Branding A Legend, The Journey of Bajaj Chetak from Classic to Electric

Bajaj Chetak: A Journey Through Business and Branding Transformation

A Legacy Retold Through Business and Branding

In India, two?wheelers have never been just machines. They have been part of daily routines, social identity, and family rituals. Among these, one scooter rose above practicality and entered cultural memory: the Bajaj Chetak. When it first appeared in 1972, it wasn’t introduced as a luxury or a status symbol—it simply solved everyday needs with honesty and reliability. Yet over time, it came to represent aspiration, progress, and the pride of a growing middle class. The Chetak’s story is unusual in Indian automotive history. It began as a sturdy, affordable family vehicle inspired by Italian design, became a nationwide favourite for decades, disappeared quietly when consumer preferences shifted, and then re?emerged as an entirely new product—an electric scooter with a heritage?driven identity. The transformation from a utilitarian petrol scooter to a premium EV illustrates how legacy brands can return with relevance when strategy meets nostalgia. This paper traces that journey by examining Bajaj Auto Ltd.’s decisions across different eras. As one of India’s major industrial houses, Bajaj has always balanced traditional brand strength with calculated innovation. The revival of the Chetak in 2020 under the EV banner is a reflection of this dual ability.

At its core, this study asks a central question: Can a brand built on memory reinvent itself for a market built on technology?

LITERATURE REVIEW

The history of the Bajaj Chetak is closely linked to the evolution of India’s personal mobility landscape. Introduced in 1972 by Bajaj Auto, the Chetak became a defining symbol of everyday transportation for middle-class families. Its foundation lies in India’s industrial expansion period, during which domestic manufacturing was encouraged to reduce foreign dependence. Bajaj Auto emerged as a major player in the two-wheeler segment, and the launch of the Chetak marked a significant milestone, offering an affordable and durable mobility solution for millions. In its early decades, the Chetak was widely recognized for its sturdy metal body, low maintenance costs, and dependable engine performance. These qualities turned it into a cultural icon, and demand often exceeded supply, resulting in prolonged waiting periods that became a well-known aspect of Indian consumer experience at the time. During the 1980s and 1990s, Chetak dominated Indian roads, functioning in many respects like a near-monopoly in the geared scooter category. Competitors were limited, and Bajaj Auto benefitted from the scooter’s reputation as a family-oriented vehicle. However, as the Indian economy liberalized in the early 1990s, the mobility market shifted rapidly. The emergence of fuel-efficient motorcycles and the arrival of new companies began transforming consumer tastes. Motorcycles, offering superior performance and mileage, gained widespread acceptance, and the once-dominant geared scooter segment started declining. Bajaj faced increasing competition from brands such as Hero Honda and TVS, whose motorcycles captured large portions of the market. The company also saw growing interest in gearless scooters, especially after the entry of Honda’s Activa, which marked a major shift in urban mobility preferences. As these changes unfolded, Bajaj Auto reevaluated its product strategy. Although the Chetak still held emotional value among consumers, it struggled to compete with the new-generation motorcycles and automatic scooters. By the mid-2000s, the technological expectations of consumers had risen, and Chetak’s older design could no longer match market trends. Eventually, Bajaj Auto phased out the Chetak in 2009, marking the end of an era for one of India’s most iconic two-wheelers. The discontinuation of the Chetak represented a broader shift within the company, as Bajaj prioritized motorcycles over scooters to strengthen profitability and expand its presence in global markets. The resurgence of electric mobility in the late 2010s reignited interest in legacy brands and sustainable transportation. Driven by environmental concerns, rising fuel prices, and government-led EV policies, India’s two-wheeler market began transitioning toward electric scooters. Observing these shifts, Bajaj Auto revived the Chetak in 2020 as its flagship electric vehicle. Studies on brand revival emphasize that legacy brands possess emotional equity that can be leveraged when re-entering modern markets, and Bajaj adopted this strategy by preserving the classic aesthetic elements of the Chetak while integrating contemporary EV technology. The reintroduced Chetak featured a retro-inspired steel body, simplified design language, and an advanced electric powertrain, targeting consumers seeking reliability, nostalgia, and environmental consciousness. With its re-entry into the EV market, Chetak adopted a premium positioning. Research suggests that such positioning helps establish brand differentiation in competitive markets, especially when new-age entrants, such as Ather Energy, Ola Electric, and TVS iQube, focus on aggressive performance features. However, the revival faced several challenges. Limited dealership availability, higher pricing, and slow production ramp-up initially restricted its market penetration. EV-focused competitors expanded more rapidly and maintained a broader digital footprint. Nevertheless, industry analyses indicate that Chetak steadily gained acceptance among customers valuing durability and proven brand reputation. Recent literature highlights that the success of the new Chetak lies in its fusion of heritage and technological modernization. While several electric scooter brands appeal to younger, tech-driven consumers, Chetak appeals to both nostalgia-driven buyers and new EV adopters seeking long-term reliability. By 2023–24, the model had secured a meaningful share in India’s growing electric two-wheeler segment, signalling strong potential for legacy brands in modern mobility transitions. Studies further emphasize that the Chetak’s evolution reflects broader structural shifts in India’s two-wheeler industry—transitioning from geared scooters to motorcycles and later toward electric platforms. The literature also points to challenges such as scaling the dealership network, strengthening charging infrastructure, and staying competitive in a rapidly changing EV ecosystem. Analysts agree that Bajaj’s ability to maintain consistent technological innovation while leveraging emotional brand value will determine Chetak’s long-term performance. Collectively, the reviewed literature shows that the journey of the Bajaj Chetak—from a cultural icon to a discontinued model and finally to an electric revival—captures key dynamics of India’s mobility sector: shifts in consumer preferences, technological transitions, competitive pressures, and brand reinvention in the face of change.

