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The title of market leader in the nation's motorcycle market
still belongs to Honda, but its main rival, Yamaha, is starting to
catch up.
Last year Honda sold some 300,000 units more than Yahama, as compared
to a 900,000-unit margin in 2006.
In 2007, PT Astra Honda Motor (AHM) sold 2.15 million motorcycles, a 10
percent decline over the previous year's sales of 2.35 million, said
AHM corporate relation manager Yudi Yozardi.
Yudi said AHM's failure to exceed 2006's sales was mostly due to a lack
of response in marketing and promotions.
"We will work hard to retain the market leader position in the future
by improving promotions and marketing," Yudi told The Jakarta Post last
week.
AHM plans to introduce a series of new models this year and to maximize
its production capacity, which currently stands at 12,000 units per
day, from its three plants in Jakarta and Cikarang, West Java.
Yamaha is optimistic it will continue to challenge Honda's domination,
said Herry Setiarto, promotion manager of PT Yamaha Motor Kencana
Indonesia (YMKI).
YMKI sold 1.83 million units last year, surpassing the firm's target of
1.77 million and 2006 sales of 1.46 million, with 50 percent of sales
coming from its scooter Mio and semi-scooters Jupiter and Jupiter MX.
"It seems that people like the scooters as they are very simple to
operate," he said.
YMKI produces 8000 motorcycles per day at its two plants in Pulo
Gadung, East Jakarta, and Karawang, West Java.
Gunadi Sindhuwinata, president of the Indonesian Motorcycle Industry
Association (AISI), said the fierce battle between Honda and Yamaha --
holders of 45 percent and 40 percent of the market share, respectively
-- would get even fiercer this year.
He also expects Suzuki, the nation's third largest motorcycle company
by sales, and the emergence of newcomers from China and India, would
make the industry even livelier.
In total, last year saw motorcycle sales grow by 6 percent over the
previous year, to 4.723 million units.
Last year, Yamaha twice beat Honda in monthly sales. In March, Yamaha
sold 159,039 units as compared with Honda's 151,074. In July, the
margin was even greater, with Yamaha selling 161,016 against Honda's
143,223.
Gunadi said all manufacturers must work hand in hand with financial
institutions in improving loan schemes for motorcycle purchasing.
Around 80 percent of motorcycle sales are currently financed by loans.
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