Yesterday, Yamaha announced the prices of the upcoming EC-06 scooter in the Indian market at INR 167,600, ex-showroom in Delhi. At that price, the EC-06 is at the very top end of the market.
The problem is that the specifications are nowhere near the top.
The EC-06 is not Yamaha’s own scooter. It has been developed for Yamaha by The World of River, a Bangalore-based electric scooter startup in which Yamaha invested USD 44 million in Feb 2024.
The EC-06 is heavily based on River’s Indie scooter, which is already in the market.
River has developed the scooter for Yamaha and both machines share the same hardware, E&E architecture, motor, and pack. Much to our dismay, even the motor casing carries the River logo.
Yamaha Demands A Premium
Much to the annoyance of any prospective buyers, the Yamaha is priced INR 16,601 more than the River Indie in the Delhi market. That’s a lot of money and you would expect that Yamaha has packed something extra in the scooter.
Nopes.
The Yamaha is actually beaten on specifications by the River Indie. The Indie has a 43-litre storage under the seat. The Yamaha cuts it down to 24.5 litres.
Surprisingly, Yamaha has also restricted the top speed to 79 kph, even though the battery and the motor are carried forward from the River Indie. The Indie can touch 90 kph with the same combination.
In terms of dimensions, Yamaha matches the River to the mm. It is just that the shape of the panels is such that the interior space under the seat gets restricted.
Which beats us? Why?
There is also the charging options. The River Indie claims 5 hours (750W charger) or 8 hours (480W charger). In comparison, the Yamaha is happy with 8 hours and 10 hours charging times.
This is 2026.
Then there is the styling. We know its a subjective matter but we prefer the non-fussy styling of the River Indie, with its clean lines compared to the Yamaha which is derived.
So Yamaha is trying to sell a scooter in the Indian market derived from an already existing scooter and prices it way higher, even though undercutting the specs everywhere.
Yamaha may point out to the quality levels associated with the brand Yamaha but then we look at it and find that this is a River scooter being made at the River factory.
We don’t agree with the strategy, but we can figure out the thoughts. Yamaha, just like the other Japanese manufacturers Suzuki and Honda, wants to play the electric game without taking the pains that come with it. The brand plans to maintain the same margins on its electric scooter as it enjoys from its ICE motorcycles and scooters.
That’s not going to happen and Yamaha is okay with it. It’s ICE perflormance motorcycle portfolio sells well. Even the ICE scooters are no pushover.
Profits are more important than marketshare and a new energy driven mobility solution can wait for its time in a market that stubbornly stays below 5% penetration levels.
Yamaha Follows its Japanese Brothers
We have seen this playbook earlier. Just a few weeks back, Suzuki had launched the e-Access in India at an eye-watering price of Rs 1,88,630, making it one of the most expensive scooters in the Indian market.
That is not a price. That is a “Do Not Enter” notice on the showroom door.
Like Yamaha, Suzuki is happy with it. The ICE portfolio – Access, Burgman Street and Avenis are doing well and fighting for market share is not an immediate priority.
It’s not that the Suzuki is a rocket ship on wheels. It is an extremely mediocre scooter on paper with middling specs. It is difficult to point a single USP in the product that would give it an edge over the competition.
Same with Honda. It launched the Honda Activa e: in the Indian market and not only locked it with battery swapping and a limited geographical release but also priced it out of the market, just like the Yamaha and the Suzuki. The Activa e: does not top the charts when it comes to specs, yet it is priced very, very much near the top.
Is There a Method to the Madness?
In all these cases, it is very clear that the Japanese do not want to compromise when it comes to going electric. They want to maintain the same margins as they enjoy today on their ICE offerings. There is nothing wrong with the strategy. Every business should work with the intent of making money. However, in a market where startups and some incumbents are happy participating in the electric market by sacrificing margins just to own the customer, are the Japanese not reading the tea leaves correctly?
Maybe. Maybe not!
In all our conversations with the industry and numerous climate-tech funds, it is clear that no one enters the electric mobility industry from a love for the environment. That is never in the pecking order of priorities. The key driver for entry is often the fact that electric mobility has lower barriers to entry, is a subject that the tech-bros-generation can master faster, and private money wanted to upset the applecart of ICE commuter scooter/motorcycle multi-decade product lifecycles, anticipating a massive change in customer behaviour.
All the while riding a pseudo megatrend of climate-tech.
The Japanese have no such burdens to carry.
In fact, of all of them, Yamaha has been the most investment light when it comes to electric mobility. It didn’t even develop the product.
Heck, it didn’t even bother stamping the ‘three prongs’ on the motor casing.
