Bajaj Auto Targets Becoming a Global Leader!!
Snapshot: The Pune Based Firm shifts focus from cheap Commuters to Global Dominance!!!
What has constantly differentiated Bajaj Auto from its competitors, is the company's ability to take on challenges thought to be beyond their limits and then it just goes on can achieves those milestones as if it was a walk in the park for it. When the Indian motorcycle market was full of 100cc commuters and the passionate riders suffocated in an absolute lack of fun and performance oriented motorcycles, Bajaj brought the Pulsar series and the Indian Motorcycle industry was never the same again. Bajaj has had its fair share of quality issues in past but its absolute dedication for bringing innovative technologies to the Indian market have paid well as now Bajaj stands tall with pride with products like the incredible Pulsar 200NS, build with immaculate quality and technology.
From late 90's to almost whole of last decade was owned by Bajaj Auto with its host of new launches and introduction of sporty affordable motorcycles in the country, however, last couple or so years have brought in a lull in the sales growth of the company with the market share faltering to 18 percent from the once 24 percent. Even as rivals Honda and TVS have managed to surpass Bajaj in recent times and are penetrating even further in the pune based firm market share, the company is certain about its plans for the future and want to go past price wars by not offering cheap commuters. Instead, the Pune based manufacturer plans to specialize in the niche segment, while volumes will make a comeback with the new commuter and sporty launches planned for 2015.
What is interesting in Bajaj Auto's future planning is of global proportions and the long term plans are more than just a dominant market share. The company wants to be recognized as a global motorcycle maker representing India proudly among the major players in the space. So much has been Bajaj's dedication to the motorcycle market that in a bid to concentrate on motorcycles, the manufacturer completely ignored the scooter market that has been growing exponentially in the recent year or two. While many would suggest it to be bad decision on Bajaj’s part, the company remains calm, as it plans to concentrate on one segment at a time. Bajaj Auto is targeting a sale of 32,50,000 motorcycles and 4,50,000 commercial vehicles by FY2020, which would mean doubling its market share from 16,21,000 motorcycles expected to be sold this year.
Add to all this, the way Bajaj has been steadily expanding its global base is a clear indication that it is eyeing to capture a significant chunk of market share not only in the commuter space but in the middle-weight category as well. The company stated that every third KTM bike sold globally is made in India with 65,000 bikes to be shipped this year to developed markets like the US, UK, Europe, Australia and Japan. Having already achieved a higher market share in countries like Nigeria, Egypt and Sri Lanka, despite the entry of Indian two-wheeler makers in these markets.
Bajaj is also confident in the potential to grow in Africa, Latin America and other parts of Asia as well as Middle East wherein the company has a 24 percent market share, as compared to the 3 percent market share owned by other Indian companies. With these markets moving towards high capacity yet affordable bikes, the company has its range of offerings that will serve the region much effectively over the competition. The year will see Bajaj launch a slew of new Pulsars including 160 NS, 200 SS which is launching soon and 400 SS, while the new Discover 125 and 100cc Platina which will be launched next month, could be launched under two new brand names.
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