Honda Two-wheelers to Double Pre-Owned Outlets to 200 by 2018

India: Second largest two-wheeler company, Honda Motorcycle & Scooter India (HMSI) is looking to double the number of its Best Deal outlets to 200 by the end of 2018. Honda Company is taking this step as it sees huge potential in this space. The company has opened the 100th Best Deal outlet in India.

Honda’s scooter brand Activa has become the largest selling two-wheeler in the country. According to the, “Yadvinder Singh Guleria”, senior vice president for Sales and Marketing at Honda Motorcycle & Scooter India, currently Honda is present in 70 cities across 19 states in India.

Moreover, Honda has acquired 45,000 new customers during the past three years through such pre-owned Honda sales outlets. The replacement cycle for Motorcycle & Scooter has come down from seven-eight years to three to five years in the past decade alone, said Guleria. The Company provides six-month warranty and two free services to the models it sells through pre-owned outlets in the country.

As per TechSci Research, Honda’s strategy to double pre-owned outlets in India, is poised to support the sales of two-wheelers in the country, which in turn would support the demand for two-wheeler tires also.

According to a recent report published by TechSci Research, “India Tire Market Forecast & Opportunities, 2021”, with more than 60 tire manufacturing plants spread across the country in 2015, India ranks among one of the largest tire markets in the world. Growing automobile sales coupled with expanding automobile fleet are the major factors boosting demand for tires in the country. Moreover, with favorable inflationary scenario, expanding middle class population and increasing national disposable income, tire sales across all the automobile segments are expected to grow in the coming years. Presence of major automotive OEMs such as Ford, Hyundai, Honda, Mahindra, Maruti Suzuki, TATA, BMW, etc. has been hugely contributing to the sales of tires in India. MRF, CEAT, Birla Tyres, TVS Srichakra, Apollo Tyres and JK Tyre are few of the major regional tire manufacturers, while the major international tire brands operating in the country includes Goodyear, Bridgestone, Michelin, Continental, Yokohama, and Hankook.