Ola Electric expands store network to 4,000 across India

Ola Electric on Wednesday said it has opened 3,200 new stores with service facilities, expanding its store network four times to 4,000 across India. This comes amid growing complaints by customers over quality and after-sales service.

The electric vehicle (EV) company also launched a limited ‘Sona’ edition of its S1 Pro in real 24-karat pure gold elements, a few of which Ola will be giving away as part of a promotional contest.

The company also gave tours of the new facilities to select customers, who posted videos on social media.

This move assumes significance because Ola Electric’s reputation has been impacted due to rising consumer issues. The Central Consumer Protection Authority (CCPA) has issued a notice to Ola and initiated a class action after receiving more than 10,000 unresolved complaints.

Grievances against Ola Electric products included delays and poor service quality, refusal or delays in providing warranty services, inadequate services, recurring defects despite repairs, inconsistent performance with advertised claims, overcharging and incorrect invoices.

The company has since informed the CCPA that it has resolved 99.1% of the 10,644 consumer complaints received.

Ola has also received flak online. Outspoken founder and chief executive of the company, Bhavish Aggarwal, had an infamous heated exchange with comedian Kunal Kamra on X, who mocked the customer complaints.

This has adversely affected the stock price of the company which went public earlier this year, listing at Rs 76 on August 9. The stock, which had touched Rs 146 in the first two weeks, fell to a low of Rs 67 on the BSE on November 21, pulling down its market capitalisation to below $5 billion.

The National Consumer Helpline (NCH) had been receiving complaints against Ola Electric for the past year, which were escalated to higher levels within the company for resolution, but there was minimal effort made to address these complaints, sources told PTI.