Ola Electric sees sharp drop in EV market share, down to one-third in August

Ola Electric has witnessed a sharp drop in its share in the electric two-wheeler segment this month. According to recent data, India's largest electric two-wheeler manufacturer has witnessed its market share shrink by nearly 16 per cent from June this year to just one-third in August. The EV maker recently launched its Initial Public Offering (IPO) with its shares also dropping by around five per cent after initial gains.

According data sourced from Government of India and Jefferies, an investment banking and capital markets firm, Ola Electric's market share in the electric two-wheeler segment is down to just 33 per cent in August. The slump comes in the same month when the EV maker forayed into the electric motorcycle segment with the launch of the Roadster on August 15.

The drop is in sharp contrast to Ola's commanding 49 per cent market share achieved in the quarter between April and June this year. In July, Ola's market share had dropped to 39 per cent. Overall, Ola has increased its market share to 40 per cent in the first five months of the ongoing financial year compared to 35 per cent in the previous one.

Ola Electric launched the Roadster electric motorcycle, its first, at a starting price of ₹ ₹74,000 (ex-showroom). Offered in three variants, the Roadster has joined Ola's EV fleet which also includes electric scooters like S1 Pro, S1 X and S1 Air. Ola Electric currently has the widest range of EVs in its lineup compared to its rivals.

TVS Motor, Bajaj Auto increase market share

While Ola continues to lead the electric two-wheeler segment, EV makers like TVS Motor and Bajaj Auto have gained market share during this period. TVS Motor is placed second in terms of market share with 19 per cent while Bajaj is third with 18 per cent contribution. Both these EV makers have seen marginal growth since July.

The decline in market share for Ola Electric for the second consecutive month comes amid the debut of its IPO on August 9. After initial surge, shares of Ola Electric dropped by five per cent on Thursday.

Ola scraps electric car project

Ola Electric has officially pulled the plug off its first electric car project. The EV maker is more keen to work towards profitability after it launched its IPO earlier this month and focus more on products that are relevant for Indian customers. In 2022, Ola Electric had announced that it will launch its first electric car in India. The EV maker also offered a glimpse at the electric vehicle.

Check out Upcoming EV Bikes in India.