Mahin­dra Reva Turns At­ten­tion to Global Mar­kets to Charge Up Sales

With In­dia sales tepid, co plans to en­ter the UK and other Euro­pean mar­kets such as Nether­lands and Nor­way for growth; ex­pects lo­cal sales to look up soon ‘Hockey-stick’ Growth Curve

The Economic Times - - Business Of Brands - Ke­tan.Thakkar @times­group.com

Mahin­dra Reva is build­ing a port­fo­lio of com­mer­cial ve­hi­cles — Ver­ito Elec­tric, Maxximo elec­tric pickup and Supro elec­tric Van — to cater to the fleet mar­ket

ecom­merce com­pa­nies, in­clud­ing Ama­zon and Flip­kart are in talks with Mahin­dra Reva Mum­bai: Mahin­dra & Mahin­dra’s elec­tric ve­hi­cle unit is turn­ing its fo­cus to in­ter­na­tional mar­kets and op­por­tu­ni­ties from the ecom­merce and startup sec­tors, af­ter hav­ing failed to make any mean­ing­ful in­roads so far into the minds of the av­er­age In­dian ve­hi­cle buyer. But loss-mak­ing Mahin­dra Reva ex­pects the situation at home to im­prove soon. Chief Ex­ec­u­tive Arvind Mathew is pre­dict­ing a “hockey stick growth curve in In­dia” for elec­tric ve­hi­cles, driven by in­creas­ing aware­ness to­wards green ve­hi­cles. “This is ex­actly what hap­pened in Lon­don or Am­s­ter­dam,” he told ET.

Mahin­dra Reva is set to launch its E2O elec­tric car in the UK over the com­ing fort­night, and is ex­plor­ing the pos­si­bil­ity of en­ter­ing the Nether­lands, Nor­way and some more West­ern Euro­pean mar­kets, said peo­ple in the know. At the same time, it is build­ing a port­fo­lio of

com-

In In­dia,

Star­tups and

It is

mer­cial ve­hi­cles to cater to the fleet mar­ket, es­pe­cially de­mand from new-age com­pa­nies. It is also hunt­ing for a joint ven­ture part­ner in China, the big­gest elec­tric mar­ket, to build scale for the fu­ture. Mathew said he has given him­self three years to turn around the op­er­a­tions. The CEO sees ex­ports and de­mand from fleet own­ers for com­mer­cial ve­hi­cles in the do­mes­tic mar­ket to con­trib­ute about three fourth of the over­all vol­ume, which he ex­pects to grow about ten­fold to 5,000 units a year in two to three years. “But till then, I need to spread my reach by go­ing in to mar­kets like Europe, China, where there is growth, and ex­pand prod­uct port­fo­lio by elec­tri­fy­ing the Ver­ito, Maxximo and Supro,

which are suit­able for the fleet mar­ket,” Mathew said.

The new Ver­ito Elec­tric, Maxximo elec­tric pickup and Supro elec­tric Van are be­ing read­ied to serve the grow­ing ecom­merce trad­ing and startup world. Mahin­dra Reva said it has sup­plied about 200 units of the E2O to Lithium Ur­ban Mo­bil­ity, a Ben­galuru-based com­pany op­er­at­ing an elec­tric-car fleet for cor­po­rate trans­port, and that there were a cou­ple of con­firmed or­ders for the Ver­ito. There are five-six startup and ecom­merce com­pa­nies, in­clud­ing Ama­zon and Flip­kart, which have dis­cussed with Mahin­dra Reva about ac­quir­ing ve­hi­cles, Mathew said.

It has been more than five years since Mahin­dra ac­quired a ma­jor­ity stake in Reva. De­spite reg­u­lar fund in­fu­sion and sup­port from Mahin­dra’s sales and sup­plier net­work, Reva has re­mained at the fringe. With just 550 units sold per an­num, Mahin­dra Reva has strug­gled to build scale with buy­ers.

also hunt­ing for a JV part­ner in China to build scale

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.