Hero MotoCorp. is taking a page out of the playbook of JSW MG Motor Pvt. to prop up its own flagging electric-vehicle sales.
India's largest two-wheeler maker plans to launch the Vida VX2 electric scooter under the so-called battery-as-a-service model "to make EV ownership more flexible, affordable and future ready", according to a company statement on Wednesday. This "pay-as-you-go" subscription model will reduce upfront ownership cost of electric scooters, thus widening the customer base.
Under the BaaS model, a customer has the option to finance an electric scooter's chassis and battery separately into equated monthly instalments. She can choose a subscription plan that best suits her daily or monthly budget or usage. Bundled along with the plans is access to 3,600 fast-charging stations and more than 500 service centres across India.
All the details of the BaaS model, including subscription plans and pricing, will be revealed on July 1 when Hero MotoCorp plans to launch its Vida VX2 electric scooter.
Shares of Hero MotoCorp closed 0.37% lower at Rs 4,357.45 apiece on the BSE, compared to a 0.17% decline in the benchmark Sensex.
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