In May 2024, Hero MotoCorp, the world’s largest two-wheeler manufacturer, reported a decline in sales. The company sold a total of 498,123 units, reflecting a 4.11% drop compared to the 519,474 units sold in May 2023. Despite this overall decline, the company noted a significant increase in exports.
Domestic Sales Decline
Hero’s domestic sales experienced a noticeable decline. The company sold 479,450 units in May 2024, down 7% from the 508,309 units sold in the same month last year. This decline indicates a challenging market environment for Hero in its home country. The decrease in domestic sales highlights the need for the company to reassess its strategies to regain market share.
Motorcycle and Scooter Sales
Motorcycle sales remained the largest contributor to Hero’s overall volumes. However, they saw a 9.3% decline, with 471,186 units sold compared to 519,474 units in May 2023. Similarly, scooter sales also witnessed a decline. The company sold 26,937 scooters last month, down 10.62% from the 30,138 units sold during the same period last year. These declines in both segments suggest a need for product innovation and marketing adjustments.
Surge in Exports
While domestic sales struggled, Hero MotoCorp saw a remarkable increase in exports. The company exported 18,673 units in May 2024, up 67.25% from 11,165 units in May 2023. This significant growth in exports highlights Hero’s expanding presence in international markets. The strong performance overseas suggests that Hero’s global strategy is paying off, offering a silver lining to the overall sales performance.
Year-to-Date Sales Growth
Despite the monthly decline, Hero’s year-to-date sales show a positive trend. From April to May FY2025, the company sold 1,031,708 units, a 12.68% increase compared to the 915,581 units sold during the same period in FY2024. Domestic sales for the first two months of the fiscal year also grew by nearly 11%, with 992,746 units sold, up from 894,493 units in April-May FY2024. These figures indicate that Hero still maintains a strong market position despite recent challenges.
New Models and Market Initiatives
Hero MotoCorp continues to innovate and introduce new models to attract customers. The company has seen strong demand for the new Xtreme 125R, which appeals to new-age buyers. Additionally, Hero noted increased demand for the Vida V1 electric scooter, reflecting a growing interest in electric mobility. These models demonstrate Hero’s commitment to meeting diverse customer needs and staying competitive in the market.
Celebrating Milestones and Expanding Networks
In May 2024, Hero celebrated the 30th anniversary of its best-selling motorcycle with the launch of the Splendor+ XTEC 2.0. This new model includes key improvements, showcasing Hero’s dedication to enhancing its product lineup. Furthermore, Hero became the first two-wheeler manufacturer to join the ONDC Network, initially retailing two-wheeler parts, accessories, and merchandise. This move reflects Hero’s efforts to diversify its offerings and enhance customer engagement.
Looking Ahead
As Hero MotoCorp navigates the challenges of declining domestic sales, the company remains optimistic about the future. The upcoming monsoons and festive season provide opportunities to boost sales and recover market share. With a focus on new models, increased exports, and strategic market initiatives, Hero aims to overcome current challenges and continue its growth trajectory.
Conclusion
Hero MotoCorp’s sales in May 2024 highlight the complexities of the two-wheeler market. While domestic sales declined, significant growth in exports and positive year-to-date sales offer a balanced perspective. Hero’s commitment to innovation and market expansion positions it well to navigate these challenges and seize future opportunities. The company’s strategies and upcoming product launches will be crucial in determining its performance in the coming months. read more Bagnaia and Bastianini Dominate Mugello
Source https://www.carandbike.com/
