. Among the significant hurdles faced by the EV industry are concerns regarding range anxiety, relatively higher acquisition costs compared to petrol-powered vehicles, and inadequate charging infrastructure. However, in response to these challenges, some EV manufacturers have undertaken significant price cuts on their entry-level products, ranging from 15-17%.