Sushant Kumar SinhaMBA-PM, Batch-13Roll No. 58

A Marketing Management“Miracle”

Evolution Made in England, Sold in India from 1949 Redditch Company partnered with Madras

Motors to form “Enfield India”, on the requirement of 800 bikes by Indian Military forces, 1955

Launch of “350cc Royal Enfield”, 1955 Eicher Group bought into Enfield India, 1994

Around year 2000, board of directors at Eicher Motors decided to either shut down or sell off Royal Enfield, as the sales of the bike was down to 2000 units a month against the plant’s installed capacity of 6000 and losses had been mounting for years.

Resurrection Mr. Siddhartha Lal (Promoter) along with

Mr. R.L. Ravichandran (CEO) gave the necessary face lift to the dying brand.

Challenge to the ManagementIncrease the market share of the bike without compromising the individuality of Royal Enfield and competing with various other existing manufacturers in the industry.

Strategy for Face Lift Study of Consumer satisfaction

Market study for the problem faced by existing customers pertaining to various components of the bike which led to the decline of sales.

New Engine DevelopmentDecision to move on to a new engine to overcome all the existing problems faced by current engine by the study of various leisure bike manufacturers across the globe to increase the fuel efficiency, reduced weight and swapping of gear and braking system

Continued… Targeting Leisure Customers

Instead of launching a lower segment product for the different consumer base, which already has plenty of other players, it focused on introducing more variants for the premier end customers (Cruiser Bike- Thunderbird)

Sales through Company owned ShowroomsOpened company owned showrooms to raise customer satisfaction

Advertisement- Strategy Showcasing at Auto Expo, 2008

Presenting the Royal Enfield and Thunderbird at Auto Expo 2008, with conquering the terrain them

Unique AdvertisementWith Royal Enfield Leave Home campaign

Since then company has not come up with new advertisements, rather now company uses various other promotion strategy and most importantly word of mouth for their sustained and increased sales

Promotion- Strategy Organizing nation wide tours

Company organizes annual nation wide tours for the existing owner their bike to showcase the performance of bikes in the rough conditions and for enriching the customer experience

Factory TourCompany offers factory tour to the bike lover on every 2nd and 4th Saturday, where customers are taken to assembly line.

OutcomeIntroduction of Variants Continental GT Thunderbird 500, 350 Classic Dessert Strom, Battle Green, Chrome,

500, 350 Bullet 500, 350, Electra

From the initial annual capacity of 72000 bikes to current capacity of 1.5 lac bikes and still with piling order for over a period of six month company has planned to increase the production up to 3 lac bikes to meet the ever increasing demand from domestic and International market as well.

FutureWith the arrival of global brand Harley-Davidson, the company may face a tough competition in the leisure bike segment.

But the company seems prepared for the new challenges and it was clearly seen by its recent introduction of “Continental GT” to cater the demand of still higher segment bikers

Thank You