Royal Enfield, the oldest motorcycle brand in the world in continuous production, has set the bars up high once again as a new investment plan is put in place according to a report emerged on ET Auto. Its parental company, Eicher Motors Limited, will be investing 600 crore rupees in the current fiscal year for various development strategies.
This has come on the back of Royal Enfield recording its highest ever quarterly sales performance between December last year and March 2016. The Chennai-based manufacturer has delivered 1,48,185 units at a phenomenal growth of 59.6 per cent when compared to the corresponding period the previous year. The last fiscal also saw RE setting up 145 new retail stores across the country as over 500 dealerships are currently present.
The huge sum of money will be divided for establishing up to two Research and Development centres and expanding the manufacturing capabilities in its India and UK plants. Product development is another key area where the company hopes to step up its proceedings further.
One of the two technical centres will be opened in Leicestershire, England and the other in Chennai. The UK facility will become operational by the second of FY2017 whilst the Chennai technology centre will commence operations by 2017-18. With an enhanced marketing strategy, the company has set a target to producing 675,000 motorcycles in the 2016-17 Financial Year.
Royal Enfield’s product line-up in India comprises of the Bullet, Classic and Thunderbird models in 350 and 500cc ranges, the Himalayan and the Continental GT 535cc cafe racer. The company opened an exclusive retail store in Thailand in February before inaugurating its first dealership in Ireland at the end of last month.
With the new investment, the iconic motorcycle manufacturer is looking to have a firm foot not only in the Indian market but also in the overseas arena. The brand exports to over 50 countries across the globe including the USA, UK, countries in Middle East and South East Asia and several European and Latin American nations.