Two-wheeler manufacturing majors Hero MotoCorp Ltd (HMCL) and Bajaj Auto Ltd (BAL) on Monday reported a marginal growth in their sales in May.
While HMCL recorded sales of 5,57,890 units in May 2013 compared with 5,56,644 units in May 2012, BAL sold 2,12,129 units (2,06,751 units). However, Bajaj’s overall sales (including exports) dropped 5 per cent to 3,04,780 (3,21,922).
But, for HMCL, it was an all-time high despatch sales for any month as well as the highest-ever retail sales for any non-festival period, the company said. “The demand momentum that we had seen on our product range in April continued in May as well, helping us achieve over 1.1 million retail sales in the two-month period,” said Anil Dua, Senior Vice-President - Marketing & Sales, HMCL. The company said its retail off-take has been helped by its new product range and the recently introduced five-year warranty on its entire portfolio. It has announced plans to offer a warranty for five years or 70,000 km on motorcycles, whichever is earlier, and five years or 50,000 km on scooters, whichever is earlier.
Retail finance arm
Hero has also launched its own retail finance arm, Hero FinCorp, in Delhi, which will be extended to 450 dealerships across India by March 2015.
“Going forward, with forecast of a normal monsoon, we expect sentiments to be good, thus helping us sustain the current momentum,” Dua added.
The company made a foray into new international markets in May by entering Central America and launching its range of two-wheelers in Guatemala, El Salvador and Honduras.