Two-wheeler Industry - Crasher

2 WHEELER INDUSTRY : SNAPSHOT

Industry Size and Growth
Share of different segments

Market Share Trends

Future Growth Outlook

The size of 2 wheeler industry in India was Rs, 810 bn in 2013-14 and grew at a
CAGR of about 15% in the last 5 years.

INDUSTRY SIZE AND GROWTH

The Indian two-wheeler industry's revenues are estimated to have grown to about
Rs 810 billion in 2013-14, with the domestic market size about Rs 710 billion.
Sales volumes are expected to have grown to 16.9 million units over 2008-09 to 2013-14
at a CAGR of 14.9 per cent.
A significant rise in the number of addressable households in rural areas and better
penetration in urban markets aided growth during the period.

Though motorcycles still form the largest category, share of scooters have
increased significantly in the last 5 years.

SHARE OF DIFFERENT SEGMENTS

Source: SIAM
4

Hero Moto corps market share has been decreasing steadily while HMSIs share
has increased significantly.

OVERALL MARKET SHARE

Source: SIAM
5

2-wheeler industry is expected to grow at a CAGR of 8-10% between

2013-14 to 2018-19 with Scooters registering faster growth.
FUTURE GROWTH OUTLOOK
Domestic two-wheeler sales is expected to increase by 8-10 per cent CAGR to 23-24
million units by 2018-19.

Scooters will continue to be the fastest growing segment at 13-15 per cent CAGR, aided
by continued focus of manufacturers on urban markets, expanding distribution
network in semi-urban and rural areas, model launches, and better product positioning.
Motorcycle sales are likely to register between 7-9 per cent CAGR, backed by strong
rural sales,