Research Objective

This study investigates how the Bajaj Chetak moved from iconic petrol scooter to modern electric product. The objective is to understand the strategies, brand decisions, and market forces that shaped this transition. Specifically, the research analyses how Bajaj used emotional familiarity while introducing new?age features, repositioning an old favourite for the EV generation.

Hypothesis

If a heritage brand is able to connect its emotional strengths with modern consumer expectations, it can revive itself successfully—even in a highly competitive technological market.

This hypothesis rests on the belief that nostalgia can be an economic asset when paired carefully with innovation.

Scope of the Study

The scope is limited to the Bajaj Chetak’s lifecycle—from its introduction and era of dominance, through its gradual decline, to its eventual re?entry as an EV. This includes:

• Brand and design evolution across decades.
• Business strategies adopted by Bajaj Auto at turning points.
• Consumer perception shaped by nostalgia, identity, and trust.
• Market response to the electric Chetak.

Only secondary sources have been used, including news articles, reports, advertisements, and verified industry publications.

Research Methodology

A qualitative case?study method has been used. The paper relies on descriptive and analytical techniques, drawing data from:

• Business news and journals,
• Bajaj Auto’s official releases and annual reports,
• Historical advertisements and brand campaigns,
• Reputable auto?industry analyses.

The Rise of Bajaj Chetak — The Scooter that Became a Symbol

When the Bajaj Chetak was launched in 1972, India was still building its industrial identity. Families wanted reliable transportation that didn’t demand high maintenance or large investment. The Chetak answered every requirement. Its name—borrowed from Maharana Pratap’s legendary horse—symbolised endurance and trust, qualities that matched the scooter’s performance. The early Chetak was heavily inspired by the Vespa Sprint but altered for Indian roads. With its simple mechanics, sturdy metal body, and family?friendly design, it quickly became a practical dream for millions. Where cars were unaffordable, this scooter became a symbol of progress. By the 1980s and 1990s, it had become a cultural fixture. Waiting lists stretched for years, and its resale market thrived. Families often passed the scooter down across generations—proof of its durability. Advertising campaigns like “Hamara Bajaj” deepened its emotional connection with consumers.

