volume

Honda launches a renewed 350 to rival Enfield Classic 350

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Honda CB350 launched at ₹2,00,000, will take on Royal Enfield 350. This is an even better retro-styled motorcycle from Honda than their previous 350 efforts in India and offers a lot of modern features that Enfield never has– at a price that can win customers over to their stable. Those who want an Enfield will listen to no reason nor rhyme to change their mind about their purchase. While it is primarily aimed at dethroning the King –Royal Enfield Classic 350 in sales pie-charts, it seems by co-incidence it will compete effectively with customers divided between Hero-made Harley-Davidson 440 and Bajaj-made Triumph Speed 400. Meanwhile, Enfield is sending Meteor to USA (well the motorcycle model, relax!) and Honda H’ness 350 which was first designed and launched in India was soon released in Japan as well. So will America see a Honda 350. It would be interesting if Honda and Kawasaki (Z650RS) brought the retro-styled motorcycles they presented in India to USA– because surely Harley-Davidson and Triumph won’t be bringing their 440cc and 400cc bikes over to ruin their American Dream of selling big bikes. Clearly, sales volumes in India, a more dynamic and responsive market than China, seems to tempt brands to change their strategies in their primary / major markets as well. All said, Honda still has a ‘big’ drawback with its sales and servicing of mid-weight bikes. Only Honda Big Wing brand of authorised dealers can sell and service these 350cc motorcycles apart from their other big engine bikes such as Fireblade, Africa Twin or Goldwing. This is silly because a 350cc engine is a common sight in all cities in India–thanks to Royal Enfield’s success at marketing and branding them. So, unless Honda leverages its vast number of dealers who sell 100cc to 150cc commuter motorcycles and […]

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Friggin’ Economies of Scale

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by Ujjwal Dey with images & illustrations by Wayfarer In Harley-Davidson’s desperate search for volume sales, Will there be a smaller Harley-Davidson X210 in India? X440 is already the smallest engine – perhaps too small of an engine – to be considered a ‘real’ Harley for those who can actually afford to buy it. A rumoured Harley X210 may share the same design elements as the current X440. The smaller H-D is rumoured to be powered by the same 210cc single-cylinder engine found in the Hero Karizma XMR. Have a look at this editorial story giving you the background and the ground zero of Harley-Davidson’s new speculated adventure. Click Here to read this article, only on Bikernet.com * * * * * * * * * * * * * * * * To Stay updated on all Motorcycle News and Events…simply Click & Subscribe to Bikernet’s FREE Weekly Newsletter

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Yamaha Expects India to Become its Largest Production Base in 5 yrs

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Markets in Indonesia, Vietnam saturating; India priority No. 1, says top executive. Japanese auto major Yamaha Motor Company (YMC) expects India to overtake Indonesia to emerge as its largest base in terms of production output in the next five years. “India sells more than 20 million two-wheelers annually and the numbers are growing. Our company’s market share is in single digits. We want to improve this. There is a lot of opportunity,” says Yamaha India Chairman Shitara. Two-wheeler sales in India increased 6.95% to 19,740,727 units till February this fiscal. In the same period, India Yamaha Motor’s sales remained largely flat at around 732,006 units. The company additionally exported 226,010 units. Yamaha Motor India’s group chairman Motofumi Shitara was speaking on the sidelines of the launch of MT-15 priced at ₹1.36 lakh (ex-showroom, Delhi). “India is priority number one for us worldwide. We aim to have production volume of 2.5 million units in India in the next five years,” he said. Going ahead, Shitara said the company would steer clear of the mass segment and focus on launching premium motorcycles in the domestic market. The company has also commenced a study on introducing electric two-wheelers in India. Shitara is currently defining the mid-term roadmap for the company till 2025 to lay the foundation on how the brand Yamaha takes shape the country. Apart from growing volumes, Shitara said a focus area for him is to project a strong image for the Yamaha brand in the local market. Yamaha MT-15 was launched on Friday – a 155cc bike with liquid-cooled four-stroke engine mated to a six-speed transmission. MT-15 is priced at Rs 1.36 lakh ex-showroom. It has ABS and fuel injected variable valve actuation (VBA). On the idea of electric motorcycles, the Yamaha Chairman says – “Three points are important, one

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No silver bullet in sight for Enfield hit by sliding volume

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The Eicher Motors stock fell 30 per cent in the past year. The Bullet, it appears, is just not firing on all cylinders at the moment. Royal Enfield (RE) sales are rather soft, and state-wise volume statistics furnished by industry body SIAM show that the bike that defines panache for motorcycle enthusiasts in India is riding through a rather rough patch. Eight states that make up three of every five RE bikes sold locally have reported deceleration. Maharashtra and Karnataka together account for 13 per cent of RE volumes, and these two states have seen a drop in 6-7 quarters of the past nine. Kerala, the largest market of RE, has witnessed volume drops of 13 per cent and 23 per cent in the September and December quarters, respectively. The September decline is attributed to floods. But declines in the December quarter have put the lens on underlying demand. Industry volume growth of twowheelers in south India was 9.5 per cent in the first nine months, up from 5.6 per cent in the previous year. However, RE’s sales volume growth in the Southern states has been underwhelming. The RE management has given production guidance of 8.7-8.8 lakh units for the current fiscal year. However, it is unlikely to be met. Average monthly run-rate of RE in the first 11months of FY19 stood at 69,569 units. To achieve the stated guidance, the company needs to produce 1.04 lakh vehicles in March. This appears to be quite a daunting task given the weak demand cycle. The Street is factoring in volume growth of 10 per cent for FY20, which could be trimmed due to about 3 per cent growth in FY19. The Eicher Motors stock fell 30 per cent in the past year following constant negative surprises on the volume front. The

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