Bajaj to launch 4 new 125cc bikes

Bajaj Auto Ltd, India's second-biggest motorcycle maker, said it would launch four new 125 cc bikes in the fiscal year starting April, as it seeks to maintain profitability in a tough market.

Bajaj, which trails the leader Hero Honda, said 125cc bikes had grown to account for 36% of the market by sales, and had a higher share of its profitability.

"In view of this unmistakable consumer trend in favor of 125cc motorcycles Bajaj has planned to launch four new 125cc motorcycles in FY2008/09," Managing Director Rajiv Bajaj said in a statement.

"In an economy that is currently inflationary and in a market that is expected to continue to be generally difficult, Bajaj believes its strategy will continue to provide for stable profitability," Bajaj said.

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Bajaj alleges TVS for smear campaign

According to a Bajaj Auto release, two people employed with TVS Motors outlets in central and eastern India have been caught red handed distributing leaflets allegedly containing misleading and wrong information on Bajaj products.

Bajaj Auto alleges that due to better product initiatives taken by it, the competition have been put under 'severe pressure', driving them to completely unethical and undesirable actions.

Bajaj Auto dealers nabbed Santosh Kumar Rath and Sunil Kumar Sahu distributing leaflets stating Bajaj Auto is "phasing out the Bajaj Platina 100cc motorcycles and that the ongoing discount on the bike is a part of stock clearance sale". Rath is an employee of Krishna TVS of Puri, Orissa, a Bajaj press statement said today.

Vimal Sumbly, national sales manager, Bajaj Auto, said: "The Platina has met with a tremendous response from consumers. We have no plan of discontinuing this hugely successful product. We are monitoring these types of unethical practices by competitors very closely. We see these activities as desperate measures by them to arrest the overwhelming success of our brands."

"We will not tolerate such unethical behavior on the part of the competition and we are planning to take police action at every location to bring this to a stop", he further added.

A TVS Motors spokesperson, said "TVS is unaware of any such action. The company will not indulge in any such activities and shall investigate the matter".

Bajaj also holds the 'competition' responsible for spreading incorrect news on the company's XCD125 motorcycle last week, that the bikes were being recalled for rectification.

An FIR has been filed against Krishna TVS by the Puri dealer of Bajaj Auto. Bajaj claims that it has received information that a similar vilification campaign is being carried out in Surat, Gujarat.

Meanwhile, Bajaj claims its recently launched product � XCD125 has sold 65,000 units in the first fifty days of its launch, making it the segment's top selling bike. In September the company sold 18,000+ units of the motorcycle.

Following the positive response, the company plans to hike monthly production to 75,000 units in November � two months ahead of schedule.

Amit Nandi, general manager (marketing), Bajaj Auto, said: "Fifty per cent of XCD 125 volumes are coming from competition, a majority of them being 100cc users. XCD 125 is a compelling package that 100cc customers are finding very difficult to resist."


Source:- Business-standard

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Hero Honda ready for festive season

ero Honda Motor Company, the country�s largest two-wheeler manufacturer, said it expected sales to revive in the festival season.

The two-wheeler industry had been hit the most with growth in sales falling in almost double-digit in the last few months on account of high interest rates.

Last month, Hero Honda posted a 4.98 per cent growth in its sales as against its rivals, Bajaj and TVS saw a 32.10 per cent and 56 per cent decline in sales respectively.

The company said that as some banks had announced rate cuts ahead of the festive season, it was setting the tone for good times ahead.

�We are looking at the festive season and expect preponement of purchases. However, there are macro-economic conditions which have led to the decline of the industry,� said Anil Dua, Vice-President, Sales and Marketing, Hero Honda Motor, at a press interaction on the company reaching its 2-crore mark of production on Friday.

Source:- Sify

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McGregor Holds Auction For Motorcycle Journey

Actor Ewan McGregor is giving two motorcycle riders a once in a lifetime opportunity - a chance to ride with him as he competes the last leg of his lengthy 20 countries trek.

The Scottish actor and friend Charley Boorman started their monumental motorcycle journey from London to Cape Town, South Africa, last month in a bid to raise money for charity.

Ewan McGregor

And to celebrate the final stage of the trip they are giving two riders a chance to join them. The auction will take place on Thursday with proceeds going to Riders for Health, an organization that provides healthcare in Africa.

McGregor says, "The work Riders for Health do is vital, bridging the gaps between communities and bringing health services to the people of Africa."

Riders for Health CEO Andrea Coleman says, "(The auction provides) a completely unique opportunity to become involved in something that simply cannot be repeated."

Source:- Starpulse

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