Hero MotoCorp Looks To Scale Up EV Biz

Earlier this week, Hero MotoCorp reported a 13 per cent rise in sales during the festive period in India this year at 15.98 lakh units compared to the year-ago period

Milan: Hero MotoCorp is looking to scale up its presence in the electric two-wheeler space as it gears up to introduce affordable models over the next few months, according to a top company executive.

The two-wheeler major is also looking to bolster its presence in Europe as it looks to enter markets like the UK, France, Spain and Italy next year. “In the next six months, there will be a lot of action in the product portfolio (in the EV space). We will be launching products (under VIDA range) in the more affordable segments as well,” Hero MotoCorp CEO Niranjan Gupta told PTI in an interaction here on the sidelines of EICMA. Hero MotoCorp’s VIDA electric scooter range is currently priced between Rs 1-1.5 lakh, including state subsidies, in India.

The company currently sells the VIDA range in over 230 cities and towns in the country, with over 400 sales touchpoints. Gupta noted that the company has done well in the electric segment, having sold 11,600 units in the just concluded 32-day festive period. Emphasising the importance of having a physical sales and service infrastructure on the ground, he noted that it helps in gaining customer trust. “There’s a physicality to customer service that is required. I think, as Hero, we are into every nook and corner of the country, and therefore, we have an advantage there,” Gupta said.

He also noted that being cost-competitive also works out in the company’s favour. “So, I would say cost and customer service is the differentiator between winners and losers in the long run (EV space),” he added. When asked about the overall sales scenario in the domestic market, he said urban centres were doing better, and now rural areas have also started to pick up pace. “So, I would say that there’s a positive momentum that can come up from the rural market as you move forward. We do know that the monsoon has been good.

We do know that the government has increased the MSP… So, I think all of these, in the fullness of time, will percolate down in terms of income at the bottom of the pyramid and the employment,” Gupta said. “So, we are seeing green shoots, and therefore, moving forward, we do see positive momentum coming back.” Earlier this week, Hero MotoCorp reported a 13 per cent rise in sales during the festive period in India this year at 15.98 lakh units compared to the year-ago period.