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Bajaj planning to launch a new 100 cc entry level bike to take on Hero

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  • Bajaj planning to launch a new 100 cc entry level bike to take on Hero

    Source: The Economic Times

    Bajaj Readying for Ride on Hero’s Turf…
    Blueprinting a 100 cc entry-level bike to take on best-selling Splendor and Passion
    LIJEE PHILIP & KETAN THAKKAR MUMBAI



    Bajaj Auto is close to launching a third 100 cc bike — in addition to the Discover and Platina — to take on Hero MotoCorp's bread and butter products, the Splendor and the Passion, as well as Honda's new model at the entry level, the 110 cc Dream Yuga. Codenamed D-104, the bike is slated for launch in October-November and is expected to be aggressively priced at around . 40,000, a tad lower than its 100 cc and 110 cc rivals.

    People close to the development say the new product’s unique selling proposition will be latest technology at an affordable price. They add that the soon-to-be-launched model will have features that are not usually found in the value segment, like perhaps an electric start, a digital instrument cluster, front and rear disc brakes and LED lights. Bajaj Auto will also do away with steel and instead using fibre and plastic to make the two-wheeler lighter, and thereby more fuel-efficient and cost-competitive.

    The value segment – which some manufacturers call the ‘commuter premium’ segment – has always been Bajaj Auto’s bugbear. It has been unable to make inroads into this turf on which Hero MotoCorp accounts for three out of every four bikes sold. Bajaj has in the past tried to crack this market with models like the Caliber and the Wind but had little success. Bajaj Auto managing director & CEO Rajiv Bajaj was unavailable for comment.

    In engines with capacity of 110 cc and less, Bajaj Auto with the Boxer, CT, Platina and Discover had sales of 310,723 units in the April to June 2012 period. Hero MotoCorp with the Splendor, Passion, CD Dawn and CD Deluxe sold over four times that number in the same period. It’s this inability of the Pune-based motorcycle maker to make a dent in the entry-level segment that explains why Hero had an overall 45.33% market share in two-wheelers, and Bajaj 17.57% (in the April-June 2012 quarter).

    “Currently the ratio of sales in the mass market is 5:1 in favour of the market leader. Launching a mass market product is a good move to get more volumes, although it does not add incrementally to margins,” says Mahantesh Sabarad, senior vice president of equity research at Fortune Financial Services.

    What the new bike will be christened is not known. Those aware of the plans say the company is contemplating three options. The least likely is to opt for a bottom-up strategy and launch a deluxe version of the Platina. The second option would be to introduce a new brand with differentiated features. But a more likely alternative would be to go top-down, which means extending either the Pulsar or creating having another Discover in the 100 cc segment. But taking the Pulsar, which has a sporty and macho image, down to the value-segment could dilute its proposition, said an analyst on the condition of anonymity who reckons a Discover variant may be on the cards.

    Bajaj Auto is a leader in the sports segment with the Pulsar (in the above . 60,000 price range), and in the . 50,000-60,000 band with the Discover. But it hasn’t been able to funnel those gains towards the largest portion of the pie. Rajiv Bajaj may be hoping that the new 100 cc model will change the game.
    (Been There Done That) x 3.25

  • #2
    Good news.
    I might be the first prospective buyer if BAL brings a 100cc commute option with the above mentioned features:-
    1. 42-45K OTR (Bangalore)
    2. Discs (Rear would be an overkill)
    3. Digital Instrment panel
    4. Close to 100-110 kg kerb weight.
    5. Anything above 65 kmpl would do.

    With prices increasing on a 15 day basis, a 100cc for office commute seems most viable.
    Got a $5 head? Get a $5 helmet.
    Because everyone who passes, isn't a martyr!

    Bullet Service Guide CBR 250R Parts Manual Fz16 service manual - https://drive.google.com/file/d/0B1-...VFQmJzakk/view
    Hero Moto Corp Bikes' Parts RE STD 350 Wiring Diagram (CI) Service Manual - Classic 350/500
    ZMR parts - https://drive.google.com/file/d/0B-U...it?usp=sharing
    P200NS Spares' prices - https://docs.google.com/spreadsheet/...taGd5R2c#gid=0

    Comment


    • #3
      Its Boxer BM 100 with single spark....!!!

