Hero MotoCorop is one of the largest two-wheeler manufacturers in the world. In India, it has a strong dealership and service network which is one of the reasons why it has a good grip even in the rural areas.
While Hero MotoCorp has been performing well in the domestic motorcycle market, its products in the scooter segment have not been very helpful in increasing its market share. Now, to get back in the game and enhance its presence in the domestic scooter segment, Hero MotoCorp will launch new scooters this Diwali.
Hero MotoCorp currently has 4 scooter models on sale in India - Destini 125, Maestro 125, Maestro 110 and Pleasure+. However, they were not sufficient for the company to stay in the 3rd place in the scooter segment in FY20. While Honda was leading in this space thanks to products like the Activa and Dio, and TVS occupying the 2nd position, Suzuki overtook Hero MotoCorp and grabbed the 3rd place.
Speaking to shareholders at the recent annual general meeting, Pawan Munjal, Chairman and Managing Director, Hero MotoCorp, said:
We had, at one point in time, a 19% market share in the scooter segment, where I am sure we will get back and we will also go beyond that. We are focusing on a few models so that the entire investment, entire focus, entire effort goes behind those few models, few segments, to get to a higher market share which we used to have. We have had recent launches in the scooter segment. Going forward, closer to the Diwali season, you will see more launches.
As of now, Hero MotoCorp has not released any concrete information about its upcoming scooter launches. However, it is being speculated that considering the increased demand for 125cc scooters, it is likely that Hero MotoCorp will launch at least one model in this category.