Royal Enfield starts its Indonesia journey from Jakarta with the intension of expanding its presence to other cities in the near future.
Indian heavy-weight motorcycle giant Royal Enfield said it will start selling its vehicles in Indonesia with exclusive retail outlets soon.
Royal Enfield has made announcement over its entry into Indonesia and future plans in the country at GAIKINDO Indonesia International Auto Show 2015 ((GIIAS 2015) today.
According to Royal Enfield, it looks for a good market in Indonesia, which is known as the third largest two wheeler market in the world. The company’s Indonesia entry is part of its international expansion plans, targeting the global mid-sized motorcycle segment covering 250cc-750cc.
Currently Royal Enfield, a division of India-based multi-field vehicle maker Eicher Motors Ltd, is the market leader in heavy-weight and leisure motorcycle segment in India. The company is in the process of expanding its presence across the world.
The company has displayed its range of motorcycles including the Bullet 500cc, the Classic 500cc and Classic Chrome, and the Continental GT cafe racer at GIIAS 2015.
In addition Royal Enfield has also showcased its gear collection including protective riding gear and its Despatch Rider apparel and accessories collection at GAIKINDO Indonesia International Auto Show.
Over the company’s interest in Indonesia, Abhijit Singh Brar, Head- Marketing, Royal Enfield said “Leisure motorcycling culture has been already established in Indonesia. We believe that our Royal Enfield motorcycles will suit extremely well to the country’s beautiful terrain and lovely coastline, encouraging more and more people to ride out”.
Royal Enfield has a partnership agreement with PT Distributor Motor Indonesia, which will be the company’s dealer in Jakarta, the capital city of Indonesia.
With this set up, the motorcycle marker will commence its retail sales in the coming months from its exclusive dealership outlet to be established in Jakarta. In addition to the showroom, PT Distributor Motor Indonesia will also set up service centre for Royal Enfield in Jakarta.
Detailing on Royal Enfield’s business strategy for Indonesia, Arun Gopal, Head – International Business, Royal Enfield said “Royal Enfield witnessed a phenomenal growth of over 50 percent year-on-year in the past five years. The middle weight segment is underserved globally and we aim to serve in this sector.”
Gopal said the future growth for Royal Enfield is expected to come from the markets like India, Latin America and South East Asia, given their size and commuting trends. The company entered Colombia last year as part of its global marketing strategy.
To begin with, Royal Enfield will commence its retail operations in Jakarta and expand it to other region in Indonesia based on the response.