Hero Group to enter childrens fancy cycles
NEW DELHI: Hero Group is all set to enter the category of children's fancy cycles.
Hero Motors Managing Director, Mr Pankaj Munjal told reporters that the company would launch six premium bicycles in the current fiscal. The bicycles will be priced up to Rs 35,000. The children's bicycles would be priced between Rs 2,500 and Rs 6,000, while the costs of bigger cycles would be in the range of Rs 12,000-Rs 35,000. Munjal said the bicycles would be more technologically advanced.
The company planned to inculcate some automotive components in the bicycles. Mr Munjal said that Hero Motors, which sold 57 lakh cycles in 2008-09 and has a market share of about 50 per cent, is expecting sales of its recreational high-end bicycles to grow by 30 per cent in the current financial year. Whereas the traditional bicycles' segment is expected to grow at about 3.5 per cent. Hero Motors had a turnover of Rs 1,450 crore from its cycle business in FY'09 and expects it to grow by 7-8 per cent in FY'10. He said that in the previous FY the recreational high-end segment contributed about 18 per cent in the company's revenue and it was expected to grow this time.