2-Wh Business (Domestic)

S. Sridhar
CEO 2Wh

1st August 2009

Agenda
Industry Trend
Industry Insights
Segment Trends
BAL Performance

August 3, 2009

BAJAJ AUTO - 2 Wh

Industry Trend

Industry Trend
Category Trends - Volumes - Domestic
7,000,000

6640000

6586443

5826793

6,000,000
5826678

6224000

5749867

5,000,000
4725996

4,000,000

3898751
3396409

3,000,000
2537061
2,000,000
1733147
1161356

1396895
1,000,000
378,690

409,193

412,728

659,266

530,009

747,523

791676

878829

04 05

05 06

06 07

1032809

0
99-00

00-01

01 02

Mopeds

August 3, 2009

02 03

03 04

Scooters (G)

Scooters(UG)

BAJAJ AUTO - 2 Wh

Motorcycles

07 08
Step Thrus

08 09

09 10

Series6

Motorcycle Industry Month wise Forecast

Domestic Motorcycle Industry - Monthwise
750000

600000

450000

300000
Apr

May

Jun

Jul

Aug

2006-07 Dom

August 3, 2009

Sep

Oct

2008-09 Dom

BAJAJ AUTO - 2 Wh

Nov

Dec

Jan

Feb

Mar

Estimated 2010

Industry Insights

Industry Insights
Vehicle Penetration
Population Strata
Age
Occupation
Household Income
Repeat Vs First Time
August 3, 2009

BAJAJ AUTO - 2 Wh

All India Penetration

Overall Penetration

13
Motorcycle
16.1

23.7
2-Wh
26.5

10

15
2008

August 3, 2009

BAJAJ AUTO - 2 Wh

20

25

30

2006
8

Penetration Motorcycles (Population Strata)

Motorcycle - Penetration
8.2

Rural areas

10.1
22.0

Towns

28.4
27.7

1-10 lakh cities

33.3
30.9

Other 1 million+ cities

36.8
18.8

Top 7 metro cities

22.9

13.0

All India
0.0

16.1
10.0

20.0

2008

August 3, 2009

BAJAJ AUTO - 2 Wh

30.0

40.0

2006

% Contribution By Population Strata

40

1 million+
cities

35

Rural areas

30

25
1-10 lakh
cities

20

Towns

15

10

August 3, 2009

BAJAJ AUTO - 2 Wh

10

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

1996

1995

1994

1993

1992

1991

1990

1989

1988

1987

1986

1985

1984

BAL: Metro Vs. Rural M/C

Metro Vs. Rural MS%

August 3, 2009

2008 MS%

Metro Cities

31%

Rural

22%

Difference

9%

BAJAJ AUTO - 2 Wh

11

Discussion Rural Vs. Urban :

BAL Strategy

Penetration by Age
Penetration - By Age - M/C
50+ years

15.6

46 - 50 years

15.6
14.8

41 - 45 years
12.6

36 - 40 years

12.0

31 - 35 years
9.2

26 - 30 years
5.9

Upto 25 years

18.5

15.8

13.7

11.6

13.0

16.1

10.0
2008

August 3, 2009

20.5

7.5

All India
0.0

17.9

20.0

30.0

2006

BAJAJ AUTO - 2 Wh

13

Contribution By age
45
Over 20 up to 30 years

35
Over 30 up to 40 years

25
Over 40 years

15
Up to 20 years

August 3, 2009

BAJAJ AUTO - 2 Wh

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

1996

1995

1994

1993

1992

1991

1990

1989

1988

1987

1986

1985

1984

14

BAL: Below 20 Vs. Above 40 M/C

2008 MS%

August 3, 2009

Below 20

35%

Above 40

24%

Difference

11%

BAJAJ AUTO - 2 Wh

15

Penetration by Occupation
Penetration - By Occupation - M/C
1.9
3.0

Others

4.5
4.0

Not Mentioned

24.3

Retired
10.5

Farmer
6.9

Skilled Worker

13.9

9.2
28.4

Employed Govt/Company/Firm

29.8

Self Employed/ Business/Trade

13.0

All India
0.0

10.0
2008

August 3, 2009

28.7

BAJAJ AUTO - 2 Wh

36.2
36.0

16.1

20.0

30.0

40.0

2006

16

Contribution by Occupation
55

Govt./public/private
company
employees

50

45

Self employed
40

35

30

25

20

15

Students

10

Farmers

August 3, 2009

BAJAJ AUTO - 2 Wh

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

1996

1995

1994

1993

1992

1991

1990

1989

1988

1987

1986

1985

1984

17

Penetration By Income
Penetration - By Household Income - M/C

Over Rs.50000

60.0

Rs.25001 to Rs.50000

59.8

Rs.16001 to Rs.25000

53.4

Rs.8001 to Rs.16000

42.9

Rs.5001 to Rs.8000

21.1

Upto Rs.5000

2.3

All India

16.1
0

10

20

30

40

50

60

70

2008

August 3, 2009

BAJAJ AUTO - 2 Wh

18

Repeat Vs. New Buyer

90

80

70
First Time buyers

60

50

40

Replacement
Buyers

30

20

10

August 3, 2009

BAJAJ AUTO - 2 Wh

19

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1998

1997

1996

1995

1994

1993

1992

1991

1990

1989

1988

1987

1986

1985

1984

Segment Analysis

Motorcycle Segments Major Brands

Entry (Commuter Standard)

