Click it and Unblock the Notifications
Hero To Develop Low Cost Bikes At Under 30K
Pawan Munjal, Managing Director of Hero MotoCorp said: “We believe that there is a very large mass of customers in that segment — at the bottom of the pyramid. We’re working on trying to come up with something, but it’s not easy with the way costs are going up. But, we will have something. We’ll be looking at prices which are much lower than where we currently are, otherwise it makes no sense.”
“The market is for people who don’t have any (personal) transport at all. It’s easy to make something like a moped, but does that serve your purpose. A moped is not as successful in this country since it is not rugged and sturdy as per the usage our consumers — the kind of loading patterns and driving habits. We have to have a real motorcycle.”
Competition at the entry-level segment has never been less with both Hero Motocorp and Bajaj Auto having their low-price vehicles, Hero Dawn and the Bajaj Platina respectively. The Bajaj BYK 100 was a result of the war at the entry-level segment with a price of about Rs 30,000 though the bike did not live up to the expectations of the company. The main reason for companies refraining from sub Rs 30,000 segment was the high production costs.
Meanwhile, TVS Motors is also reportedly entering the entry-level segment making the competition tougher. With these companies entering the low-cost segment, buyers could expect a choice of vehicles at affordable prices.
Continue with Google