TVS Motor CompanyBSE 0.01 %, which is mounting a challenge to Hero MotoCorp and Bajaj Auto with an extensive product range, has restructured its organisation to reflect unique customer demands at various points along the price gradient.
Ahead of the launch of its most expensive bike, the TVS Apache RR 310, the Chennai-based company decided to break up its marketing division. One of the divisions would focus on premium bikes and international markets, while the other would handle mass-market motorcycles, scooters and mopeds.
Arun Siddharth, who was vice-president for motorcycles, has now been made VP-marketing, premium two wheelers, international business and TVS Racing. Aniruddha Haldar, who was marketing vice-president for scooters and the corporate brand, has been given additional responsibility of mass-market motorcycles.
The new structure was put in place a few months before the rollout of the new big bike. Developed in partnership with BMW, the 310 RR is a new flagship that may see multiple iterations in the future.
Siddharth said that TVS Motor is now not restricted to onesegment, with the addition of new models like the Apache RR 310.
"The RR 310 is our halo bike. The higher priced sports bike segment is still very small but has a huge potential for growth. We have announced that we are planning to sell about 10,000 bikes in the first year since launch and the reception has been very strong so far," added Siddharth.
Already a leader in the moped segment and the second-largest player in scooters, TVS is steadily increasing its market share with Apache, which currently has a share of 38% in the 150-250 cc space.
Apache is just behind Bajaj Pulsar in the segment. Against the segment growth of over 10%, TVS Motor has seen more than 20% growth in the last 3-4 years.
Being a full-range player, TVS created Performance Zones across 52 outlets in the country in 40 cities. These zones are purposely being kept part of the same outlets, as the company expects RR 310 could have a positive ruboff on the other bikes.
Unlike the past, TVS Motor adopted a completely digital and experiential marketing strategy against the traditional medium of marketing through newspapers and television.
Siddharth says that since the customer base is fairly niche, the approach had to be different. The company has already reached out to its three million strong Apache customer base across markets to offer the RR 310 as their new upgrade option.