Hero MotoCorp: Hero MotoCorp. the world’s no. 1 two wheeler company has posted growth of 18.60% in the month of August 2011 compared to August 2010. The company has sold 5,03,654 units of two wheeler in the month of August 2011 compared to 4,27,657 units of two wheeler sold in the month of August 2010. The company is back on track of 5 lakh plus sales after less than five lakhs units last month. On the month on month basis the sales is up by 2.57%. The company sold 4,91,036 units in the month of July 2011. Hero Honda Pleasure is continuously crossing 35,000 units a month mark. The company has reported sales of 25,24,227 units for the period of April to August 2011 up by 20.99% compared to 20,86,342 units during the same period last year.
Anil Dua, senior vice-president (marketing & sales), Hero Moto Corp, said, The August sales performance has set the pace for the exciting festive season ahead of us as we look to ride our present buoyancy. The company has recieved a good response to its new brand identity, global logo and campaign it adopted earlier in August. The company adopted the new identity after it parted ways with its joint venture (JV) partner Honda in December.
He also added ” We created a new name, identity and positioning, and have begun to build the company’s new brand architecture. This (cumulative sales) has set the company well on course to meet the initial guidance of six million volume sales in the fiscal year 2011-12.”
It seems that the company will achieve its 6.15 million units sales target for this year but the growth rate is coming down due to high base effect of last year.
Bajaj Auto
Country’s second largest two wheeler maker, Bajaj Auto has reported growth of 16.90% in the month of August 2011. The company has sold 3,38,054 units of motorcycle in the month of August 2011 compared to 2,89,176 units in the month of August 2010. This is by far company’s highest ever monthly sales for August month. The company exported 1,38,225 units in the month of August 2011 up by 40.22% compared to 98,578 units in the month of August 2010.
On the month on month basis sales is up by 6.27%. The company sold 3,18,095 units in the month of July 2011. The company’s total sales stood at 3,83,739 units in the month of August 2011 up by 16.21% compared to 3,29,364 units in the month of August 2010. Pulsar and Discover combined sales stood at 65% of overall motorcycle sales of August 2011. The company sold 87,500 Pulsar and 1,30,000 Discover. In the first month of its launch Boxer BM 150 did over 9,000 units. The company has sold 16,19,200 units of two wheeler during April to August 2011 period up by 15.88% compared to 13,97,348 units sold during the same period last year.
The company is aiming to sale 4.6 million units in this financial year with 4.1 million units of motorcycle. The company is aiming to sale over a million units of Pulsars and 1.7 million units of Discover in the financial year 2011-12. The company aims to sell 20,000 units of Boxer in the next month and 30,000 in the next to next month. It aims to sale 300,000 units of boxer for the financial year 2011-12.
TVS Motors
TVS Motors has posted growth of 13.81% in the month of August 2011. The company has sold 1,90,184 units in the month of August 2011 compared to 1,67,109 units sold in the month of August 2010. Total sales stood at 1,94,898 units in the month of August 2011 up by 14.15% compared to 1,70,735 units sold in the same period last year. On the month on basis the company’s sales is up by 1.88%. The company has sold 1,86,672 units of two wheeler in the month of July 2011.
Domestic sales stood at 1,63,705 units in the month of August 2011 up by 10.55% compared to 1,48,081 units sold in the month of August 2010. Export stood at 29,984 units in the month of August 2011 up by 48.11% compared to 20,245 units sold in August 2010. The company sold 52,253 units of scooter in the month of August 2011 up by 27.72% compared to 40,913 units of scooter sold in the month of August 2010. Motorcycle sales stood at 77,726 units in the month of August 2011 up by 16.75% compared to 66,574 units sold in the month of August 2010. Moped sales stood at 60,205 units in the month of August 2011. The company has sold 9,01,653 units during April 2011 to August 2011 period up by 14.67% compared to 7,86,526 units in the same period last year.
TVS Motors motorcycle sale is stagnating now. The company is pushing well on moped front. The company is also bullish on export front and exploring new opportunities to expand its export market. The company has set goal of selling 2.4 million units in this financial year.HMSIIndia’s largest scooter manufacturing company Honda Motorcycle & Scooter India Ltd reported sales growth of 21.40% in the month of August 2011. The company reported sales of 1,60,666 units in the month of August 2011 compared to 1,32,337 units in the August 2010. On month on month basis the company’s sales is up by 5.44%. The company sold 1,52,382 units in the month of July 2011.
Motorcycle sale is up by 8.64% in the month of August 2011. The company sold 61,562 units in the month of August 2011 compared to 56,666 units in the month of August 2010. On the other hand Scooter sale is up by 30.97%. The company sold 99,104 units of scooter in the month of August 2011 compared to 75,671 units in the month of August 2010. The company has sold 7,44,337 units during the April 2011 to August 2011 period up by 7.64% compared to 6,91,479 units sold in the same period last year.
