Royal Enfield Market Positioning
Market Positioning is a strategic exercise to build an image of a product or brand in a
consumer’s mind achieved through 4Ps (expanded to 12) primarily
1. Promotion
The company could potentially launch one motorcycle every quarter over the next 3-5
years. The Classic and Bullet replacement on J platform should hit the roads within a
year and there is development work going on new architectures of Q and K including
R&D work on EVs.
all new 350 cc cruiser motorcycle Meteor codenamed J1D, which is just the starting
point of the company's new RE 2.0 mid-term plan.
The sharp focus remains on the 250-750 cc motorcycle segment and Royal Enfield
will bring out more iterations of adventure, street, classic, cafe racer and sporty
motorcycles in the future.
2. Price
The Royal Enfield Meteor 350 comes in three variants. The Royal Enfield Meteor 350
price (as of late-2020) is ₹1.76 lakh for the Fireball variant, ₹1.81 lakh for the Stellar
variant, and ₹1.91 lakh for the Supernova variant. For the Royal Enfield Meteor 350
on-road price, be sure to check our price section.
The Meteor 350 is based on an all-new platform, one that will be the base of many
future models. Starting at Rs 1.76 lac, buyers can now comfortably indulge their
Royal Enfield fantasies, without making too many excuses to their friends who ride
bikes that start every single time. The smiles and appreciation from lorry drivers are
free.
3. Place
By aggressively targeting global markets, Royal Enfield is working on its long term
strategy to reduce its dependence on a single geography. As of now, most of Royal
Enfield’s sales are from India. Exports are just a fraction of its overall sales. The
company currently dominates the 200cc – 500cc motorcycle segment in India with
market share in excess of 75%.
One of Royal Enfield’s core objectives is to introduce as many people as possible into
motorcycling, and we see our products as instrumental to that process. The
introduction of the Meteor 350 further strengthens our reputation for building bikes
that are appealing, accessible and approachable for a broad demographic.
While being the market leader is laudable, it’s also true that things can change fast in
the auto industry. In recent times, competition has increased for Royal Enfield from
products such as Jawa, Honda CB350, and Benelli Imperiale 400. By expanding its
global footprint, the company will be in a better position to hedge risks in the
domestic market.
4. Product
In celebration of 120 years in motorcycling, Royal Enfield has revealed its new 2021
Meteor 350. This bike captures the pure essence of cruising with timeless charm, all
while providing universally approachable power, laid-back ergonomics, and
admirable handling.
The Meteor’s air-/oil-cooled single sits in a twin downtube spine frame under a
classically bulbous tank. The negative space between these components is alluring,
even artistic. The electronically fuel-injected 349cc engine has a gentle, endearing
thrum. Power delivery is gradual and steady, persuading the rider to relax and enjoy
its leisurely pace in classic cruising fashion. On our in-house dyno this little single
puts 17.4 peak hp and 18.2 pound-feet of torque to the rear wheel, but this power does
not cause the bike to stammer or stutter on the roadway, whether traveling at a noted
max speed of 70–75 mph on the freeway (stick to the slow lane) or navigating urban
streets. A balance shaft does a great job in eliminating vibration in all conditions.
Nicely shaped, inexpensive motorcycles shouldn’t be picked over too closely, lest you
tarnish their charm. The Meteor 350 nails the classic cruiser vibe with its design,
looks, and relaxed ergonomics, offering an easy-going ride with predictable power
and handling. It’s a welcome air-cooled entry in the small-displacement cruiser
market.
How market Positioning is being done:
- Customer Needs-
Riding Position: The Meteor 350 sports a mix of the riding styles of Classic and
Thunderbird bikes which lend it a neutral and comfortable riding position. The rider
sits fairly upright and the foot pegs positioning is not exactly mid-set.
Range: With a big 15-litre fuel tank and a fuel efficiency of 41.9 kmpl in the city and
38.8 kmpl on the highway, the Royal Enfield Meteor 350 is good to go for a estimated
range of 580-600 kms. Moreover, the range may vary depending on the riding
conditions, tyre air pressure, riding style
Pillion Seat: Royal Enfield Meteor 350 offers an comfortable and botherless seat for
both rider and the pillion. Your pillion won’t complain of space on short rides, but the
things won’t go unnoticed either.
Engine: The trademark thump is still there, but the engine revs freer and higher, and
with refinement, which is immediately likeable. The torque spread is wider though,
across the rev range, with meaty torque available from as low as 2,400 rpm to over
4,500 rpm. The engine also runs smoother and is more refined across the rev range,
thanks to the primary balancer shaft, and the single overhead cam helps in making the
engine rev freer, with the redline at a higher 6,100 rpm than the UCE 350 cc engine.
Oil changes on the new engine have also increased to 10,000 km, making it more
maintenance friendly, although service intervals are still at 5,000 km.
- Product Price-
The Royal Enfield Meteor 350 is priced from Rs. 1.79 lakh (ex-showroom) which is
cheaper than Rs. 1.9 lakh (ex-showroom) for the Benelli Imperiale 400. The Enfield
also offers more mileage (41.88 Kmpl) than the Benelli (31.25 Kmpl) while getting a
smaller 349 cc engine as compared to 374 cc for the latter.
- Product Quality-
The design of the Royal Enfield Meteor 350 reminds you of a typical cruiser. Looking
at the motorcycle makes you think of all the long journeys you have gone in the past
or the ones you are about to embark on. The Royal Enfield Meteor 350 has all the
essential elements that make it look like a cruiser motorcycle. This includes retro
looks with sculpted fuel tank, contoured body panels, round-shaped headlamp, tail
lamp and turn-signal indicators, and subtle use of chrome around the motorcycle.
