Autocar Professional exclusively reports that Royal Enfield plans to reinforce its ‘Classic’ branded portfolio with multiple interventions in FY25 across price points and form factors.
23 Apr 2024 | 10672 Views | By Ketan Thakkar
Led by the most aggressive product onslaught in its history of over 6-9 new models in FY25, Royal Enfield, the world's largest mid-size motorcycle maker has set a target to cross 1 million units sales for the first time ever this year.
Autocar Professionallearns that the company ...
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Led by the most aggressive product onslaught in its history of over 6-9 new models in FY25, Royal Enfield, the world's largest mid-size motorcycle maker has set a target to cross 1 million units sales for the first time ever this year.
Autocar Professional learns that the company has lined up an investment of Rs 1200 crore to Rs 1400 crore in the current financial year as part of its business plan for FY25. The investment will go into boosting its product portfolio, R&D and other capabilities in order to ensure that the company continues to hold on to its predominant share in the Indian market.
It plans to sell 1.03 million units globally in FY25 which would lead to a growth of over 12-15% in the current financial year. The domestic sales target is around 9.4 lakh units, whereas international sales, which witnessed severe headwinds last financial year, are again being targeted to bolster growth with volumes of around 75000 to 90000 units.
An email sent to Royal Enfield seeking an official statement did not elicit any response till the time of publishing.
Royal Enfield has held on to its market share in the growing Indian motorcycle market in a year that saw big global entrants such as Harley Davidson and Triumph. The company retained its share in the overall two wheeler space with a share of 4.64% and it retained a whopping share of 88% in 250 cc to 800 cc segment in the country with a sales of 8.34 lakh units.
Royal Enfield will be looking at reigniting its Classic motorcycle portfolio - which will witness a major intervention for the first time in its new generation J platform. There are products lined up right from 350 cc to 440 cubic capacities, 450 cc to 650 cc engine platforms.
Autocar Professional had exclusively reported in April that Royal Enfield will be launching 5 all new brands – Goan Classic 350, Scram 440, Guerilla 450, Interceptor Bear 650 and Classic 650 – then there will be major model intervention on the Classic 350 – with its J platform maturing well. There will also be some variant interventions on the Classic, Hunter and Meteor.
Royal Enfield’s portfolio includes ten models – the Bullet 350, Classic 350, Hunter 350, Meteor 350, the 411cc-engine powered Scram 411 and Himalayan adventure bikes, the 650cc twins (Interceptor 650, Continental GT 650), the Super Meteor 650 and Shotgun 650.
This would lead to a product portfolio expansion of almost 50% in the coming year.
Sources say that the company is clearly flexing its muscles - by leveraging multiple products and engine architectures to create different form factors and design. It is building its geographical reach in the country which is already over 1800 to 2000 touch points strong and it continues to build a network of vehicle assembly bases globally to build volumes.
The focus is also moving beyond products to lifecycle ownership - right from apparels and accessories to the aftermarket, resorting to moves like assured buyback which is well supported by the organised used vehicle program called ReOwn. Plus, the company has also got into rental space to ensure that the brand Royal Enfield is experienced across the value chain.