Royal Enfield, the Chennai based manufacturer is now targeting the rural areas to increase its overall domestic sales. The company is therefore working on opening 350 studio outlets in the rural areas of our country. The new RE studio outlets will have 225 sq.ft. showroom space and a 275 sq.ft. workshop. Thus the size of the new rural studio outlets will be 1/6 th the size of a typical showroom of the RE brand, which will in turn maintain the operation costs. The brand is also planning to inaugurate 80 new regular format outlets in our country in 2019.

RE Brand Plans To Open 350 Outlet Studios In Rural Areas Of India
RE Brand Plans To Open 350 Outlet Studios In Rural Areas Of India

The RE brand has been a popular choice among the Indian buyers. Therefore, the company wants to expand their domestic sales by reaching out to the corners of the country. Moreover, Royal Enfield has witnessed 13 percent decline in its overall domestic sales in the forth quarter of the last year with the comeback of the Java motorcycles. The decline in sales has made the renowned motorcycle manufacturer to enter into the unexplored markets of the country. The Chennai based motorcycle manufacturer is quite hopeful that the inauguration of the new rural studio outlets will boost the company’s sales.

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Mr. Lalit Malik, chief financial officer, Eicher Motors, said “the studio outlets will be one-sixth of the size of a typical Royal Enfield showrooms that we usually find in the metro cities. The studio outlets won’t sell more than 12-20 bikes per month. They are hopeful that they will touch 1,100 towns with the help of 1,350 stores within this year.”

RE Brand Plans To Open 350 Outlet Studios In Rural Areas Of India
RE Brand Plans To Open 350 Outlet Studios In Rural Areas Of India

Inspite of the decline of the domestic sales, the company’s exports has witnessed an improvement. The introduction of the RE 650 twins – the Interceptor 650 and the Continental GT 650 have made a remarkable contribution in improving the brand’s export. Currently, RE, the renowned two – wheeler manufacturer has a total of 825 outlets in our country while the global market has 42 outlets of the brand. The company is also planning to bring their upcoming BSVI compliant motorcycles to the Indian auto markets.

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