Scooters gear up for the next round!
After
remaining close to Indian hearts for decades, the domestic scooter industry finally gave way to bikes. And even as their obituary was being penned, good old scooters are back in action. With sales crossing 340,000 units in 2006, (a whopping 17% increase over last year), scooters seems to be the flavour of the season. Small wonder that every player has big plans for the segment up its sleeve and the zing is back. Be it Bajaj, Hero Honda, TVS et al, almost all are planning to venture aggressively in the scooter mart, coupled with landmark innovations in both design & technology. For starters, Bajaj recently launched the Kristal, hence unveiling DTSI in the scooter space. The sick company LML too has relaunched its popular NV and Select series scooters in the domestic market, priced in the range of Rs.35,000. The company hopes to sell 500 units at best in the next few months, but is nevertheless confident about the future of its products. Not only this, inspired by the rapid growth, new players like Yamaha and Hero Motors are also planning to share the space with existing players, who also plan to roll out new products to increase their dominance. Considering the new-found excitement in this space, can one really call it the comeback of the scooter? Says auto analyst Urmil Negandhi, “Two wheelers industry will grow at a CAGR of 15-18% in the coming years. The major growth will come from motorcycles, while gearless scooters will also create a niche market especially among girls/women & students.” But, is that kind of growth enough to satiate the burgeoning appetites of all those gung ho two wheeler majors in India? Agreed that it would be quite a while before scooters can even begin to challenge the dominance of motorcycles, for now, the segment just seems to be gearing up for a piece of the pie.
For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
After
remaining close to Indian hearts for decades, the domestic scooter industry finally gave way to bikes. And even as their obituary was being penned, good old scooters are back in action. With sales crossing 340,000 units in 2006, (a whopping 17% increase over last year), scooters seems to be the flavour of the season. Small wonder that every player has big plans for the segment up its sleeve and the zing is back. Be it Bajaj, Hero Honda, TVS et al, almost all are planning to venture aggressively in the scooter mart, coupled with landmark innovations in both design & technology. For starters, Bajaj recently launched the Kristal, hence unveiling DTSI in the scooter space. The sick company LML too has relaunched its popular NV and Select series scooters in the domestic market, priced in the range of Rs.35,000. The company hopes to sell 500 units at best in the next few months, but is nevertheless confident about the future of its products. Not only this, inspired by the rapid growth, new players like Yamaha and Hero Motors are also planning to share the space with existing players, who also plan to roll out new products to increase their dominance. Considering the new-found excitement in this space, can one really call it the comeback of the scooter? Says auto analyst Urmil Negandhi, “Two wheelers industry will grow at a CAGR of 15-18% in the coming years. The major growth will come from motorcycles, while gearless scooters will also create a niche market especially among girls/women & students.” But, is that kind of growth enough to satiate the burgeoning appetites of all those gung ho two wheeler majors in India? Agreed that it would be quite a while before scooters can even begin to challenge the dominance of motorcycles, for now, the segment just seems to be gearing up for a piece of the pie.For Complete IIPM Article, Click on IIPM Article
Source : IIPM Editorial, 2008
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