Tata Strategises EV Success Route: To Price EVs between 11 Lakh - 15 Lakh and 400 Km Range is the “Sweet Spot”

Tata after carefully analysing and studying the India’s EV industry has strategised the success of any EV, as it is dependent on various factors. Tata has drafted a successful EV sales strategy by providing a range of 400 Km on a single charge and pricing the EVs in the range of Rs 11-15 Lakh.

This was originated by Tata Passenger Vehicles and Tata Passenger Electric Mobility Ltd, Managing Director, Shailesh Chandra at the brand’s Open Collaboration 2.0 conference organised last week.

He stated that, “The median price of EV vehicles sold in the Indian Market is between the range of Rs 11-15 Lakh, and any EV buyer can buy an EV hassle free of any range anxiety, when they can offer a significant range of 400 Km. If we can price EVs in this sweet spot, then the transition to EVs will exponentially increase.”

Shailesh also decoded the driving behavior and pattern of many individuals and stated that 85% of the intercity drive is less than 400 Km, as he believes that mainstream EV demands will increase when there is no significant price difference between ICE vehicles and EVs. 

Adding to the above statement, he explained further that, “The price of the EVs have to be competitively priced as ICE segment vehicles, not only vehicles which are less than four-meters of length, but also including those ICE cars which are longer than four-meters and those who come in the GST slab of 28% will also need to match with EVs priced similarly and offering a decent range figures that give a peace of mind to customers opting towards EVs.”

Apart from price parity, EV sellers also need to focus on providing significant range on a single charge, so that consumers can also take it to highways seamlessly, as EV adoption in India was led by early adopters, which were willing to go extra Kms to find charging stations, and those who want a developed EV ecosystem in the country.

He also explained about various customer types by saying that, “There are some sets of customers which are at the edge of transitioning towards EVs and they will adopt EV soon, as they are excited to experience electric mobility, but a major chunk of customers are also looking for a seamless EV experience.”

Balaje Rajan, Chief Strategic Officer of Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility Ltd, expressed that,

“We are looking towards a developed EV infrastructure so that there are fast chargers installed at every corner of the country to ensure good connectivity, and will also work towards improving the quality and reliability of fast chargers to provide a great charging experience to the existing as well as new customers who have adopted EVs.” 

Tata Motors is concentrating on the quality of charging infrastructure to develop the EV network and meet the power demands of rising EV consumers as Open Collaboration 2.0 will be checking the quality of existing chargers and will be installing Tata.ev verified chargers, thereby rating them on a scale of one to five.