The company is targeting at least a 35% market share, compared to 23% at present, in long term for its international business..
Despite the sliding marketshare in the domestic motorcycle market, Bajaj Auto is looking to focus largely on expanding its global footprint rather than just the domestic business, the company told analysts at a recent investors’ meet.
Bajaj Auto reiterated its earlier stance to focus on large global motorcycle market, where it has a reasonable presence through key markets, including Latin America and Africa. The company is targeting at least a 35% market share, compared to 23% now, in the long-term for its international business in addressable markets.
Bajaj has the widest presence in Africa, with no Chinese player having presence in more than four countries. The company aims to double exports in two years’ time, with an average above profitability. One of its strategy is to further expand in its key markets where it is still largely under-penetrated. These include Africa, where Bajaj Auto is significantly underpenetrated at 1.7% and about 4% in LatAm.
In the domestic market, Bajaj Auto is looking to marginalise the executive segment and eliminate the 100cc executive even as it launches newer offering in higher segments. The company is ready to launch scooters though it doesn’t see the need to do so considering its long-term strategy.
In the next six months, Bajaj Auto aims to launch several new models, including the self-start Platina in the entry-level segment, where 50% of the market share is self-start. The company is also looking to launch the Pulsar Super Sport 200 and the Compact Sport 400 in 2015.
The company sold 12,84,422 vehicles in the current fiscal to date, a decline of 12.6% compared with a year earlier. The total two-wheeler market in the period grew 11.8% to 1,09,32,429 vehicles. On the export front, the company saw a growth of 25.6% to 10,88,460 vehicles during the period.