What impact will the XEV 9e’s pricing strategy have on the electric vehicle market in India?
The pricing strategy of the Mahindra XEV 9e may be a key to the success of electric vehicle revolution in India. Its pricing will set a benchmark for future models, as one of the first premium electric SUVs from an Indian manufacturer. The Indian auto market is a price sensitive market and partly due to the cost of electric vehicles being higher upfront than petrol or diesel vehicles, the success of electric vehicles has been limited. Pricing of the XEV 9e will have to strike a balance between the costs of its advanced technology and features and the requirement that it be attainable to a broader spectrum of consumers. It could help speed up EV adoption in India, bringing premium e vehicles at a more affordable price. On the flip side, if priced too high, it will find itself unable to compete with luxury EV imports as well as high end conventional SUVs. Also, other manufacturers — including domestic and international — will price their electric offerings in the Indian market based on the pricing. It will also influence government policy on EV incentives and infrastructure development, and may define the way electric mobility plays out in India.
This could be a turning point for EVs in India and if Mahindra prices it right, the company will be a winner. If you can make it competitive with high end petrol SUV’s people will definitely consider the switch.
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