      I think it has selfstart too..

      Boxer BM150 is a flop (as per my knowledge)... well we have to wait and see how this bike performs..

      Comment


      • #4
        Probably its the BM-100 whose spy pics were posted by couple of blogspots. see the following spy pics









        Photo credit: Site name as watermarked in the pics

        Comment


        • #5
          OT: don't know about you guys but this bike ( spy pics ) looks very handsome to me.
          that rugged look makes it very attractive .
          i wouldn't mind buying such bike for daily commuting in cities if the engine and other things are of good build quality.

          i wish it were 2 stroke FI with some higher displacement
          Last edited by murlidhar; 07-24-2012, 03:50 PM.

          Comment


          • #6
            Prrrrrr

            My 10 year old Passion will still beat this one any day in terms of Performance, Looks and City commuting.
            Be the change you want to see in other Riders!

            Comment


            • #7
              there is no way there would be a rear disk brake

              the pulsar 135,150 and the likes don't have a rear disk brake, so its impossible for a 100cc bike to have it

              Comment


              • #8
                Originally posted by murlidhar View Post
                OT: don't know about you guys but this bike ( spy pics ) looks very handsome to me.
                that rugged look makes it very attractive .
                i wouldn't mind buying such bike for daily commuting in cities if the engine and other things are of good build quality.

                i wish it were 2 stroke FI with some higher displacement
                +1.... Agree with the part in bold. 100cc is ok for city. Increasing the displacement to 125 would lower the mileage as well and that is not what BAL wants.
                It wants to beat HMC by eating its share of 100cc mobikes.
                Got a $5 head? Get a $5 helmet.
                Because everyone who passes, isn't a martyr!

                Bullet Service Guide CBR 250R Parts Manual Fz16 service manual - https://drive.google.com/file/d/0B1-...VFQmJzakk/view
                Hero Moto Corp Bikes' Parts RE STD 350 Wiring Diagram (CI) Service Manual - Classic 350/500
                ZMR parts - https://drive.google.com/file/d/0B-U...it?usp=sharing
                P200NS Spares' prices - https://docs.google.com/spreadsheet/...taGd5R2c#gid=0

                Comment


                • #9
                  bajaj keeps on launching so many new bikes every now and then and discontinues equal number of bikes quite frequently. this creates a negative image in market.

                  a prospective customer of splendour/passion etc sees, them as reliable bikes, which were here since ages and will be here till decades, proven reliability and easy availability of spares, maintainaibility. this is what BAL lacks. make a good bike and then stick to it and do marketing.
                  sigpic

                  Tyre Sizes _ Spark Plugs

                  Headlight Focus _ Fork Oils

                  All India xBhp Couple Riders Thread

                  Ashtavinayak + Shirdi
                  Purandar
                  Raigad
                  Dapoli
                  Aurangabad
                  Kaas Plateu & Thoseghar Waterfalls
                  Purandar

                  Comment


                  • #10
                    Originally posted by s_hari View Post
                    Probably its the BM-100 whose spy pics were posted by couple of blogspots. see the following spy pics

                    [ATTACH]60490[/ATTACH]

                    [ATTACH]60491[/ATTACH]

                    [ATTACH]60492[/ATTACH]

                    [ATTACH]60493[/ATTACH]

                    Photo credit: Site name as watermarked in the pics
                    its too dated in terms of loooks no one gonna buy it
                    @ princesirohi
                    +1

                    Comment


                    • #11
                      +1 prince. Bajaj pulls out the products abruptly from the market which causes concern in the minds of existing and prospective customers even though the product is good. Good examples are Boxer, CT100 and few more. If they continued the product with periodical updates to it, they could have easily gained market share in the longterm. Best example is Platina where we can see that even though Bajaj did not update if for last couple of years, product is well recognised in market and it is slowly gaining market share, though not in the leagues of splendor. But yes it is paying dividends to Bajaj

                      This time i dont expect Bajaj to pull out the products like they have done earlier, as now they are following a Brand strategy which is revolved around Pulsar, Discover and Boxer. They might completely overhaul a product but the Brand name will remain same so customer will/can associate the product easily.

