Ola Electric takes the top spot in E2W market in February with 25,000 units sold
The company had said earlier this month that it was renegotiating its contracts with vehicle registration agencies, temporarily affecting numbers on VAHAN portal.
Electric vehicle maker Ola Electric on Friday said it has retained its market leader position with over 28% share of the EV two-wheeler market in February, owing to rising demand for its products in Tier III and IV towns.
The company sold 25,000 units during the month. However, data from VAHAN portal show that the company has sold only 8,390 units this month.
Earlier this month, Ola Electric said it was renegotiating its contracts with registration agencies that would temporarily affect the data on the portal. These negotiations were with regards to reducing costs and streamlining the registration process of its vehicles.
This marks the second consecutive month that the Bhavish Aggarwal-led company has held the top spot, rebounding from a slight sales dip in December that briefly allowed legacy player Bajaj Auto to take the lead.
In January, Ola Electric reported had sold 22,656 capturing a 25% market share amid its store expansion.
“We have successfully maintained a strong sales momentum & leadership position through the month of February. Owing to our wide scooter portfolio across mass and premium segments, and our network of 4,000 stores across India, we are now witnessing a strong uptick in demand beyond urban cities from Tier 3 & 4 towns,” a spokesperson for Ola Electric said in a statement.
The Bengaluru-based startup is also ramping up steps to achieve profitability after rising concerns about its widening bottom line numbers.
Ola Electric, on Thursday, eliminated its regional warehouses across India, and will now leverage its 4,000 retail stores for maintaining vehicle inventory, spare parts, accessories, and last-mile deliveries. The strategic move is expected to boost EBITDA margins by almost 10 percentage points, according to a PTI report.
Amid these steps, the company is also entering the electric motorcycle market with its Roadster series.
(Disclaimer: Shradha Sharma, Founder and CEO of YourStory, is an independent director in Ola Electric.)
Edited by Affirunisa Kankudti
