Hero MotoCorp targets EV leadership with affordable models: CEO
Addressing shareholders in the company's Annual Report for 2023-24, Gupta said the two-wheeler major has a roadmap to scale its electric vehicle business rapidly.
Eyeing leadership in the electric two-wheeler segment, Hero MotoCorp is looking to roll out affordable models in the current fiscal, according to CEO Niranjan Gupta.
The country's largest two-wheeler maker is also hopeful of the debut of its electric range in the international markets.
Addressing shareholders in the company's Annual Report for 2023-24, Gupta said the two-wheeler major has a roadmap to scale its electric vehicle business rapidly.
"We want to build leadership in EV, and in order to do that, we will be creating a very powerful EV product portfolio, augmenting the VIDA V1 Pro that we have today," he noted.
The company will be launching products in the mid-and affordable segments this fiscal, Gupta said.
Hero MotoCorp's VIDA electric scooter range is priced between Rs 1-1.5 lakh, including state subsidies.
Hero MotoCorp Executive Chairman Pawan Munjal said together with Ather Energy, VIDA has established India's largest public-charging infrastructure for two-wheeler EVs.
Additionally, the partnership with Zero Motorcycle will facilitate the development of new EV motorcycles targeted at a distinct customer segment, thereby expanding the overall market size, he added.
"I am particularly pleased to witness VIDA V1's rise as one of the leading electric scooters in India, and I anticipate its future launch in global markets, where it is poised to become a significant player as well," Munjal noted.
Hero MotoCorp has already expanded the presence of its EV scooter VIDA from three to over 100 cities.
"There is path-breaking innovation underway at our state-of-the-art R&D Centres at CIT Jaipur and Tech Centre Germany to create a winning portfolio in all segments," Gupta informed shareholders.
The company also plans to drive more premium products and scale up the international, accessories and merchandise businesses, he stated.
Gupta noted that while the company has a huge scale in the domestic market, it has also embarked on a similar journey to scale up its global business with a single-minded focus on the top ten markets.
"Additionally, we are tapping into opportunities to scale up our accessories and merchandise business," Gupta stated.
On premium products, he noted that last year the company launched a series of premium products, boosting the portfolio.
"We will continue to launch more premium products in the coming years," he said, outlining the company's focus on speed, scale, synergy, and simplification.
"Our premium portfolio across ICE and EV will grow exponentially, with a line-up that is committed to innovation," Gupta said.
He noted that the company enjoys a significant scale advantage.
With a customer base of 116 million, over 7,500 distribution points, a supply chain capacity of 10 million units, a presence in around 50 global markets, and a workforce of more than 25,000 employees, the two-wheeler major's scale is unparalleled, he said.
"Leveraging this scale is key to success in everything that we do. We are adopting this scale Mantra in every decision we make; our strategy is to put our might behind products and projects that can be scaled up faster," Gupta said.
The company has accelerated product development and also upgraded the sales network, he said.
"Embracing speed is crucial as we navigate rapidly changing global and consumer trends.
We are now focussing on further reducing the time our products take to roll out and enhance speed by decentralised decision-making to the point where the actions reside," Gupta said.
Edited by Affirunisa Kankudti