“We have set an ambitious goal of achieving 30% sales through digital channels by the year 2030,” Hero MotoCorp Executive Chairman Pawan Munjal said in the company’s annual report for 2022-23.
The company produced 5.3 million units in 2022-23 and has enhanced the user interface of digital channels to cater to customers’ pre- and post-purchase needs.
Munjal emphasized that the company has invested significantly in upgrading its information technology systems, adopting advanced analytics and Artificial Intelligence (AI) tools, and implementing automation technologies.
“Our flagship project ‘Digital Factory Lighthouse’ installed in the manufacturing facility at Tirupati in Andhra Pradesh aims to boost productivity by 20% by the end of the current fiscal year,” he noted.
Munjal pointed out that demand for motorcycles and scooters in India is primarily driven by rural and semi-urban markets, which faced challenges during the previous year. However, he is optimistic about the growth potential due to the young skilled population, strong economic growth in rural and semi-urban areas, easier access to consumer credit, and increasing demand for last-mile connectivity.
“We remain confident that Hero MotoCorp will lead the way to a successful 2023-24,” Munjal added.
The company continued to invest in brand building, new product launches, and expanding network reach, despite challenging global market conditions.
“As the world’s largest two-wheeler manufacturer, we have long-term plans for establishing our presence in new markets and growing our share in existing ones, and remain committed to our market development efforts,” Munjal stated.
Munjal also mentioned the company’s intention to focus on making its internal combustion engine (ICE) and electric vehicle (EV) products more value-focused in the future.
“We expect healthy growth and target production of over 6.5 million two-wheelers in 2023-24 for domestic and export purposes,” he concluded.