Royal Enfield, established in 1901 and acquired by Eicher Motors in 1994, is known for its classic motorcycle design and substantial market presence, holding a market share of approximately 6.3 million units in India. The company employs a premium pricing strategy and targets a niche market of adventure bikers aged 25-45, offering products that reflect its heritage and high-quality standards. With a strong distribution network across India and 55 countries, Royal Enfield combines effective promotional strategies, including events and media presence, to maintain its brand image and support its growth.

1. ROYAL ENFIELD

2. OVERVIEW
Oldest Motorcycle company
The first motorcycle was built in 1901.
Founded in 1955 as Enfield India
In 1994, bought by Eicher Motors.
Used in World War II
Headquarters in Chennai.
Known for its classic design that has not changed much since from beginning.

3. Similar to its competitors such
as BSA and Triumph, the
Enfield Cycle Company started
its business as a weapons
manufacturer, mostly famous
for the Enfield Rifle.
This legacy is echoed in the
company logo which is a
canon, and their motto,
“Made like a Gun”.

4. GROWTH OF ROYAL ENFIELD IN RESPECT TO
INDUSTRY GROWTH (IN VOLUMES)

5. Competitors
DUCATI
MAHINDRA JAWA BAJAJ DOMINOR
BAJAJ AVENGER Suzuki Intruder

6. Hero Moto Corp, 35.07%
Honda, 28.49%
TVS, 14.69%
Bajaj, 10.25%
Suzuki, 4.20%
Royal Enfield
Mahindra, 0.01% Others, 4.03%
AUG 2019
MARKET SHARE
Source: Team-BHP.com
Total Market Share: 21,181,390 Units
RE Market Share: 6,354,417 Units

7. 1. Strong Brand Name
2. High Quality Standards
3. Strong Research &
Development
4. Strong Growth
5. Expanding Global
Market
6. Support from Eicher
Group
7. Effective Advertising
Capability
1. Expensive because of
Premium Pricing
Strategy.
2. Heavy Weight of the
motor cycle.
3. Low Mileage of high
cc bikes can be an
issue.
1. Two-wheeler segment
is one of the most
growing industries.
2. Expand Globally
3. Higher Disposable
Income
4. Export of bikes is
limited i.e. untapped
international markets.
1. Strong competition
from Indian as well as
International Brands.
2. Dependence on
government policies
and rising fuel prices.
3. Better public
transport will affect
two-wheeler sales.

8. Segmentation
• RE has a niche segment and is
classified as a leisure and
adventure cruiser bike in the
Tier-I and Tier-II cities.
• In Tier-III cities, it is associated
with the status/social symbol.
• Powerful bike for bike
adventurers.
• The brand is considered as a
lifestyle brand.
Targeting
• Targeting bikers in the age
group of 25-45 years of age.
• Primarily for adventurers.
• Working executives looking
for: A leisure bike & A Cruiser
Bike.
Positioning
• A powerful motorcycle for
bike adventurers.
• Masculine Bike
• Power engine bikes in
reasonable price bracket
• Rugged
• Durable Product
• Great Performance
• Heritage of over a hundred
years.
STP OF ROYAL ENFIELD

10. PRODUCT

11. PRICING
 The company is using premium pricing strategy in which it
charges high prices from its customer to create a brand image of
premium product.
• The company is also selling optional products like Bike accessories
and apparel along with is main product which are also expensive.
 Company is not proving any discounts or allowances even during
festive season to the customer, to position its product as elite or
premium than others.
 The prices of the same model vary according to the different
colours.

12. Model Price
Royal Enfield Continental Gt 650cc Rs. 2.66 lakh Onwards
Royal Enfield Interceptor 650cc Rs. 2.56 lakh Onwards
Royal Enfield Himalayan 400cc Rs. 1.81 lakh Onwards
Royal Enfield Thunderbird 350cc Rs. 1.57 lakh Onwards
Royal Enfield Thunderbird 350X Rs. 1.64 lakh Onwards
Royal Enfield Thunderbird 500cc Rs. 2.07 lakh Onwards
Royal Enfield Thunderbird 500X Rs. 2.15 lakh Onwards
Royal Enfield Classic 350cc Rs. 1.46 lakh Onwards
Royal Enfield Classic 500cc Rs. 2.02 lakh Onwards
Royal Enfield Bullet 350cc Rs. 1.15 lakh Onwards
Royal Enfield Bullet 500cc Rs. 1.89 lakh Onwards
Royal Enfield Bullet Trials 350cc Rs. 1.63 lakh Onwards
Royal Enfield Bullet Trial 500cc Rs. 2.08 lakh Onwards
Royal Enfield Products Prices

13. Comparative Analysis
Model CC Price
Royal Enfield Continental GT 650cc Rs. 2.66 lakh Onwards
Royal Enfield Interceptor 650cc Rs. 2.56 lakh Onwards
Royal Enfield Classic (350-500) 350-500cc Rs. 1.46 lakh – 2.2 lakh
Royal Enfield Bullet (350-500) 350-500cc Rs. 1.15 lakh-1.9 Lakh
Royal Enfield Thunderbird(350-500) 350-500cc Rs.1.57 Lakh- 2.15 Lakh
Royal Enfield Himalayan 400cc Rs. 1.81 lakh Onwards
Suzuki Intruder 160cc Rs.1 lac onwards
Bajaj Avenger(Street, Cruise) 220cc Rs.80000-1.10Lac
Mahindra Jawa 300cc Rs. 1.64 lakh Onwards
Mahindra Jawa 42 300cc Rs. 1.55 lakh Onwards
Mahindra Jawa Perak 350cc Rs. 1.95 lakh Onwards
Bajaj Dominar 400cc Rs. 2 lakh Onwards

14. GLOBAL PRESENCE

15. PLACE
• Headquarters located at Chennai, Tamil Nadu.
• Manufacturing Unit- Chennai
• Total dealers as on November 2019:
349 spread across the country
• Total Distributers in India: 92,in which majority of which are in
North India
• Royal Enfield bike showrooms in India are spread across 29 states
and Union territory.
• It has spread across 239 cities in India

16. Distribution
Strategy
• Royal Enfield distribute its motorcycle only through distributor of RE in a
specified area.
• It has spread its product presence to India as well as 55 countries all over the
world.
• Royal Enfield was able to tackle the problem of product shortage and export
the products to all the nations through ship route.

17. Promotion Strategy
1) Organise Nation Wide Tours
2) Rider Mania in Goa every year.
3) Promoted in MENs magazines,
Adventure magazines, local print
media
4) Factory Tours
5) Showcase in Auto Expo

18. Continued...
• It revealed its custom
bikes in Biarritz, France at
Wheels and Waves
custom bike show.
• Promotion through
Movies

19. Royal Enfield, India is also the most consistent
participant in the India’s Biggest Bike Festival,
INDIA BIKE WEEK, under the name INDIA BULL
RIDERS, which is one of the biggest biker group in
India to ever participate in IBW.