Written By: Bandana Gupta

Introduction

There is immense growth in the EV market within India, creating several opportunities for individuals who want to venture into this growing industry. From establishing charging points for EVs to selling electric scooters, various new businesses are being established by individuals wanting to enter the market.

When discussing electric vehicles in India, there are two names that are heard often, and these include Ola Electric and Ather Energy. Even though both companies are competing with each other within the segment of electric two-wheelers, there is a complete difference between their strategies for franchising.

While Ather Energy has taken a route of franchising for its business expansion, Ola Electric now focuses on direct ownership of its retail stores. Therefore, the investment, profit opportunities, and obligations of business owners vary significantly in the two firms.

In this case, we are going to compare the two companies, Ola Electric and Ather Energy, with regard to investment, franchising, expansion, profits, and the opinions of investors on which company would be a better investment option for an entrepreneur.

Best EV Franchise Opportunities in India

The electric vehicle franchise market in India can be divided into two types:

* Electric Vehicle charging station franchises

* Electric Vehicle dealership franchises

Best Places to Get an Electric Vehicle Charging Station Franchise

*Tata Power EZ Charge

Tata Power EZ Charge is a name that people trust when it comes to electric vehicle charging in India. They help you with everything from finding a location to installing the chargers and keeping them in good working order.

*ChargeZone

ChargeZone is growing fast on highways and in cities. They also have financing options that help people who want to open a charging station, so it is not too hard for them to get started.

*Statiq

Statiq has a way of doing things they call Franchise Owned, Company Operated. This means that the people who invest in the franchise just have to pay for the buildings and things, and then the company takes care of everything, like the computers and the charging systems and the electric vehicle charging station itself.

Top Electric Vehicle Dealership Franchise Brands

*Ather Energy

It is one of the most renowned brands producing electric scooters in India. The company produces premium electric scooters. The growth rate of Ather Energy is very fast, with dealerships across the small cities of India.

*Bajaj Auto Chetak EV

The company has experience in making vehicles and can easily produce more electric scooters in India.

*Ola Electric

It is one of the many brands that manufacture electric scooters in India, owing to its range of scooters.

They do not sell scooters via third parties; they prefer to produce scooters by themselves

Comparison of Ola Electric vs Ather Energy Dealership Franchise Model

Investment and Setup Cost

The venture itself would prove quite costly to embark upon. The cost varies depending on which city one chooses to launch their venture within. Some cities may prove more expensive than others. To begin a project within such a city, one must have a lot of funds ready for the task.How big your showroom is. You also need to think about what kind of infrastructure you need.

Ola Electric Investment

Ola Electric works differently. They do not want you to be a dealer.

Estimated Costs

* Partner Program Investment: you need to invest between ₹10,000 to ₹50,000

* Experience Center Investment: if you can get one, it will cost you between ₹60 Lakhs to ₹95 Lakhs

* Space Requirement: you need a space that's between 1,000 to 2,000 feet

* Revenue Model: you make money from commissions and services

Ola Electric does things their way. Ola Electric does not want to own a lot of inventory. They want to work with people to get things done. Ola Electric is more interested in working with partners.

Ather Energy Dealership Investment

Ather Energy uses a traditional way of setting up dealerships.

The costs to start an Ather Energy dealership are as follows:

* The total amount of money you need to invest is around ₹50 Lakhs to ₹2 Crore or more.

* You also have to pay a fee to get the franchise which's around ₹5 Lakhs to ₹10 Lakhs.

* Then you have to invest in the inventory, which can cost around ₹40 Lakhs to ₹80 Lakhs.

* You will need a space that's around 1,500 to 2,500 square feet.

Ather Energy dealerships usually have these things:

* A place where people can see and experience the Ather Energy products

* A place where they can service the Ather Energy vehicles

* A way for people to charge their Ather Energy vehicles

* A section where people can buy accessories and spare parts for their Ather Energy vehicles

ROI and profit margin analysis is important for vehicle sales.

Vehicle sales margins are what we are looking at here.

Most electric vehicle dealerships make a lot of money.

They earn:

• 8 to 15 percent margins when they sell vehicles

• Around ₹15,000 to ₹25,000 profit for each electric vehicle scooter they sell

The profit margin for electric vehicle sales is really good.

Most electric vehicle dealerships earn an amount from electric vehicle sales.

