THE OLDEST IN THE BUSINESS

Royal Enfield

The oldest name in The oldest name in the business the business

It may be the world’s oldest motorcycle brand in continuous production, but Royal Enfield is looking firmly to the future

By complete coincidence, this month’s company profile is the second one on the trot to have begun in the nineteenth century. As with last month’s Indian Motorcycle, the history of Royal Enfield started in the two-wheeled world with bicycles.

The story starts with George Townsend & Co, an engineering company which made bicycles under the Townsend and Ecossais brands. Townsend’s won a contract to supply precision parts to the Royal Small Arms Factory of Enfield, Middlesex. On the back of that, the company changed its name to Enfield Manufacturing Company, and the bicycle became the Enfield. The corporate story started to take off the following year, in 1894, when the bicycles were renamed Royal Enfield and the trademark “Made Like A Gun” was adopted. The first motorcycle was produced in 1901, and as the name on the tank has continued ever since, Royal Enfield can claim to be the oldest motorcycle name in continuous production.

Royal Enfied’s connection with India was established in 1952 when Madras Motors ordered five hundred 350cc Bullets for the Indian Army. The bikes were delivered the following year and proved ideal for the purpose, being both hardy and easy to maintain. In 1955, Royal Enfield partnered with Madras Motors to form Enfield India, and a new factory was constructed on the sub-continent.

Fast forward over half a century, and the Royal Enfield brand is now a division of Eicher Motors Limited and continues to strengthen its position. The company’s three state-of-the-art production facilities, located near Chennai (the modern name for the city of Madras), are central to the brand’s sustained growth. Additionally, Royal Enfield’s recent investment in two world-class technical centres, one at Bruntingthorpe, Leicestershire, and the other in Chennai, is designed to ensure that the brand continues to develop and expand for the foreseeable future.

The head of international business for Royal Enfield is Arun Gopal, someone perfectly placed to put us in the picture. “In 2010 Royal Enfield was making 50,000 bikes a year; by 2015 we were doing that number each month. That was a global figure, but 99% was in India; it just got better and better, month on month.

“I joined the company in 2014. Royal Enfield reasoned that if there was such a largely untapped market in India, the same must apply to other countries. So, in my position, I was able to fire up many countries such as Vietnam, Indonesia, Brazil, Argentina, Columbia and Latin America. We refer to these areas as ‘white space’ markets, where people use motorcycles primarily for commuting – it is a way of life for many. Meanwhile, in what we call the mature markets – Europe, Australia, New Zealand, and Korea – we cleaned up distribution and set up new distributors, and that brought us to a new level.

“What really changed the game for us was when we launched the twins. That gave us a new playing field, and obviously, our mission was to be the global leader in that sector. The twins were the first product of our technical centre at Bruntingthorpe and our factory in India. The quality was fantastic, and that moved Enfield to the next level. After that, there was the new 350cc platform, which we launched with the Meteor, so things have become quite interesting for us.

“We never thought that we’d be able to sell big numbers of the 350cc in the UK or Europe. My philosophy has always been that the mid-sized single has been underrated. There is an opportunity for us to provide good-looking, simple motorcycles at a reasonable price point if we can tap into the 125cc up-graders in Europe and the UK and also the big bike owners who like the brand but want something less complicated for everyday use. The team at Enfield has been able to up the quality, model after model, and customers and dealers have acknowledged that –and it shows in the numbers that we have been able to deliver throughout Europe and the UK.

“We are also looking at the quality and number of our dealers. Ideally, we’d like our customers to be no more than 50 miles away from a dealer. At present we have 470 dealers across Europe, including more than 80 in the UK. We need dealers to engage with our customers. It goes back to the simple question of why does somebody buy a Royal Enfield? Some buy because they want to be part of a community, and that’s why we created a Riders Club in the UK and Europe – there isn’t one in any other market.”

Gopal says that dealers are selected for their location and

The UK Technical Centre at Bruntingthorpe

performance. Enfield’s ambition to be the leader in the midsized 250cc to 750cc sector was achieved for the first time this year when it topped the sector figures for the first six-month period.

“It might sound like a cliché, but even though we’re the oldest brand in the world, I strongly believe we’re just getting started. Our range has increased, and in the next 12 to 18 months, we will be increasing it even more. It will be on existing platforms – the new 350cc Hunter will be here soon. A lot of thought and development has gone into the new variants. They should have their own characteristics and be different enough to appeal to separate types of customers.”

Dealers also benefit from branded accessories and apparel to help up-sell to their customers. Some may remember the launch in the Royal Enfield marquee at the Goodwood Revival a few years back, a suitably charismatic event. As mentioned by Gopal, another opportunity for dealers to engage with their Royal Enfield customers is through Riders Club activities. These are split between dealers and country managers and include first-year-free membership for new customers, a welcome gift, invitations to local branch activities and dedicated event hospitality. Dealers can organise their own promotional benefits, and club members can join Europe-wide Royal Enfield rides.

Royal Enfield is having a major brand-awareness push, developing and producing some very saleable models within the popular modern retro sector. Underpinning the whole operation are strong domestic sales and, with the upturn in the Indian economy this year, they were nearly 12% up in the first seven months to 364,509 with global sales over the same period up 13.4%, mainly thanks to the South American market.

Royal Enfied dealer John Hogsden of Hartgate Motorcycles, Mitcham, is certainly making the most of the burgeoning brand: “Last year, we sold more than 90 bikes, and we’re on schedule to exceed 100 this year. Royal Enfield has got some new models coming, so it shouldn’t be too hard. We stock all the MotoGB brands and have been doing Royal Enfield for about five years – it’s a best seller for us. We also do the branded clothing, and we can be selective to suit our customers. The model range is broad enough to appeal to different types of customer, including women.

“Having been to the factory, I discovered why all new bikes arrive with about 10 miles on the clock, as they are put through their paces on a rolling road and a test track prior to delivery. This means that, initially, dealers can expect fewer come-backs.” MotoGB 01257 485222 sales@motogb. co.uk

MODEL RANGE

THERE ARE SIX BASIC MODELS to choose from in the Royal Enfield range and, as we’ve said, the theme throughout is modern retro.

In ascending capacity order, you’ve got the Classic 350, singleseat, chrome or colour-matched full mudguards and headlamp nacelle incorporating sidelights available in seven finishes. SRPs start at £4439. This and the Meteor are the best-selling models in the UK.

Next comes the 350 Meteor, a custom classic design in ten colour options with a screen and pillion backrest as standard. SRPs start at £3879.

The Himalayan, a rough, rugged adventure tourer, comes with protector bars, bash plate, screen, and mono-shock rear suspension. Branded hard panniers are also available. SRPs start at £4699.

The Scram 411 has urban scrambler styling and a 410cc motor for more punch. It is supplied with a bash plate and 19in front wheel. SRPs start at £4599.

The Interceptor 650 is an awardwinning roadster with a parallel twin, single overhead cam, air/ oil-cooled motor producing 47hp. Available in seven finishes. SRPs start at £6039.

The Continental GT is a more sporting version of the Interceptor, with a race-style seat and lower bars. It has its own range of accessories reminiscent of the ‘Rocker’ era – ton-up boys and coffee-bar cowboys. SRPs start at £6239.

Head of international business for Royal Enfield, Arun Gopal

Hartgate Motorcycles, Mitcham, Surrey