Ather Rizta: Is the electric innovation redefining family commute?

Authored by Piyush Mungle, Associate Director, Innovation, Ipsos India & Prasad Joshi, Associate Director, MSU, Ipsos India

Ather Energy, a leader in India's electric vehicle landscape, unveiled its latest offering, Ather Rizta, on April 6th, 2024. This new electric scooter is launched with a promise of reshaping the family-oriented segment of the Indian electric scooter market.
Ather Rizta aims to attract EV adopters seeking a reliable and sustainable transportation solution for their families and family needs by prioritizing practicality, comfort, and affordability.

Let’s understand the key highlights of Ather Rizta.
Attractive Entry Level Pricing: The Ather Rizta base model - Rizta S, is priced attractively at INR 1,09,999 with a 2.9kWh battery pack providing a 123 km range whereas the top-of-the-line model Rizta Z is priced at INR 1,44,999 with a 3.7kWh battery pack offering a 160 km range.
Industry-Leading Storage: A best-in-class 34-litres of under-seat storage space, spacious seating, and a utility flatbed with ample legroom makes the Rizta a storage and space leader in the scooter segment.
Advanced Riding Comfort and Safety: The inclusion of hill-hold assist, reverse mode, anti-skid and fall safe features further enhances the practicality and safety of Ather Rizta. Spacious and comfortable seating adds to the seating and riding comfort.
Loaded with the reliable Ather Tech: The Rizta comes in with LED lights, a 7-inch LCD screen with integrated Google Maps navigation, an under-the-seat charging port and different driving modes (Eco and Zip). The Rizta also integrates WhatsApp and Alexa which strengthens its appeal and relevance.
Seamless Connectivity: Ather Rizta has boosted the “connected” experience. The Rizta is loaded with an integrated tow and theft alert system. The "ping my scooter" feature uses the Ather app to remotely locate the vehicle. The Rizta also allows for live location sharing in real-time through the Ather app.
Interesting Add-Ons: Ather has launched the Halo helmets with the Rizta. These are special tech-loaded helmets that allow a host of features. They get paired with the Rizta as soon as you wear them. The helmets are loaded with Harman Kardon Speakers to enjoy music and answer calls. Two helmets can also be connected for on-ride music sharing and helmet-to-helmet communication.
Ipsos’ expert view on the launch
Opportunities:
· With the consideration for EV 2Ws rising amongst potential 2-Wheeler buyers, Ather comes into the fray with Rizta. With the launch, Ather becomes the first OEM to offer different body types/ form factors of an EV under a single mother brand. This allows customers to have options – an ‘individualistic’ Ather 450 Series and a ‘family-centric’ Rizta series when they walk into an Ather dealership.

· By focusing on Indian families, Ather Rizta seeks to tap into a potentially vast and underserved market (from an EV 2W perspective), offering a well-packaged product that serves the multi-nodal needs of an Indian family scooter.

· The entry-level price point of INR 1,09,999 presents an opportunity to break into the perceived “expensive/ premium” tag associated with the EV category as the Rizta S is closer to the price points of its ICE counterparts – Honda Activa and TVS Jupiter.

· In terms of the utility of the product, Ather’s Rizta seems to have it all:
o Best-in-class space (under seat storage + flat deck leg space) which is highly relevant to the Indian customers to run their day-to-day errands – right from bringing in the kirana shopping to carrying a gas cylinder
o An ergonomically designed seat for superior riding comfort and an uncompromised seating space for 2 adults with a pillion backrest
o The range of 123 kms is highly effective for everyday usage
o The safety features (skid control, fall Safe, auto hold) enhance riding confidence on the challenging Indian road conditions and manoeuvring through the hurdles of urban roads à This lends a sense of ‘being worry-free’ for the family members making Rizta a ‘prudent’ choice
o Rizta brings in the goodness of Ather’s tech to lend the customers an enhanced and refined experience of using an EV, much unlike the other players in the market
o Moreover, the form factor of the Rizta which is more “conventional/ old school / retro” compared to the ‘modern/ young / sleek’ Ather 450 opens
up the consideration of Rizta across customer demographics making Rizta a ‘family’ scooter which can be used by everyone in the family.

Probable Challenges:
· Price: Ather has seemingly borrowed learnings for the adjacent 4W category for getting an ‘attractive’ entry-level price tag. The entry product (Rizta S) price (INR 1,09,999) barely packs any USP features except the space. The TFT is also not included in this price which takes away the “Ather EV experience”.
· Though this pitches the Rizta directly against TVS iCube, TVS Jupiter and Honda Activa, the comparison here leaves the Rizta with edge over space and nothing more.
· Customers seeking the special features can get access through the ProPack – which comes at an additional cost of INR 20K. This swings the price completely and takes the Rizta into the “premium” offering and thus creating chances of drop in consideration (a leaky bucket) for the VFM Indian customer. Moreover, the Rizta Z at INR 1.45L for family needs is steep and might come across as a strong barrier for consideration.
· High Charging Time: The scooter category rides on “Convenience”. With the charging time of the charging time for the Rizta clocking close to 7 hours, the convenience part of the scooter gets dented and raises questions over the effective useability of the Rizta.
o Key competition of Rizta (ICE – Activa / Jupiter) are not only family vehicles but also at times double up as scooters used for commercial activities along with family requirements. In such cases, the high charging time is equivalent to the high down time which can be a barrier for consideration. Secondly, this segment of users is highly cost sensitive – thus, driving the Rizta Z and the pro-packs out of consideration.
· Premium for Halo: The tech-loaded Halo helmets are definitely an innovative offering but are relevant only when coupled with an Ather Rizta, thus restricting usability. Moreover, the price tag of INR 15K is steep for a market where helmets are used to evade a fine/ traffic violation rather than as a safety /tech-enhanced accessory.

The Indian scooter market is a “mass market” whereas the Ather Rizta is currently coming across as more of a “lifestyle” choice. It will be interesting to see how the “family scooter” offering from one of the EV 2W pioneer brands picks up on the Indian roads!

DISCLAIMER: The views expressed are solely of the author and Adgully.com does not necessarily subscribe to it.