                      Coming back to the product spy pics its a Boxer BM100 created by using BM150 chasis and Discover 100 engine. If we go by the article where it talks about new features then spy pic might not be related one as it doesnt have the LED lights, fibre tank, digital display (display unit is from Boxer) etc. If it is infact BM100 then in my opinion price should not be more than Rs 36000/37000.

                      We just need to wait for another 2-3 months and i think everything will be clear.

                      Comment


                      • #12
                        Boxer BM150 @49.xxk OTR Bangalore already comes with self start as standard and still is cheaper than even Discover 100 4G. The reason we feel it is a flop is because we city dwellers don't see many of them around us. But it happens to be a super-hit bike in Africa.

                        Boxer BM100 has potential to be priced at 42-43k in Bangalore, under 40k in MH and Delhi. Thats about 10k cheaper than Splendor and Passion, 14k cheaper than Dream Yuga! The pricing is almost the same as the Boxer that was sold back in 2003-04 (which didn't have Self start)!! Thats inflation proof prices for you!!

                        The target market is definitely not the City dweller but the village chap who is looking for a cheap commuter. Even today, the name Boxer has adequate brand recall. Lets see how it fares in the market before writing it off completely like this.
                        Advice is a form of nostalgia.
                        Dispensing it is a way of fishing the past from the disposal, wiping it off, painting over the ugly parts and recycling it for more than it's worth.

                        Antz Travelz!! | South India Exploration Ride | Leh Triplog (Work in progress)

                        Comment


                        • #13
                          if only they can bring out quality and refined engines like the latest generation bikes like 125st , 135ls n 200ns, they have every chance of eating huge chunk of hero motors entry level bikes.
                          personally i won't mind buying one for my regular city rides.

                          Comment


                          • #14
                            This will surely work in rural areas. Boxer as a brand is well recognized in rural areas for it's rugged looks & cheap maintenance. Check the used bikes market in rural areas, CT100 still has pretty good resale value.
                            Let's bring down the monster of corruption to it's knees.. please visit http://ipaidabribe.com/

                            Comment


                            • #15
                              First, ROFLMAO at speculations of it coming with front and rear disc brakes in OP's quote


                              Originally posted by Srinivas sr143sr View Post
                              Its Boxer BM 100 with single spark....!!!

                              I think it has selfstart too..

                              Boxer BM150 is a flop (as per my knowledge)... well we have to wait and see how this bike performs..
                              BM150 is NOT a flop. Its seeing lots of orders by food delivery industry (pizza, hotels, etc). And its a huge hit in africa. Just not successful in original intended market - rural India.

                              Originally posted by antz.bin View Post
                              Boxer BM150 @49.xxk OTR Bangalore already comes with self start as standard and still is cheaper than even Discover 100 4G. The reason we feel it is a flop is because we city dwellers don't see many of them around us. But it happens to be a super-hit bike in Africa.

                              Boxer BM100 has potential to be priced at 42-43k in Bangalore, under 40k in MH and Delhi. Thats about 10k cheaper than Splendor and Passion, 14k cheaper than Dream Yuga! The pricing is almost the same as the Boxer that was sold back in 2003-04 (which didn't have Self start)!! Thats inflation proof prices for you!!

                              The target market is definitely not the City dweller but the village chap who is looking for a cheap commuter. Even today, the name Boxer has adequate brand recall. Lets see how it fares in the market before writing it off completely like this.
                              If BM100 came with higher mileage than Discover100 and came with self start and was priced lower, even if it had spoke wheels (that are actually more comfortable), I would buy it just like that because of its retro looks and because it would be a great utility bike to complement any household, though I qualify as being a typical city boy.

                              Only question in my head is HOW does bajaj keep up its 20% profit margins with this bike ?? According to Rajiv Bajaj they discontinued CT100 despite the bike selling high only because of its inability to sustain profit margins.
                              Currently without a vehicle. Uber App and Bangalore Metro serving all my travel needs.

                              Comment

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