Wednesday, June 30, 2010

TVS to Double Scooter Sales Revenue in 2010-11

Tamil Nadu based TVS Motor is expecting to double its revenue from scooter sales in the current fiscal on the back of its newly launched vehicle `Wego' and robust market growth, a company official said.

'Our sales from scooter segment will reach Rs. 1,500 crore- Rs. 1,600 crore in the current fiscal because of our new offering Wego in the market and good growth happening in country's scooter market,' Company's General Manager (Marketing), S Srinivas said.

This is twice of its revenue from scooter sales in 2009-2010, where it netted Rs. 800 crore from sales in its scooter range including Teenz, Pep and Streak.

TVS is now eyeing sales of 4.8 lakh units of scooters this fiscal against 3 lakh units sold last year. 'Last fiscal, we were selling 25,000 units a month and this fiscal, we expect our sales should reach 40,000 units a month,' he said. Scooter segment constitutes almost 20 per cent of total two wheelers sales of TVS.

Srinivas, who was upbeat about growing scooter segment market in India, said women mobility and urban convenience were prime factors in pushing up the growth of country's scooter market to a level of 40-50 per cent.

The scooter market in India currently has grown to 1.70 lakh units a month as against 1.25 lakh units a month in 2009-10.

TVS has strong market share in scooter segment in Gujarat, Maharashtra, Tamil Nadu and Karnataka. TVS's new scooter Wego comes with 110 cc engine with body balance technology. It has been priced at Rs. 41,762 a unit.

Indian Express

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