Ola Electric Drops to 5th Position, Market Share Falls by 7.4%

Ola Electric, once a top player in India’s electric two-wheeler market, slipped to fifth place in November due to rising competition from established manufacturers.

According to data from the government vehicle portal, the company sold 8,254 scooters during the month, reducing its market share to 7.4%, a significant drop from 25% at the same time last year. This decline comes amid regulatory scrutiny, operational challenges, and increasing competition from both legacy players and new entrants.

Hero MotoCorp, rapidly expanding in the EV space with its Vida brand, surpassed Ola to secure fourth place. The company sold 11,795 electric scooters, capturing 10.6% market share, driven by new affordable products under the Vida range. Meanwhile, traditional two-wheeler companies maintained their leadership.

• TVS Motor remained the top seller with 26.8% market share, supported by strong demand for its iQube.

• Bajaj Auto, thanks to its Chetak lineup, held the second position with 22.6% market share.

• Ather Energy ranked third, selling over 20,000 units and capturing 18.7% of the market.

The shifting rankings highlight how companies with strong manufacturing capacity, extensive distribution networks, and established supply chains are dominating the rapidly growing electric two-wheeler segment.

Ola’s weak market performance is reflected in its financial results. The company reported ₹690 crore in operating revenue for Q2 FY26, a 43% YoY decline, though cost-cutting measures helped reduce losses.

In contrast, Ather Energy, considered Ola’s closest competitor, continues to expand its lead. Industry executives credit Ather’s growth to better product quality, robust after-sales service, and its large Ather Grid charging network.

• Ather reported ₹899 crore in operating revenue for the same quarter, up 54% YoY, with net losses down 22% to ₹157 crore.

• Its asset-light model, relying on dealerships instead of company-run stores, helped control costs.

Ola operates over 3,000 company-run outlets, giving it a heavier cost structure. These differences are reflected in the stock market:

• Ather Energy, listed in May 2025, has a market value of ₹24,348 crore

• Ola Electric, listed in August 2024, is valued at ₹18,168 crore