Bajaj Auto has announced a partnership with UK based Triumph Motorcycles to manufacture and sell middleweight motorcycles in India. The targeted segment, generally with motorcycles having engine capacity between 250cc to 600cc, is currently untested by both the players. Bajaj Auto has its offering in the lower segment, whereas, Triumph manufactures vehicles much beyond that range. The partnership will help both the companies to target the segment, which is currently ruled by Eicher Motor’s Limited owned Royal Enfield.
Bajaj currently offers one bike in the middleweight segment, 375cc Dominar. Whereas, the whole of Royal Enfield’s offering falls into that range. Since the last couple of years, buyers have been betting for bigger motorcycles, which made Royal Enfield see an increase of 30% in sales in 2016. In the mentioned year, the company had sold 651,107 bikes.
The partnership of two well-known names in the two-wheeler segment comes after noticing an upward trend in the popularity of Royal Enfield. Since last few years, the brand has been gaining a lot of interest in India as well as in other parts of the world. This partnership also gives an opportunity to both the brands to increase their offerings and to establish themselves in a segment, which they never targeted. Bajaj will be manufacturing the bikes under the signed agreement.
Speaking on the development, the companies stated that this partnership will mutually benefit the companies while using their expertise. According to the deal, manufacturing and engineering of Bajaj will come in handy to manufacture great products and at the same time, Triumph’s market position as a premium brand will help them gain popularity.
Over the last few years, Bajaj has been trying to reposition itself as a global brand. It owns 48% stake in Australia’s KTM AG.