In a move that could possibly upset its purists widely, Royal Enfield is reportedly pondering on entering the 250-cc segment with a new iteration that the company could soon unveil. The move is to compensate for the slump in volumes and market share that the company witnessed last month.
The RE brand has for long enjoyed healthy sales in the Indian market with their retro modern offerings such as the Classic and Thunderbird series. It also stole the show after introducing India’s first entry-level adventure motorcycle, Himalayan. However, recent numbers suggest that the brand has gone off the radar of youth who are looking for an upgrade.
The enthusiasm could be affected due to the increase in prices by 8 to 10 per cent in the last couple of years, transition to BS-VI emission norms, a spike in insurance cost and the introduction of mandatory ABS systems.
Speaking of the new 250-cc segment, reports suggest that the bike is being currently studied at the company’s Indian R&D centre even as the UK Technical Centre moots new, bigger displacement bikes for the global markets. Further details of the bike have not been unveiled yet.
Until recently, the company enjoyed one of the highest operating profits among automakers in India. This was majorly credited to its ability to pass on higher costs to customers with ease.
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