Demand is returning to pre-pandemic levels, confirms Royal Enfield as the manufacturer optimistic to move higher.
While Royal Enfield motorcycle sales at around 551,000 units in CY21 are much lower than pre-Covid-19 peaks, demand is gradually returning to pre-pandemic levels, a top company executive said. In CY18, the company had sold approximately 838,000 motorcycles, falling to 691,000 motorcycles in CY19 and 540,000 in CY20.
“In terms of booking numbers, we are close to pre-pandemic levels,” B Govindarajan, executive director of Royal Enfield, told FE. “But due to the existing semiconductor shortage, we have not been able to supply that much.
He attributed the resurgence in demand, at least in the 350cc to 650cc mid-engine segment, to infrastructure build-up in the country. “Over the past two months, we have even seen the mood improve in rural areas.” “But the problem of the shortage of semiconductors is not behind us yet,” Govindarajan added.
“If there hadn’t been a shortage, we would of course have sold more engines. Even now we are in constant contact with those who have booked our bikes and are waiting,” he said.
At the same time, he added that everything that could go wrong has already gone wrong: winter storm shuts chip factories in Texas in early 2021, fire at Renesas Electronics’ chip factory in Japan in mid-2021, and a spate of Covid-19 cases in Malaysia in late 2021. there are no natural disasters this year and 5G adoption is not happening at breakneck speed, the supply of semiconductors is improving. “Now the situation seems to be easing and we are on a ramp-up path,” he added.
Earlier this week, Royal Enfield launched the Scram 411, the Himalayan adventure crossover motorcycle. Priced from €203,085 (ex-showroom), it is immediately available for sale in India and will make its debut in the European and Asia-Pacific markets by the middle of this year.
“The Himalayas’ globally acclaimed versatility and competence inspired us to reinvent the motorcycle in a younger, modern, urban context. The Scram 411 is the perfect crossover for young urban dwellers who prefer a bike that is fun and engaging to ride around town, yet has a rugged appeal,” said Govindarajan.
This post Booking numbers close to pre-pandemic levels: Royal Enfield was original published at “https://www.financialexpress.com/express-mobility/booking-numbers-close-to-pre-pandemic-levels-royal-enfield/2465215/”