- Product use and application-
The Meteor 350 is geared towards a wide spectrum of riders - from city commuters to
weekend cruisers; small capacity upgraders to returning riders; students, first-timers
and experienced bikers a like. A versatile motorcycle designed for both city
exploration and country escapism.
- Competitors- better than your competitors
The Honda H'Ness CB350 is the Royal Enfield Meteor 350's closest rival in the
market right now. The H'Ness CB350 has been designed to take a slice out of Royal
Enfield's market share in the 350cc retro roadster segment, and it has some of the
familiarity of a Royal Enfield, with a long-stroke 350 cc single-cylinder engine, retro
styling, and upright riding position.
Create a positioning statement: Business unique value.
- target customer:
Introduced as a brand-new product, designed and developed from the scratch at the
company’s local R&D centre in India, in collaboration with that in Leicestershire in
the UK, the Meteor is riding down with the sole target of catapulting Royal Enfield’s
already dominant market share to new heights.
It is quite evident that with sales of 259,203 units between April and October 2020,
Royal Enfield holds a majority 96.58 percent share of the 250-800cc motorcycle
category that tallied 145,405 units, down 49 percent owing to the ongoing pandemic.
Within the space, it is the 250-350cc sub-segment which is the volume area of the
market and recorded cumulative sales of 135,899 units, of which Royal Enfield held
as much as 99.28 percent of the total number.
With products like the Bullet 350, Electra Twin spark, Classic 350 and the
Thunderbird 350, the company has had its hands full in meeting growing demand
from aspirational buyers who are on the lookout for a midsized, multi-purpose daily
commuter, also playing the role of weekend, long-distance cruising. Most of these
buyers include motorcycling enthusiasts, college goers as well as riders who want an
element of fun and retro charm from their daily machines, without caring too much
about fuel economy as with a regular commuter motorcycle.
- business category:
Meteor 350 is a strategic model for Royal Enfield that marks the beginning of the RE
2.0 plan that entails new products and platforms replacing the old range, and
addressing concerns around product quality and after-sales experience, penetrating
deeper into the domestic and overseas markets, and adopting digitization to build new
customer experiences such as a mobile app for configuring bikes.
he Meteor 350 will fill in the void left by the discontinued Thunderbird in our
portfolio. When we were doing the market research for the Thunderbird 20 years ago,
people said it would add more customers to the umbrella, especially those who do not
buy the Bullet
- Benefits:
the company has addressed the quirks around refinement and quality that existed in
the predecessor.
Does it share your business’ unique value proposition?
Yes, it does, Royal Enfield’s new Meteor 350 cruiser motorcycle, which will replace
its popular Thunderbird range, seeks to attract buyers from other motorcycle brands
who plan to upgrade their ride.
Positioning in Advertisement
Value Statement
- When Royal Enfield started doing well in the Indian market, it sold mainly on the
sentiment that the bike had around it. Now, finally, Royal Enfield has given us a
proper upgrade.
Bordering on retro, but not really there, a new engine and a much better chassis along
with some modern techs are some of the best features from the Meteor 350.
Mature design
- Royal Enfield is a very heavy bike: Even for someone used to handling heavy bikes,
Royal Enfield can be a tough ask. An average Royal Enfield bike weighs around 190-
200 kilograms, compare that to a bike like Bajaj Pulsar which weighs 140-150 grams.
So, a Royal Enfield is good 50 kilograms heavier than a normal bike.
- Royal Enfield is a cruiser: If you are a speed enthusiast, the Royal Enfield is probably
not the bike for you. The engine size of 350 cc or 500 cc gives the appearance of a
fast bike but the sheer weight of the machine means that the bike is easy-paced at
best.
- Royal Enfield vibrates: There is a lot of vibration on the bike. Again, this vibration
gives the bike the muscular feel to it but the handlebar vibrates especially at high
speeds.
Mature Models
- 2002: The Thunderbird, a stylish lean burn cruiser, is launched. It features the first 5-
speed gearbox used on a Royal Enfield since the 1960s. More than a 1000 Royal
Enfield motorcycles of all ages descend on Redditch for the Royal Enfield Owner’s
Club ‘Redditch Revisited’ event.
- 2009: The 500cc UCE engine is launched in India. The retro-styled Classic version
immediately achieves cult status and sales grow rapidly.
- 2012: Royal Enfield launches its first highway cruiser, the all-black Thunderbird 500.
Work on the new Oragadam factory continues briskly while the Tiruvottiyur plant sets
a new production record to meet 113,000 motorcycle sales.
- 2013: Forty-eight years after developing its first production café racer, Royal Enfield
rolls out the all-new Continental GT. Featuring a cradle frame designed by Harris
Performance and a 535cc UCE engine, this new café racer becomes the starting point
for numerous custom builds.
- 2016: Royal Enfield debuts the Himalayan, its first adventure motorcycle. With an all-
new 411cc SOHC engine and long reach suspension, it’s designed to give
adventurous riders the right tool for all roads and no roads.
- 2017: The new 650cc Royal Enfield Interceptor and Continental GT twins are
unveiled at the EICMA Motorcycle Show in Milan, Italy, and at Rider Mania in Goa,
India. The company opens its first café, called the Royal Enfield Garage Café, in
Baga, Goa.
Comparison Statements
- Starting from the looks of it, the new Meteor 350 gets some very prominent design
tweaks against the model it replaces. It features a completely new rear-end design, a
restyled tank and side panels. Also the fender has been chopped shorter and the
indicator/brake lamp units have been given a different styling along with
repositioning.
- t will also feature an updated double-cradle chassis and which will enable a slightly
more cruiser-style riding position. When looked upon closely, the foot pegs
positioning has been pushed slightly forward by about two or three inches to provide
more comfort during long rides. Also, chain/sprockets, discs/calipers have switched
sides.
