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CASE STUDY

INTRODUCTION

The case investigates the history of Ather Energy, the "Ather 340 and Ather 450
smart electric scooters", as well as the difficulties encountered in a young
market with scant infrastructure and consumer awareness. Despite challenges,
Ather Energy had lofty expansion goals, including expanding its presence to
other cities and selling half a million smart e-scooters annually.
In this context, the case addresses the Indian e-two-wheeler market's
competitive environment, in which competitors including "Hero Electric, Revolt
Intellicorp, 22KYMCO, Okinawa Autotech, and Tork Motors" compete for
market share.
Ather Energy's CEO and co-founder Tarun Mehta must come up with tactics to
pinpoint consumer demands, foster positive impressions, and persuade
consumers to use smart electric scooters as he considers the company's future.
To secure Ather Energy's viability in the developing era of electric mobility,
Mehta must traverse the difficulties of the Indian market among governmental
regulations, supply restrictions, and the necessity for strong charging
infrastructure.
PROBLEM STATEMENT
In the competitive market for electric automobiles, Ather Energy, an innovative
electronic two-wheeler firm in India, faces both enormous problems and
potential. Ather Energy has difficulty getting Indian consumers to use smarter
electric scooters, with its own proposed demand that any new powered
motorbikes be converted to electric power by 2025. The business needs to
handle the following major problems:

Minimal Consumer Exposure: Ather Energy is struggling to raise knowledge


about electric two-wheelers across Indian consumers, particularly in remote
and semi-rural regions. To raise brand awareness and inform prospective
clients about the advantages of smart electric scooters, the company needs to
establish efficient marketing techniques and build its dealership network.

Infrastructure Restrictions: The lack of suitable charging stations around the


nation is a major obstacle to the broad use of electric vehicles. To allay range
concern and boost customer confidence, Ather Energy must partner with
government organizations and invest in building a reliable charging
infrastructure.

Competition and Market Share: Both established businesses and startups are
becoming increasingly competitive for territory in the Indian e-two-wheeler
market. To obtain a competitive edge and grow its market share, Ather Energy
must differentiate its products, especially the "Ather 340 and Ather 450" smart
e-scooters.
ALTERNATIVES

1.Advertising and public awareness campaigns


In-depth marketing and awareness efforts can be launched by Ather Energy to
inform consumers about the advantages of innovative electric scooters. To
reach a large audience, they can use a variety of platforms, including social
networking sites, t newspaper and magazine circulation, and public events.
Working with prominent personalities and influencers to promote their goods
can also help brands become more visible and attract more customers.

2.Work together to provide infrastructure for charging


Ather Energy can engage with the government, municipalities, and different
stakeholders to establish an extensive accessible charger network in order to
alleviate infrastructure limitations. They may guarantee that the expansion of
the charging infrastructure is in sync with its growth ambitions by actively
engaging in the installation of charging stations.

3.Product innovation and differentiation


Ather Energy can put its attention on product distinctiveness and ongoing
innovation to stick out in the crowded market. To meet the demands and tastes
of particular customers, they can improve the specs they offer as clever e-
scooters, increase their performance, increase their range, and create special
functionalities.

4.Localize manufacturing and supply chains


To lessen dependency on overseas components, the firm might strive toward
pinpointing the chain of supply and manufacturing procedures. The
corporation can become cost-effective and support India's electric vehicle (EV)
ecosystem by collaborating with domestic suppliers and encouraging local
manufacture.
BEST ALTERNATIVE

Partner for Recharge Facilities is the greatest approach for Ather Energy.

 The lack of a reliable infrastructure for charging EVs is one of the biggest
obstacles to their broad adoption in India. Ather Energy can aid in the
development of a wide and open charger network by working actively to
lawmakers, communities, and other stakeholders. This would lessen
purchasers' concerns about range and give them more self-assurance,
which would encourage users to migrate to electric scooters.

 Supporting Growth ambitions: Ather Energy had ambitious growth


ambitions that include expanding its presence to numerous cities and
selling over a million smart electric bikes annually. Easy business would
be made possible and visitors from many places would be enticed to
choose their products by a strong charging infrastructure that was in line
with the company's growth plan.

 Market Separation: Working together to build the facilities for charging


would also set Ather Energy apart from its rivals. In comparison to rivals
that could not offer enough charging encouragement, having a large
network with charging facilities spread out across the nation would give
tourists the certainty so they're able to comfortably refill their electrical
scooters wherever they went.
ANSWERS

1.
Finding Consumer Wants and the Target Population
a)Mehta is capable of undertaking thorough market studies to identify
consumer preferences, problems, and demands in relation to two-
wheelers. Consumer preferences for electric scooters can be learned
from polls, interviews, and the comments of current users.

b) Living and travel patterns: Ather Energy is able to examine the way
lives are lived and commuting patterns of various demographic groups.
For instance, though suburbs consumers may concentrate on range and
access of charging infrastructure, urban workers might prize attributes
like mobility and lightness.

c) Environmental Concerns: A subset of socially concerned consumers is


drawn to ecological friendly transport as a result of escalating ecological
issues. The company can appeal to this demographic by highlighting the
green advantages of electric scooters.

1.1

a) Goods Quality and It is In order to foster favorable attitudes among


customers, the company must put a premium on goods quality and
dependability. Warranty and post-sales assistance will increase consumer
trust in the company in question.

b) Highlight Features: AE could actively enlighten users on the


advantages of electric automobiles, such as lower expenses for
operation, fewer emissions, and a smoother and more comfortable ride
compared to scooters powered by conventional gasoline engines.

c) Test-Ride Experience: By allowing testing at "AtherSpace experience


centers", potential buyers may personally feel the features and abilities
provided by the sophisticated e-scooters, boosting their confidence and
desire to make a purchase.
2.

a)Mehta ought to carefully formulate the development strategy, focusing


on tiers of city-wise distribution based on things like consumer appetite,
government backing, and the readiness of the charging infrastructure.
Setting important cities first can aid in a regulated and effective market
launch.

b) Government Interaction: Ather Energy can stay current on new laws


and policies via a proactive strategy in communicating with legislators
and pertinent authorities. Making a case for supportive laws that
encourage EV adoption can guarantee that the company's expansion
keeps pace with governmental goals.

c) Scalable Generating Infrastructure: In order to ensure that chargers


are strategically positioned throughout cities, the company must invest
within scalable battery infrastructure. Networks for charging can be set
up more quickly by collaborating with nearby companies and
governments.

d) Continuous Innovation: To keep in front of the competition and satisfy


changing customer demands, Ather Energy should continuously innovate
and enhance its product offerings. The brand's attractiveness will be
increased by adding new features, expanding the available selection, and
boosting overall performance.

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