As expected sales is increasing on the month on month basis now. Scooter number for HMSI has started growing at 30% rate from this month which suggests improvement in capacity constraint. It will matter of time that it will cross TVS Motors and will have tag of third largest manufacturer of India. Beside this company is planning to expand it’s capacity to 4 million units by mid 2013.
Yamaha India
Yamaha India has reported sales growth of 29.64% in the month of August 2011 compared to August 2010. Total sales stood at 39,490 units in the month of August 2011 compared to 30,461 units last year in the same period. The company reported month on month basis sales is up by 3.39%. The company sold 38,197 units in the July 2011. Domestic sales stood at 29,934 units in the month of August 2011 up by 31.97% compared to 22,683 units in the month of August 2010. Export stood at 9,556 units in the month of August 2011 up by 22.86% compared to 7,829 units in the month of August 2010. During April to August 2011 the company sold 1,87,570 units up by 35.58% compared to 1,38,345 units sold in the same period last year.
“We are very happy with our consistent sales growth this year built on account of our strong product portfolio and high customer confidence achieved through many of our marketing initiatives including the Yamaha Safe Riding Science (YSRS) and the R15 One Make Race Championship,” India Yamaha Motor National Business Head Roy Kurian said
The company is aiming to sell 5,00,000 units in this financial year with 3,50,000 units of domestic sales and 1,50,000 units of export. The company is also planning to launch scooter in this year.
Suzuki Motorcycle
Suzuki Motorcycle India reported massive growth of 39.12% in the month of August 2011 compared to August 2010. The company’s total sales stood at 26,897 units in the month of August 2011 compared to 19,334 units in the month of August 2010. Month on month basis the company has reported 0.71 % de-growth in sales. The company sold 27,088 units in the month of July 2011. During the April 2011 to August 2011 the company sold 1,38,943 units up by 41.43% compared to 98,245 units in the same period last year.
Commenting on August month sales SMIPL Vice-President (Sales and Marketing) Atul Gupta said “We have received a very good response from the market to all our products. The growing customer satisfaction among present owners of Suzuki products has led to a positive word-of-mouth in the market.’’
Suzuki Motorcycle is the fastest growing two wheeler company in India now.
Mahindra Two wheelers
Two wheeler company Mahindra two wheeler reported flat growth of 0.15% in the month of August 2011 compared to August 2010. Total sales stood at 15,120 units in the month of August 2011 compared to 15,097 units in the month of August 2010. The company is going to re-launch Sattalio within few months. Month on Month basis the company’s sales is up by 16.02%. The company sold 13,012 units last month. During the April to August 2011 period the company reported sales of 60,348 units up by 10.95% compared to sales of 54,388 units in the same month last year. The cumulative sales for the company have crossed a landmark figure of two and a half lakh units, with the Rodeo and Duro brands have crossed a figure of 1,00,000 units.
Commenting on August month sale Mr. Anoop Mathur, President – Two Wheeler Sector and Member of the Group Executive Board said “We are witnessing higher growth momentum on the back of increasing consumer preference for our scooter brands in many key markets across the country.”
As said earlier the company is reporting flat growth rate in upcoming month as the demand for scooter is slowing down compared to previous month. Moreover market leader HMSI has increased Activa production which is also taking some unit sales of Mahindra two wheelers. On month on month basis the company is growing fast.
Summary
The Indian two wheeler industry’s growth rate remain intact in the month of August despite the impact of so many negative factors like fuel price hike, increase in prices of two wheelers etc. The August 2011 month has seen sales of more than 1.27 million units up by 18.17% compared to 1.08 million units sold in August 2010. The period April 2011 to August 2011 has witnessed growth of 17.59% over the same period last year. More than 6.18 million units of two wheelers sold during the period of April 2011 to August 2011 compared to 5.25 million units in the same period last year.
Hero Moto Corp the market leader is continuously posting double digit growth with robust sales each month. It has done 2.52 million units sales in the current financial year. Bajaj Auto the second largest manufacturer of two wheelers has sold 1.62 million units in the current financial year.
TVS Motors has sold more than 0.9 million units whereas HMSI sales stood at 0.74 million units during April 2011 to August 2011 period. Yamaha India, Suzuki Motorcycle and Mahindra two wheelers sold 0.18 million, 0.14 million and 0.06 million units respectively during the period of April 2011 to August 2011. Going ahead we will continuously have double digit growth in two wheeler industry despite fuel price hike and rising price of two wheelers as there are several new product launches in pipeline for next 6 month.
– Mahavir Kothari
Source: There is no specific source. The above data is collected from various sources like company press release, websites and newspapers.
