A company operating in the Indian bike market can do only a few things to increase its sales and market position, such as manufacturing low cost bikes, signing up famous brand ambassadors and improving the fuel economy of their products. Japanese bike maker Yamaha seems to be going for the third option and it hopes to increase its market share by launching more fuel efficient bikes, thereby increasing its stronghold in India.
The market for two wheelers in India is dominated by firms like Hero MotoCorp, Bajaj Auto and Honda Motorcycle and Scooter India (HMSI). Industry experts feel that one of the main reasons for their success is a product line that includes models with high fuel economies. Understanding the mentality of the Indian buyer is absolutely critical and there are a couple of factors that seal the deal for him/her. First and the foremost is the price of a product, which, on most occasions, is the deal maker or breaker.
Second, and almost an equally important factor is the fuel economy of a bike, which facilitate high sales of a bike. A large population of Indians ride bikes and there is a space for innumerable companies to coexist, given they sell the right kind of products. The Managing Director of Yamaha Motor Research, Toshikazu Kobayashi, spoke about the same, and said, "Fuel economy of course is a key factor that influences the buying behaviour of the Indian customer across segments. Hence, we are investing our resources in innovations in fuel economy technologies across segments. Going forward, you may expect us to launch new models of two-wheelers with more fuel efficient technology in Indian market which provide best in class mileage as well as cleaner air to our customers."
Yamaha recently launched the FI versions of FZ and FZ-S, fuel efficient versions, of its popular bikes and hopes to continue doing the same by introducing a new variant of the Fazer as well. Industry experts feel that though it would be tough for Yamaha to compete with the likes of Bajaj Auto, Hero MotoCorp and Honda, the attempt to launch fuel efficient products is likely to pay off in the long run.
