|
TVS Motors Company held a press meet on September 16, 2013 to announce its new launch ‘TVS Jupiter', a scooter. The meet was addressed by Venue Srinivasan, CMD and K N Radhakrishnan, President & CEO of the company.
Key takeaways of the meet
TVS Jupiter, is a new scooter offering greater comfort, convenience and various first time features. ‘TVS Jupiter' will be available in Northern markets from now onwards and will be launched in Southern markets in November 2013. Since the northern markets are festive driven the company want to cash on this and makes available about 20000 units for sale for ‘Deepavali' festive season. The launch in southern market is postponed as it's a monsoon season now for this market and will make all the available capacity for North's festival demand. The company billed 4000 vehicles of TVS Jupiter on the day of launch i.e. Sep 16, 2013.
Indian scooter market on usage pattern can be split into two segment i.e. family use and personal use with the former accounting for 35% and latter accounting for 65% of the total market.
| Indian Scooter Market |
|
Female |
Male |
Total |
| Family Use |
13 |
22 |
35 |
| Personal Use |
29 |
36 |
65 |
| Total |
42 |
58 |
100 |
| Figures are in % |
With ‘TVS Jupiter' the company forayed into the Male personal use segment, where it has no presence so far. This segment male personal use accounts for 36% of the market and is fast growing.
The company expects a 2-wheeler volume of about 2.2 million units for the current fiscal of which about 2.3-2.7 lakh units will be from exports and balance will be from domestic market. While the overall Indian 2-wheeler market is expected to decline for FY14, the company expects to grow by 6-7% this fiscal.
The company's recent launch ‘Phoenix' is doing well and the company expects the same with ‘TVS Jupiter' as well. Currently in scooter segment the company is doing a monthly volume of about 35000-37000 units with ‘Wego' clocking a volume of 15-16000 units and Scooty about 20-21000 units. With ‘TVS Jupiter' the combined scooter volume is expected to touch 45000 units a month by December and 50000 plus units a month during Q4FY14. The company expects the combined volume of both Wego and Jupiter to increase to 30000 units from about 15-16000 units a month by Wego alone currently.
The company expects the upgraded Scooty to be launched somewhere in the first week of Jan 2014. The company is confident of rolling out one new upgrade/new launch a quarter there after sticking to its July 2014 launch pipeline guidance of 6 vehicles in next 16-18 months. Of these 6 new launches the company has now launched Jupiter and the upgraded Scooty ‘Zest' will be launched in Jan 2014.
The company expects its market share in Scooter segment to increase to 16.5%-17% from current 13-13.5%. In overall 2-wheeler the company expects its market share to increase from current 12.3% to 14% by the end of this fiscal.
The company's core southern market is bit subdued especially the TN Market which has declined by 18-20% so far in current fiscal. But the company expects that to revive up with onset of festival demand approaching the harvest festival of ‘Pongal/Magara Sangranthi' as the monsoon is good.
The company priced ‘TVS Scooter' at about Rs 44200/ unit at Ex-Showroom Delhi compared to Rs 43445 for ‘Wego'.
|