AIM AND OBJECTIVE

Our companys aim is to become a global leader in the mid-sized motorcycle segment and
expand its business in Karnataka, Royal Enfield Head (Sales, Services and Spares) Shaji Koshy
told PTI here. The company plans to expand its city-wise growth in global market by opening city-
based stores rather than opening dealerships, Koshy said.

Internationally, we want to grow city-wise. We have two stores in London and Paris. We also
have the stores in Jkarta, Paris, Columbia and Barcelona.

Our strategy will be to create the brand understanding in cities, first and create customer eco-
system and then expand nation-wide, he said. To begin with we had planned 100 dealerships
across Indian cities and in next five years we increased it to 570 dealerships, he added.Talking
about Karnataka market, Koshy said the company had registered 81 per cent growth over
corresponding period of April-July in the last two years with sales of over 18,000 units in last four
months (April 2016 July 2016).

We plan to open eight more dealerships by March 2017,he added. By the end of this fiscal
(April to March), the company aims to set up 650 more dealerships across the country.

On Royal Enfield Himalayan bikes, he said that despite being the first motorcycle in its category
in the country, it had been well received by customers, especially in Karnataka. The state
currently accounts for more than 25 per cent of Himalayan sales registered across India, a trend
we expect to continue.

In fact, Royal Enfield has traditionally performed remarkably well in Karnataka with presence in
47 locations. We have registered 81 per cent growth, he stated. Responding to a query on the
companys capacity-building units, Koshy said its third unit is expected to come up at Vallam
Vadagal near Chennai and will be operational from this year. Currently, Royal Enfield has
manufacturing units in Thiruvottiyur and Oragadam, he added.