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a bike for everyone

The market for low-end motorcycles, used mainly for deliveries and inter office-premises transport, is growing quietly
Nazia Khan

If you have lived a while in Oman, you are used to seeing the most flamboyant automobiles and motorcycles on the roads here. So, it comes as a bit of a surprise when, driving along Qurm Heights amidst the Mercs and the Ducatis, you spot a motorcycle like Hero Honda CD 100, probably carting pizzas in a box attached to its body. This bike, and others like it, don't have the rev or rave factor of their more expensive counterparts because these serve essentially practical purposes.

We are talking about the business or utility bikes. These are primarily used for deliveries by restaurants and fast food outlets, as well as by newspaper vendors and couriers. Construction companies, municipalities and ports, among other organisations, use these motorcycles to take care of the transportation of their staff within their respective work areas.

User heavy
The fact that these are low-maintenance, combined with the high economy they offer, make these bikes an attractive choice for companies and individuals who transport lightweight materials. The fact that these motorcycles offer customers a lot of value for their money, ranging from RO300 to RO700 (see box) makes these good importing choices for the dealers.

Paul Turner, national sales manager, Honda division, Oman Marketing and Services Company (OMASCO), says that they currently import three business bike models. "These are the Honda CGL 125 from Honda China and the Honda C90 from Honda Japan. Also, the new 150cc Honda Unicorn is expected to be in the showrooms by early March 2007. This latest business bike is manufactured by Honda Motorcycle and Scooter India Ltd, a subsidiary of Honda Motor Company, Japan, and replaces the CD200 previously imported from Japan.” In the past, the company also imported the models CD 100, Splendor and CBZ from Hero Honda in India.

Zubair Automotive imports its business bikes from Yamaha, Japan, and has been doing so since 2001. The models they bring in are the Utility SR 250 and the YBR 125. Group marke-ting manager Bob Seshadri says while they do import quite a number of these every year, there is no main market as such for business bikes. "It varies from time to time, year to year depending on the country's economy.” Turner puts things in perspective. He says as of now it is bulk purchases by companies that drive the sales of such bikes more than individual purchases. “However, with the imminent arrival of the new Honda Unicorn, we expect a more balanced sales pattern to emerge. We are already observing an increase in demand from customers who ride for commuting purposes and who are looking for an affordable and reliable mode of transport.”

John Thornton, general manager, motorcycle division, Shanfari Auto Company, which is in the process of taking over the dealership for Suzuki, says that they will be importing the business bikes on a contract or requirement basis. The utility bikes you might see on the road, courtesy Shanfari Auto Company and Suzuki in the future will include the AX100, the EN125-2A and the GN125H. Says Thornton, "There is definitely a market for these bikes. You just have to drive down the highway to see how many of them are on the road."

Final destination
The journey that continues on the road begins by the sea. Turner informs that the bikes are brought here on a container load basis, where one lot usually accommodates 30 to 40 bikes. "This is a far more cost effective method than importing on an individual or small quantity basis.” But how does the market for these utility bikes compare with the market for high-end bikes? While Seshadri feels that the two markets cannot be compared, Turner says, “The sales of business bikes represent 50 per cent of our annual motorcycle sales.”

There is really no difference between the import procedures for business bikes and other bikes. If anything, the lead time after placing an order tends to be a few months less in the case of a utility bike. In a way, sales for business bikes are an year-round phenomena, as compared to high-end bikes, whose sales tend to pick up during the winter months. Besides, high-end bikes are almost always bought by individual buyers, hardly in bulk.

Affordability is another key factor. While there aren't too many individual buyers for business bikes, it is still an economical option for biking enthusiasts, perhaps as a stop-gap buy, while they are saving up for that Harley. If more buyers can forsake the snob appeal of a motorbike, this is a section of the market waiting to open up for motorcycle dealers.

Meanwhile, the market for business bikes does not look like it will go out of fashion any time soon. Says Turner, "With the many new projects and planned future investments in Oman, we expect the demand for Honda business bikes to grow significantly." Meanwhile, Shanfari Auto Company might be bringing in scooters, among them the HJ125T-7, as well. This will, of course, provide more variety and options for the users, particularly those in a younger age group like students, scoring on looks, weight and pricing.

The reason why business bikes work – for organisations as well as individuals – is that they offer the traditional virtues of a motorcycle. They are lightweight, easy to use and affordable. It is increasingly easy, in the face of the more expensive bikes, to lose sight of the wholesome bare basics that these motorcycles offer. But they do provide you with all the power you need to get around, plus reliability and economy, leading to the benefits of simplicity. Simplicity is the heart of the motorcy-cling experience. And, very often, it is the soul of good business as well.