With the instant triumph with the launch of FZ series bikes some two years ago, Yamaha Motor is polishing its mind to focus on entry-level bikes. This bike has the 50% market in India and is the stronghold of Hero Honda with 75cc-125cc engine. On April 14, the company is launching YBR, a 110cc bike followed by the SZ 125cc during the later part of 2010. With the current 3% share in the 9-million unit two wheeler Indian market, Yamaha is eyeing to increase its share to 10% by 2012.
The company is craving new models on phases to have steady growth . the present ranges are Alba, G5, Crux of entry levels. These are not good enough to romp home the credit as RX100(of the 1990s). the competitors, Hero Honda, Bajaj Auto could offer better bikes with fuel efficiency for the same price. Yamaha gets the due sale of its bikes from FZ series(by 50%)- FZ-16, FZ-S and Fazer. Its 125-250cc ranges do better( which comprise 23% of the net sales).
The high-end bikes are meant for metro cities only and the new entry-level bikes might help Yamaha reach the nook and corner of the nation. To avail this, the dealership volume would be increased to 1500 from the current 1100. The company has, by now, cleared the decks by redefining the flaws of the past- low volumes, sales and service. On the lines of Hero Honda, Yamaha too rides to the semi-urban and rural segments to boost the sale volume.
Yamaha can survive in this entry-level market, if the past flaws are totally wiped out, said an expert of the industry.