Ola Electric Slips to 5th as Market Share Drops to 7.4%

New Delhi- Ola Electric, once the leader in India’s electric two-wheeler market, fell to fifth place in November as competition from established manufacturers tightened.

Data from the government-run Vahan portal shows the company sold 8,254 scooters during the month, giving it a 7.4% market share — a steep drop from over 25% during the same period last year. The decline comes amid regulatory scrutiny, operational challenges, and rising pressure from both legacy brands and newer competitors.

Hero MotoCorp, rapidly scaling its EV presence through its Vida brand, overtook Ola to take fourth place. It sold 11,795 electric scooters in November, securing a 10.6% market share, aided by new, affordable Vida models.

Meanwhile, traditional two-wheeler giants continue to dominate. TVS Motor led the market with a 26.8% share driven by strong demand for its iQube. Bajaj Auto followed with a 22.6% share, boosted by the popularity of its Chetak lineup.

Ather Energy retained third place, selling over 20,000 units for an 18.7% share.

The shifting rankings highlight how companies with strong manufacturing capacity, wide distribution networks, and reliable supply chains are consolidating their position in the expanding EV sector.

Ola’s weaker performance aligns with its financial results. The company reported a 43% year-on-year drop in operating revenue to Rs 690 crore for Q2 FY26, though losses narrowed due to cost-cutting measures.

Ather Energy — considered Ola’s closest rival — continues to widen its lead. Industry executives credit Ather’s growth to superior product quality, strong after-sales service, and its extensive Ather Grid charging network.

For the same quarter, Ather posted operating revenue of Rs 899 crore, up 54% from last year, while reducing its net loss by 22% to Rs 157 crore.

Ather’s asset-light dealership model has kept costs low, while Ola’s network of more than 3,000 company-owned outlets has increased its cost burden.

The contrasting performance is also reflected in the stock market. Ather, listed in May 2025, now has a market value of Rs 24,348 crore — higher than Ola Electric’s Rs 18,168 crore. Ola went public earlier, in August 2024.

With inputs from IANS