The 125cc premium scooter segment comprises 10 percent of the overall scooter market, but with a visible buyer shift taking place towards scooters, this segment now looks all the more promising for TVS Motor Co.
16 Feb 2018 | 15653 Views | By Sumantra B Barooah and Ujal Nair
The launch of the Ntorq at the Auto Expo 2018 last week has garnered quite a lot of attention and TVS Motor Co is quite confident that it has struck all the right chords to create the right stir in the premium 125cc scooter segment.
The scooter segment, which ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
The launch of the Ntorq at the Auto Expo 2018 last week has garnered quite a lot of attention and TVS Motor Co is quite confident that it has struck all the right chords to create the right stir in the premium 125cc scooter segment.
The scooter segment, which notched 48 percent year-on-year growth in January 2018 and 20 percent in the April 2017-January 2018 period, is where most two-wheeler manufacturers in India are focusing on.
Speaking at the launch of the new TVS Ntorq, Aniruddha Haldar, vice-president – Marketing, TVS Motor Company, told Autocar Professional about this new proposition that is targeted for a young audience, particularly riders in the 18-24 age group.
The scooter has been designed while understanding the demands for the styling, handling and power performance from the target consumers. Haldar is determining the time to introduce it to the market by understanding the maturity of the market and its economic feasibility.
The 125cc premium scooter segment comprises 10 percent of the scooter market, but with a visible shift taking place towards scooters, this segment looks all the more promising, according to Haldar. He further adds, “There is also a large number of young, motorcycle buyers who till yesterday were motorcycle buyers, but now are also willing to look at a scooter, if they find anything that fits their imagery requirement.”
Scooterisation to the fore
The newly launched Ntorq comes with a sense of thrill and a styling and Haldar adds that the ‘smart connect’ feature gives the extra zing that the current generation always seek. With the added convenience of not having to shift gears while in traffic, scooters are also preferred by those who are looking for some sort of practicality that a motorcycle cannot provide. “Forty percent (for scooters) is possible in the next 2-3 years and the market is clearly going to grow. It is not growing by or driven by one segment, the entire industry is growing, hence this segment is getting big,” adds Haldar.
The segment in which the Ntorq is being introduced is largely targeted at first-time buyers and Haldar is confident that the scooters could accommodate 50 percent of the overall two-wheeler market, considering the fact that it allures consumers in spite of age, sex and region (urban or rural). He forecasts, “By 2020, it is expected to be 40 percent.” When prodded at a possible number of first-time buyers who would lean towards this segment of scooters, Haldar gave a tentative figure of around 25-55 percent.
Aniruddha Haldar, who also handles the commuter segment at TVS, elaborates on his strategy, “It is about understanding the needs of the consumer and being able to really get honed on it. So, we are specialising not in terms of format, but in terms of consumers. We understand them and we are able to give them an option that works for them.” With a constant drop in the cost of technology, the distinction between a motorcycle and a scooter is getting blurred.
With the segment growing through the presence of other players, Haldar is completely banking on delivering a total value proposition through the Ntorq. Whether it becomes the talk of the town, only time will tell.