Delivery Timeline Changes
Ola Electric has announced a delay in the delivery of its latest S1 Z and Gig models. The primary reason for this hold-up is the company’s current focus on the Roadster electric bike platform, as well as efforts to enhance its cost structure and sales operations across its network.
- S1 Z and Gig are the most affordable Ola models.
- The Roadster electric bike is the current focus for the company.
- Deliveries have been rescheduled to an unspecified date.
Details on the Delayed Models
Company’s Strategy for Future Releases
“We are postponing the S1 Z and Gig/Gig+ models, along with some other upcoming products, to ensure that each product receives the attention it deserves from customers,” said Bhavish Aggarwal, Founder, Chairman, and MD of Ola Electric, during a discussion with investors.
Last November, Ola unveiled the Gig electric scooter, which is tailored for B2B applications, in two variants priced between Rs 39,999 and Rs 49,999. They also introduced the S1 Z at Rs 59,999, targeting cost-conscious urban commuters. Originally, deliveries for these models were expected to commence in April and May of this year; however, they have now been postponed to an unspecified later date.
Aggarwal further emphasized, “Our immediate focus is on the Roadster platform, which includes the Roadster X, X Plus, and the Roadster itself. The Gig, Gig Plus, S1 Z, and the three-wheeler platforms will be launched subsequently.”
Additionally, the Roadster motorcycle has seen delays as well. Initially set to begin deliveries in March, these were first pushed to April, and only commenced on May 21 of this year.
Market Challenges and Strategic Responses
Amid increasing competition from traditional two-wheeler manufacturers such as Bajaj Auto and TVS Motor, Ola Electric has been facing mounting pressure on its market share. The company reported a decline in volumes over the past quarters, losing its top position in the industry.
In response, Ola Electric has been concentrating on expanding its retail and service infrastructure while addressing operational challenges related to service and registrations. The company has increased its store count to around 4,000 outlets and claims to have reduced service turnaround times to just 1.1 days.
Aggarwal stated, “Our current objective is to boost productivity and sales efficiency at the stores we have opened. This focus will be critical as we prepare for the upcoming launch of our bike [Roadster].”
