New Delhi, Oct. 5
HERO Honda has announced the launch of two products that will allow the company to tap newer segments of the market.
The company on Wednesday launched its first scooter `Pleasure', to garner a share of the fast growing gearless scooter market, and a 150-cc bike `Achiever' which will directly compete with Bajaj Auto's Pulsar.
Announcing the launch of the products, Mr Pawan Munjal, Managing Director, Hero Honda Motors Ltd, said the new 102-cc scooter would be launched in mid-November and its price would also be announced around that time.
Scooter sector growing: "The scooter segment is over one million units and witnessing an impressive growth for the past few months. With the launch of Hero Honda Pleasure, we would be able to carve out a place for ourselves in the industry and contribute towards its further growth," said Mr Munjal.
Hero Honda is targeting to sell about one lakh scooters from December 2005 to December 2006. The technology for the scooter's engine has been procured from Honda Corp for which the Japanese company will be paid a royalty.
"The scooter would be manufactured at the company's Gurgaon plant. Production of the four-stroke scooter would be according to the market demand. The scooter is especially designed as per the requirements of women. We are also targeting upcountry areas with the vehicle," Mr Munjal said.
Festive season offer: Achiever has been priced at Rs 47,900-Rs 52,700 (ex-showroom Delhi). This price, however, is an introductory price as part of Hero Honda's celebration offer for the festive season. The company is providing a discount of Rs 1,001 on its vehicles in this period.
"Achiever is our third new motorcycle to be launched during this calendar year. With the exceptional combination of power and fuel efficiency, we are confident it would soon establish itself and consolidate our position in the premium segment," he said. The company aims to sell 10,000 units of Achiever per month.
Third plant: Meanwhile, Hero Honda plans to make an announcement on its third plant before Diwali. Though no official confirmation was available, sources said the company's new plant is likely to be in Rajasthan.
Hero Honda's stock, however, closed at Rs 756 on Wednesday, down 0.88 per cent compared to Tuesday's closing on the Bombay Stock Exchange.