India has been witnessing a spectacular rise in the scooter segment. What do you attribute this to?
Basically, Suzuki scooters offer an easy-to-ride technology and are good on maintenance. Moreover, due to upgraded technology, users find it more convenient to use scooters. The fuel economy gap is also minimised, the New Access 125 gives a mileage of 64 km/litre. So, for the customer, it's a win-win situation as the scooter can be used as a unisex model. Earlier, in the absence of quality roads, people opted for motorcycles. With better roads, scooters are seen replacing the motorcycles and the scooter market is seen growing at 21percent, pitched on as a family product.
Keen watchers of the auto sector claim Suzuki has largely eyed the premium motorcycle and scooter segment. Why?
In mass segment, we need to produce more units which needs securing more spare parts. In the light of cut-throat competition in the 125 and 110 cc segment, the margins have also decreased. Moreover, 33 percent of the Indian population is in the youth category whose aspiration levels are high. Suzuki, known for its technology, feels its customer should experience the technology of our product. So, it is better to cater to the niche market in the premium category. In the 110 cc segment, we have to also compete with the price factor. Hence, our focus is on the niche market and the scooter segment and we will provide products accordingly.
How has been the response to the recently launched 'all-new Access 125' ?
We have received 470 bookings so far at the Quadros Suzuki outlet which as surpassed all our expectations. As of now, this bike has a 35 day waiting period and the colour preference can enhance this waiting period to 60 days.
Suzuki was expected to turn profitable in 10 years after its entry into India.
Last year, we have become profitable.
What is the position of Suzuki in India in the global market?
In terms of volumes, Suzuki in India is on an upward trajectory. India figures in the top priorities in Suzuki.
There were plans to promote India as a hub for Suzuki two-wheelers, especially for exports. What is the current status?
We have been exporting 150 cc bikes produced in India to countries and regions like Latin America, the Middle East, Columbia, Argentina, Bangladesh, etc.
Does Suzuki visualise the graduation of the two-wheeler users to four-wheelers as a potential threat to the growing two-wheeler industry?
The two-wheeler industry in India has been growing at a rate of 10 percent to 12 percent annually. Although saturation may gradually set in, we feel there is ample scope for growth of the two-wheeler industry.
How do you foresee competition from rivals in the two-wheeler segment?
We are focussing on scooters and 150 cc motorcycles. 'Gixxer' motorcycle was adjudged the no 1 motorcycle and had bagged 13 awards in its segment. It was no 1 in terms of the customer response.
Do you propose to inaugurate more dealerships in Goa?
We have already inaugurated two dealerships in Goa around four months back.
Has any sales target been set by the company?
The Goan market already has five Suzuki dealerships in Goa. With a market share at 27 percent, it’s set for a growth up to 30 percent with the introduction of the new Access 125. The Gixxer motorcycle is also going strong in the market.
How do you forseee the future of the two-wheeler industyry in India?
India has a young population where Suzuki has a share of 4 percent of the total two-wheeler market. The scooter market share of Suzuki stands at 16 percent.
