Within a couple of years of entering the mid-size motorcycle market in partnership with Bajaj Auto, Triumph has already surpassed rivals such as Jawa, Yezdi and other players to become the No.2 in the classic segment.
04 Dec 2024 | 7319 Views | By Ketan Thakkar
Within a couple of years of entering the mid-size motorcycle market in partnership with Bajaj Auto, India is set to become the largest market for British motorcycle maker Triumph Motorcycles. The country has emerged as a critical market for Triumph, thanks to its burgeoning mid-size motorcycle segment and the growing ...
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Within a couple of years of entering the mid-size motorcycle market in partnership with Bajaj Auto, India is set to become the largest market for British motorcycle maker Triumph Motorcycles. The country has emerged as a critical market for Triumph, thanks to its burgeoning mid-size motorcycle segment and the growing success of the Bajaj partnership. The brand is already number two in the mid-size bike market in India.
The 400cc models have propelled India into Triumph's top five global markets, and India will become its largest market by volume in the near future. While the tie-up was formally established in 2017, the first bike from the Bajaj-Triumph alliance was rolled out in 2022. Since then, almost 60,000 to 65,000 bikes of the TR series have been sold in over 50 countries, including India.
Triumph has already surpassed rivals such as Jawa, Yezdi and other players in the classic segment, and competitors who have been around for about four or five years, to become the number two player in terms of volumes, behind the market leader—a remarkable achievement.
Triumph's entry into India in the mid-size bike segment happened around the same time as US bike maker Harley-Davidson.But the British bike maker has quickly marched ahead. By mid-2024, Triumph had expanded its dealership network in India from 16 outlets in 2022 to over 170 showrooms across 75 cities; this is set to exceed 200 by the end of this year.
Nick Bloor, CEO of Triumph Motorcycles, acknowledged that the alliance with Bajaj Auto has got off to a very good start and is supporting the overall business of the company.
"The size of the Indian market is massive," Bloor remarked, adding that Triumph's growth in India has been driven by an expanded distribution network and the positive reception of its models. He confidently projected India to become Triumph's largest market "very soon".
A Partnership Transcending Borders
Triumph's foray into the mid-size motorcycle market has brought incremental sales for the company not only in India but globally. These bikes have succeeded across diverse markets, including Brazil, Australia and India, demonstrating Triumph's ability to cater to a wide range of riders.
Expressing satisfaction with the performance of Triumph's mid-size motorcycles, Bloor said, "The partnership has started fantastically well. The bikes have done well across the world, and it's transcended the globe…The 400s have seamlessly integrated into the Triumph range." Bloor highlighted the new models’ success in markets like Brazil, where they've doubled Triumph's market share. In other regions, the impact has been incremental, reflecting the varied size of the mid-size motorcycle segment.
Given the strong traction in India and other emerging markets, Triumph is likely to post record sales of over 125,000 units in 2024. Triumph's financial performance has mirrored its operational success. In 2023, the company reported revenue of £711.2 million, a 41.6% increase year-over-year, and a 25.8% rise in sales volume.
This performance was driven by strong global sales, with particularly high growth in Asian markets and the success of its Trident 660 range and 400cc range of bikes. Worldwide sales increased by 25.8%, reaching 89,143 motorcycles in 2023. Triumph's profitability also improved, with annual operating profit recovering to £14.1 million. With 2024's performance already setting new records, Triumph is poised for sustained growth in the coming years.
The segment in which Triumph sells its bikes in India roughly accounts for about 11% of the total motorcycle industry but is growing at twice the rate of the overall market over the last three years, with almost a 30% CAGR. Plus, there is a bigger opportunity beyond India to cater to emerging markets, where mid-size motorcycles are being sought after.
India: A Key Growth Engine
The motorcycle industry continues to grapple with the aftermath of the pandemic and geopolitical tensions in Europe and the Middle East. Despite these challenges, Bloor remains optimistic, particularly about opportunities in emerging markets.
With a strong foothold in India and a focus on innovation, Triumph is gearing up for a dynamic future. Whether it's expanding the 400cc lineup, exploring electrification or deepening its partnership with Bajaj, Triumph is charting a course that could reshape its global presence.
As geopolitical challenges tighten markets in Europe and the Middle East, Triumph has turned its focus to high-growth regions like India, China and Southeast Asia. Its affordable 400cc range, coupled with its premium offerings, positions Triumph to compete effectively with rivals such as Royal Enfield and Harley-Davidson in these markets.
Triumph's strategic manufacturing hubs in Thailand and India have played a pivotal role in its global success. The Thai facilities, operational since the early 2000s, produce the majority of Triumph's motorcycles, while Bajaj's Chakan plant in India has enabled cost-efficient production of the 400cc models for both domestic and international markets.
This collaboration not only ensures competitive pricing but also supports Triumph's ambition to expand into emerging markets, including ASEAN countries and Latin America, with India and Thailand becoming key beachheads.
While tight-lipped about specifics, Bloor indicated that the relationship with Bajaj would continue to evolve. Bloor reiterated that 400cc is a platform, and going forward, it will produce different body styles and form factors.
"We will definitely evolve; there will be new models in the future, and it will go from strength to strength. There will be more bikes in that lineup," assured Bloor.
Electrification: Future-Ready Strategy
While electrification remains a buzzword in the automotive world, Triumph is taking a measured approach. The company has already ventured into the electric segment with its Offset brand, producing electric bikes for children aged 3-16. However, plans for full-scale electric motorcycles are still in development.
"This is a toe in the water," Bloor explained, emphasising that Offset products currently cater to Europe and the US. However, Triumph is actively exploring how electric mobility can evolve for broader markets, including emerging ones like India. "When the time is right, we'll introduce sustainable technologies that align with our brand and market needs," Bloor said.
While collaborations with Bajaj for electric bikes remain unclear, Bloor did not rule out potential partnerships. "Once we develop and evolve our bikes and plans, our supply chains and partnerships will evolve too," he said.
The Road Ahead
With an ambitious vision, a diversified product portfolio and strong global partnerships, Triumph Motorcycles is redefining its vision to participate in the global motorcycle industry. Whether through new models, deeper market penetration or innovative electrification strategies, the brand is on track for sustained growth.
As Bloor aptly summarised, "India is a huge part of our story, but so is evolution—new models, new markets and evolving plans. Triumph's journey is just beginning".
Rolling out the first bikes from Chakan in 2022, Rajiv Bajaj, MD of Bajaj Auto, had hinted that the Triumph partnership could potentially grow to a size of 400,000 to 500,000 units per annum. So clearly, this is just the start.