Mid
Commuter Deluxe
Light Sports

Premium (Sports)

August 3, 2009

BAJAJ AUTO - 2 Wh

21

Segment Volumes
Segment Volumes
400000
373933

305284

300000
286517
271616
234721
200000

200005

207173

206817

172275
148655
118743
100000

98030
84702

35166

46041

62800

58148

60710

0
04-05

05-06

06-07

Entry
August 3, 2009

07-08

MID
BAJAJ AUTO - 2 Wh

08-09

09-10

Premium
22

Segment Share
Segment Share
80%

70%
67%
63%
60%
56%
50%

40%

52%
49%

48%

42%

42%
38%
31%

30%

24%
20%
13%
10%

9%

11%

9%

18%
15%
13%

0%
04-05

05-06

06-07

Entry

August 3, 2009

07-08

MID

BAJAJ AUTO - 2 Wh

08-09

09-10

Premium

23

Entry Segment
CD Deluxe

Platina

TVS Star

August 3, 2009

BAJAJ AUTO - 2 Wh

24

Entry Volume and MS%

BAL Entry
90000

50%

75000

74693

81245

78135

44%

60000

57065

45000

39%

38%

38%

45169
38%

40%

30000
15000
0

30%
04-05

05-06

06-07

Volume

August 3, 2009

07-08

08-09

BAL MS

BAJAJ AUTO - 2 Wh

25

MID Segment
XCD
135

Discover
DTS-Si

August 3, 2009

Passion

Splendor

BAJAJ AUTO - 2 Wh

26

Discover DTS-Si

Long distance Bike (100

Km/day)
Durability
Comfort
Mileage

Discover, The Brand

Rs. 40000 Ex-showroom

August 3, 2009

BAJAJ AUTO - 2 Wh

27

MID Volume and MS%

BAL Mid MS%
75000

30%

60000

56131

20%

48148

45000

20%

15%

18%

35969

32375

30000

10%

6%

15000

11%

12868

0%
04-05

05-06

06-07
Volume

August 3, 2009

07-08

08-09

BAL MS

BAJAJ AUTO - 2 Wh

28

Premium Segment
Pulsar

Hunk

August 3, 2009

FZ - S

Apache

BAJAJ AUTO - 2 Wh

29

Premium Volume and MS%

BAL Premium MS%
90000

71%

80%

72%

75000

65%

60%

54%

60000

47%

45000

40%
35865

32373

31465

30000

28825

23181

20%

15000
0

0%
04-05

05-06

06-07
Volume

August 3, 2009

07-08

08-09

BAL MS

BAJAJ AUTO - 2 Wh

30

Pulsar Performance Analysis

BRAND

FY 04-05 FY 05-06

FY 06-07

FY 07-08

FY 08-09

PULSAR 150

20736

28634

30528

21965

19602

PULSAR 180

745

1324

4064

6557

6049

PULSAR 220

791

499

PULSAR 200

225

2700

1912

21480

29958

34822

32014

28061

745

1324

4294

10049

8459

Share

3.47%

4.42%

12.33%

31.39%

30.15%

Premium Industry

35166

43663

55568

59500

61541

61%

69%

63%

54%

46%

TOTAL PULSARS
Share of 180 and above
Volume of 180 cc +

Pulsar MS%
August 3, 2009

BAJAJ AUTO - 2 Wh

31

Overall MS% Performance

BAL MS%
40%
30%

30%

32%

29%

30%

25%
22%

20%

10%

0%
04-05

August 3, 2009

05-06

06-07

07-08

BAJAJ AUTO - 2 Wh

08-09

09-10

32

Performance Summary
Scenario - 1

08-09

09-10

Growth

BAL Volume

106369

140633

32.2%

Industry

485568

556665

14.6%

MS%

21.9%

25.3%

Scenario - 2

08-09

09-10

Growth

BAL Volume

106369

130000

22.2%

Industry

485568

519558

7.0%

MS%

21.9%

25.0%

August 3, 2009

BAJAJ AUTO - 2 Wh

33

Thank You