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Updated : Mar 19, 2018, 03:00 AM IST
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Japanese two-wheeler makers are expected to benefit the most from the buoyancy in the scooter segment at a time when sales in the overall two-wheeler market (which includes motorcycles and mopeds) remain flat.
According to the Society of Indian Automobile Manufacturers data, scooter sales at 5,27,367 have grown almost 14% on-year in the first two months of the current fiscal. Last fiscal, 29,23,401 units of scooters were sold, witnessing a growth of 14.24% compared to FY12, while motorcycle sales grew just 0.12%.
Scooters currently account for 21% of the overall two-wheeler sales, while motorcycles contribute 74% of the industry sales.
Honda Motorcycle and Scooter India (HMSI), which is already the market leader in the scooter segment with a market share of 49%, is expected to retain its lead on the back of planned new launches in the segment.
Similarly, Suzuki Motorcycles, also from Japan, offers a slew of scooters and has a market share of 11%.
Yamaha India, another Japanese manufacturer, is increasing its product range in the gearless scooter category. It recently launched the Ray Z targeting male customers.
It had sold 70,000 units of the Ray by April-end since its launch last year and is hoping to increase its 2% scooter market share (as at March-end) with the launch of the Ray Z.
Experts believe that Indian original equipment manufacturers (OEMs), however, are at a disadvantage due to their limited presence in scooters.
For instance, Hero Motocorp’s overall two-wheeler market share is at 43%, but it has only a 19% share of the scooter segment.
Similarly, Bajaj Auto has an overall market share of 18%, but it is not present in the scooter segment.
”We expect scooters to gain share from executive segment motorbikes. As Hero and Bajaj Auto have a limited presence in the scooter segment, we believe that the Japanese OEMs will benefit,” wrote Aditya Makharia, analyst with JP Morgan in a note.
According to experts, India currently has low penetration of scooters compared to other countries, which gives further scope for scooter market expansion.
