Bajaj NOT to make another attempt at entering the scooter segment!!

The scooter/moped segment in India really is one to behold, it is growing rapidly and with every passing day, thousands more are added to the roads. A huge number of consumers prefer automatic scooters for the convenience and practicality on offer and as a result of this, all the top two wheeler manufacturers are entering, or are looking forward to enter the two wheeler segment as everyone wants their share of the profits scooter manufacturers are making.

bajaj-blade-125-gearless-scooter-frontBajaj Blade 125cc scooter – FrontView

Even though there are many companies looking forward to enter the scooter segment, there are a few exceptions. Top end two wheeler manufacturers like BMW, Ducati, Aprilia etc. would never even consider launching a product in the scooter segment, but the big surprise is that, Bajaj too wants to stay out of the scooter segment.

It really is ironic for Bajaj to stay away from the scooter segment as, Bajaj was the company which put India on two wheels way back when they had launched the Chetak series of scooters. Bajaj was the first company in India to launch a scooter and scooters remained their stronghold until the low capacity performance motorcycles came along, more than a decade ago.

After the successful launch of the Pulsar series of motorcycles, Bajaj put scooters on the sidelines and decided to concentrate only on the production of motorcycles and this strategy served them pretty well. In 2007, Bajaj tried to re-enter the scooter market in 2007 by launching a motorcycle named Kristal which wasn’t a great success and production was soon stopped, and now they have announced that they will not be attempting to manufacture scooters anymore.

bajaj-blade-125-gearless-scooter-sideBajaj Blade 125cc scooter – RearView

Along the sidelines of the new Bajaj Discover launch, Mr. Rajiv Bajaj, Managing Director, Bajaj Auto, stated that the firm is not in the market for scooters or mopeds, but to be a profitable global brand, with quality products that build a brand reputation for the company around the world. The company feels that the motorcycle segment, which contributes around 73% of the sales is the place they should be in instead of entering a segment with lesser prospects.

The motorcycles sold by Bajaj are selling very well indeed, its pulsar series of motorcycles, as well as the discover series of motorcycles are the top sellers not just in the Indian subcontinent, but also in its export markets like Nigeria, Colombia, Bangladesh and Philippines. Add to this, the excellent prospects and brand image of their Austrian subsidiary, KTM whose sales are growing day by day and Bajaj is able to generate enough revenue through their sales around the world which gives them a chance to ignore the scooter segment.

It is interesting to see Bajaj step away from the norm, while all its rival companies such as Hero Motocorp, Honda, Yamaha, TVS and Suzuki are all going berserk launching new products in the scooter segment. Considering their achievements in the past and product launches in the near future, we think Bajaj can really mold themselves into a premium motorcycle manufacturer even though they don’t enter the burgeoning scooter segment.

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Also see – Bajaj’s upcoming scooter might be the Blade 125