Due to overwhelming demand, Hero MotoCorp plans to boost monthly production of its high-end bikes to 10,000 units. The business focuses on the expensive two-wheeler market and intends to deliver between 30,000 and 40,000 units over the next four months. Deliveries of the Harley X440 began on October 15, with over 2,000 units already delivered. Hero will introduce its version of the Harley X440 next year.
In a discussion with analysts after the Q2 earnings call, Hero MotoCorp's CEO Niranjan Gupta mentioned that they plan to begin with a production capacity of 10,000 units per month for both the Karizma and the Harley Davidson X440. They intend to increase this capacity in the future as their main goal is to succeed in the premium motorcycle market and secure a significant market share.
Since they started taking concerns, Hero MotoCorp has scheduled 25,000 Harley Davidson X440s and 14,000 Karizma XMRs. CEO Gupta claims their premium motorcycle industry is off to a great start and that they have a comprehensive strategy in place to manage availability, pricing, promotion, and product selection. On October 15, they started shipping Harley 440 bikes to 100 locations; thus far, more than 2,000 deliveries have been done. Over 250,000 orders have been made for Harley-Davidson motorcycles after an additional 2,000 bookings were received. As supplies rise over the next four months, Gupta expects faster deliveries.
Hero MotoCorp's premium motorcycle push will persist in the upcoming quarters. They plan to release their own version of the Harley Davidson X440 in March 2024. CEO Gupta is confident that the excitement around their products will continue for the next 4-6 quarters.