High petrol prices and growing consumer adoption of EVs drives demand for Hero products.
08 Dec 2021 | 6463 Views | By Autocar Professional Bureau
The two-wheeler consumer shift to electric mobility, thanks to high petrol prices, is gradually having an impact on OEM sales and a positive one at that. Market leader Hero Electric has announced that it has clocked over 7,000 high-speed electric scooters in November 2021. This is a near-500% year-on-year increase ...
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The two-wheeler consumer shift to electric mobility, thanks to high petrol prices, is gradually having an impact on OEM sales and a positive one at that. Market leader Hero Electric has announced that it has clocked over 7,000 high-speed electric scooters in November 2021. This is a near-500% year-on-year increase (November 2020: 1,169 units), albeit overall market demand was badly hit by the pandemic.
What has helped boost sales in November was the festive season and also Hero Electric’s ‘30 days, 30 bikes’ festive offer. Under the offer, every day one customer who bought Hero Electric two-wheeler got a chance to ride home his/her vehicle free. In the first seven months of FY2022 (April-October 2021, Hero clocked sales of over 50,000 units, scaling a new high in the process.
Furthermore, Hero Electric as well as other EV players are benefiting from the recent amendment in FAME II policy for increased subsidy and rising fuel prices. And, with growing consumer awareness of much lower total cost of ownership, the need for eco-friendly mobility and enhance EV charging infrastructure, there is a marked shift of ICE two-wheeler buyers to electric two-wheelers.
Sohinder Gill, CEO, Hero Electric, commented: “At Hero, we have been steering EV adoption in India and are witnessing stronger consumer confidence towards electric mobility solutions. The government initiatives and customer-friendly policies have continued to drive demand for the category, translating into positive sales momentum. Given the surge for EVs, we are working to meet the rising demand and are hopeful to end the year on a high note.”
Targets a million sales by 2026
As is known, Hero Electric, whose manufacturing plant is in Ludhiana, has outlined an ambitious target of achieving sales of a million units in the next five years. In line with this, it is expanding its product portfolio and sales touch-points, investing in technological innovation, and collaborating to grow the EV infrastructure in India.
Hero Electric currently has over 700 sales and service outlets spread across the country along with a widespread charging network and trained roadside mechanics on EVs. It is also investing in expanding the EV charging network. Last month, it partnered Charzer, a Bengaluru-based EV charging start-up, to set up 100,000 charging stations in a year, further standardising electric vehicle infrastructure between manufacturers.