Honda drives scooterization of India, fastest growth in automatic scooter industry is now coming from motorcycle dominated states
New Delhi, October 17, 2016
New Delhi, 17 October 2016 – Creating a new milestone Honda Motorcycle & Scooter India Pvt. Ltd. (HMSI) is now No. 1 selling 2Wheeler brand across 11 States and 2 Union Territory across India as per latest sales figures provided by Society of Indian Automobile Manufacturers (SIAM) for first quarter of FY’2015-16. These markets together contribute an overwhelming 33% to all India industry.
Speaking on the evolution of Indian industry, Mr. Keita Muramatsu, President & CEO, Honda Motorcycle & Scooter India, said, “In the first quarter of FY’2015-16, Honda grew 50% faster than the industry at 22%. Honda 2Wheeler is now the ‘Most preferred 2-wheeler brand’ in 11 States and 2 Union Territories. Introduction of Activa 15 years ago brought the revolution of scooterization to India. Today, Activa is the No. 1 selling two-wheeler in India. What is most significant that customers in traditionally motorcycle driven states of India are now opting for scooters like never before.”
Speaking on the growing penetration of Honda 2Wheelers in India, Mr. Yadvinder Singh Guleria, Senior Vice President – Sales & Marketing, Honda Motorcycle & Scooter India, said, “Honda’s success story is a result of launch of quality products across segments, aggressive network and capacity expansion along with innovative high scale 360 degree marketing thrust to connect with customers in India. With this, Honda is for the first time ever ensuring ready availability of all its models including Activa throughout the festive season right up to its last mile rural network. Overall, led by festive buying, Honda aims to achieve its highest ever festival months sale.”
Honda 2Wheelers = No. 1 in 11 states and 2 UTs of India which contribute 33% to industry
Increasing preference for Honda 2Wheelers made Honda Wings - the ‘No. 1 selling two-wheeler brand’ in 11 States (Maharashtra, Karnataka, Gujarat, Kerala, Punjab, Delhi, Himachal Pradesh, Goa, Manipur, Nagaland, Arunachal Pradesh) and 2 Union Territories (Chandigarh, Andaman & Nicobar Islands).
Compared to its all-India market share of 27%, Honda’s total market share is over 50% in Chandigarh, Goa, Manipur; over 40% in Maharashtra, Gujarat, Arunachal Pradesh, Andaman & Nicobar Islands; over 30% in Punjab, Karnataka, Kerala, Himachal Pradesh, Jammu & Kashmir, Nagaland.
Growing faster than industry, Honda increases market share in 19 States and 2 UTs
Honda is growing faster than two-wheeler industry in 19 states and 2 union territories of India.
Key states of market share gains for Honda include:
5% market share gain in Chandigarh;
4% market share gain in Uttar Pradesh, Maharashtra and Rajasthan;
3% market share gain in Haryana, Madhya Pradesh, Assam;
2% market share gain in Gujarat, Punjab, Jharkhand, Odisha;
1% market share gain in West Bengal, Goa.
Scooterization – the next evolution of Industry
The biggest trend emerging is the increased scooterization of two-wheeler industry. Driving the increasing acceptability of scooters in India is Honda 2Wheelers - the clear leader with 58% market share in automatic scooter segment.
Honda’s market share in automatic scooter is as high as 89% in Chandigarh, over 70% in Andhra Pradesh, over 60% in Maharashtra, Rajasthan, Jharkhand, Chhattisgarh, Punjab, Uttar Pradesh, Gujarat.
Scooter segment fastest growing in 21 states and 1 UT
As per latest Q1, 2016 state wise data released by SIAM, automatic scooter segment is growing faster than the two-wheeler industry in 21 states and 1 UT.
This includes Uttar Pradesh, Maharashtra, Rajasthan, Andhra Pradesh, Karnataka, Tamil Nadu, Punjab, Assam, Bihar, Jharkhand, Odisha, Madhya Pradesh, Chhattisgarh, Delhi, Haryana, J&K, Telengana, Tripura, Nagaland, Manipur, Mizoram, Andaman & Nicobar.
Higher GDP states are first adopters of automatic scooters…
Interestingly, scooter contribution to overall industry is higher in higher GDP states where better road infrastructure coupled with more females joining the work-force are driving demand for convenient, unisex mobility that automatic scooter provide.
Automatic scooter segment contribution to total state industry is as follows:
Over 50% -> Kerala (63%), Goa (74%), Chandigarh (52%), Nagaland (52%), Andaman (50%), Himachal Pradesh (50%),
40% - 50% -> Delhi, J&K, Punjab, Maharashtra, Gujarat, Karnataka, Arunachal
30% - 40% -> Haryana, Assam, Andhra Pradesh, Tamil Nadu
20% - 30% -> Odisha, W Bengal, Madhya Pradesh, Chhattisgarh, Rajasthan
10% - 20% -> Uttar Pradesh, Uttarakhand, Jharkhand
…But fastest growth in scooterization is coming from motorcycle dominated states
While early adopter states are seeing high contribution of scooters to total two-wheeler sales, it is the historically motorcycle dominated states which are registering the fastest growth in scooter sales.
Automatic scooter segment contribution to total industry has risen drastically as follows: Over 5%: Tripura, Haryana, Rajasthan
4% - 5%: Punjab, UP, Chattisgarh, Maharashtra
3% - 4%: Jharkhand, Odisha, Madhya Pradesh
2% - 3%: Assam, Bihar, Andhra Pradesh, Karnataka,
1% : Delhi, Telengana
Festive plans of Honda
The positivity in the economy led by 7th Central Pay Commission, One Rank One Pension (OROP) disbursements and favourable monsoon has translated to a robust return of demand for two-wheelers in this festive period.
And to make this festive time more joyful, Honda 2Wheelers India has announced various benefits to its valued customers till October 31, 2016. These include:
For more information, contact:
Public Relations Dept, HMSI: firstname.lastname@example.org