Bajaj-Triumph partnership has the potential to be one major breakthrough in the motorcycling world…New details have emerged
When Rajiv Bajaj announced at the recently held company’s Annual General Meeting last month that they are very close to forging an alliance without divulging the name of the other party, it was a widespread belief that it will be Ducati. However, in a simple press release Bajaj surprised everyone by announcing a strategic partnership with Triumph Motorcycles… yes, the iconic Triumph of UK!
Bajaj-Triumph Partnership – Key Pointers
- This is a NON-EQUITY partnership which probably means that there is no money involved. It will be a basic understanding between two manufacturers to leverage each others strengths and in the process grow together.
- It will enable Triumph to expand its reach to high volume markets specially the emerging markets of the world (through Bajaj).
- Bajaj will have access to Triumph, its motorcycles and though it is not specifically said, but also the technology of the Brit manufacturer!
- Here comes the most important term – ‘mid-capacity‘! The partnership will deliver a (new) range of mid-capacity motorcycles for respective markets (whichever either of the manufacturers are eyeing). Bajaj does not have a motorcycle bigger than Dominar 400 whereas Triumph mostly plays in the higher segment.
Expect a new range of 250-300 cc to about 700-800 cc motorcycles from the joint venture.
Triumph planned 250cc single motorcycles Daytona 250, Street Single but the idea was dropped back in 2015 without presenting a reason. It is natural to expect this partnership to spawn something on similar lines.
- However, Paul Stroud (Chief Commercial Officer at Triumph) says, that motorcycles they are developing in conjunction with Bajaj will be “much more mid-capacity”. In simpler terms this is a clarification that both these partners are looking at around 400 cc (more aptly 500 cc) to 700-800 cc. MCN expects it to be a near-750 cc bang in the region of the upcoming Royal Enfield twin.
- Paul also elaborates that their idea is to take Triumph motorcycles, with the products emanating out of this partnership, to a completely new set of customers which is not possible at this point of time.
- The motorcycles resulting from this partnership will be sold all over the world including UK.
- However, Triumph is NOT only eyeing the developed markets and instead they have clarified that they want to have a piece of the growing mid-capacity motorcycle market of India.
- Bajaj and Triumph were under discussions for a partnership since the last six months.
- The first motorcycle will take around 2-3 years to be launch ready which means expect the first fruits by around 2020.
- Design and engineering of the product(s) will be done by Triumph whereas the motorcycles will be manufactured by Bajaj in India.
- The most important point – The motorcycle(s) will be sold under Triumph’s badge and NOT Bajaj’s. NDTV says that currently their sources indicate that Bajaj may NOT be able to sell Bajaj-badged motorcycles emanating from this partnership.
In simpler terms, this could be very similar to BMW and TVS alliance wherein BMW is leveraging TVS’ low-cost manufacturing benefits along with widespread network whereas TVS is gaining a lot of technological benefits from the Germans!
So, a lot is cooking and this is indeed one of the best news you would hear all this week. With this we await more details to trickle in…