Triumph eyes 10 percent market share in Indonesia

JAKARTA. British motorcycle manufacturer Triumph is seeking a bigger share of the country’s large motorcycle market following the opening of the company’s local subsidiary, PT Triumph Motorcycles Indonesia.

Following the launch of the company’s 12 new large motorcycle models in Jakarta on Wednesday, Paulus B. Suranto, managing director of Triumph Motorcycles Indonesia, said the demand for large motorcycles in Indonesia was growing in line with the widening of the country’s middle class.

Paulus was optimistic that with the operation of the Indonesian subsidiary, Triumph would be able to control at least 10 percent of the large motorcycle market in the country.

During its first year of operation, he said Triumph Indonesia aimed to sell at least 600 motorcycles, with initial sales having begun on Wednesday.

The company’s 12 models, which are imported from Triumph’s factories in Thailand and the UK, have off-the-road price tags ranging from Rp 305 (US$25,486) to Rp 569 million.

Paulus said his company was also cooperating with automotive financing companies PT Tunas Mandiri Finance and PT Oto Multi Artha to cater to around 40 percent of Triumph’s buyers that were expected to purchase the products through loans.

Paulus said there was no official data on big motorcycle sales in Indonesia because most importers were not registered with the Indonesia Motorcycle Manufacturers Association (AISI). “However, there is a market estimate that the number of big motorcycles sales in the country has reached around 3,500-4,000 units per year,” he said.

Triumph has been present in Indonesia for many years through unauthorized distributors. Paulus said that around 150-160 Triumph motorcycles have been imported since 2011 by unauthorized distributors in the country.

Paulus said further that his company would showcase seven out of the 12 models at the Indonesia International Motor Show (IIMS), set to be held Sept. 18-28.

To attract prospective customers, the company is offering free-of-charge after-sales services, including maintenance and 24-hour road assistance. Paulus said Triumph owners who purchased their motorcycles from other importers would have to pay a surcharge to receive the same services.

The company has appointed PT Gerai Motor Terpadu in Pejaten, South Jakarta as its exclusive distributor for the Jakarta area, while PT Megah Putra Motorindo will serve the Serpong area in Banten.

Paulus said that his company had also planned to cooperate with dealers in Bandung, West Java and Surabaya, East Java, while it would expand to other regions such as Central Java and Bali next year. Triumph Motorcycles Ltd. sells 26 models in 58 countries.

Its total revenue increased to £368.6 million in 2013 from £342.3 million in 2012. The company saw its global sales increase to 52,000 units in 2013 from 49,000 units a year earlier.