{"id":493191,"date":"2025-01-04T07:00:36","date_gmt":"2025-01-04T01:30:36","guid":{"rendered":"https:\/\/inc42.com\/?p=493191"},"modified":"2025-01-03T19:42:57","modified_gmt":"2025-01-03T14:12:57","slug":"two-wheeler-ev-sales-in-2024-ola-retains-top-spot-but-bajaj-tvs-on-the-prowl","status":"publish","type":"post","link":"https:\/\/inc42.com\/features\/two-wheeler-ev-sales-in-2024-ola-retains-top-spot-but-bajaj-tvs-on-the-prowl\/","title":{"rendered":"Two-Wheeler EV Sales In 2024: Ola Retains Top Spot But Bajaj, TVS On The Prowl"},"content":{"rendered":"

The Indian electric vehicle (EV) industry witnessed another year of maturity in 2024. On the back of improving charging infrastructure, policy push from the Centre and state governments, and rising investor interest, EV sales saw a promising rise during the year.<\/span><\/p>\n

Total EV registrations in the country rose 30% year-on-year (YoY) to almost touch the 20 Lakh mark in 2024, with electric two-wheeler registrations zooming 33% YoY to 11.4 Lakh.<\/span><\/p>\n

\"EV<\/p>\n

It was a momentous year for Ola Electric, as it became the first Indian EV maker to go public in August 2024. In terms of sales, the Bhavish Aggarwal-led company retained its top position in the two-wheeler market. Its total EV registrations surged 52% to about 4.1 Lakh units in 2024 from 2.7 Lakh units in the previous year.\u00a0<\/span><\/p>\n

With this, its market share in the two-wheeler EV market went past the 35% mark in 2024 from 31% in the previous year.<\/span><\/p>\n

However, it wasn\u2019t one-way traffic in the EV market as these numbers suggest. The competition intensified this year, with legacy automotive players Bajaj Auto and TVS Motor upping the ante. This resulted in <\/span>Bajaj and TVS overtaking the Bhavish Aggarwal-led company<\/span><\/a> in escooter sales in December 2024.<\/span><\/p><\/blockquote>\n

In August 2024, brokerage Jefferies said that <\/span>aggressive discounting was helping Bajaj and TVS<\/span><\/a> gain market share from Ola Electric.<\/span><\/p>\n

Ola Electric Faces Fierce Competition<\/b><\/h2>\n

While 2024 began with Ola Electric continuing to lead the two-wheeler EV race, the game changed by the end of the year. The company posted sales of 32,424 units in January 2024, but this number dropped to 13,106 units in December 2024, as per Vahan data on December 30.<\/span><\/p>\n

Besides the aggressive growth strategy of the legacy players, rising complaints about its after-sales service also seemed to have impacted Ola Electric\u2019s sales.<\/span><\/p>\n

The publicly listed company sold almost 42,000 units in July last year, which was 115% higher than around 19,400 units sold by it in the same month of 2023. However, in December 2024, its vehicle registrations slumped almost 57% YoY.\u00a0<\/span><\/p>\n

On the other hand, Bajaj started the year with less than 11,000 monthly escooter registrations. This rose to 17,000 units in December 2024.\u00a0<\/span><\/p>\n

Bajaj saw a whopping 167% growth in Chetak escooter registrations in 2024, albeit on a lower base compared to Ola Electric. Against the 71,942 units of vehicles it sold in 2023, Bajaj\u2019s escooter sales jumped to over 1.9 Lakh units in 2024.\u00a0<\/span><\/p><\/blockquote>\n

In comparison, TVS saw moderate growth in 2024 and also faced volatility in sales throughout the year. While its registrations surpassed the 30,000 units mark amid the festive season in October, it saw registrations of a little over 16,000 units in December last year. Overall, it maintained its second position in terms of sales in 2024.<\/span><\/p>\n

In another alarming sign for Ola Electric, Hero MotoCorp\u2019s total EV registrations almost quadrupled to 43,662 units in 2024 from 11,142 units in the previous year. While this was a far cry from Ola Electric\u2019s numbers, the brand familiarity and its network can help the company quickly reduce this gap.<\/span><\/p>\n

Meanwhile, Ather Energy continued to be a laggard among the major two-wheeler EV players. The IPO-bound company\u2019s escooter registrations grew a mere 20% to 1.25 Lakh units in 2024 from around 1.05 Lakh units the previous year. Its market share declined to 11% in 2024 from 12.2% in the previous year.<\/span><\/p>\n

