TVS Motor Company will launch a single-spark 125cc Flame in March even while the legal tug-of-war with Bajaj Auto continues on the twin-spark version. Run-up to Budget 2008-09. The bike will be rolled out across the country and not confined to a single metro. The company had earlier targeted Chennai as the first market for the twin-spark version in December.
Venu Srinivasan, chairman and managing director, TVS Motor, told that the company would also launch the fuel-injected Apache and the three-wheeler in March. The electric scooter, which has already been launched in Gujarat, will be available across the country in 2008-09. However, it is the Flame that TVS Motor is banking on for volumes and to make a significant impact in the executive segment, which is the mainstay of Hero Honda today.
In the process, it hopes that the bike will take up a substantial chunk of its motorcycle portfolio during 2008-09. At present, the company’s entry segment model, Star, accounts for nearly 80 per cent of its bike sales, but the margins are really little to write home about. This is understandable given that it is priced in the region of Rs 35,000. In contrast, the Flame, which will be closer to the Rs 46,000-mark, will clearly be a bigger money spinner.
“We believe that it has the potential to do good numbers, and ideally, take up over 35 per cent of our bike range. This is the only three-valve bike based on patented AVL technology licensed to TVS,” Srinivasan said.
In terms of price and features, it will be part of the segment now occupied by the Super Splendor, Gladiator, Shine etc. The entry-level executive segment, where the Splendor (and the slightly dearer Passion) rules the roost is the one that posts the big numbers. It is here that Bajaj Auto’s 125cc XCD has been slotted with an intention of weaning customers away from 100cc bikes.
Srinivasan said that TVS would launch more products in 2008-09, including two new bikes and a completely restyled Scooty. Two-wheeler sales have been hit by the economic slowdown and tight financing norms. Barring Hero Honda, other players have had a hard time and this could well continue next fiscal till Diwali when a turnaround is expected. As for its Indonesia project for the Neo step-thru, TVS has targeted sales of 60,000 units this calendar. Plans are also under way to expand its presence in the Asean region by setting up assembly units in Thailand, Vietnam and the Philippines.
Venu Srinivasan, chairman and managing director, TVS Motor, told that the company would also launch the fuel-injected Apache and the three-wheeler in March. The electric scooter, which has already been launched in Gujarat, will be available across the country in 2008-09. However, it is the Flame that TVS Motor is banking on for volumes and to make a significant impact in the executive segment, which is the mainstay of Hero Honda today.
In the process, it hopes that the bike will take up a substantial chunk of its motorcycle portfolio during 2008-09. At present, the company’s entry segment model, Star, accounts for nearly 80 per cent of its bike sales, but the margins are really little to write home about. This is understandable given that it is priced in the region of Rs 35,000. In contrast, the Flame, which will be closer to the Rs 46,000-mark, will clearly be a bigger money spinner.
“We believe that it has the potential to do good numbers, and ideally, take up over 35 per cent of our bike range. This is the only three-valve bike based on patented AVL technology licensed to TVS,” Srinivasan said.
In terms of price and features, it will be part of the segment now occupied by the Super Splendor, Gladiator, Shine etc. The entry-level executive segment, where the Splendor (and the slightly dearer Passion) rules the roost is the one that posts the big numbers. It is here that Bajaj Auto’s 125cc XCD has been slotted with an intention of weaning customers away from 100cc bikes.
Srinivasan said that TVS would launch more products in 2008-09, including two new bikes and a completely restyled Scooty. Two-wheeler sales have been hit by the economic slowdown and tight financing norms. Barring Hero Honda, other players have had a hard time and this could well continue next fiscal till Diwali when a turnaround is expected. As for its Indonesia project for the Neo step-thru, TVS has targeted sales of 60,000 units this calendar. Plans are also under way to expand its presence in the Asean region by setting up assembly units in Thailand, Vietnam and the Philippines.
- Sify Finance
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