The Hindu Business Line : Splendor NXG

The NXG is expected to carry forward the core focus of fuel-efficiency, reliability and low running costs that the original Splendor has always been associated with.

Cranking up for competition. - S. Muralidhar

The country's top two-wheeler manufacturers' future plans seem to be a study in contrast. Hero Honda and Bajaj Auto are making seemingly contrasting pronouncements regarding their new two-wheelers While the former (the largest two-wheeler maker) has clearly stated its intentions to expand the range and reach of its entry-level, 100cc bikes, the latter has indicated that it will focus on higher engine capacity bikes that can still deliver what the customer wants.

For Hero Honda almost 70 per cent of its sales comes from the 100cc segment. In contrast, for Bajaj, which, nationwide, has just one product in the 100cc segment, the Platina, the contribution to total sales of this segment is significantly lower and falling.

The logical conclusion from that would be that the top two bike makers should actually focus on the opponent's strengths as those are each other's weaknesses. But that doesn't seem to be happening.

This week, Hero Honda took one more step in the direction of strengthening its position in the 100cc segment, already its core category. With the increasing popularity of TVS Motor's Star City, which is an entry-level bike with various trim options at different price points, Hero Honda must have been mulling over an addition to the Splendor family to both leverage the brand and offer more choice to customers in this segment.

Trusted workhorse

The Splendor is Hero Honda's trusted, old workhorse brand that has delivered amazing results to the company. The strength of the brand is the reason why it is the largest selling single bike and its sales, in turn, adds strength to the brand. The bike and the brand have, by now, come to signify high quality, reliability, value retention and fuel efficiency, and its customers couldn't care if there has really been no new cutting-edge technological input into the bike for more than a decade now.

So, for Hero Honda, the Splendor brand is the most important and any changes or additions it makes to this brand would be studied and cautious. Apart from the Splendor Plus that replaced the original Splendor, Hero Honda attempted to leverage this brand's enviable strength by launching a 125cc variant, the Super Splendor.

Earlier this week, Hero Honda launched a brand new bike, Splendor NXG, which will now join the Splendor Plus in wooing customers looking for a bit of style and performance in the entry-level bike they plan to buy. Sporting an acronym that Hero Honda says stands for next-generation, the new Splendor NXG will help tackle competition from the likes of the TVS Star City Sport.

The Splendor NXG is expected to carry forward the core focus of fuel efficiency, reliability and low running costs that the original Splendor has always been associated with. But its new avatar will also be a reflection of Hero Honda's recognition that the customer in this segment now wants more than just frugality in design and performance.

Design makeover

The NXG looks more like a bike in the higher priced segment. To make it visually more appealing to younger buyers, Hero Honda has done a complete overhaul of the original Splendor's design features.

So, the new NXG gets a new design fuel tank with knee recesses on either side and topped by a chrome fuel tank lid. The NXG also gets a new fairing and visor combo with a trapezoidal mutli-reflector headlamp. The battery powers the DC high beam in the headlamp and its strength is not dependent on the engine rpm. Circuitry for the low beam and pilot lamp has also been enhanced for low variation in intensity arising from changes in the engine rpm. Body side panels, stickering and colour combination have all been changed completely in the new NXG. Concealed within the NXG's fairing is a new V-shaped instrument cluster with trip meter. To bring to the Splendor more of the refinement that is usually only available in the higher priced bikes category, Hero Honda has also added five-spoked aluminium-alloy wheels in the top-end variant of the NXG. A die-cast alloy rear grab rail is also offered as part of standard fitment in the new bike.

The square, unexciting tail-lamp has been replaced with a more contemporary and larger taillight. Options such as disc brakes and electric self-start are not offered with the NXG. Standard fitment only includes drum brakes and kick-start.

A bit more power

The Splendor NXG's engine is about 5 per cent more powerful than the Splendor Plus' similar size mill. Hero Honda says that the engine has been developed anew. But the NXG's engine seems to share a number of features with the 97.2cc mill currently offered with the CD-Dawn. The engine block is identical and some of the performance characteristics are similar too.

The NXG's engine puts out a peak power of 7.7 PS at 7,500 rpm. Statistics about the engine's torque characteristics were not immediately available at the time of launch and test ride. But it is estimated to be about 0.8 Kg-M and there is enough low-end torque to keep the bike going at 20 km per hour even in fourth gear, without any knocking.

The engine and four-speed gearbox are typical Hero Honda units with respect to the refinement levels and ease of use. Engine noise is low and the gearbox's shift quality conforms to Hero Honda's legendary standards.

The Splendor NXG has been priced competitively at Rs 41,000 for the spoked wheel option and at Rs 42,000 for the alloy wheel variant (both ex-showroom). The new bike will be available in a range of five colours and seven stripe combinations.

Completely new, almost

Hero Honda had gone ahead and built an almost completely new bike in the Splendor NXG. The company is also quite confident that the buyer in this segment will slowly gravitate to the new variant. And though it initially estimates that the two — Splendor Plus and NXG — will contribute equally to the sales mix, eventually, insiders feel, the NXG will be the preferred.

The Splendor brand is not one that Hero Honda will gamble with. But to launch an all-new variant is by itself a big move. The new NXG could tighten the stranglehold that the Splendor has over the entry-level bike segment and will probably validate Hero Honda's claim that this segment will still be the largest for years to come.

Bajaj Auto, the second in command in the bike market, has witnessed a widening of the gap with the market leader. Hero Honda's above industry-average performance during the last six months has meant a steep slippage in the catching up that Bajaj had managed earlier. Maybe two-wheeler buyers were spooked by Bajaj's claims that it will not focus on 100cc bikes in the future.

But maybe there will be a twist to the tale and Bajaj will launch bikes in the 75cc or 90cc categories. And, maybe, that is the only way to take on the strength of the Splendor brand.

Feedback may be sent to smuralidhar@thehindu.co.in