Ather Energy, an electric vehicle maker based in India, plans to expand its presence in northern and northeastern states, including Rajasthan, Bihar, Uttar Pradesh, and several northeastern regions, according to CEO Tarun Mehta during a recent earnings call.

The company, which is backed by Hero MotoCorp, aims to double its experience centres to 700 across India by the end of FY26, up from 446 currently after adding 95 stores in the first quarter.

Ather has focused on growing its store network in states like Gujarat, Maharashtra, Madhya Pradesh, Chhattisgarh, and Odisha in recent quarters.

🔗 Source: YourStory

🧠 Food for thought

1️⃣ Physical retail expansion drives market penetration in India’s diverse EV landscape

Ather’s plan to nearly double its experience centers from 446 to 700 by FY26 reflects a methodical geographic expansion strategy that contrasts sharply with app-first competitors.

The company’s progression from southern strongholds to “middle Indian states” like Gujarat and Maharashtra, and now into northern markets like Rajasthan and Bihar, demonstrates how physical presence remains crucial for consumer trust in emerging technology categories 1.

This store-heavy approach appears to be paying dividends, as Ather’s market share jumped to 10.7%, up 2.5 times year-over-year, even as it competes against Ola Electric’s 42.4% market share 2.

The 95 new stores added in just Q1 represents a significant capital commitment that suggests physical touchpoints remain essential for educating consumers about electric vehicles and building confidence in the technology.

This retail-intensive strategy makes particular sense in India’s diverse market, where consumer preferences and infrastructure readiness vary dramatically across states and cities.

2️⃣ Non-vehicle revenue streams signal evolution beyond traditional auto manufacturing

Ather’s achievement of 12% revenue from non-vehicle segments—including software, accessories, and warranties—represents a fundamental shift toward recurring revenue models that traditional automakers struggle to replicate.

The CEO’s emphasis on software having “very high attach rates” across all regions suggests digital services are becoming a sustainable profit center rather than just a product differentiator 1.

This diversification is particularly significant given that Ather reported Rs 644.6 crore in total revenue, meaning non-vehicle segments contributed approximately Rs 77 crore in Q1 alone.

The company’s largest charging network in India, with over 2,500 fast chargers, creates additional revenue opportunities through charging services while building customer lock-in 3.

Recent Ather Energy developments