The Indian automotive industry witnessed mixed sales results in July 2024. Hero MotoCorp, the leading two-wheeler manufacturer, saw a notable decline in retail of its highest-selling model, the Splendor, whereas two-wheeler brands like Bajaj Auto and Suzuki reported growth in their respective scooter and EV segments.
Major decline seen in Splendor, one of the highest-selling vehicles for Hero, from 2.84L in June to 2.1L in July
The world’s largest two-wheeler manufacturer, Hero MotoCorp, has reported a significant drop in auto sales for its flagship model, the Splendor, in July 2024. The Hero Splendor is one of the most popular bikes in India. According to the company's monthly sales data, Hero sold 2.1 lakh units of the Splendor in July 2024 compared to 2.84 lakh units sold in June 2024, marking a 26% decline month-on-month.
Month-on-Month Comparison
June’24 July’24 Growth (%)
Splendor 2,84,190 2,10,286 -26%
These sales results come as a surprise for the brand, as the Hero Splendor has been consistently performing well in the Indian market. The sales drop could be attributed to rising competition and shifting consumer preferences.
Scooter segment fueling growth for Suzuki MoM & YoY
In comparison to Hero MotoCorp, Suzuki saw significant month-on-month and year-on-year growth in July 2024. In July 2024, Suzuki sold 1,00,602 total units, marking a 25.3% increase from July 2023, when it sold 80,309 units.
The Suzuki Burgman electric scooter sales increased by 31% month-on-month, rising from 15,118 units in June 2024 to 19,806 units in July 2024. The auto giant retailed 19,806 units of the scooter in July 2024 compared to 17,500 units sold in the same month last year, marking a 13% sales growth.
On the other hand, the Suzuki Avenis recorded an even more remarkable MoM sales growth of 188%, rising from 2,543 units in June to 7,323 units in July 2024. Although the Suzuki Access scooter saw a slight dip in sales compared to June, it remained one of the company’s top performers, with 52,192 units sold in July. Suzuki recorded 38% YoY growth for the Access scooter, with 71,247 units sold in July 2024, compared to 51,678 models retailed in July 2023.
Month-on-Month Comparison
June’24 July’24 Growth (%)
Suzuki Burgman 15,118 19,806 31%
Suzuki Avenis 2,543 7,323 188%
Suzuki Access 52,192 71,247 37%
EV segment is the only one growing for Bajaj, Flat growth seen in rest of models MoM
Bajaj Auto registered a year-on-year sales growth of 18.9% with 1,68,847 scooters sold in July 2024, while in the same month last year, the company sold only 1,41,990 units across India. The MoM sales remained mostly flat, but the brand managed to attain good sales numbers in the electric vehicle (EV) segment.
Year-on-Year Comparison
July’23 July’24 Growth (%)
Bajaj Auto 1,41,990 1,68,847 18.9%
The Bajaj Chetak, one of India’s famous electric scooters, recorded a 21% increase in sales, with 20,114 units sold in July 2024, up from 16,691 units in June 2023. Bajaj's partnership with Yulu continues to be proven beneficial for the two-wheeler giant, as the new Yulu Ver 3.0x electric scooter saw an impressive 520% growth month-on-month, with sales rising from 1,000 units in June to 6,200 units in July 2024.
Month-on-Month Comparison
June’24 July’24 Growth (%)
Chetak Electric 16,691 20,114 21%
Yulu Ver 3.0x 1,000 6,200 520%
The Indian two-wheeler market is currently in transition, and factors like rising fuel prices, changing consumer preferences, and economic uncertainty could be influencing buying decisions. While the electric vehicle segment is witnessing growth in the third quarter of 2024, traditional two-wheelers such as the Hero Splendor are facing headwinds. As consumer preferences shift towards electric vehicles, manufacturers may need to adjust their strategies to maintain their current market presence.
