In February, Ola Electric Scooter cut the price of its battery-powered scooters by up to Rs 25,000 after Tata Motors dropped the prices of its Battery Electric Vehicle (BEV). The Bangalore-based electric vehicle (EV) startup attributed the price cut to its superior cost structures, its technology developed in-house, its in-house manufacturing capabilities, and its eligibility for manufacturing incentives.

As of February 16, the S1 Pro, S1 Air, and S1 X+ will now cost Rs 129,999, Rs 104,999, and Rs 84,999 respectively, until the end of February.

The reason behind  the Ola electric scooter price reduction :

While the official reason for the price reduction remains undisclosed by Ola Electric, there are several possible explanations based on industry trends and expert analysis:

Improved manufacturing efficiency: As Ola accelerates production and refines its manufacturing processes, it might manage to slash per-unit costs, and lower per-unit costs mean Ola can give some of the reduction back to the consumer.

Enhanced supply chain management: Securing better deals with suppliers for raw materials and components might bring down production expenses, leading to price cuts.

Tougher market competition: With a crowded field of electric scooter brands, Ola might be lopping off price points as a strategic move to draw in more buyers and snatch up more of the market.

Sales and brand awareness: At its heart, this drastically reduced price could be an ingenious promotion to drum up sales and increase brand awareness, a smart move especially since the deal will run for a month.

Remember, these are just potential explanations based on external observations. For the most accurate information, it’s best to refer to official statements from Ola Electric themselves.

In related news, LiveMint has reported that “Ola Electric Scooters  is preparing for an IPO and has received certification for the second product under the Production-Linked Incentive (PLI) scheme for the automobile and auto component industry.” The certification has made Ola S1 Pro and Ola S1 Air eligible to receive government subsidies for five years under the Auto PLI scheme.

Ola Electric Scooters had announced, “Ola Electric Scooters #S1 & #S1Pro are now ALSO eligible for the auto PLI, bringing prices down even further! Advancing electric vehicle adoption with #EndICEAge is about making EVs more affordable & accessible, this price reduction, in line with leading Internal Combustion Engine (ICE) scooters, gives our customers an… electric reason to switch!”

According to Bhavish Aggarwal, Chairman and Managing Director, Ola Electric, said, “The special discount on X (formerly Twitter), effective from February 16 until the end of the month.” He pointed out the fact that Ola Electric is committed to removing barriers and making electric vehicles accessible to all.

In January 2022, Ola Electric launched a similar program, and this allowed customers to enjoy a 50 percent discount on extended warranty and up to Rs 2,000 exchange bonus for the S1 Air and S1 Pro models.

According to industry observers, Ola Electric Scooters and other manufacturers’ decision to pass on benefits to customers is part of a strategic move to make electric mobility more accessible in the Indian market, as customers are slow to transition.

Conclusion

Whether you are an environmentally conscious commuter or just mindful of your budget, Ola electric scooters’ prices just dropped big time, and right now is the time to act. With up to ₹25,000 in savings, owning a more sustainable – and stylish – scooter is more attainable than ever. Electrify your ride and start experiencing the advantages of electric mobility sooner than later by visiting Ola and seeing how much you can save on your dream scooter today!