From December 2014 onwards, the Karizma models have been consistently failing to achieve even a 1,000 unit mark month-on-month.
23 Sep 2015 | 16835 Views | By Amit Panday
Hero MotoCorp (HMCL), the largest two-wheeler manufacturer in India by volumes, is witnessing a sharp decline in the sales of its flagship motorcycle, the Hero Karizma models. Industry sales numbers of the past few months indicate that the model has not been performing well in the home turf, specifically over ...
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Hero MotoCorp (HMCL), the largest two-wheeler manufacturer in India by volumes, is witnessing a sharp decline in the sales of its flagship motorcycle, the Hero Karizma models. Industry sales numbers of the past few months indicate that the model has not been performing well in the home turf, specifically over the last 9-10 months.
From December 2014 onwards, the Karizma models have been consistently failing to achieve even a 1,000 unit mark month-on-month. December 2014 saw the lowest sales number, which stood at just seven units for that month. Hero MotoCorp’s market share in this category, which is defined as motorcycles with an engine displacement of more than 200cc but less than equal to 250cc, stood at its lowest ever at 0.09 percent during the same month.
Between January to August 2015, the company has sold only 3,050 units, averaging monthly sales of close to 381 units. During August 2015, while the company sold 333 units of the Karizma models, the total category sales stood at 10,865 units. This reflected Hero Karizma’s market share of 3.06 percent for the month.
As against that, in August 2014, Hero MotoCorp had sold 4,232 units of the Karizma models while the total category sales stood at 14,745 units. In terms of the market share in this category, the Hero Karizma models accounted for close to 40 percent.
Bajaj Auto stands as the undisputed leader in this segment. The company accounted for total sales of 10,244 units during August 2015. The best-sellers in that were the popular Pulsar 220 (6,507 units) and the Avenger (3,733 units).
The other model that marks its presence in this category is Honda Motorcycle & Scooter India’s entry level single-cylinder sportsbike, the CBR250R. HMSI sold 286 units of the CBR250Rs during the month. Interestingly, the company is, of late, recording improved sales numbers of the CBR250R.
Kawasaki’s twin-cylinder Z250, the most expensive model in the 200cc-250cc category, is another motorcycle that has largely failed to deliver numbers. It sold only two units during August 2015.
Hero had launched the Karizma (R) as a premium motorcycle in 2003, and the fully-faired version of the same model, named as the Karizma ZMR was rolled out in 2009. While both models used the same 223cc engine, latter’s powertrain featured an electronic fuel injection system instead of the carburettor. To revamp their sales, both the models were given a facelift in July-August last year. However, the sales of these models failed to take-off.
According to HMCL’s website, the Karizma R and the Karizma ZMR come with ex-showroom Delhi price- tags of Rs 83,900 and Rs 105,500 respectively. As of today, the Karizma ZMR is the most expensive offering from the stable of Hero MotoCorp.
While Bajaj Auto is planning to launch a new Avenger (possibly in this engine category) and Kawasaki too is aiming to roll out its single-cylinder Z250SL during the Q3-Q4 of this financial year, the market size of this category is expected to grow in the coming months.