Honda sketches out latest expansion plans

Honda has set its strategy for the current and next year to ensure that its best-selling Activa series of automatic scooters remains at the top. Also, Honda is keen on keeping the CB Shine, its 125cc motorcycle, in the top-ten list of most-selling models in India. The company will execute a three-part plan to retain, expand and create. The plan is to increase production capacity by 39 percent in the next two years through their new and fourth plant that has a 12 lakh-unit capacity, that is moving on schedule. Honda will also expand their footprint in India by introducing 800 sales and service touchpoints, and will soon launch 20 customer care mobile service vans here.

A new and revolutionary product from the company is expected to arrive by 2016. This will create a new segment in the Indian two-wheeler industry.

Currently Honda is achieving peak capacity from all its production plants and they claim that their new plant, expected to be the world’s biggest exclusive scooter production plant, will provide a new opportunity for them to achieve their target of 47 lakh two-wheelers by next year.

Keita Muramatsu, president and CEO, Honda Motorcycle & Scooter India said, “We will focus our synergies to retain and consolidate our existing leadership position in the automatic scooter and 125cc motorcycle segment. Expanding to meet future demand in India  — a focus market for Honda — we will significantly invest in fortifying our production capacity to 64 lakh units, networks to 4,600 outlets and last mile rural penetration. In its challenging spirit, Honda will create new benchmarks with its new products offering. On the cards are nine new upcoming models, one of which will revolutionize the Indian two-wheeler industry and create a new segment by itself.”

Yadvinder S Guleria, senior vice president, Sales and Marketing, Honda Motorcycle and Scooter India said, “In FY’14-15, we have grown more than double and sold 44.5 lakh two-wheelers last year, which is also our best-ever performance in India. In fact, Honda alone contributed 60 percent to the 11.8 lakh volume increase by industry. We have carried the same momentum into FY’15-16 by becoming the highest market share and volume gainer in April. The product roadmap for 2015 is robust with nine new products remaining to be launched in this year.

For our flagship model CBR 650F, Honda is innovating by bringing a new premium distribution format in 20 top-priority cities. Clearly, 2015 will be a game changer and Honda is all set to take the next leap.”