Royal Enfield has surpassed Harley-Davidson in terms of global sales in the year 2014. Royal Enfield sales increased by 70% as compared to 2013.
Royal Enfield, a company owned by Eicher Motors, raced past Harley-Davidson in terms of global sales. Royal Enfield was able to increase its sales by 70% as compared to last year whereas Harley-Davidson could manage only 3% increase. Royal Enfield sold just over 3 lakh bikes in 2014 whereas Harley-Davidson sold around 2.67 lakh bikes. Harley-Davidson sells at a huge premium over Royal Enfield bikes in India. But, what’s commendable is the turnaround by one of the world’s oldest motorcycle brand, Royal Enfield. About a decade ago, the British brand’s sales were very low due to their old and unreliable iron cast engines.
Royal Enfield has upped its game in the past decade. They have a newly derived company logo, a newer engine and new colour schemes for the bikes to increase their appeal. Suspension and overall technology has also been considerably improved. They have been able to reduce the waiting period by starting up a new plant and have also evolved into a brand which caters to a wider audience. All these changes have been possible due to the able leadership of Mr. Siddhartha Lal, MD and CEO of Royal Enfield. He has been able to increase the sales from 1.13 lakh units in the year 2012 to just over 3 lakhs units in the year 2014.
We feel the increase in sales has been possible due to the radical changes brought in by the company and because of the nostalgia associated with the brands. Lately, younger folks have been attracted to Royal Enfield bikes and have been buying their motorcycle because their father or grandfather had one. Many people perceive these bikes to be tough and indestructible. The sales figures also mean that the mid-size engine cruiser sales have been on a constant rise whereas the larger capacity cruiser bike demand has been more or less stagnant. It would be interesting to watch the trend in the coming years.