Interview with Stefan Pierer, CEO of KTM Sportmotorcycles AG

ZigWheels caught up with Stefan Pierer, CEO of KTM Sportmotorcycles AG at the KTM 200 Duke’s launch event, where he shot off some quickfire replies to questions regarding the company’s newest 200cc bike, its partnership with Bajaj and upcoming model plans for India   

ZW: How many units of the KTM 200 Duke are you expecting to sell in the Indian market? 

Pierer:  We are targeting about 2,000 units per month for the Indian market.  

ZW: When will deliveries of the KTM 200 Duke begin?

Pierer: Production will begin in the next week or two. As overseas delivery times take longer the first batch of motorcycles produced (around 20,000 units) will be exported. In India, deliveries for the KTM 200 Duke will begin by March 2012.

ZW: Bajaj Probiking showrooms across the country are being converted to KTM outlets. How long will this process take and what will be the status of the Kawasaki Ninja? Are you comfortable selling KTM bikes under the same roof as the Ninja? 

Pierer: All Probiking showrooms across the country will be converted into KTM showrooms within the next 4 to 6 weeks. KTM and Kawasaki produce motorcycles with different characteristics. These bikes do not compete with each other and we have no problems with the Ninja being sold under the same roof. Even in Europe, KTM bikes are sold in the same showrooms alongside different bikes from other makes. 

ZW: What are your plans for expanding the KTM model line-up in India?

Pierer: We are planning to launch the KTM 350 in India by 2013. Based on demand we may also consider introducing the KTM 125 in India. But for now the 125cc bike is for Europe only. 

ZW: Looking forward, what are your expectations from the Indian market for KTM?

Pierer: In the next 3-4 years, KTM is looking at India becoming the single biggest market for our bikes. We are expecting volumes to grow up to 50,000 – 60,000 units in that period.  India is growing not just in terms of quantity of bike units sold but also in terms of demand for bigger displacement bikes. We could expect more technology-laden bikes with bigger twin cylinder engines from KTM in India soon. 

ZW: Are you looking at manufacturing high performance KTM bikes in India?

Pierer: High performance bikes, owing to their lower demand, will continue to be manufactured in Europe while bikes with higher production numbers can be built here.

ZW: Will KTM bikes share components with Bajaj bikes in India? 

Pierer: We will be sharing a number of components with Bajaj in the Indian market. Bajaj is a high quality manufacturer and the strategy will work well.

ZW: What investments are you making in India for manufacturing KTM motorcycles?

Pierer: We do not have to invest in a separate production facility as we will be building our bikes at Bajaj’s Chakan plant. As a result we will be sharing a number of production lines and components which, in turn, will allow us to price our products competitively here. In Europe, a 200 Duke is priced at €3,900 or Rs. 2,53,500. The Indian collaboration with Bajaj has helped a great deal in pricing our product competitively.

ZW: Are there any plans of exporting Bajaj motorcycles in collaboration with KTM abroad?

Pierer: Greece and Portugal seem ideal for exporting Bajaj motorcycles as KTM bikes are perceived expensive there. Consequently, there is a possibility of Bajaj bikes like the Pulsar being exported there.