While the two companies have similar names, Hero Electric and Hero MotoCorp’s Vida are not related in any way.
India’s biggest two-wheeler manufacturer Hero MotoCorp recently launched its first electric scooter, Vida V1 , at Rs 1.45 lakh.
But before you wonder, the Vida V1 has nothing to do with electric scooters made by Hero Electric. In fact, Hero MotoCorp has no association with Hero Electric. For those of you who have always been confused by this, allow us to explain.
Hero Electric: the pioneers
Hero Electric Vehicles Private Limited is part of the Hero EcoTech group headed by Vijay Munjal and his son Naveen Munjal. The company is a pioneer in the electric two-wheeler business in India. Its products cater to customers looking for a utilitarian EV at an affordable price. The scooters have speeds capped at 25kph or 45kph and have bare-minimum features.
The company assembles electric two-wheelers in India and sells them via a robust dealer network. However, with the advent of fresh competition from the likes of Ola Electric, Okinawa and homegrown manufacturers like TVS, Ather and Bajaj, the going has been tougher than ever. Nevertheless, Hero Electric has been steadily increasing its dealer and customer base in the country to the point where it has cornered a sizable chunk of the market. The brand holds the third position in terms of sales in the first half of financial year 2022-2023 (April-September 2022).
Vida powered by Hero MotoCorp
Hero MotoCorp is headed by Pawan Munjal, the uncle of Vijay Munjal. While they both share the family name and the Hero brand, they’ve taken completely different approaches to the way their companies operate. Hero Electric is one of the biggest EV players, but it is minuscule in comparison to the global two-wheeler giant that is Hero MotoCorp. What has separated them so far is that the latter never ventured into the EV space. Until now.
When it comes to the difference in the two company’s offerings, they are poles apart. Firstly, the V1 boasts a much better feature list as well as capability than Hero Electric products. Whether it is performance, battery range, top speed or gradeability, the Vida V1 has a lot more to offer. The price also reflects this – starting at Rs 1.45 lakh, ex-showroom, it is almost double the most expensive Hero Electric scooter. In fact, the Vida V1 Pro is the most expensive electric scooter in the market at this point.
It goes without saying that Hero Electric and Vida are targeting completely different audiences. So why didn’t Hero MotoCorp slap the Hero badge on its debut EV? Why come up with the sub-brand, Vida?
Family feud
Back in 2010, as per a family settlement, it was agreed upon that Hero MotoCorp wouldn’t use the Hero brand name for its electric automobiles, thereby giving Hero Electric the sole right to use the name on its EVs. This was applicable to EVs sold in India and abroad.
In recent times, however, every manufacturer worth its salt has to step into the ever-growing EV space. To put things in perspective, more than 2.75 lakh electric two-wheelers have been sold in India in the first half of FY2023 (April-September 2022).
Hero MotoCorp, obviously, wasn’t going to be left behind and expressed its intent to launch its own electric scooter. If Hero MotoCorp were to slap the Hero badge on its scooter, that would’ve posed a problem for Hero Electric. What’s in the name? Quite a lot, considering the brand cachet that ‘Hero’ commands.
Legal battles ensued in the Delhi High Court, with Hero MotoCorp fighting to put the Hero badge on its EV products. However, in February this year, Hero Electric withdrew its petition against Hero MotoCorp with the matter being referred to an arbitration tribunal. In June, the tribunal ruled in favour of Hero MotoCorp, allowing it to use the name Hero for its electric two-wheelers.
However, Hero MotoCorp had already set plans and begun development of its EV, and even announced the Vida brand in March. The company stuck to the name with the launch of the V1 Pro and V1 Plus electric scooters.
New beginnings
As much as Hero MotoCorp would’ve wanted the Hero brand on its electric two-wheelers, the Vida brand name will actually help distinguish itself from Hero Electric. How that pans out for Hero MotoCorp and how much of a dent its V1 can make in the market is something that only time will tell.
In other news, Hero MotoCorp has recently tied up with premium American electric bike manufacturer, Zero Motorcycles, to jointly make electric bikes. The Vida brand could also extend to this category.