Harley Davidson to launch smaller bikes soon

 Harley to unveil smaller bikes soon

Prominent motorcycle giant, Harley Davidson which dominates almost half the market share in the 750 cc section has made plans to invest in smaller bikes and thus extend their roots in the market. The new bikes are to be launched over the course of the next decade to enter segments that drive volumes in one of the largest two wheeler markets in the world.

Keeping the firm's global targets in mind, Harley Davidson's quartely reports also showcased their plans of launching 100 new high impact bikes in the near future.

Sajeev Rajashekharan, managing director of Harley Davidson, India; did not however specify which of the said 100 models were to be released in India. However, in his statement, he mentions that the firm plans to focus on newer segments that include street and adventure bikes. These are mainly vehicles used for casual and sportier riding among the younger generation.

The move to expand to other segments was the result of the firm's decision to expand it's internation sales from 40% to 50% by 2027. The motorcycle giant that reported a $4.5 billion revenue last fiscal year, developed one of its first bikes in the new segment for China; a 338 cc bike, making it Harley's smallest bike yet. It will be sold there later this year.

Harley Davidson, in the past decade, clocked a total sales of 25,000 bikes in India. Although this appears to be market leading in India, it is a tiny contribution when compared to the total of 218,000 bikes sold in 2019 overall.

This is mainly due to the high duty rates imposed on foreign vehicles. Indian sales would improve if the duties were to be slashed and if the brand were to bring in smaller bikes, electric two wheelers, e-bicycles and so forth. The duty structure in India, with around 50% for larger bikes and 15% for smaller ones means lower profits for the firm.

Experts say that Trump and Narendra Modi will most likely discuss revisions to the duty structure when they meet later this month.

Infrastructure has been stated to be one of the biggest challenges faced by Harley owners in India, according to Rajasekharan. Most of the bikes are made for cruising and long distance implying the need for highways and well maintained roads. The implementation of said facilities would further allow the firm to grow in the Indian market. 

The firm sells 14 motorcycles across four product families in India apart from a range of genuine parts, accessories and general merchandise  that are available in 33 authorized dealerships spread across the subcontinent.