Motorcycle firm sees higher sales as consumers seek faster, fuel-efficient rides

MANILA, Philippines - The local arm of a Japanese motorcycle company banks on Filipinos' better appreciation of bikes in the time of high oil prices and slow vehicle traffic to boost sales. Suzuki Philippines, Inc., a wholly-owned subsidiary of Japan's Suzuki Motor Co. Ltd., also aims to regain its dominance in the Philippine commuter motorcycle market with the recent launch of the improved Shogun Pro 125 and the Shogun R 125. Suzuki wants to corner 30 percent of the 125-cc motorcycle market this year. Its market share currently stands at 15 to 16 percent, said Benedict Martin T. Arreola, Suzuki senior marketing manager for motorcycles. Arreola said Suzuki sale in the 125-cc category fell below the 30 percent level after Honda Motors introduced its own 125-cc variant. Suzuki Philippines sees an improved market share from the current 12 percent as motorcycles slowly become part of the Filipino lifestyle. "With the increase in fuel prices and the increase in fares, Filipinos are already considering the motorcycle as an alternative means of transportation. We believe motorcycles will play a very important role in the mobility of Filipinos," Arreola said. To highlight the fuel efficiency of the newly launched Shogun, Arreola cited a test drive in Bangkok, Thailand where the bike ran 58 kilometers with only one liter of fuel. Suzuki hopes to sell 7,500 to 10,000 units of the Shogun motorcycles, or 1,500 to 2,000 units every month until the end of 2008. It aims to increase sales to 5,000 units a month next year. The Philippine demand for motorcycles is only between 600,000 to 700,000 units a year; a far cry from Indonesia's demand of five million units annually. "That is how great the potential is for the Philippine motorcycle industry to grow," Arreola said. - GMANews.TV