Hero Electric, OTO Partner on Electric Scooter Finance
Indian electric scooter and bike company Hero Electric has partnered with OTO Capital, a two-wheeler financing startup, to bolster the electric scooter business, the Economic Times of India reported Tuesday (Feb. 8).
The team-up will offer low cost financing solutions for business-to-business (B2B) companies in the electric scooter product category. The B2B partners who use OTO’s flexible plan will now be able to book a test ride with the scooter of their choice and have more flexibility on how they pay.
Under the agreement, Hero Electric will deploy over 20,000 vehicles from now until 2023. Additionally, more financing options for the Hero Nyx bike line will be added, according to the report.
Hero Electric CEO Sohinder Gill said the partnership would offer easier financing options and provide a sustainable transportation model.
“With the government’s focus on EV adoption, we are confident about greater acceptance of clean and electric mobility in India,” he said, per the report. “The tenure leasing option is an attractive concept for the evolving Indian customers.”
Meanwhile, OTO co-founder Sumit Chhazed cited the popularity of two-wheelers in the country, saying that the increasing customer interest is helping the industry gain steam.
PYMNTS recently wrote that micromobility is gaining popularity for several reasons, including that sometimes, traveling by car isn’t the most convenient way to travel within a particular area.
Read more: Connected Micromobility Solutions Tackle ‘Last Mile’ of the Daily Commute
Smaller, more environmentally friendly ways of traveling are especially good for tourists, allowing them to see more sights.
“It’s being used of course by tourists, and more and more, as the service has become wider and more reliable, we’re seeing that it is becoming a part of people’s daily commute,” Helbiz Chief Operating Officer Jonathan Hannestad told PYMNTS.
Helbiz offers micromobility services around the world, with a focus on Italy and the U.S. Recently, that company partnered with Google Maps to make its products appear on the map together with the approximate place.
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