Picking up speed: Race in premium bikes market
By now, Royal Enfield, maker of the iconic bullet motorcycle, has figured out one thing: that legacy alone is not going to be enough to keep the acceleration constant. You need driving force.
So in November, in the face of rising competition in the premium bikes segment, Eicher Motors, the listed parent of Royal Enfield, launched the Hima-layan 452 cc, a significant upgrade from the old version of the brand, at a price starting Rs 2.69 lakh. The company is gearing up to launch the Shotgun 650 cruiser, which will offer riders a canvas for creative customisation, in May 2024.
Exciting times one would say; but these are also nervous moments for Royal Enfield, which contributes 90 percent to Eicher Motors’ bottom line. The above 250 cc segment is the most popular category in India and Royal Enfield currently dominates it with the Classic 350 and the Bullet. But the new entrants — Harley-Davidson X440 and Bajaj-Triumph’s Speed 400 and Scrambler 400 X — are nipping on its heels and analysts expect its market share in the 250 cc-plus segment to drop to around 80% in the short term from over 93% currently.
In other words, time for action.
Earlier in September Eicher Motors had launched the Royal Enfield Rental initiative, offering rentals in 25 cities with a fleet of over 300 motorcycles, promising more cities would be added sooner than later. A clever move, says Rohit Varma, founder of branding and communications agency, narrative, to reach out to an audience that is not able to afford the brand today but will be able to do so at some point.
Last year, around the launch of the Hunter 350, the brand partnered with Sneakin’ Out 2.0, the country’s India’s first multi-city, sneaker, streetwear and hip-hop focused event executed by SoleSearch and Steppin Out. Then it collaborated with visual artist Santanu Hazarika to offer a limited-edition collection of helmets in the signature Hunter 350 colours.
Royal Enfield also squeezed itself into Meta’s Born On Instagram programme to work with young content creators to bring out the features of the 2022-launched Hunter 350.
When you join the dots, a clear pattern emerges: Royal Enfield has gone all out to catch a more youthful vibe and give the brand new pockets of influence in the Gen Z cohort. “Self-expression is one thing Gen Z is big on; hence they have been the purpose and the focus of all our digital endeavours and campaigns. By weaving elements of art, streetwear, and self-expression into our brand narrative, these collaborations represent the vibrant spirit of the Royal Enfield brand,” says Mohit Dhar Jayal, chief brand officer at Royal Enfield.
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