Quick Highlights of the Rise

• Launch Year: 1972
• Inspiration: Based on the Vespa Sprint, redesigned for Indian conditions
• USP: Great mileage, simple design, and space for a family of three
• Target Audience: Indian middle-class families
• Waiting Period: 10–12 years in some regions
• Emotional Branding: “Hamara Bajaj” campaign (1989)
• Peak Era: 1980s to late 1990s

By the 80s, you couldn’t walk down an Indian street without spotting a Chetak buzzing past — dad driving, mom sitting sideways, kid wedged in the middle.

The Fall — Japanese Bikes and the Shift in Aspirations

The downfall of the Bajaj Chetak, once the unchallenged ruler of Indian roads, wasn’t sudden — it was a slow fade, a story of how markets evolve faster than memories. What brought the mighty scooter down wasn’t poor quality or neglect, but a mix of changing dreams, new rivals, and Bajaj’s own delay in reading the signs of change.

1. When Did the Decline Begin?

• The decline began quietly around 1997, when sales started to dip.
• By 2004, scooters made up only 15% of Bajaj Auto’s total two-wheeler revenue.
• In 2006, Bajaj officially stopped producing the Chetak, ending a run of over 80 lakh units since its 1972 debut.
• The final batch of the classic Chetak rolled off the assembly line in 2006, marking the end of its iconic production era.

2. Why Did Bajaj Chetak Decline?

a. Changing Customer Preferences

The 1990s introduced a new kind of Indian consumer — one who wanted convenience, style, and modernity. The old “kick to start” scooters suddenly felt bulky and outdated compared to the light, gearless models that were taking over cities.

• TVS Scooty (1996) was aimed at college-going girls — small, colourful, and easy to handle.
• Honda Activa (2001) became a hit with both men and women for it self-start system and sleek design.
• According to SIAM data, by 2002, gearless scooters saw a 35% rise in sales, while geared scooters dropped by 18%.

The message was clear: convenience had replaced tradition.

b. The Rise of Japanese Motorcycles

At the same time, Japanese technology was rewriting the two-wheeler market. Motorcycles from Hero Honda and TVS-Suzuki arrived like a storm — sleek, powerful, and fuel-efficient. They were easy to maintain and matched the new generation’s sense of speed and freedom. By 2003, motorcycles accounted for over 75% of two-wheeler sales in India, pushing scooters to the sidelines. The Hero Honda Splendor, launched in 1994, became the best-selling motorcycle in the country, even overtaking the Chetak by 1999.

c. Late and Ineffective Innovation

Bajaj did try to fight back with new launches like the Bajaj Saffire (2000) and Bajaj Kristal (2006), but neither could recreate the Chetak magic. Customers complained about poor mileage and lack of appeal, while Honda’s Activa crossed 1 million sales in just five years — a clear sign of who had won the race.

3. Bajaj’s Strategic Exit from Scooters

By late 2009, Bajaj Auto’s leadership made a tough call. In a late 2009 interview, Rajiv Bajaj, the company’s Managing Director, announced: “We will exit the scooter segment to focus entirely on motorcycles and performance.” And that’s exactly what they did. Bajaj doubled down on its new heroes:

• Bajaj Pulsar (2001) – youthful, bold, and sporty
• Bajaj Discover – reliable and family-friendly

The gamble paid off. By 2007, Bajaj had become India’s second-largest motorcycle manufacturer, right behind Hero Honda.

Quick Recap — Key Stats from the Fall Era

Takeaway

The Bajaj Chetak didn’t fade because it was flawed — it faded because the world around it changed. Consumers grew more ambitious, competitors grew faster, and Bajaj was still looking in the rear-view mirror when the market had already moved on. For decades, the Chetak carried India forward. But when India began racing ahead, the Chetak stayed behind — proud, iconic, but suddenly out of step.

