On Friday (27 March), Honda Motorcycle and Scooter India Pvt. Ltd. (HMSI) launched the new version of gearless scooter Activa - Honda Activa Deluxe. Besides increasing its share in the motorcycle segment, the company also announced plans to exit the geared scooter segment to concentrate on the gearless scooter market.

 

N. K. Rattan, HMSI Head (Sales and Marketing) at the launch ceremony, mentioned about the features of all-new Honda Activa Deluxe. Under testing, this gearless scooter gave the mileage of 64 km per litre, however, it is expected to give mileage of 55 km per litre later. Mr. Rattan expressed his hope of selling 5.50 lakh new Activa in 2009-10. According to Shinji Aoyama, HMSI President and CEO, the company will now stop the production of Eterno and later will completely come out of the geared scooter segment to focus more on the fast-growing gearless market.

 

Stating that HMSI expects 18 per cent growth in its two-wheeler sales in 2009-10, Mr. Aoyama further said that, it was not rational to continue with Eterno as the sale was only about 40,000 units a year. So, the company has come out with a new model to fill this space. The Indian two-wheeler market witnessed a growth of five per cent in the current fiscal, whereas HMSI grew by about 17 per cent. For 2009-10, HMSI has set the sales target up to 12.5 lakh units, of which 7.4 lakh will be scooters and 5.1 lakh will be motorcycles.

 

Powered with 110 cc engine, New Honda Activa Deluxe ispriced at Rs. 39,800 (ex-showroom, Delhi).