Additional Revenue Sources

Ather Energy is a company that makes vehicles. Ather Energy dealerships can make money from things like

* getting paid for fixing vehicles and doing labor

* selling extra vehicle parts

* selling things that people can add to their vehicles

* getting money from insurance companies when they sell insurance

* getting money from banks when they help people get vehicle loans

* selling subscription services to people who own Ather Energy vehicles

Ola Electric is another company that makes electric vehicles. Ola Electric partner programs make money from

* helping with delivery

* talking to customers

* letting people take vehicles for a test ride

* helping people with service issues

Break- Timeline

The majority of dealerships in India for electric vehicles recover their investment within

* 24 to 36 months

How profitable they are relies on

* demand for the vehicles from people living in cities

* how efficiently the dealerships are run

* the quality of customer service provided after a purchase

* how well the Ather Energy brand is performing

* the number of competitors selling vehicles in the area

Comparison of Expansion Strategies

Approach Adopted by Ola Electric

Ola Electric has concentrated on expansion through scaling and direct consumer retailing.

Features of the Plan

•           A large network of dealerships across India

•           An emphasis on developing battery technology in-house

•           The firm is directly in control of its own expansion

•           Concentration on production scalability and pricing pressure

The plan, however, does not allow for independent ownership of dealerships.

Expansion of Ather Energy

Ather Energy is expanding its reach via dealerships and experience centers.

Important Points

•           Expanding aggressively into semi-urban areas

•           Has backing from Hero MotoCorp

•           Going to expand to about 700 outlets

•           Holds engineering quality and customer experience in high regard

Ather energy’s expansion strategy is comparatively more franchisable than Ola Electric

Stock Market and Investor Insights

*Ather Energy Investor Outlook

People who invest in the stock market are really interested in Ather Energy now.

The company's initial public offering and how its stock is doing have gotten a lot of attention from investors.

There are some things about Ather Energy that people like.

These things include:

* Ather Energy is known for making products because it has strong engineers

* The company is getting better at running its business

* Ather Energy is opening stores where people can buy its products

* The company lost money in the financial year 2025

* More and more investors are starting to trust Ather Energy

The fact that Ather Energy is working to make its technology better and is growing in a way is helping people feel more confident, in the company for the long term.

Ola Electric Investor Outlook

People are still talking about Ola Electric because it is really big and wants to grow more. Ola Electric has some things going for it.

Strengths

* It is a known brand

* It can make a lot of vehicles

* The electric vehicles it makes are cheaper

* It is working on making its batteries

* It sells its vehicles in places

But Ola Electric also has some Challenges.

* It is losing a lot of money

* Some customers are not happy with the service

* It is hard for Ola Electric to make money on its vehicles

* The stock market is uncertain. This affects Ola Electric

Investors' trust in Ola Electric is based on performance of the company and its profitability

New Technology and Ideas

Ather Energy is really focusing on Engineering

Ather has come up with:

New scooter platforms

• Upgrades to make manufacturing more efficient

• Ways to lower the cost of components

• High-end technology features that are connected

This approach, where engineering comes first, has made Ather look good to people buying premium electric vehicles.

Ola Electric is pushing for Technology

Ola Electric is working on:

• Motors that do not use earth

• Making batteries

• Automating on a large scale

• Different kinds of products, like electric bikes

The company wants to quickly grow and control more of its production to make more profit in the future.

Which is Better, an Ather or Ola Electric EV Franchise?

Go for Ather Energy Franchise If You:

•           Need a conventional dealership model franchise

•           Want to be in a long-lasting franchise relationship

•           Would like diversification of income sources

•           Have an auto dealership business background

•           Target luxury EV customers

Go for Ola Electric EV Franchise If You:

•           Wish for indirect involvement via partnering

•           Don’t wish for much operational involvement

•           Prefer stock market exposure

•           Believe in Ola’s strategy of scaling up its production and sales

How to Apply for the EV Franchise

*Ather Energy Franchise Application Process

Apply through their retail partner program, where you submit your financial status and other information about your business. Ather Energy official Website

*Ola Electric Franchise Application Process

Look for the partner program or network opportunity on the Ola Electric official website.

Conclusion:

Ola Electric and Ather Energy are really important for India's electric mobility future. They do things very differently.

Ather Energy is a choice for people who want to start their own dealership or franchise. They have a plan for dealerships; they are growing in smaller cities, and they care about making money after they sell something. This makes it easier for people to invest in them.

Ola Electric is more about getting really big, selling things directly to people and making products. They are a leader in the electric vehicle market, but it is harder for investors to open their own dealerships compared to Ather.

If you want to be in charge of something and make money from a dealership, Ather Energy seems like an option. They are easier to work with and more open to franchising, which makes them a great electric vehicle business opportunity in India today.

Disclaimer: The brands mentioned in this blog are the recommendations provided by the author. FranchiseBAZAR does not claim to work with these brands / represent them / or are associated with them in any manner. Investors and prospective franchisees are to do their own due diligence before investing in any franchise business at their own risk and discretion. FranchiseBAZAR or its Directors disclaim any liability or risks arising out of any transactions that may take place due to the information provided in this blog.