Hero Electric's Online Push Gains Traction
Society Of Manufacturers Of Electric Vehicles (SMEV) has expressed confidence that despite the COVID 19 outbreak, the FY 20-21 will be a defining year for all the EV segments. One of the prominent members of that association, Hero Electric, also the largest electric two-wheeler manufacturers in India, is expecting brisk sales post the lockdown. This is despite the company’s entire network of dealership outlets downing their shutters amidst countrywide lockdown. Having sold 50,000 units from its multiple touchpoints during the last fiscal, the Delhi-based firm has now gone for the online route to sustain its growth momentum. It has recently announced its online sales scheme on its entire range (excluding Flash lead-acid low-speed model) which will be applicable till 15 May 2020.
Talking exclusively with BW Businessworld, Naveen Munjal, MD, Hero Electric stated, “In order to keep the network and markets active during this lockdown period, we’re already taking online bookings from customers with a delivery date post the opening of the lockdown period. We’ve been able to generate a fair amount of sales and interest not just for the customers but also for our dealer community. From our perspective, our online promotion is a great success. The dealers are excited and pushing forward, marketing is working overtime... all good.” Without sharing confirmed bookings, he maintained that the inquiries are running into thousands.
According to the data released by SMEV, the EV industry sold 156,000 electric vehicles in the FY19-20. Out of this, 152,000 were two-wheelers, 3,400 cars and 600 buses. The association has predicted flat sales for this fiscal despite the ongoing crisis in the country.
When queried on the key reasons behind consumer interest for its products, he added,” Firstly, it is about Clean air and Climate change as we’ve never had this kind of clean air in any of our cities and people and the government is conscious of it. We believe that majority of the people will not want to switch back to highly polluting vehicles. Secondly, people will shy away from public transport and look towards alternatives which are economical to buy and run. Thirdly, the convenience and advantages of owning an electric vehicle will be appreciated by the customers be it from a point of view of ease of use to portable batteries to low service cost, etc. “
When ascertained on the impact of the pandemic, Munjal maintained, “There is certainly an impact by COVID 19 on all industries not just the EV industry. There are issues of supply chain breakage, plants being shut down, workers going back to their native villages, logistics sector not working and the dealerships under a lockdown. The entire supply chain and distribution channels have been affected. While this is a current problem and we believe that we will eventually get out of this and be able to bounce back substantially.”
