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Ola Electric increases service capacity by 30%; adds more than 50 centers and 500 technicians to clear backlogged complaints

Ola Electric increases service capacity by 30%; adds more than 50 centers and 500 technicians to clear backlogged complaints

The largest in India electronic scooter producer, Ola Electricincreased the capacity of its service centers across the country by more than 30% to transform its services and increase after sales experience customers, sources said.

The Softbank Group-backed firm, which owns nearly a third of India’s e-scooter market share, has added more than 50 service centers and hired more than 500 service technicians in new and existing service centers to streamline operations and eliminate backlogs.

The company recently announced that it has managed to eliminate about 99% of complaints, despite the fact that public backlash against the company’s electric scooters continues to emerge almost daily. As reported, CCPA intends to investigate this claim, and the company is also engaging Ernst & Young to transform services, strategy and optimize overall service processes.

“The company has already addressed about two-thirds of the service backlog and will be able to address the rest in the next few weeks,” a senior organization official told ANI on condition of anonymity.

Ola was in the spotlight earlier this month following a public spat between its founder Bhavish Agarwal and stand-up comedian Kunal Kamra on quality of service.

last week, HSBC Global Research maintained a buy rating on Ola Electric shares with a target price of Rs 110 apiece, down from its previous recommendation of Rs 140. The global research firm revisited Ola Electric’s service centers a month after the previous inspection in September and noted the need for significant improvement in the service centers.

Shares of Ola Electric fell below the IPO issue price of Rs 76 to touch a 52-week low of Rs 74.84 on the NSE on Tuesday. Today, it ended the day at Rs 80.90, up 1.34%. The company currently has a total market capitalization of Rs 35,683.61. The stock closed at Rs 80.88, up 1.28% on the BSE today.

In September, founder and CMD Bhavish Aggarwal announced the #HyperService campaign to offer a best-in-class technology-driven aftersales experience. As part of the announcement, Ola Electric plans to double its company-owned service network to 1,000 centers by December 2024.

According to government portal Vahan, Ola Electric strengthened its leadership position in the category, increasing its market share to over 30% in October 2024 compared to 27% in September 2024.