Bajaj Chetak Sales Decline (1997–2006)

Estimated annual sales figures based on industry trends, media reports, and Bajaj Auto’s two-wheeler market performance during the period. This chart is a visual representation created for academic purposes.

figure 1

The Rebirth – Bajaj Chetak Goes Electric

After a pause of over ten years, Bajaj Auto marked its official entry into India’s quickly developing electric vehicle (EV) market by reintroducing the legendary Chetak as a premium electric scooter in January 2020. This strategic move successfully merged a globally recognized brand name with contemporary electric mobility solutions.

Why Reboot the Chetak Brand

The decision to resurrect the Chetak brand name was a calculated move. Bajaj Auto's Managing Director, Rajiv Bajaj, highlighted the immense emotional recall the name held for Indian consumers. By transforming this cultural icon into a modern EV, the company intended to capitalize on the powerful wave of consumer nostalgia while simultaneously appealing to a new, future-ready demographic.

Product Overview: What’s New?

The Bajaj Chetak Electric launched with several key features:

• A lithium-ion battery with an IP67 rating, initially featuring a 3-kWh capacity.
• Selectable Eco and Sport modes.
• A claimed riding range of 95 km in Eco mode and 85 km in Sport mode.
• A charging duration of approximately 5 hours.
• A robust steel unibody frame, a feature uncommon in the modern e-scooter market.

The introductory price range in 2020 was between ?1 lakh and ?1.2 lakh (ex-showroom), with these technical specifications and pricing confirmed in Bajaj's official statements and verified by industry reviews.

Sales & Market Response

Initial sales during FY2021 were modest, with just 1,395 units sold. This limited performance was primarily attributed to constraints related to the COVID-19 pandemic and a restricted dealership network. However, sales quickly accelerated. By FY2023, Bajaj reported a fourfold increase, selling 36,260 units, up significantly from the 8,187 units sold in FY2022. The company announced that by October 2024, it had dispatched over 3 lakh Chetak EVs. The product achieved strong success in FY2024 with 106,623 units sold, securing an 11% market share in the Indian electric two-wheeler segment. The Chetak set a record in March 2025 by recording 34,863 units in a single month—the highest monthly sales volume achieved by any EV scooter in India at that time.

Marketing Strategy: Modern Meets Traditional

Bajaj adopted a minimalist, premium brand identity for the Chetak Electric, encapsulated by the tagline: “Timeless Chetak”. The scooter was initially sold exclusively through KTM showrooms, a move designed to cultivate hype and project exclusivity rather than a broad, mass-market launch. Bajaj leveraged its existing infrastructure (via its ownership stake in KTM and Husqvarna) to provide enhanced customer support and premium servicing.

This intentional strategy was implemented to:

• Generate market interest through controlled scarcity.
• Avoid engaging in direct price wars with competitors.
• Focus on urban consumers who prioritize quality and exclusivity.

Sustainability & Production Strategy

The Chetak is produced at the dedicated Chakan EV facility in Pune. This plant was specifically upgraded in 2019 to incorporate automated assembly lines dedicated to EV manufacturing. Production volume was deliberately increased gradually to ensure quality control and manage the reach of the service network. In 2024, Bajaj expanded the lineup by introducing new models, such as the Chetak Urbane and the Chetak 35 Series, which offered improved range and greater affordability.

Key Takeaway

The revival of the Bajaj Chetak is more than just a product re-launch; it serves as a crucial strategic case study in legacy brand reinvention. By effectively tapping into its emotional brand equity, focusing on product reliability, and implementing a selective marketing approach that emphasized exclusivity, Bajaj successfully transformed the Chetak from a nostalgic relic into a successful modern urban mobility solution.

Figure 2

Bajaj Chetak’s Strategies

1. Heritage-brand resurrection (use legacy equity to re-enter market)

What they did: Re-launched Chetak as a standalone EV brand to leverage nostalgia and brand recall from the classic Chetak. Why: To tap existing emotional equity and differentiate from new EV entrants.
Sources: ISB case / Harvard case on Chetak relaunch.

