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Hero Moto Corp has been steadily increasing market share in the scooter segment as Honda's share in the same segment has been steadily dropping.
The Society of Indian Automobile Manufacturers has revealed the quarterly figures of Hero and Honda. Hero's market share has increased from 15.9% in the June quarter to 20.6% in the December quarter. Honda's share has fallen from 52% to 44.8% in the same period. These market share figures are for the Scooter segment only. Honda share has been falling from November last year. In January Hero's share has increased to 21.3%, while Honda's share fell further to 43.93%.
Honda claims that this reduction in market share is not because of a fall in demand, but due to the inability of Honda to meet the production demand. This excess demand vs supply is what is causing Honda its market share. To compound its problems new entrants like Yamaha have also entered the fray, eating into the market share of Honda.
Hero attributes its success to the new Maestro. Earlier it had just one scooter the Pleasure, but with the addition of the Maestro, the sales of scooters has gone up by 33%.
While Hero is steadily working its way up in the scooter segment, Honda is busy capturing the 125-150cc segment! Honda's sales went up by 60% while Hero's sales crashed by 43%. Honda sold 190790 units while Hero sold 128948 units.
Honda plans to close the gap to market leader Hero by introducing core products at aggressive price points to increase consumer base in the country. It has targeted 10 million units by 2020.
Source: Hero challenges Honda's scooter dominance | Business Standard
The Society of Indian Automobile Manufacturers has revealed the quarterly figures of Hero and Honda. Hero's market share has increased from 15.9% in the June quarter to 20.6% in the December quarter. Honda's share has fallen from 52% to 44.8% in the same period. These market share figures are for the Scooter segment only. Honda share has been falling from November last year. In January Hero's share has increased to 21.3%, while Honda's share fell further to 43.93%.
Honda claims that this reduction in market share is not because of a fall in demand, but due to the inability of Honda to meet the production demand. This excess demand vs supply is what is causing Honda its market share. To compound its problems new entrants like Yamaha have also entered the fray, eating into the market share of Honda.
Hero attributes its success to the new Maestro. Earlier it had just one scooter the Pleasure, but with the addition of the Maestro, the sales of scooters has gone up by 33%.
While Hero is steadily working its way up in the scooter segment, Honda is busy capturing the 125-150cc segment! Honda's sales went up by 60% while Hero's sales crashed by 43%. Honda sold 190790 units while Hero sold 128948 units.
Honda plans to close the gap to market leader Hero by introducing core products at aggressive price points to increase consumer base in the country. It has targeted 10 million units by 2020.
Source: Hero challenges Honda's scooter dominance | Business Standard
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