With 25 per cent sales from the region, Royal Enfield, a division of Eicher Motors India, is expanding majorly in the eastern market.

The company is witnessing maximum sales growth in the East buoyed by infrastructure growth, increasing buying power and the growth in the north-eastern states.

“The last two years have witnessed maximum growth in the East,” said Yadvinder Singh Guleria, chief commercial officer, Royal Enfield.

“The East sales have grown almost 1.3 times the growth of our national sales. While the East contributes 25 per cent to our national sales, the North contributes 30 per cent and the South 28 per cent. The West gives us 17 per cent of sales,” said Guleria.

In 2022, the contribution from the North was 32 per cent, South 30 per cent, East 22 per cent and West 16 per cent.

The growth in the east was spurred by the launch of Hunter 350 in August 2022.

Hunter is Royal Enfield’s 350 cc motorcycle based on the J platform.

Regarding price and accessibility, the product addressed a new customer base.

Typically, a Royal Enfield customer was a middle-aged person with a family. But Hunter addressed the young with its lightweight, agile and small wheelbase characteristics.

“Hunter sales are maximum in the east and West Bengal is the number one state for Hunter,” said Guleria. Priced at Rs 1.5 lakh, Hunter is bringing first-time buyers to the company.

Finance penetration is also helping in sales growth: while the rate of financing five years ago was 40 per cent in the east, it is 69 per cent now, said Guleria.

The company is also on a network expansion drive in the east. From 306 outlets in the region in 2019-20, it has 470 outlets in 2023-24.

To ensure the ready availability of spares, the company has inaugurated a 50,000 sq feet warehouse at Bagnan. “We have improved our availability of parts from nine on an average to three days,” said Guleria.

Royal Enfield, which is present only in the midsize segment starting from 350cc
to 750cc, witnessed a growth of 19 per cent from April to November 2023 with a 90 per cent market share in the segment.

The company showcased its EV test vehicle at Milan Motorcycle Show 2023 called Himalayan Test Bed. It will launch its first EV in 2025.