Personal car buyers will consider eKUV100 as a city runabout, feels Mahindra

Mahindra will introduce the eKUV100, the electric version of the KUV100 micro SUV, in the April-June 2020 quarter. The price of the KUV100 electric was announced at the Auto Expo on 5 February, at Rs 8.25 lakh (ex-showroom Delhi). Mr Mahesh Babu, CEO of Mahindra Electric, speaking to News18 Auto, has said that the eKUV100 will appeal both to the fleet and personal segment for intra-city use.

The eKUV100 is a very special product that we are looking at. The needs for a fleet segment are value-conscious and cost-conscious. Fleet operators need to invest less but use the vehicle to what they actually operate. While we can give multiple options on the range, there is an important need for fleet where they pay for what they operate. If they operate in the city, the eKUV100 meets the need and what we have done with the price positioning will encourage them to adopt electric mobility in the fleet segment. Some of the personal consumers who want to use within the city will look at eKUV100 actively because the price is very close to an automatic hatch available in the market.

Mahesh Babu, CEO, Mahindra Electric

Mr Babu implies that the personal mobility adaption on EV will be slightly later than the fleet application because the need of the hour in the country is the adoption of electric vehicles in the shared mobility and public transport segment, which will significantly reduce pollution, reduce oil import and have an economical impact.

Mr Babu believes that the eXUV300 is clearly a personal vehicle from the get-go, where it has the range, performance and comfort personal car user seek. The Mahindra eXUV300, programed for its launch in mid-2021, will have a range of over 370 km for a single charge, beating the segment-creator, the Tata Nexon EV. The aspirational long-range SUV will appeal to the personal segment, with a price tag of Rs 12 lakh to Rs 15 lakh ex-showroom.

We have now launched the e-KUV100, which I hope will be more desirable because of the low ticket price that we have, Rs 8.25 lakhs. And once that vehicle gets accepted in the fleet segment, the fleet segment can grow very rapidly. Now our calculations are that e-KUV100 at the Rs 8.25 lakhs price is commercially breakeven for an operator compared to an IC engine vehicle that they may be operating. And therefore, commercial viability at Rs 8.25 lakhs is established. Rs 8.25 lakhs is not a probable price. This is introductory price. But if we get to a volume of, I would like to say, 500 or so per month, then it will become variable cost profitable.

Dr Pawan Goenka, MD of M&M, speaking over a call last month