Que: What has driven Udaan E Vehicles to achieve a consistent 80-90 percent year-over-year growth post-COVID?

Ans: Our customer-centric approach, quality products, and wider dealership support have played a significant role in our growth post-COVID. Our research team continuously benchmark operations against the best practices in the world, allowing us to deliver products with sturdy build, low maintenance, and cost-efficient operations to our end consumers. We have also ramped up dealership support significantly to expand our reach and enhance customer convenience in the last few years.

This coupled with a consistent launch of new products and improvements in the existing line up has helped Udaan carve a unique place in the market. In sum, Udaan's holistic approach to providing superior value helped the company to emerge as a preferred player in India’s E3W category.

Que: How has the shift towards EVs and government policies supported Udaan's growth in the electric vehicle industry?

Ans: EVs are slowly moving towards becoming the mainstay of the automotive market. The adoption is particularly impressive in the E3W with the first 11 months of CY24 witnessing sales of 631,853 units, a 20 percent increase over 583,597 units sold in the same time last year. Undoubtedly, policy support is catalysing the E3W demand by offering a host of benefits to both manufacturers and buyers. From the former FAME II subsidy to EMPS and now the PM E-Drive scheme, the support continues to help the stakeholders throughout the E3W ecosystem. The rising awareness of sustainability and the harmful impacts of climate change are also playing a key role in making E3W popular across the country.

Que: Tell us more about your new Mega Factory for Electric 3 Wheelers and how it contributes to your market positioning.

Ans: With the Mega Factory for E3W becoming operational, we are all set to power our expansion story to the next level. The facility will contribute significantly to meet the fast-growing demand for our products. From a strategic perspective, this mega factory is crucial for rolling out our next-generation products to prospective buyers. It will also help us to go global and offer truly world-class products boasting the highest standards of performance, cost efficiency, and reliability. The state-of-the-art manufacturing features flexible production and assembly lines, thereby equipping Udaan with the capability of making quick product changes in response to the altering business landscape.

Que: What are your thoughts on the influx of new players in both the organised and unorganised EV sectors?

Ans: The influx of new players largely bodes well for the industry as well as the entire ecosystem of electric mobility. However, policymakers need to keep a check on the quality, reliability, and safety of the products offered by unorganised players. We often witness the infiltration of substandard products from the unorganised space which subsequently damage the image of the entire category. To stop these inferior-quality products, industry players need to become more sensitive to the demands of the end consumers. Policymakers should lay down guidelines and ensure that every firm meets these standards without fail. Overall, the growing number of players in the E3W sector is a good thing for the development of the entire sector and will help the category achieve self-sustainability in the long run.

Que: Could you share more details about your upcoming Electric Three-Wheeler Auto Rickshaw and other future product launches?

Ans: There are a host of exciting developments that we at Udaan are working on - E3W Auto Rickshaw, E4W, and Semi-Truck being the prominent ones. These new products are specifically created keeping in mind the needs of Indian commuters. Our new product portfolio promises to offer class-leading reliability besides boasting excellent cost efficiency. We are also excited about our entry into the electric cargo range soon in the future. Given the high sales potential of this segment, our Semi-Truck will help us achieve significant expansion in both volumes and visibility across categories. Besides, the work on developing battery-swapping stations to offer enhanced convenience is also underway in full swing. In addition, we will keep updating our existing offerings in the E-rickshaw and E-loader categories with next-gen products.

Que: What strategies are in place to help Udaan E Vehicles surpass the INR 300 crore revenue mark this year?

Ans: The three-pronged strategy of a) launching new products, b) scaling production, and c) expanding sales and service network will help us surpass the INR 300 Cr revenue mark this year. The upcoming launch of E4W and Semi-Truck will also help us reach the ambitious target we set for ourselves this FY25. To that end, we are expanding our current production capability by introducing new products and assembly lines. Our new Mega Factory will also contribute by rolling out next-gen products to meet both our long-term strategic vision and short-term tactical objectives. This capacity enhancement is fully completed by our efforts to ramp up our sales, spares, and service network across the country.

Que: What’s next for Udaan E Vehicles in terms of innovation and market expansion?

Ans: We are planning to foray into the new territories of 4W and the cargo segment shortly. The expansion of the product line will help us diversify into new categories and achieve the strategic expansion necessary for growth and profitability. We are also putting concerted efforts into upgrading our production, assembly, and quality control units to meet the global quality benchmarks required for exporting products to foreign markets. Our entry into the above-mentioned segments is sure to create a buzz and will expand the choices for customers. Besides, the launch of more products in existing categories with enhanced quality and safety is also on Udaan's agenda.