Benelli

About Benelli Bikes

Benelli, an Italian motorcycle manufacturer with a rich history dating back to 1911, has had a dynamic journey in the Indian motorcycle market. Benelli’s journey in the Indian motorcycle market has been marked by challenges and successes.

Despite initial setbacks, the company has shown resilience and adaptability in its approach to the Indian market. With a strong focus on product diversification, customer engagement, and strategic partnerships, Benelli has established a solid foundation for growth in India.

As the premium motorcycle segment expands, Benelli is well-positioned to capitalize on the growing demand, provided it can effectively address brand perception and service network expansion challenges.

The company’s future plans, including new product launches and potential entry into new segments, indicate a long-term commitment to the Indian market and a promising outlook for the brand in the years to come.

Timeline of Key Events

2014-2016: Initial Entry and Partnership with DSK Motowheels
Benelli first entered the Indian market through a partnership with DSK Motowheels in 2014. This collaboration involved a technical agreement where DSK would assemble and sell Benelli’s superbikes in India through exclusive dealerships. The initial product lineup included five motorcycles ranging from 300-cc to 1,130-cc models, catering to the premium segment of the Indian motorcycle market.

2016-2018: Operational Challenges and Temporary Halt
Despite the initial enthusiasm, Benelli faced significant challenges during this period. The partnership with DSK Motowheels encountered difficulties, leading to a temporary halt in operations in 2018. This setback was primarily due to financial issues faced by the DSK Group, which affected Benelli’s operations and market presence in India.

2018: Re-entry and New Partnership
In a strategic move to revitalize its presence in India, Benelli announced its re-entry into the market in 2018. This time, the company partnered with the Hyderabad-based Mahavir Group, specifically its Adishwar Auto Ride International (AARI) subsidiary. This partnership marked a new chapter for Benelli in India, allowing the company to resume operations and focus on expanding its product portfolio and market reach.

2019: Resumption of Operations and Expansion Plans
Benelli officially resumed operations in early 2019 under the new partnership with AARI. The company set up an assembly plant near Hyderabad with an initial production capacity of 7,000 units per year, scalable up to 10,000 units. This facility was crucial for assembling motorcycles from completely knocked down (CKD) kits, helping Benelli maintain competitive pricing in the Indian market.

2019-2020: Product Launches and Market Expansion
During this period, Benelli focused on expanding its product lineup and market presence:

1. The company reintroduced models such as the TNT 300 naked, the faired TNT 302R, and the TNT 600i naked.
2. New models like the Benelli TRK 502 adventure tourer and the Benelli Leoncino 500 scrambler were launched.
3. Benelli planned to introduce two 250 cc bikes and a 400 cc motorcycle to diversify its portfolio further.
4. The company aimed to expand its retail network, planning to set up around 40 retail hubs across India over two years.

2020-Present: Market Performance and Future Outlook
Benelli has continued to strengthen its position in the Indian market:

1. The company has focused on customer-centric strategies, including reducing service costs, extending warranty periods, and improving service touchpoints.
2. Benelli has successfully established a strong riding community in India, organizing customer rides and training programs to enhance brand loyalty.
3. The Imperiale 400, a retro-classic model, has been particularly successful, topping sales charts due to its appeal and competitive pricing.
4. Benelli has introduced attractive financing options, such as low EMI offers, to enhance the accessibility of its products.

Current Market Position and Performance

As of 2024, Benelli has established a significant presence in the Indian premium motorcycle market:

1. The company offers a diverse product lineup, including models like the Benelli 502c, Imperiale 400, and Leoncino 250, catering to different segments of the motorcycle market.
2. Benelli has expanded its dealership network, with plans to add up to 20 new dealers annually.
3. The company aims to increase its market share in the 300-500 cc segment to around 25-30% over the next few years.
4. Benelli faces competition from established players like Royal Enfield, KTM, and BMW in the premium motorcycle segment.

Challenges

Successes

1. Strategic Partnerships: The collaboration with AARI has allowed Benelli to restart operations focusing on customer-centric changes.
2. Product Diversification: Benelli has diversified its product offerings to cater to different market segments.
3. Community Building: The company has built a strong riding community in India, enhancing brand loyalty and customer engagement.
4. Expansion Plans: Benelli’s ambitious plans to expand its dealership network and increase assembly capacity indicate a solid commitment to the Indian market.

Future Outlook

Benelli’s future in the Indian market looks promising, with several key initiatives planned:

1. Product Expansion: The company plans to introduce new models, including the Leoncino and TRK series, to enhance its market presence.
2. Scooter Segment Entry: Benelli is considering entering the scooter segment in India to leverage its international portfolio.
3. Electric Vehicle Exploration: The company is exploring opportunities in the electric vehicle segment, aligning with the growing trend towards sustainable mobility solutions.
4. Localization: Benelli is exploring the possibility of localizing more components to reduce costs and improve competitiveness.
5. Dealership Expansion: The company aims to expand its dealership network across India.