Yamaha Motor’s ‘Call of the Blue’ campaign, launched in 2018, represents a strategic effort to carve out a premium space in the highly competitive and price-sensitive Indian two-wheeler market. Recently, the brand launched the fourth edition of this campaign. While the campaign has garnered attention for its bold attempt to target India’s youth demographic, it reflects broader challenges and trends in a market where price often trumps brand image. Yamaha’s approach, which emphasises performance and style over affordability, aims to position the brand as a more aspirational choice amidst a sea of price-driven options.
“We’re following a premium strategy in India, so we’re not targeting the mass segment. Our products are priced at a premium, but our customers are willing to pay for this, given the differentiating factors we offer. It’s important to note that our products aren’t excessively priced to the point where they are out of reach for customers; we are positioned in the premium segment. We provide advanced design, cutting-edge technical features, and a unique experience, which justifies the premium pricing. This allows us to cater to a specific audience that values these aspects,” Vijay Kaul, general manager, marketing strategy division, India Yamaha Motor, told BrandWagon Online.
According to Yamaha’s Q3 2024 financial results, motorcycle sales saw significant growth year-on-year, with Brazil recording a 23% increase, Vietnam 21%, India 16%, and Indonesia 11%.
India’s price-driven two-wheeler market
India’s two-wheeler market is one of the largest in the world, with a variety of brands vying for attention in both the mass-market and premium segments. However, the mass market, particularly the entry-level segment, is dominated by brands like Hero MotoCorp, Honda, and Bajaj. These companies, with their focus on affordability and utility, have a dominant share of the market, catering to the needs of daily commuters across urban and rural areas. The Indian two-wheeler market, valued at $299.2 billion in 2024, is projected to reach $335.1 billion by 2030, growing at a CAGR of 1.91% during the forecast period, as per market research firm Mordor Intelligence. Hero MotoCorp Ltd. is the market leader, holding a dominant 31.38% market share in 2023, followed by Honda Motorcycle & Scooter India Pvt. Ltd. with a 23.22% share. TVS Motor Company Ltd. ranks third with a 16.83% market share. For Yamaha, however, competing solely on price is not a viable option. The brand’s pricing strategy positions its models at a premium compared to competitors. Yamaha, as it claims, has thus focused on branding itself as a performance-driven, aspirational choice rather than simply a practical one. This shift in positioning reflects a broader trend in India, where motorcycles and scooters are no longer just seen as tools for transportation but as lifestyle products that reflect the status and personality of their owners.
To communicate the same, the brand has come up with its 4th edition of ‘Call of the Blue’. The campaign showcases the style, swag, and thrill of riding a sports bike. It aims to capture the aspiration of experiencing this excitement through music, rap, and visuals. “The Call of Blue campaign is now in its fourth season, which we call Version 4. It all started in 2018 when we launched the first iteration with one clear objective: to differentiate Yamaha from the competition. The Indian market is incredibly cluttered, with numerous international and domestic manufacturers, so we needed a way to capture the mind space of India’s young and aspirational audience. This campaign helped us move into a premium strategy, aligning three key pillars of marketing—product, place, and promotion.” Kaul said.
Struggling to find the right niche?
Despite its efforts to carve out a premium identity, Yamaha has faced challenges in India’s price-sensitive market. The brand has struggled to break into the mass-market category, which remains dominated by more affordable models. Yamaha’s premium pricing for models like the YZF-R15 or the MT-15 has put these bikes out of reach for a large segment of Indian consumers who prioritise affordability.
This is especially true in smaller towns and rural areas, where entry-level motorcycles priced below Rs one lakh are the most sought-after. In contrast, Yamaha’s pricing for premium models ranges from Rs 1.5 lakh to Rs 2.5 lakh, which limits its appeal to an urban, aspirational audience with a higher disposable income.
