Nexon EV turns four, helps Tata Motors maintain EV market leadership

The Nexon EV, launched on January 28, 2020 and estimated to have sold over 60,000 units to date, has led the growth roadmap for the electric passenger vehicle market in India and also helped cement Tata Motors’ leadership in this segment.

By Ajit Dalvi calendar 28 Jan 2024 Views icon13357 Views Share - Share to Facebook Share to Twitter Share to LinkedIn Share to Whatsapp
Nexon EV turns four, helps Tata Motors maintain EV market leadership

The Tata Nexon EV, the game-changing electric SUV which has been the first of the zero-emission passenger vehicle models to drive the ongoing shift to electric mobility in India, turns four years old today. Launched on January 28, 2020, the Tata Nexon EV is estimated to have sold over 65,000 units cumulatively till end-December 2023, helping Tata Motors maintain its commanding EV market leadership.

The Nexon EV’s sales were slow in the first year, the launch coming just two months before the Covid pandemic struck in March 2020. While sales crossed the 1,000 mark on August 18, seven months after rollout, the 2,000-unit mark came in 10 months on December 2, 2020, and the 4,000 mark by end-March 2021, 14 months after launch. June 2021 saw the Nexon EV surpass sales of 5,500 units

In addition to the 45,499 units sold between FY2021-FY2023, the Nexon EV is estimated to have sold over 15,000 units in the April-December 2023 period.  

In June 2023, the Nexon EV achieved 50,000-unit sales in the domestic market, taking 41 months or just under three-and-a-half years to notch the milestone. The sustained demand for the eco-friendly SUV has enabled Tata Motors to become the EV market leader in India and also contributed to the Nexon, which is also available with petrol and diesel engines, to be India’s best-selling SUV at the time.

The Nexon EV’s sales have grown in tandem with the fast-increasing consumer awareness of electric mobility, more so the past couple of years. From 3,806 units in FY2021, the e-SUV's sales rose to 13,879 units in FY2022 and 27,814 units in FY2023. In the first nine months of FY2024, the Nexon EV is estimated to have sold over 15,000 units adding to the 45,499 units sold between FY2021 and FY2023.  

In August 2023, Tata Motors became the first Indian PV manufacturer to surpass 100,000-unit EV sales. While the first 10,000 units took 44 months, the sales run from 10,000 to 50,000 units was achieved in 15 months and the 100,000 milestone drove up in just nine months, reflective of the growing consumer shift to e-mobility in the electric PV market. 

The Nexon EV got the formula right – enough range for daily use, peppy performance and an affordable sticker price, all packaged in a SUV body style which has been powering PV sales for over three years now.

With the Nexon EV, Tata Motors, which has now adopted the born-EV platform route with the Acti.EV architecture for the Punch EV, took the easier and more cost-efficient approach at the time to convert the existing Nexon ICE SUV into an EV, which called for a tenth of the investment that a born EV would take. Crucially, this strategy to launch the Nexon EV in January 2020 gave the company a massive first-mover advantage in a nascent market, which has since grown sizeably.

September 14, 2023 saw the launch of the facelifted Nexon.ev, the newest and renamed avatar of the model, with introductory prices starting from Rs 14.74 lakh for the entry level MR (medium-range with 30 kWh battery: 325km) variant through to Rs 19.94 lakh for the top-spec LR (long-range: 465km with 40.5 kWh battery) variant.

In CY2023, Tata Motors, with its portfolio comprising the Nexon EV, Tigor EV, Tiago EV and Xpres-T (for fleet buyers), clocked retail sales of an estimated 59,580 units, up 86% YoY (CY2022: 31,972 units) to maintain its commanding market lead with a 73% share. Tata’s market share used to be in excess of 80% but has now reduced due to the expanding and dynamic EV market which now has wider product choice from a growing number of rivals.

June 2023 (7,025 units) was the best month for Tata' Motors' EV sales last year with the company exceeding 7,000 units for the first time.

In CY2023, Tata Motors' wholesales were 69,153 EVs, up by a strong 59.15% YoY (CY2022: 43,451 EVs). This also translated into an increase in the company’s EV penetration levels – to 12.55% from 8.24% in CY2022. Within Tata Motors’ EV portfolio, along with the Nexon EV, the Tiago EV, which is the most affordable electric hatchback in India, is seeing strong demand and has recently been joined by the Punch EV. 

Making the con-Nexon with the EV buyer

What has worked in the Nexon EV’s favour, besides its SUV appeal, are its sorted fundamentals and a value-for-money price tag. From the first Nexon EV through to the latest Nexon.ev, Tata Motors has tweaked certain aspects of the vehicle after analysing the driving behaviour of several EV users, and incorporated relevant customer feedback in its software update to make the Nexon EV’s drive experience smoother and the car more user friendly. 

To accelerate the adoption of EVs in India and also benefit its customers, Tata Motors introduced a holistic e-mobility ecosystem called ‘Tata uniEVerse’ to closely leverage the strengths and experience of other Tata Group companies to create a viable EV environment. This enables consumers to get access to a suite of e-mobility offerings including charging solutions, innovative retail experiences and easy financing options. 

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