Rising Preference for Premium Two-Wheelers: Ather Energy CEO Highlights Shift in India’s Market Dynamics
April, India : Tarun Mehta, Co-founder & CEO of Ather Energy, took to Twitter to shed light on a notable trend in India’s two-wheeler market. He emphasized a rising preference for premium motorcycles and scooters, the shift towards premiumization is gaining momentum, with entry-level models gradually being replaced by higher-end alternatives.
Mehta highlighted that while the shift towards premium bikes, with engine capacities exceeding 110cc, has been ongoing for some time, the change in scooters has been particularly rapid. Over the past five years, the share of >110cc bikes has increased from 43% to 52%, and for scooters, it surged from 25% to 47%.
This shift isn’t just about ICE powered vehicles; it also includes electric vehicles (EVs). Specifically, a lot of 2W EV scooter sales now come from the premium market. He suggested that as India’s per capita GDP continues to rise, this trend is expected to accelerate further. Mehta stressed that this shift is not confined to major cities like Bangalore, Delhi, or Mumbai but is a nationwide phenomenon.
Even buyers in Tier-2 and Tier-3 cities exhibit similar aspirations and purchasing behaviours. This change shows a bigger trend happening across India, not just in metropolitan cities but also majorly in Teir 2 and Teir 3 cities. It reflects how Indian consumers are starting to prefer better quality and more premium and advanced products.
This emphasizes the importance for companies to adjust their plans according to the needs of the evolving Indian consumer. The CEO of Ather Energy’s statement is a clear signal for companies to focus on meeting the needs of Indian customers who are moving towards buying more premium products. By doing this, companies can position themselves well to take advantage of the growing opportunities created by this change, making sure they grow steadily and stay relevant in the future.
Ather Energy is dynamically responding to consumer demands by its renowned vehicles like the 450X and 450S which showcases their commitment to innovation and sustainability. Recently, Ather Energy introduced two new products: the Ather 450 Apex that caters to premium category users with its array of upscale features and Ather’s newly launched family scooter, the meticulously crafted Ather Rizta, designed to meet the needs of Indian families.
With two models and three variants, the Rizta ensures unparalleled convenience, safety, and performance as a family-oriented vehicle. Equipped with advanced safety technologies like Skid Control™ and FallSafe™, along with an impressive range of up to 160 kilometers, the Rizta transforms urban commuting.