\"Sales<\/p>\n

Gap Widens Between Market Leaders & Smaller Players<\/b><\/h2>\n

Some of the smaller players also saw their sales grow amid the rise in the overall two-wheeler EV sales. Escooter startup River, which launched its first EV in February 2023 and raised <\/span>$40 Mn in funding<\/span><\/a> in February last year, witnessed a 2,600% surge in its vehicle registrations to 2,501 units in 2024 from 92 escooters in 2023.<\/span><\/p>\n

Similarly, electric motorcycle manufacturer Oben Electric\u2019s vehicle registrations zoomed 1,100% YoY to 630 units in 2024.\u00a0<\/span><\/p>\n

Electric motorcycle maker Revolt also bounced back strongly by the end of 2024 after it faced notices and fines amid the FAME-II fiasco in 2023. The RattanIndia-acquired EV company saw a 42% YoY rise in vehicle registrations to 9,911 units in 2024. Compared to only 533 units of electric motorcycles it sold in January last year, Revolt\u2019s sales surged to 954 units in December.<\/span><\/p>\n

High-performance electric motorcycle player Ultraviolette also saw more than a 50% YoY rise in its vehicle registrations to about 400 units in 2024.<\/span><\/p>\n

However, Hero Electric and Okinawa Autotech, who were among the top players in 2022, continued to see their sales nosedive. While Hero Electric\u2019s registrations declined 90%, Okinawa\u2019s escooter sales slumped almost 85% YoY in 2024.<\/span><\/p>\n

Overall, the top four players further solidified their lead in 2024 with a cumulative market share of 82.5% as against 71% in 2023.<\/p><\/blockquote>\n

\"Market<\/p>\n

Meanwhile, in the electric three-wheeler category, Altigreen Propulsion Labs, which was once a leading player, saw its vehicle registrations slump to a mere 12 units in December last year from 145 units in January 2024. On the other hand, startups like Euler Motors, Omega Seiki, and Kinetic Green saw more robust sales throughout the year.<\/span><\/p>\n

However, legacy players like Bajaj, Mahindra, and Piaggio led the race in the three-wheeler EV category.<\/span><\/p>\n

What To Expect In 2025?<\/b><\/h2>\n

After the cut in subsidies and action on several electric two-wheeler players for breaching the localisation norms under FAME-II, some of these EV makers have negligible market share and do not seem in a position to regain it. There is a clear consolidation happening among the biggest players. The rising competition will test new-age tech companies like Ola Electric and Ather Energy in 2025 and also provide them with an opportunity to show how resilient they are.<\/span><\/p>\n

Meanwhile, low-speed escooters are seeing a surge in adoption due to the quick commerce boom. As such, this segment is likely to see a lot of action next year. Ola Electric has already made its intentions clear with the launch of \u2018Gig\u2019 scooters.<\/span><\/p><\/blockquote>\n

New product launches are expected to continue this year as companies look to increase their market share. While the demand for Ola Electric\u2019s ebikes will be keenly watched, the impact of <\/span>Honda\u2019s entry into the two-wheeler EV space<\/span><\/a> on the market will also need to be seen.<\/span><\/p>\n

On the infrastructure front, the PM E-DRIVE scheme is likely to lead to further increase in the availability of charging stations, thereby increasing adoption of EVs. The scheme has a budgetary allocation of INR 2,000 Cr for establishing additional public charging infrastructure.\u00a0<\/span><\/p>\n

Hero Electric has already partnered with EV charging network BOLT to set up 50,000 charging stations by 2025. More such collaborations and public-private partnerships are expected to improve charging networks across the country.<\/span><\/p>\n

Sameer Aggarwal, founder and CEO of EV financing startup Revfin, believes that the focus on developing robust EV charging infrastructure and scaling up battery-swapping networks will make the transition to EVs seamless for consumers.\u00a0<\/span><\/p>\n

\u201cCoupled with innovative financing models and targeted efforts to reach underserved markets, the industry is set to overcome accessibility barriers and make sustainable mobility a reality for all,\u201d Aggarwal said.<\/span><\/p>\n

Meanwhile, after the public listing of Ola Electric, Ather Energy\u2019s IPO will also be closely watched by investors in 2025.<\/span><\/p>\n

[Edited By Vinaykumar Rai]<\/i><\/b><\/p>\n","protected":false},"excerpt":{"rendered":"

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