2. Premium / retro-premium positioning (design + build quality)

What they did: Positioned the EV Chetak as a premium, metal-bodied scooter with retro-modern styling (classic lines with modern tech). Why: To target buyers who value nostalgia + perceived durability/premium feel rather than only low price. Sources: Forbes India, Chetak official blog, multiple case summaries.

3. Phased / selective city rollout via experience centres and showrooms

What they did: Initial limited-city launches and selling through select dealerships/experience centres (e.g., starting Pune, Bangalore and select KTM dealers) rather than pan-India mass rollout. Why: Control customer experience, manage inventory and gather feedback before scaling. Sources: Wikipedia Chetak launch details; ISB/Harvard cases.

4. Focused product differentiation (metal body, app connectivity, quality features)

What they did: Emphasised features such as all-metal body, app connectivity, well-engineered battery/ performance to create a clear feature gap vs many plastic-bodied budget EVs. Why: Build trust in product reliability and justify premium pricing. Sources: Chetak product pages / blogs and marketing case summaries.

5. Dealer-network & service leverage (use existing Bajaj/KTM channels selectively)

What they did: Used existing dealer strengths (and select tie-ups like KTM dealerships initially) to deliver service and customer trust. Why: After a long absence from scooters, service & trust were critical to adoption; dealership control helped maintain quality.
Sources: Wikipedia launch/distribution notes; news & case analyses.

6. Strategic retreat in petrol era and pivot to motorcycles (classic-era strategy that led to Chetak decline)

What they did (historical): Gradually shifted focus from geared scooters to motorcycles as consumer preference moved to motorcycles and gearless scooters (and competitors like Honda Activa arrived). This reduced investment in scooter upgrades, leading to sales decline and eventual discontinuation in 2005.
Why: Higher margins and growth potential in motorcycles at the time. Sources: Historical analyses & summaries (Wikipedia, HDFC Ergo blog, industry case studies).

7. Nostalgia + modern storytelling in marketing (brand narrative around legacy + future)

What they did: Marketing leaned on “reviving a legend” storytelling — blending nostalgia with messages about modern EV tech to reconnect older buyers and attract new ones. Why: Emotional storytelling speeds acceptance and creates PR momentum for a legacy product return. Sources: ISB/Harvard case and marketing write-ups.

8. Product portfolio tiering and plans for mass variants

What they did: Started with a premium model and later planned (and reported plans for) more affordable/entry-level variants to access a wider market. Why: Capture premium margins first, then scale volumes via lower-priced models.
Sources: Autocar India (reporting on plans for an affordable Chetak) and recent news.

9. Manufacturing scale and dedicated EV facility

What they did: Invested in EV manufacturing capacity (new plant at Pune/Akurdi under Chetak/Urbanite setup) to ensure production capability for EVs. Why: Ensure control over EV production and quality at scale. Sources: Wikipedia & press coverage of the Akurdi plant and production start.

10. Risk & supply-chain management lessons (recent magnet shortages)

What they did (recent issue): Plans and launches were affected by rare-earth magnet supply issues—showing the company’s exposure and adjustments in launch timelines. Why: Real-world example of how supply-chain factors shape EV strategy and timing.
Sources: Ackodrive, Autocar and other recent news pieces

Bajaj Chetak's Market Positioning, Market Challenges, and Competitor Analysis

Market Positioning

The Bajaj Chetak EV is strategically positioned as an upscale, urban electric scooter, successfully integrating several key attributes:

• It seamlessly blends classic heritage aesthetics with cutting-edge EV technology.
• The core target demographic includes affluent city commuters, Millennials, and consumers with strong eco-conscious purchasing habits.
• Its Unique Selling Proposition (USP) is defined by the combination of its historical brand legacy, a premium build quality, and its distinctively durable full-metal body construction. (Source of Info: Bajaj Auto EV Press Release 2023, Business Standard Report on Chetak Premium Market Push 2022)

Key Competitors (2024–25)

The table below outlines the major rivals in the electric scooter segment and their core competitive advantages: