Defying industry decline for third consecutive month after demonetization, Honda Motorcycle & Scooter India (HMSI) began 2017 with all time high market share.
HMSI’s sold a total of 389,486 units in January 2017, up from 378,689 vehicles sold in January 2016, registering a growth of 3 percent as against the 8 percent decline of industry.
January 2017 also made Honda to emerge as the highest market share gainer in the two wheeler industry with an increase of 3 percent to acquire 29.2 percent in the domestic market.
The domestic two wheeler industry continued to decline by 7 percent in January 2017 but HMSI domestic sales jumped 2 percent from 361,721 units in January 2016 to 368,145 vehicles in January 2017.
Honda 2Wheelers domestic sales significantly jumped a 79 percent and Honda gained a whopping 7 percent market share compared to corresponding figures of December 2016.
Meanwhile Honda’s exports too increased by 40 percent despite a 10 percent drop in industry year-to-date.
Yadvinder Singh Guleria, Senior Vice President – Sales & Marketing, Honda Motorcycle & Scooter India Pvt. Ltd. said, “January 2017 saw customer sentiments improving at the onset of festive and marriage season. Growing even when industry declined, Honda has entered 2017 with all time high domestic market share of 29.2%.”
Singh said the impact of demonetization was felt maximum on rural segment and the Union Budget 2017-18 presented has firm thrust on rural and agro-economy through farm credit, rural infrastructure, poverty alleviation, road construction and direct taxation benefits.
With almost 50 percent of two-wheeler demand coming from rural and semi-urban India, he said the Budget 2017-18 should have a positive impact for the industry going forward.