The Future of EV Adoption Lies in Tier-2 & Tier-3 Cities – Kunal Arya

The Future of EV Adoption Lies in Tier-2 & Tier-3 Cities – Kunal Arya

The Future of EV Adoption Lies in Tier-2 & Tier-3 Cities – Kunal Arya
Kunal Arya believes that affordable, reliable, and purpose-driven electric vehicles will play a key role in accelerating EV adoption across India, particularly in Tier-2 and Tier-3 cities.

India electric vehicle industry is entering a new phase of growth, driven by rising demand for affordable, reliable, and sustainable mobility solutions. As one of the emerging players in the EV space, Zelio E-Mobility has built a strong presence in the electric two-wheeler and three-wheeler segments. In this exclusive interaction, Kunal Arya, CEO & MD of Zelio E-Mobility, shares insights on the company’s long-term vision, product innovation, dealer network expansion, battery technology, franchise opportunities, and the future of electric mobility in India.

What is the long-term vision of Zelio E-Mobility in India’s rapidly growing EV market?

Kunal Arya
: Our long term vision is to make electric mobility truly mainstream and practical for every Indian household, especially in Tier 2 and Tier 3 markets where adoption is accelerating rapidly. We are building Zelio not just as an EV manufacturer but as a complete mobility ecosystem focused on affordability, reliability, accessibility, and long term ownership confidence. The goal is to expand our footprint across every major district in India through a strong dealer and service network while continuously strengthening manufacturing, localization, and product innovation. We see significant opportunity in both personal mobility and last mile transportation, which is why we are expanding across electric two wheelers and three wheelers with solutions tailored for Indian road and usage conditions. Going forward, our focus will remain on scalable growth, smarter vehicle technology, enhanced safety, and creating sustainable mobility solutions that can support India’s evolving transportation needs at scale.

How is Zelio differentiating its electric two- and three-wheelers from competitors in terms of technology and pricing?

Kunal Arya : At Zelio, our approach has always been to create products that are practical for Indian consumers rather than just technologically advanced on paper. We differentiate ourselves by balancing smart technology, durability, rider comfort, and affordability in a way that suits real world Indian usage conditions. Our vehicles are equipped with features such as IP67 rated removable batteries, multiple riding modes, smart safety alerts, anti theft systems, proximity lock and unlock, and efficient energy management systems, while still remaining cost effective for daily customers and small business users. In the three wheeler segment, products like our newly unveiled Tanga Nine+ focus on enhancing passenger safety and improving earning potential through innovations such as the Auto shape front design and expanded seating capacity. At the same time, our strong in house manufacturing capabilities, growing dealer network, and operational efficiencies allow us to maintain competitive pricing without compromising on reliability, quality, or after sales support.

What are the key factors driving demand for Zelio’s products across urban and rural markets?

Kunal Arya: The demand for our products is being driven by a combination of affordability, practicality, and the growing awareness around sustainable mobility. Customers today are looking for solutions that reduce running costs while still offering reliability for daily use, and electric mobility naturally addresses that need. In urban markets, riders are increasingly choosing EVs for convenient daily commuting, lower maintenance, and ease of charging, while in rural and semi urban regions the focus is more on dependable transportation and income generation opportunities. Our electric scooters and three wheelers are designed specifically for Indian road conditions and usage patterns, which makes them highly relevant across both segments. Another important factor is the expansion of our dealer and service network into Tier 2 and Tier 3 markets, because accessibility and after sales confidence play a major role in EV adoption. Customers are now prioritizing value, durability, and long term savings, and that is where Zelio has built strong trust.

Can you share insights on your current product portfolio and upcoming launches?

