VE Commercial Vehicles (VECV) has made a significant move into the small commercial vehicle (SCV) segment with the launch of its all-new Eicher Pro X series. This marks a strategic expansion for the company, which has traditionally been a dominant player in the light and medium-duty (LMD) truck space and has made strong inroads into the heavy-duty (HD) segment in partnership with Volvo. With the introduction of the Pro X series, VECV aims to address the growing demand for efficient and sustainable last-mile transportation solutions.
A Timely Entry into a Rapidly Growing Segment
The SCV space, particularly in the 2-3.5 tonne gross vehicle weight (GVW) category, has been witnessing robust growth, driven primarily by the rise of e-commerce, fast-moving consumer goods (FMCG), and parcel and courier transportation. S.S. Gill, Chief Commercial Officer of VECV, highlighted the market potential, stating, “This segment has grown at about 8% over the last seven to eight years, despite challenges like the COVID-19 pandemic. E-commerce alone has seen growth rates of 20-30% in various years, making it a significant driver of demand.”
Despite its rapid expansion, the segment has remained underserved, with logistical efficiencies yet to reach their full potential. “The efficiencies of logistics in last-mile delivery are still quite basic due to the kind of products and services currently available. This presents a huge opportunity for an organization like ours, known for innovation and customer-centric development,” Gill added.
Sustainability and Electrification at the Forefront
A key highlight of the Pro X series is its electric powertrain, aligning with VECV’s commitment to sustainable transportation. “We have already ventured into electric buses and introduced India’s first and only 5.5-tonne electric truck. Now, with the Pro X series, we see an opportunity to accelerate electric adoption in the last-mile delivery space,” said Gill.
The feasibility of electrification in this segment is further bolstered by the rapid expansion of urban charging infrastructure. “Unlike long-haul and rural transport, city clusters and urban centers are better equipped for electric adoption, supported by the growing network of charging point operators and government initiatives like FAME and the PM eBus program,” he explained.
Co-Creation with Customers for Maximum Efficiency
One of the defining features of the Pro X series is its customer-centric design. VECV has actively collaborated with logistics service providers and fleet operators to develop solutions tailored to real-world requirements. “We call it ‘an expert meets an expert’ approach, where we take insights from experienced transporters and integrate them into our product design,” Gill shared.
For instance, one major enhancement is the segment’s largest cargo body space, addressing a pressing need among logistics operators. “While many were asking for more cargo length, the unspoken requirement was optimizing cubic volume utilization. We learned from experts who efficiently packed their vehicles and incorporated technology like cargo monitoring cameras to help operators maximize load efficiency,” he elaborated.
Other thoughtful innovations include a walk-through cabin, improved driver ergonomics, and enhanced visibility for safer city driving. “City traffic requires greater awareness of surroundings, and our cabin design, along with four degrees of freedom in the driver’s seat, ensures better visibility, making urban driving safer for both drivers and other road users,” said Gill.
Focus on Total Cost of Ownership and Uptime
Understanding the evolving priorities of Indian fleet operators, VECV has placed significant emphasis on total cost of ownership (TCO) rather than just the initial acquisition cost. “Being a commercial vehicle, the truck must make commercial sense. While the purchase cost accounts for 20-25% of the total expense, operating costs, uptime, and fuel efficiency play a much larger role in profitability,” Gill pointed out.
VECV has been a pioneer in connected vehicle technology, with all its BS6 vehicles equipped with the MyEicher app and Eicher Live solutions. “We launched India’s first industry uptime center five years ago. Our connected solutions enable fleet owners to monitor performance, ensuring maximum vehicle utilization and reducing downtime,” he stated.
The company has also applied this philosophy to specific applications like cold chain logistics. “For instance, ice cream transporters need consistent temperature monitoring, not just at loading and unloading points. Our telematics solutions provide real-time temperature tracking, allowing transporters to maintain product integrity efficiently,” he explained.
Positioning for Long-Term Growth
VECV’s foray into SCVs is a natural extension of its leadership in the LMD segment, where it holds a 35% market share, with dominance in certain regions reaching 50-60%. “With our extensive experience in this space, we have shortened the learning curve for SCVs, ensuring that our products bring the same reliability and efficiency that customers expect from Eicher,” Gill affirmed.
Beyond SCVs, VECV continues to expand across all segments, with steady growth even in a challenging market. “While the overall trucks and buses industry (excluding SCVs) saw a 2.5% decline year-to-date in November, we grew by 1.3%, improving our market share across segments,” he noted. The company’s strength in buses, particularly school and staff buses, has been further reinforced by the integration of Volvo Bus India three years ago, enabling VECV to offer premium intercity and sleeper coaches.
Building a Stronger Service Network
To support its expanding portfolio, VECV has been aggressively strengthening its service network. “We’ve been adding about two new service touchpoints every week for the past three years, even during COVID-19. Before we enter a new territory with vehicle sales, we first establish a service presence, ensuring parts availability and support infrastructure,” Gill highlighted.
Technology plays a crucial role in this strategy. “Our automated parts distribution system ensures that essential components are stocked based on predictive demand analytics. Telematics also helps us map vehicle locations, allowing us to strategically position spare parts for quick turnaround,” he added.
Conclusion: A New Chapter for VECV
The launch of the Eicher Pro X series signifies a bold step forward for VE Commercial Vehicles, as it ventures into the SCV space with a strong focus on sustainability, customer-driven design, and total cost efficiency. “The Pro X series embodies Eicher’s innovation, customer-centric development, and advanced technology, making it the ideal choice for modern urban logistics. With best-in-class range efficiency, fully connected solutions, and smart features, we aim to empower logistics experts with a truly expert vehicle,” concluded Gill.
As VECV takes this new offering to market, it is set to redefine last-mile mobility, reinforcing its position as a leader in India’s commercial vehicle industry.