 "Ather Energy all set to expand its presence in the family scooter segment")
To deal with rising competition from players like Ola Electric and TVS, Ather Energy is all set to expand in the family scooter segment by launching Ather Rizta on April 6.
This is a strategy to mark its presence in the segment, which contributes 83 per cent of the total two-wheeler sales in India.
The company is also set to come up with electric motorbikes in the next three-five years, a senior executive told Business Standard.
ALSO READ: Ola Electric cuts its scooter prices by up to Rs 25,000. Details here
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“The size of the family scooter market is around 4.5-5 million units. We marked our presence in the segment through Ather 450 and now the ambition is to be a strong complete player,” said Ravneet Phokela, chief business officer, Ather Energy.
Phokela added that the company is aggressively looking at the family segment rather than the performance space, after facing stiff competition from Ola Electric and TVS.
According to data by the Society of Manufacturers of Electric Vehicles (SMEV), Ola Electric’s market share in the electric two-wheeler segment is around 34 per cent so far in 2023-24. It is followed by TVS at 19 per cent and Ather Energy at 11 per cent. Bajaj, too, has an 11 per cent market share.
“So far, we only played in the 20 per cent market in two-wheelers, which is the performance segment. We are targeting growth in the family space now,” said Phokela.
Based on industry data, the sale of two wheelers in the performance segment is around 0.8 million.
ALSO READ: Ather hiring investment banks for IPO this year, eyes raising Rs 3,300 cr
ALSO READ: Ather hiring investment banks for IPO this year, eyes raising Rs 3,300 cr
On the other hand, sales of vehicles over 110 cc in the family segment is around 2.4 million and, below 110 cc, the figure is nearly 3 million.
“Since we are targeting families, the focus of the new product will be on higher storage and improved screen size, among others,” he said. He added that the company wants the FAME subsidy to be extended by another two years at least, for a better industry.
“We are planning to come up with electric motorbikes in the next three-five years,” Phokela added.
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