To compare the maintenance cost of Honda 2 wheelers with competition based on

“Parts Prices”

- Panav Chaddha

Price Survey

A presentation on

Automobile Industry Wide range of companies and organizations involved in :

• Design• Development• Manufacture• Marketing and• Selling

It is one of the world's most important economic sectors by revenue.

Global Automobile Players

Indian Automotive Scene

• One of the largest markets in the world.• One of the fastest growing markets.• Poised to become the one of the largest export

hub.• Growing needs and dynamism of the market

has led to many unique and innovative world first segments.

• Gaining popularity because of favourable government policies.

Indian Automobile Players

Segment wise Market Share

Indian 2 Wheeler Market Features

• Highly competitive in nature = Cut throat competition• Global as well as Indian companies vie for supremacy to get a share• Massive volume generator month on month• Large and vivid range of products available• The market is divided into:• Rural , Semi urban and Urban sectors• Further division segment-wise - Basic Commuter Segment (100-125 cc) - Deluxe Commuter Segment (125-150 cc) - Premium Commuter Segment (150 cc and above)• Another criteria for division - Bikes - Scooters - Mopeds

Indian 2 wheeler market Key Players

The Market Share of 2 wheeler companies

FY 11 FY 12 FY13

Competing Models

Bajaj Discover Hero Passion Pro Honda Dream Neo Hero Splendor Honda Twister

Basic Commuter Segment (100-125cc)

Delux Commuter Segment (125-150 cc)

Bajaj Pulsar Yamaha SZ Bajaj Discover Yamaha FZ

Competing Models

Premium Commuter Segment (above 150 cc)

KTM Duke Yamaha R15 Honda CBR 250 TVS Apache

Scooter Segment

TVS Scooty Pep Suzuki Access Honda Activa TVS Wego Mahindra Duro

Methodology used for comparison with competition based on parts prices

• Categorization of parts

• Comparing of parts prices

• Dealer visits and data collection

• Compilation of final data

Categorization of Parts

• Group - Engine Group- Frame Group- Electrical Components

• Moving - Fast Moving Parts (FM)- Medium Moving Parts (MM)- Slow Moving Parts (SM)

• And, Body Parts (BP),General Repair Parts (GR),Periodic Maintenance Parts (PM)

CategorizationS. No. Fast Moving Parts

1 Battery PM 11 Chain Kit PM 21 Lifter Tensioner GR2 Tyre PM 12 Muffler BP 22 Steering Handle BP

3 Spark Plug PM 13 Cushion GR 23 Key Set GR4 Fender BP 14 Air Filter PM 24 Chain Drive PM5 Cover Handle BP 15 Connecting Rod GR 25 C.D.I. Unit GR6 Ring Set (Piston) GR 16 Brake Shoe PM 26 Stem GR7 Leg Shield BP 17 Cam Chain PM 27 RR. Rail BP

8 Head Light BP 18 Fuel Cock BP 28 Winker BP9 Piston GR 19 Brake Pads PM      

10 Clutch Disk GR 20 Tail Light BP      

S. No. Medium Moving Parts1 Speedometer BP2 RR. Fender BP3 RR. Crank Cover BP4 RR. Light BP5 Basket BP6 Crank Shaft GR7 Winker Lens BP8 Rectifier GR9 Head Gasket GR

10 FR. Fork Pipe GR

S. No. Slow Moving Parts1 Drive Chain Case BP2 R. Lever BP3 Valve Seal GR4 FR. Brake Disk GR5 Cylinder Head GR6 L. Step Holder BP7 Carburetor GR8 Stator GR9 Cylinder GR

10 RR. Brake Pedal BP

Comparison for Scooters

• Scooters taken for Comparison

HONDA HERO TVS- Activa 110 - Pleasure 100 - Wego 110- Aviator 110 - Maestro 110- Dio 110

SUZUKI-

Access 125

52 General key parts were taken for analysis of 7 scooters.

Total price for 52 General key parts :

