Monday 24 January 2011

AUTOMATIC SCOOTER MARKET PROJECTED TO STRENGTHEN

The market of motorcycles/automatic scooters at home in Indonesia was predicted to strengthen. Even in the next three years automatic scooters might outsell cube motorcycles domestically.

The condition was in line with the main target set by the Ministry of Industry as ingrained in the road map of domestic automotive industry. In accordance with the medium range action plan between 2010-2014, the automotive industry, with supporting industry and machinery industry, apart from developing and strengthening the domestic market would also strengthening the infrastructure and technology as well.

By 2014 it was estimated that the number of two wheeled motor vehicles would reach 7 million units supported by sound strategy of automotive component development and comprehensive engineering and manufacturing design concept.

According to Marketing Director of PT AHM Julius Asian in Jakarta, the measures taken by the company to strengthen market position of motor vehicles in Indonesia, especially of the automatic scooter types was by continuously bolstering up production capacity from the previous 95,000 units per month to become 150,000 units per months today.

Julius added that this year, automatic scooters commanded over 45% of market share of the domestic market nationwide, so in 2011 it was predicted to cover 47% to 48%. By 2012, command of automatic scooters over the motorcycle market might reach 50%.

“By that time (2012) scooters would have its strong foothold over the motorcycle market in Indonesia, while the rest of the market would be filled by cube motorcycles and sports types” Launching of the Scoopy.

Last week, PT AHM launched Scoopy, the automatic scooter motorcycle which represented the modern Retro style to aim at the young target market, with sales target set at 10 thousand unit per month, “We believe that this Modern Retro Scooter type has its sizable market share especially among youngsters who wish to appear different” Julius Asian was quoted as saying.

The price of Scoopy according to Julius, was between the Beat scootic, which was around Rp. 12.5 million per unit and Vario with casting wheel priced at Rp. 14.85 million per unit. In Jakarta scoopy was priced at Rp. 13.5 million per unit. “The price of scoopy is between Beat and Vario and we have thoroughly considered the matter” Julius remarked.

He was optimistic that Scoopy would be able to jack up sales of AHM scootic, the market share of which was posted at 14% of total domestic market and reached around 44% of total national motorcycle market, which was predicted to surpass 6.8 million units by end of this year.

“So if the demand for Scoopy is above target, our production capacity is ready too anticipate demand of above 10 thousand units”, he remarked. Meanwhile President of AHM Yusuke Hori admitted that the Scoopy launched in Indonesia was deliberately not using injection machine as the one marketed in Thailand. This was a matter of regulations on exhaust gas in Thailand which already adopted Standard Euro 3 whilst in Indonesia the standard was still Euro 2.

“Furthermore our observations concluded that by using carburetors which meet the standard of gas emission we attempt to balance production cost so the price of Scoopy could be more affordable” Yusuke Hori remarked.


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