In order to appeal to a wider range of consumers in India and emerging markets like Africa and Latin America, Hero MotoCorp is working on what could be the cheapest bike in the country.
It is developing a new entry bike priced below the HF Dawn - its cheapest model on Thursday starting at around R37,000, which will be lower than both Bajaj (Platina) and TVS’ (Max 4R) entry segment products. This is part of a strategy under which it will launch 50 new products and face-lifts across the entire two-wheeler segment over the next three years.
MD & CEO Pawan Munjal said, “We are working on a product below the HF Dawn but don’t expect a drastic reduction in price.”
This fiscal, the firm will launch 10 minor face-lifted versions of its products like the Splendor, Passion and Glamour bikes. Five more models, including the Karizma and Xtreme bikes and the Passion scooter, will also be launched with major design changes and technical improvements by the Auto Expo in February next year.
Munjal said that so far only current products have been revised, but starting with the Auto Expo in 2014 completely new products will be shown, including a version of hybrid scooter Leap.
“These new models have been engineered by Hero’s own R&D in the last 12-15 months. I believe this will bring freshness to the market. For those who have seen the market share swinging, let me assure you we are hugely confident of success. The changes may be small but game changing in technology,” Munjal said.
Hero also plans to enter new overseas markets like Egypt and Turkey “over the next few months”, as part of its plans to rapidly expand global presence after buying out Japanese partner Honda in 2011. Hero has already started sales in new markets like Columbia, El Salvador, Honduras, Peru, besides starting assembly plants in Kenya and Bangladesh.