In one of the biggest strategic shifts since it entered the Indian EV market, Ola Electric has announced that it is opening its sales and service network to dealer partners across the country. The move effectively marks the end of the company’s direct-to-consumer retail-only approach that it had championed ever since its first electric scooter delivery started in Dec 2021.
Over the coming months, Ola’s existing company-owned stores will transition into experience centres focused on showcasing the brand and its products, while dealer partners will handle vehicle sales, deliveries and after-sales service. The company aims to establish a nationwide dealer footprint by Diwali 2026.
From Rejecting Dealers To Embracing Them
When Ola entered the market, it repeatedly positioned itself as a disruptor to the traditional dealership model. The company argued that company-owned stores offered better customer experience, lower costs and a more efficient way to sell electric vehicles. Nearly five years later, that strategy has undergone a complete rethink.
Ola says dealer partners understand local markets better and can help take EVs deeper into smaller cities and towns. For dealers, the company is offering access to its brand, an installed base of over 10 lakh customers, its growing portfolio of scooters, motorcycles and energy products, along with what it describes as an attractive business model.
Supporting this transition is the return of industry veteran BVR Subbu as Senior Advisor. Formerly President of Hyundai Motor India and an earlier board member at Ola Electric, Subbu brings decades of experience in building and managing dealer networks.
Sales Have Fallen Sharply Since 2024 Peak
The strategic shift comes as Ola Electric’s sales have been witnessing a sustained decline. According to Vahan registration data, Ola sold around 1.16 lakh electric two-wheelers in 2022 before rapidly expanding to 2.78 lakh units in 2023. Sales peaked at 4.29 lakh units in 2024, making Ola India’s largest electric two-wheeler brand. However, registrations dropped sharply to 2.05 lakh units in 2025, representing a decline of more than 52% YoY.
The slowdown has continued into 2026. During the January-July period, Ola has registered around 82,000 units, averaging roughly 11,700 units per month. If this pace continues through the rest of the year, Ola is likely to end 2026 with another significant year-on-year decline.
This has happened despite the company significantly expanding its portfolio. Over the last two years, Ola has introduced multiple variants under the S1 scooter range while also entering the electric motorcycle segment with the Roadster series.
Rivals Have Overtaken Ola
The competitive landscape has also changed dramatically over the past year. Ola was once India’s best-selling electric scooter brand by a comfortable margin. Today, it no longer features among the country’s top-selling electric scooters. TVS iQube has emerged as India’s best-selling electric scooter and recently TVS recorded its highest-ever monthly eScooter sales of more than 60,000 units in July 2026. Bajaj Chetak has strengthened its position at No.2 and is now approaching the 50,000-unit monthly mark.
Ather Rizta has climbed to third place, driven by strong demand, while Hero Vida has also established itself among the leading electric scooter brands. Together, these manufacturers have steadily expanded their retail presence through extensive dealer and service networks across the country. Unlike Ola’s company-owned retail strategy, TVS, Bajaj, Hero and Ather have relied on dealer partners to drive local sales and provide after-sales support, enabling faster expansion into Tier 2 and Tier 3 markets.
Investor Confidence Also Under Pressure
The slowdown in registrations has also been reflected in Ola Electric’s stock performance. After listing in August 2024, the company’s shares briefly traded above the Rs 150 mark during the initial months. However, the stock has since witnessed a prolonged correction and is currently trading around the Rs 40 level, significantly below its early post-listing highs.
The decline in market valuation has coincided with slowing sales, intensifying competition in the electric two-wheeler segment and increasing focus on execution and profitability. The shift to a dealer-led retail model is likely aimed at strengthening Ola’s sales and service reach while reducing the need for capital-intensive company-owned retail expansion.