• Honda Activa 110 - Rs. 48,289/-

• Honda Aviator 110 - Rs. 48026/-

• Honda Dio 110 - Rs. 47,755/-

• Hero Pleasure 100 - Rs. 39,269/-

• Hero Maestro 110 - Rs. 44,195/-

• TVS Wego 110 - Rs. 48,128/-

• Suzuki Access 125 - Rs. 51,387/-

Ex-showroom prices (Delhi) 

•Honda Activa 110 - Rs. 47,204/-

•Honda Aviator 110 - Rs. 48,229/-

•Honda Dio 110 - Rs. 44,718/-

•Hero Pleasure 100 - Rs. 42,950/-

•Hero Maestro 110 - Rs. 46,900/-

•TVS Wego 110 - Rs. 47,975/-

•Suzuki Access 125 - Rs. 52,615/-

Comparison for Scooters as per Showroom Prices (ex-Delhi) and Parts Prices

Comparison on Parts Basis

Comparison for Bikes

• Bikes taken for comparison

HONDA HERO BAJAJ- Shine 125 - Glamour 125 - Discover 125- Dream Neo 110 - Passion Pro 100- Dream Yuga 110- CB Trigger150 - Hunk 150- Unicorn 150

YAMAHA- FZ 125

32 General key parts were taken for analysis of 10 bikes.

Total price for 32 General key parts : • Honda Shine 125 - Rs. 28,426/-• Hero Glamour 125 - Rs. 23,085/-• Yamaha FZ 125 - Rs. 36,263/-• Bajaj Discover 125 - Rs. 29,062/-• Honda Dream Neo 110 - Rs. 25,843/-• Honda Dream Yuga 110 - Rs. 25,897/-• Hero Passion Pro 100 - Rs. 26,895/-• Honda CB Trigger 150 - Rs. 38,318/-• Honda Unicorn 150 - Rs. 33,898/-• Hero Hunk 150 - Rs. 35,308/-  

Ex-showroom prices (Delhi)

 

Honda Shine 125 - Rs. 52,172/-

Hero Glamour 125 - Rs. 55,525/-

Yamaha FZ 125 - Rs. 71,280/-

Bajaj Discover 125 - Rs. 51,373/-

Honda Dream Neo 110 - Rs. 47,240/-

Honda Dream Yuga 110 - Rs. 48,619/-

Hero Passion Pro 100 - Rs. 50,850/-

Honda CB Trigger 150 - Rs. 67,384/-

Honda Unicorn 150 - Rs. 68,638/-

Hero Hunk 150 - Rs. 70,125/-

Comparison for Bikes as per Showroom Prices (ex-Delhi) and Parts Prices

Parts Prices

Comparison on Parts Basis

FindingsBased on the analysis of prices of Honda genuine parts with competition, i came across followings

observations :

 

For Scooters :• Taking Honda Activa as the base model as it has the highest sales in its segment, Hero

Pleasure is the cheapest of all and Suzuki Access is the costliest in the overall comparison.• Comparing Medium moving parts, TVS Wego was 1% costlier than Suzuki Access and 5%

costlier than Honda Activa.• Comparing Slow moving parts, Honda Aviator was the costliest, but only 1% costlier than

Honda Activa.• In the Periodic Maintenance category, TVS Wego was costliest by 44% and Suzuki Access was

33% costlier in comparison to Honda Activa.

 

For Bikes :• Taking Honda Shine as the base model, in the 125 cc segment, Yamaha FZ is the costliest and

in the 150 cc segment, Honda CB Trigger is the costliest.• Comparing parts prices in all segments, Hero Glamour is the cheapest of all.

Conclusion

• After analyzing the prices of Honda genuine parts with the prices of competition players, theoretically I concluded that prices of Honda parts are priced very competitively.

• Highest selling model of Honda is Activa which gives a tough competition to all other scooters in the same segment.

• New models, Dream Yuga and Dream Neo are again priced very competitively keeping in mind the competition with Discover, Passion Pro etc. Dream Yuga and Dream Neo have the potential to boost the sales of Honda in the rural market where Hero leads the market share, as well as these 2 bikes can give a very tough competition to the urban market also.

Thank you