Kunal Arya : Our current portfolio is designed to address a wide spectrum of mobility needs across India. In the electric two wheeler segment, we offer models such as GRACY, Eeva, X Men, Legender, Little Gracy, and the high speed Mystery scooter, which caters to riders looking for stronger performance with higher speed and extended range. For commercial and last mile mobility, we have the Logix cargo scooter that is increasingly being adopted by delivery partners and small business owners. In the three wheeler category, our Tanga range has been gaining strong traction in passenger mobility markets, especially across Tier 2 and Tier 3 regions. Recently, we unveiled the Tanga Nine+ at RideAsia EV Expo 2026, which introduces an Autosafe front design, higher passenger capacity, and improved operational efficiency for shared mobility applications. From here, our focus will stay on deepening the portfolio with intelligent, safer, and more purpose built mobility solutions that are closely aligned with the everyday needs of Indian consumers, fleet operators, and small businesses.

How is Zelio addressing challenges related to battery performance, range, and charging infrastructure?

Kunal Arya : We focus on solving these challenges through practical engineering, efficient energy management, and ownership convenience that suits Indian usage conditions. Our vehicles are equipped with smart controllers and optimized power systems that help improve battery efficiency and deliver dependable day to day range performance. Across select models, we offer both lithium and lead battery options so customers can choose according to their budget, charging preferences, and operating requirements. Features such as IP67 rated removable batteries make charging significantly more convenient, particularly in urban and semi urban areas where dedicated charging infrastructure is still developing, because riders can comfortably charge at home or work. We are also continuously strengthening battery durability, thermal safety, and warranty backed support to improve long term reliability and customer confidence. The idea is to make electric mobility practical, stress free, and dependable for both personal commuting and commercial applications across India.

What role does after-sales service and dealer network play in your growth strategy?

Kunal Arya : For many buyers, especially in Tier 2 and Tier 3 markets, reliable service support is just as important as the product itself. That is why we have focused heavily on building a strong dealer ecosystem with over 350 outlets across India, supported by trained technicians, structured service processes, and digital systems that help manage inventory, spare parts, and customer requests in real time. Our approach is not only about expanding sales reach but also about ensuring that every customer has access to dependable support throughout the ownership cycle. Fast service turnaround, spare parts availability, and consistent service quality help us build long term trust and customer retention.

How is Zelio leveraging partnerships and collaborations to expand its market presence?

Kunal Arya : We work closely with dealer partners, suppliers, financing partners, and regional stakeholders to strengthen accessibility, improve customer experience, and scale efficiently across urban as well as Tier 2 and Tier 3 markets. Our recent association with Punjab Kings for IPL 2026 is also a strategic step in building stronger consumer awareness through culturally relevant platforms that connect with audiences at scale. At the operational level, we continue engaging with partners who align with our focus on quality, innovation, localization, and long term growth. These collaborations help us strengthen supply chain capabilities, improve service infrastructure, and support faster market penetration. We believe sustainable growth in the EV sector comes from building a strong ecosystem around the customer, and partnerships are an important part of creating that ecosystem while accelerating trust and brand presence across the country.

What steps is the company taking toward sustainability and battery lifecycle management?

Kunal Arya : We are taking a long term approach toward sustainability by focusing not only on clean mobility but also on responsible battery usage and lifecycle efficiency. Our vehicles are designed with durable battery systems, smart energy management, and removable battery technology that helps improve usability and extend operational life. We also provide warranty backed support and continuous service monitoring to ensure batteries perform efficiently over time and reduce unnecessary replacement cycles. Alongside this, we are strengthening partnerships and processes around responsible battery handling, servicing, and future recycling readiness as the EV ecosystem matures. The focus is to create a sustainable mobility model that balances environmental responsibility with practical, large scale adoption across India.

How do you see the EV ecosystem evolving in India over the next 3–5 years, and where does Zelio fit in?

Kunal Arya : The EV industry in India is at an inflection point where electric mobility is no longer viewed as an alternative but as the future of everyday transportation. Over the next few years, we expect adoption to accelerate sharply driven by rising fuel costs, stronger charging infrastructure, better battery technology, and growing awareness around sustainable mobility. The biggest transformation will come from Tier 2 and Tier 3 markets, where demand for affordable and dependable mobility solutions is increasing rapidly. Zelio is positioning itself to lead this shift by building practical, accessible, and purpose driven electric vehicles backed by strong manufacturing, an expanding dealer network, and reliable after sales support. Our vision is to make EV adoption simple, trustworthy, and scalable for millions of Indian consumers.

