What’s the range of two-wheelers at your dealership outlets?
Basically, they can classified into two segments --- scooters and motorcycles.
In the scooter segment, there are five models of Honda, all equipped with HET technology, are pollution-free and have a four-stroke engine. In the motorcycle segment, we have 9 varieties from 110 cc to 650 cc to cater to different tastes of customers, which also factor in demands such as mileage, power, looks, racing bikes, etc.
How many showrooms does Goa Rajee have in the State ?
Oue first showroom was in Margao in July 2001. This was followed by branches in Ponda (in 2003), Vasco (in 2005), Nuvem (in 2006) and Sanvordem (in 2014). Besides this, we have two Authorised Service Centres (ASCs) --- in Margao and Canacona.
What is the market share of your group ?
We have a 40 percent market share in the two-wheeler market. The two-wheeler industry in entire Goa sells an average of 5,000 bikes a month. Of these 5,000 bikes, South Goa accounts for 2,400 bikes while the share of North Goa is 2,600. Of the 2,400 bikes sold in South Goa, Goa Rajee accounts for 40 percent of the sale.
During the festival season --- Ganesh Chaturthi, Diwali, Dussehra --- the sale can go up to 6,500 bikes, while the annual sale of the two-wheeler industry in Goa is roughly 55,000 bikes.
What is the latest market trend in the two-wheeler segment?
80 percent of the two-wheeler users prefer automatic two-wheelers, which have self-start mechanism. The balance 20 percent of the two-wheeler segment comprises of motorcycles.
What do you attribute this trend to?
Female riders have increased. Students use scooters as a utility vehicle. Moreoever, new features like tubeless tyres, low maintenance, more user-friendly scooters have upped the demand quotient for scooters.
How do you look at the premium segment of the two-wheeler market shaping out in Goa?
The premium segment is very limited. By and large, these two-wheelers are priced upwards of Rs 1 lakh. Basically, these scooters are purchased more for their snob value. In South Goa, as per official figures, such scooters in the premium segment sell only 30 to 35 per month.
How do you view the competition, given many dealership outlets and a wide range of brands?
Customers want transparency. Honda website contains prices of its two-wheelers at different dealership outlets all over India. Honda also believes in after-sales service. We offer break-down service around 30 kms radius of our outlet. Apart from this, timely reminders to all customers regarding their service, online registration facility, scooter delivery within one hour are some of measures to beat competition. Moreover, confidence of our customers regarding our past service, word-of-mouth publicity, interaction with customers through customers meets, private technicians' meet have also helped us.
What obstacles have you faced so far?
Government has to revise tax rates for two-wheelers and scale them down vis a vis other states so as to attract more revenue to the State coffers. This will also provide an incentive to the floating population, who are the major customer for two-wheelers, to buy and hence register their two-wheelers in Goa itself. In the absence of this, the floating population from states, buy their two-wheelers in these states and register them there after which they ride these two-wheelers to Goa. This is in view of the recent court judgement which enables vehicles registered in any state the mobility throughout the country, including permanent stay by its owner with his vehicle in any State. Goa loses vital tax revenue in this process. We too lose our business.
Can you quantify such losses?
The auto industry in the State employs 5000 people while Goan auto industries are in the hands of locals. Total revenue collected by the State from the auto industry is Rs 300 crores annually. We expect the government to provide us warehouses at a cost in addition to making space for a truck terminus.
Director of Goa Rajee Auto Pvt Ltd, Vallabh Kunkolienkar (partially seated in the photo), who is also the secretary of Goa Automobiles Association and MD Vinay Kunkolienkar (standing in the photo)
