Yamaha to make a low cost bike, target countries like India & Africa

Yamaha India is all set to go full throttle in the Indian market. Yamaha is a very well established brand in the Indian market but has not able to cash on its image as compared to its competitors.

Yamaha has been in the Indian market right from the eighties but still have a meagre market share.

Yamaha has made a good impression in the premium segment thanks largely to products like R15, FZ Series and SZ series. Next the company is targeting the scooter segment and will launch a scooter which will be largely for the fairer sex.

In a market where over seven million motorcycles are sold in the commuter segment annually, Yamaha, with monthly sales of 5,000-odd units at the entry-level. Honda recently has made its plans clear with the launch of the Dream Yuga which will take on the likes of Splendor and Passion.

Yamaha too is looking at this segment and plans to launch a mass segment bike. Currently Crux is the lowest priced scooter in their portfolio. The company is planning to launch a cheaper bike and is aiming at a price of Rs. 27,500.

Yamaha says it aims to triple its share of India’s motorbike sales to 10% in the next four years. Yamaha will set-up a new facility at Tamil Nadu with an annual two-wheeler production rate of 400,000 units at the start of operations.

But do you think this is a good Idea?

Our Analysis say that Yamaha should reframe from launching a cheap bike and launch a more full proof product in the commuter segment. Load the bike with good technology, features, most importantly reliable & fuel efficient engine.

If we see the low cost bike segment, Bajaj too tired their luck with the BYK but had to withdraw as it was not a successful model. Yamaha we need products which are more value for money products.