Hero raises prices of all models by up to INR 2,200
Posted on: May 3, 2017 - 4:27pm IST
Price hike unlikely to have any impact on sales.
Hero MotoCorp has announced a price hike for its line-up which ranges between INR 500 to INR 2,200 on the ex-showroom prices, depending on the model. The price rise is effective from May 1, 2017.
The price rise has been introduced to accommodate, what Hero calls as, increased cost of commodities and raw materials. In April the company’s dispatch stood at 591,306 two-wheelers which is a 3.49 percent drop from last year’s number which stood at 6,12,739 units. The company hopes that sales volumes in May will improve thanks to the demand of the ongoing marriage season.
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While Hero MotoCorp remains the country’s largest selling two-wheeler brand, the gap to its closest competitor Honda is shrinking and was less than 12,500 units in April. In the financial year 2016-17, Hero sold 6,483,655 two-wheelers, a jump of less than 1 percent on a year on year basis. The Splendor too is no longer the country’s largest selling two-wheeler and was beaten by the Honda Activa last fiscal by a gap of 1.97 lakh units.
Hero MotoCorp is expected to get back to the premium segment with the Hero Xtreme 200S in India in early 2018.