What opportunities does Zelio offer for franchise partners, and what kind of support and returns can potential investors expect?

Kunal Arya : Zelio offers franchise partners the opportunity to grow alongside one of India’s fastest expanding EV brands in a sector witnessing strong long term demand. Our focus is on building sustainable partnerships rather than simply increasing dealership numbers. Partners benefit from an established product portfolio, growing brand visibility, structured onboarding, technical and sales training, marketing support, digital operational tools, and a strong after sales ecosystem. With EV adoption accelerating across Tier 2 and Tier 3 regions, dealers also benefit from recurring service opportunities and rising consumer demand. For investors, the value lies in entering a future ready mobility segment with a brand focused on affordability, reliability, and scalable long term growth across India.

What kind of support (training, marketing, operations) does the company provide to its franchise partners?

Kunal Arya : We work closely with our franchise partners to ensure they are equipped not just to sell vehicles but to build a sustainable and customer trusted business. Our support begins with structured onboarding and continues through technical training, sales guidance, service process orientation, and regular product updates. Partners also receive marketing and branding support to strengthen local visibility and customer engagement. On the operational side, we provide digital tools for inventory management, service coordination, and sales tracking, helping dealerships run more efficiently and respond faster to customer needs. In addition, our after sales ecosystem, spare parts support, and ongoing performance engagement ensure that franchise partners can scale confidently while delivering a consistent and reliable Zelio ownership experience.

How is Zelio planning to expand its dealership and service network across India?

Kunal Arya : Our expansion strategy is focused on building a deeper and more accessible EV ecosystem across India, particularly in Tier 2 and Tier 3 towns where demand is growing rapidly. We are actively strengthening our presence across eastern and southern India, supported by expanding manufacturing capabilities, including our new manufacturing plant in Cuttack, Odisha, which increases our annual EV production capacity to 1,80,000 units. Alongside this, we are scaling our dealership and service infrastructure to ensure customers have reliable access to sales, spare parts, and after sales support closer to their location. Our target is to expand to over 500 dealers by FY27 across every major district in India, while continuing to invest in dealer training, digital systems, and service efficiency to deliver a consistent ownership experience at scale.

Are there any plans to enter international markets or new EV segments?

Kunal Arya : While our immediate focus remains on strengthening our leadership across India, particularly in high growth Tier 2 and Tier 3 regions, we are also evaluating opportunities in international markets where affordable and practical electric mobility solutions are seeing increasing demand. At the same time, we continue exploring new EV segments that align with evolving customer and commercial mobility needs. Our approach is to expand thoughtfully with products that are purpose built, scalable, and suited to real world usage conditions.

What challenges does Zelio face in terms of regulatory approvals and compliance?

Kunal Arya : Like any fast evolving EV company, adapting to a dynamic regulatory environment remains an ongoing part of the business. Standards around battery safety, vehicle certification, localization, and quality compliance continue to evolve as the industry matures, which requires constant alignment across manufacturing, testing, and operations. The challenge is balancing speed, innovation, and affordability while ensuring every product meets the required regulatory benchmarks. At the same time, these evolving frameworks are also helping strengthen the overall EV ecosystem and build greater customer confidence. For us, staying proactive on compliance and quality is essential because long term growth in electric mobility will ultimately be driven by trust, reliability, and responsible scaling.

Conclusion:

According to Kunal Arya, the next wave of EV adoption in India will be led by Tier-2 and Tier-3 cities, where demand for affordable and practical mobility solutions is growing rapidly. Backed by strong manufacturing capabilities, an expanding dealer network, robust after-sales support, and continuous innovation, Zelio E-Mobility is committed to accelerating EV adoption and contributing to India’s sustainable transportation future.

 

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