Post break-up, Honda Motorcycle and Scooter India (HMSI) is charting out a three-pronged strategy to overtake former partner Hero Honda as the leading two-wheeler maker in India. The plans include introducing a mass market 100cc motorcycle, ramping up its sales network and India focussed R&D.
For the 100cc motorcycle, HMSI said that it could consider using the 100cc engine technology that it supplied to former partner Hero Honda's models Splendor+ and Passion Pro.
“Our target in next decade is to be number one in India...For the first time we will introduce a mass segment motorcycle in 100cc category,” HMSI President and CEO Mr Shinji Aoyama said.
“For a while we will concentrate on introducing mass models in Indian market. Will introduce the 100cc bike in the next year...It is currently under development,” he added.
Mr Aoyama was speaking at an event to announce that Mr Keita Muramatsu will take over as President and Chief Executive Officer from next month. He said that after the split with Hero Honda, HMSI's R&D will focus more on India-specific products.
At present HMSI's R&D in India has been focusing mainly on styling and designing and market research. HMSI will also launch “couple of more” products in the mass segment, Mr Aoyama added.
HMSI also plans to significantly ramp up its sales network. “Combining with service network, we currently have about 1,200 outlets compared to about 4,000 of Hero Honda and 3,000 of Bajaj... Next year, we want to increase our numbers to 1,500 outlets,” said Mr Aoyama.
He added that with the introduction of more commuter segment bike, the contribution of motorcycles to its overall sales will surpass the scooters within the next two years.
“In this fiscal it will be 55 per cent scooters and 45 per cent motorcycles. In the next fiscal also, scooter sales will be more,” said Mr Aoyama.
The company will continue to introduce more products under the gear-less scooter segment, in which it is currently the market leader, he said.