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Kitna deti hai? - Ampere Magnus Pro

India as a country is obsessed with mileage on our vehicles. So much so, that a few years back India's leading Automaker - Maruti, ran an advertisement campaign called 'kitna deti hai'. In this highly memorable ad series, customers inquired about the mileage of yatchs and airplanes before purchase, a satirical take on how cost-conscious we Indians were about our purchases.

With the price of most electric vehicles significantly higher than their petrol counterparts, the theme folks will have to play on to appeal to the segment who may not be environmentally conscious enough to make the switch is an appeal to lower operating costs. Ampere does that brilliantly with its latest proposition.

In today's post, we look at the current firms in the EV 2 wheeler space, look at the attractiveness of the offering the Ampere Pro offers, and look at alternatives firms have worked out to make the EV more cost-effective for their customers.

What is the two-wheeler EV landscape like?

While the electric car landscape is still quite underdeveloped in India, the two-wheeler firms have grown to develop interesting products. Amongst the traditional players, Hero TVS and Bajaj have entered the market with Photon, iQube, and Chetak. There are quite a few new entrants as well, with Ather, Ampere, Okinawa, and Revolt offering products under the Ather, Zeal, iPraise+ and Revolt brands.

These scooters cover a wide spectrum of price and performance, ranging from 70K to 120K, and with top speeds ranging from 45 to 80. {You could join GSN Invest++ for the range, speed, and price mix of the EV variants. You could also read one of our first posts on ZappChai on the Bajaj Chetak here.}

How attractive is the current offering?

The firm's current offering claims to offer 1km for as little as 15 paise. Available for a slightly higher price point compared to traditional bikes at ~74K, it falls on the lower end of most EVs sold in the market. Given traditional scooters give a mileage of ~65 on the higher end, fuel rates will have to fall to ~Rs 10/litre to become competitive vs the Ampere bike.

For folks that use their bikes a lot, the difference in variable cost can add up fast, making the new breed of EVs an extremely attractive proposition. Other firms have used alternate ways to leverage on the low variable cost proposition while also locking in incremental subscription revenue from their customers.

What are the other ways firms have tackled the problem?

Ather, one of the most well-known names in the Indian EV ecosystem has used a novel way to capitalize on the low variable cost proposition. The firm offers one pack under which you can avail unlimited public charging for a low monthly fee of Rs 400. In order to make the scooter cheaper, they also offer the scooter separately, with the battery available on a monthly charge like you would have for fuel.

With that the Indian 2Ws seem to be focussing on one of the most important pain points for the Indian consumer - overall cost. It will be interesting to see how the industry shapes up in the times to come, with the potent combination of an attractive product, an affordable price, and supportive regulations.


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