Thanks to the economy recovery, the electric bike sales gradually rising these days. Undoubtedly India is seen as future hub for e-bikes. In this article we shall discuss “what’s going on in the Indian e-bike industry? ”
How electric bikes begin in India?
Bangalore based Eko vehicles, Gujarat based Electrothem were pioneers in electric bike business in India. India, being new to this technology taken time to accept this.Slowly they picked up sales because of electric bike advantage of no-license and no-registration. But as the technology still in nascent stage, there were a lot of service related problems faced by the costumer and due to the entire concept of electric bike lost the good will of costumers.
Then UK based Ultra Motors ltd and India based Hero ( a Hero motor group company ) joined hands and flagged of a successful production and marketing of electric bikes along with good after sales service. Though the pair had successfully branded the e-bike concept in India, they got separated and currently launching their products individually.
Mean while Avon cycles, Lectrix Motors ltd, Ampere vehicles pvt ltd, TI cycles also launched their electric bikes and concentrating on the “know how”& “know why” aspects of e-bikes and hoping a big future for this business.
Some news articles from various media sources to show the future trend of the electric bike market in India.
Ultra Motor India is planning to launch three scooters, including one in the high-speed category, and import a high- end model to India by next year. “Electric vehicles category is becoming more and more important globally and it will substantially grow in India as well. We are planning to sell 55,000 units in India in 2009-10,” Ultra Motor Chairman and CEO Joe Santana said. ( Source: UMI website )
Hero electric, the Hero Group company hopes to sell 25,000-30,000 bikes this year, up 40 per cent from last year. Its plant has an annual capacity of 120,000 units.
Electrotherm India Ltd (EIL) has posted revenues of Rs.200 million in the July-September period this year, compared to Rs.130 million in the previous quarter. During the quarter under review, the company reported a 54 percent increase in the sale of Yo-bikes. (Published by the Thaindian.com in 28th Oct, 2008)
BSA Motors, a Murugappa group company eyeing a market share of about 18-20 per cent by the end of this financial year ( 2009-10 ). The company plans to increase its dealership network from the present 30 in four southern states to about 100 within three months and thereafter increase it to about 120 by the end of this fiscal. Company is expects sales of about 25,000 bikes during the current financial year. (As reported by THE HINDU BUSINESS LINE on may 16th 2009.
Coimbatore based Ampere vehicle pvt ltd is slowly expanding their operations from electric bikes to hub motor and controller manufacturing. Their upcoming model V60 & Adya 60 has already bagged costumers due to its trendy look and performance.
The above new clips proves that this business is booming and the stated companies are having positive outlook in electric bike business in India.
Currently only YO bikes, Hero Electric is airing a TV commercial and giving promotional offers for their customers. Lectrix motors ltd had presented their e-1 model to the “man of the match “of all the matches played in ICL 2008. Most other companies are airing their commercials on local channels and following traditional banner advertisements. Some companies are giving regional promotional offers for festive seasons.
What Companies should do to improve the business in India?
1. Supply quality products to the customer along with good after sales service.
2. Innovative Marketing campaigns to attract the prospective users.