Ola has decided to close down its used vehicles business Ola cars in less than a year after it was launched, sources told CNBC-TV18.
Ola has decided to reorient its used vehicles business Ola cars, less than a year after it was launched, the company said on Saturday. The firm is also shutting down Ola Dash- its quick commerce business.
“Ola has reassessed its priorities and decided to shut down Ola Dash- its quick commerce business. Ola will also be reorienting its Ola Cars business to focus more on strengthening the go-to-market strategy for Ola Electric,” the company said in a statement.
It added that Ola Cars infra, technology and capabilities will be repurposed towards growing Ola Electric’s sales and service network.
The development come days after Arun Sirdeshmukh, the Head of Ola's used car business, and Varun Dubey, Head of Marketing at Ola Electric, quit the company.
Following a series of top brass exits, Sirdeshmukh quit seven months after the launch of Ola Cars.
Ola's vehicle commerce platform Ola Cars was launched in October last year with an aim to diversify from being a ride-hailing service firm to a mobility firm by catering to the purchase of both new and pre-owned vehicles through the Ola App.
Meanwhile, Ola plans to increase the pace of investments in electric cars, cell manufacturing and financial services. Ola Electric has surpassed Rs 500 crore in revenue in the first two months of FY23, the company said, adding that it will be launching its second electric scooter before the end of the year.
First Published: IST