Royal Enfield year-on-year domestic sales tumble for nine consecutive months

02/08/2019 - 12:30 | ,  ,   | Suvil Susvirkar

Royal Enfield reported negative year-on-year sales performance for the ninth consecutive month in July, of 22%. It is also the sixth consecutive time that the Chennai-based brand has reported a double-digit decline in the year-on-year sales numbers.

Royal Enfield Classic 350 Rear Disc Brake Black Si
July 2019 was also the sixth month with double-digit fall in year-on-year numbers.

Also Read: Next-Generation Royal Enfield Thunderbird spied during the test run

The domestic sales crashed by 27%, and Royal Enfield sold 49,182 units in July 2019 as against 67,001 units in the corresponding month last year. Exports continued to provide solace. The Chennai-based brand sold 5,003 motorcycles in the international markets in July this year, against 2,062 units in the same period last year. The company has been reporting negative sales performance since November last year. Incidentally, that happens to be the same month when Classic Legends re-introduced Jawa Motorcycles in our market.

MonthLatest SalesLast Year’s SalesPercentage Difference
July 201969,06354,185-22
June 201958,33974,477-22
May 201962,37174,697-17
April 201962,87976,187-17
March 201958,43474,209-21.3
February 201960,06671,354-15.8
January 201970,87276,205-7.0
December 201856,02665,367-14.3
November 201865,02667,776-4.1

The exports have been positive since December last year, which incidentally is the same time when Royal Enfield introduced the 650 Twins in various international markets. Exports witnessed a sharp spike, registering a 143% year-on-year growth. Check out the export performance below:

MonthLatest SalesLast Year’s SalesPercentage Difference
July 20195,0032,062143
June 20193,2571,88972
May 20192,1602,187-1
April 20193,7421,560139.87
March 20192,3971,87827.63
February 20192,5641,72348.81
January 20191,8291,6739.32
December 20182,2521,60140.66
November 20187182,350-69.44

To address the lacklustre sales performance, Royal Enfield is working on a budget model that will be placed below the company’s current entry-level motorcycle, the Bullet 350, which retails at INR 1.21 lakh*. Royal Enfield’s newly appointed CEO, Vinod Dasari, confirmed in a recent interview that the new variants will be introduced in the coming months. Dasari said:

We will also be introducing new motorcycle variants in the coming months to widen our offering and provide greater accessibility to our discerning customers.

Royal Enfield Bullet 500 rear left quarter at 2017 Thai Motor Expo
The new entry-level Royal Enfield motorcycle will be reportedly based on the Bullet 350.

Also Read: Spy video of 2020 Royal Enfield Thunderbird reveals revised ergonomics

The new Royal Enfield variant may be priced close to INR 1.10 lakh*, which will put it against the 200 cc motorcycles in the Indian market such as the Bajaj Pulsar NS200, TVS Apache RTR 200 4V and the newly launched Hero XPulse 200 (Fi). The budget-conscious package will most likely include a single-channel ABS and a rear drum brake setup.

*Ex-showroom Delhi

Note: Images used for representation only

You might also like