Post Coronavirus lockdown, people could avoid public transport and prefer to travel on their own vehicle which might increase two-wheeler sales in India.
Going by the increase in the footfall at the dealerships in Wuhan, the epicentre of the coronavirus, perhaps not all is lost for the global automobile industry. The lockdown in the Chinese city has been lifted recently and things are gradually returning to normality. According to reports coming from China, people have been queuing up to buy small cars much to the surprise of car dealerships. Some manufacturers are even reporting sales reaching close to the pre-pandemic lockdown levels as buyers seem to be more motivated than before.
The primary reason for this unexpected demand is that post social distancing, people are steering away from public transport and, understandably, considering personal vehicles as a safer option to commute. That’s why instead of the old favourite of large sedans and massive SUVs, the buyers are opting for smaller cars. Most of them are said to be first-time car owners, although there is a good number of people buying a second car for the safety of their families.
Many industry gurus are hopeful that India will witness a similar phenomenon, but the demand will be for entry-level motorcycles and scooters. There is a huge number of people here who have been stalling their purchase due to the BS6 implementation, while others have been waiting to see the success of electric two-wheelers. It’s likely that once the lockdown is lifted, we can expect a sudden surge in the demand for commuter vehicles such as 110-cc to 125-cc motorcycles and scooters. (Also Read: Best 125-cc Scooters Spec Comparo)
Inducing excitement in the market would be key. Probably, two-wheeler manufacturers and dealers will introduce special offers and easy finance deals which could act as a catalyst to amplify this pent-up demand. Although the government has been doing a commendable job of containing the virus, it has to come up with effective relief measures such as reconsidering GST rates, rethinking the policy for the unsold BS4 stock, and chalking out an automobile industry revival plan. Otherwise, this could end up being just a flash in the pan.