Despite these challenges, Yamaha has seen some success in tapping into a growing middle class, particularly young consumers in urban centres. The brand’s focus on performance, design, and a more premium image resonates with younger buyers, especially those between the ages of 18 and 30 who are more inclined to spend on style and performance, rather than just practicality. “The campaign stands on three pillars: being exciting, stylish, and sporty. We designed it specifically for the 18-25 age group, appealing to both males and females, though the focus is naturally more on males, given that we’re a motorcycling brand. In a nutshell, this campaign is our way of showcasing Yamaha’s rich racing heritage while connecting with India’s young, aspirational audience,” Kaul highlighted.
Race-ready vibes!
As per the company, the ‘Call of the Blue’ campaign was launched with the intention of differentiating Yamaha from its competitors. The message focused on the brand’s racing heritage, emphasising speed, performance, and design. Over time, the campaign has evolved from simply promoting Yamaha’s flagship models to creating an aspirational lifestyle associated with Yamaha motorcycles. “For the Call of the Blue campaign, we use TV strategically, focusing on high-impact shows like Khatron Ke Khiladi and Big Boss rather than general programming, and incorporate in-program integrations to align our messaging organically with the content. However, a significant portion of our budget is dedicated to digital media, as it allows us to communicate directly and personalise our messaging for specific age groups, psychographics, demographics, and interests,” Kaul said.
He further stated that platforms like OTT and regional online media have become pivotal in strengthening the brand’s presence in regions where it was previously weaker. Influencer marketing also remains a key element of the strategy; for instance, in 2022, the brand collaborated with Dinesh Karthik, who shared his personal “Call of the Blue” moment, drawing a parallel between his experience playing for Team India in blue and the campaign’s essence of excitement and passion. He added that similar strategies are being deployed this year to keep digital engagement at the forefront. Currently, while 60% of the budget is allocated to traditional marketing and 40% to digital, the share of digital marketing is growing steadily year by year, reflecting the evolving marketing landscape.
Kaul highlighted that back in 2018, the company laid the groundwork for its strategy by conducting thorough research to evaluate its market standing at the time. This involved assessing its Top of Mind Awareness (TOMA), analysing its market positioning, and understanding brand perception, particularly in terms of colour. According to the company, from 2018 to 2024, its product lineup has undergone significant evolution, particularly as it approaches the fourth edition of its campaign. Initially, the focus was primarily on a limited range of motorcycles. Over time, however, the company expanded its offerings to include scooters and introduced Maxi-sports scooters like the Aerox, alongside big bikes from the Supersport (R Series) and Hyper Naked (MT Series) categories. The current lineup features global models such as the YZF-R7, MT-09, YZF-R3, and MT-03, along with iconic bikes like the XSR series and the Ténéré series, highlighting Yamaha’s global legacy and versatility.
Yamaha’s product portfolio includes both motorcycles and scooters, but its focus has remained on motorcycles, with models like the R15, FZ-X, and MT-15 playing a key role in its brand image. The Yamaha R15, for example, is priced around Rs 1.7 lakh, while the FZ-X starts at Rs 1.3 lakh. Yamaha’s premium focus, while appealing to aspirational buyers in cities. “We have several product verticals in India. The first is the racing series, which includes the R3 and R15. Then, we have the hyper naked motorart series, featuring the MT-03 and MT-15. In the sports segment, we offer the FZ, a 150cc bike. Moving into the scooter segment, we have the AeroX, a 155cc maxi sports scooter. Lastly, in the 125cc hybrid series, we have the RayZR and Fasino,” Kaul said.
The road ahead for Yamaha in India
Yamaha’s struggle in India’s price-sensitive two-wheeler market reflects a broader challenge in the automotive sector. Despite attempts to position itself as a premium brand, the reality of the Indian market remains heavily influenced by affordability. Yamaha has managed to build a niche in the premium segment, but its success remains largely confined to urban areas, with limited appeal to the mass-market consumer base in smaller towns and rural India.
Ultimately, Yamaha’s ‘Call of the Blue’ campaign has succeeded in elevating the brand’s image in India, but the challenge lies in converting this image into broader market acceptance. The future will depend on how well Yamaha can adapt its strategy to meet the evolving needs of Indian consumers, balancing performance with affordability while staying true to its premium roots.