The Vida VX2 range has become affordable by Rs 14,500 with the announcement of introductory prices.
Under the BaaS model, buyers do not have to pay the price of the battery upfront, lowering the acquisition cost.
CEO Niranjan Gupta says that the company's EV range will expand into the mid and affordable segment by the end of this financial year.
Niranjan Gupta said the company will establish a chain of 100 exclusive outlets for Vida e-scooters by March 2024.
The collaboration comes after Hero, in September last year, had approved an equity investment of up to US$60 million in Zero Motorcycles.
Hero MotoCorp had launched VIDA V1 in October last year in two variants Pro and Plus. VIDA V1 competes with the likes of OLA S1 Pro, Ather 450X and TVS iQube.
The country's largest two-wheeler maker said it has also commenced customer test-rides of the VIDA V1 electric scooter from Monday.
However, Munjal, the CMD of Hero MotoCorp views the company’s relative weakness in the domestic two-wheeler market as an opportunity to scale nationally and globally
The company has introduced two variants of the scooter -- Vida V1 plus and Vida V1 Pro -- tagged at Rs 1.45 lakh and Rs 1.59 lakh, respectively.
The Vida-branded e-scooters, which have been developed at the Hero Global Centre of Innovation and Technology (CIT) in Rajasthan, in association with Hero Tech Centre in Germany, will be available in three cities – Delhi, Bangalore, and Jaipur.
In a regulatory filing, the company said that "a new era in mobility is about to begin" alluding to an event under its Vida brand on October 7, 2022.
The company has decided to unveil its first EV product around the upcoming festive period instead of July as earlier announced.
The production of the new Vida model will be done at Hero MotoCorp’s facility in Chittoor. Dispatches to customers will begin later in 2022.