Mahindra to cross-brand with Peugeot scooters -SCOOP

Mahindra has got a stake in Peugeot scooters and the Indian automaker has plans not just sell it in India, but in several other markets as well. Peugeot is the oldest existing two-wheeler brand as per Mahindra & Mahindra. The company is looking at introducing premium scooters in India, at a very affordable price. Hence, the company is working towards localising a few Peugeot scooters in India.

India plan:

Mahindra will also be looking at getting the VOX 110cc Peugeot scooter also at some point of time. This will be the first set of scooters that will be making their way into India. These will be categorised as premium scooters and there will be larger capacity scooters also coming in. There have been talks about Metropolis scooter coming in early 2016, but Dr Pawan Goenka, Executive Director, Mahindra & Mahindra stated, “At the moment, we have no confirmed plans. We are evaluating various products and making them affordable is the real challenge that we are facing at the moment.”

One of our sources close to the factory also reveals, “Mahindra even has plans to get into the moped segment. With Kinetic now a part of Mahindra & Mahindra, the company is looking back at getting Luna and Luna TFR. These will be the Peugeot VOGVS2Y mopeds and the VOX 110cc step-through. These are 50cc and will help the company to enter the rural segment.”

Peugeot has had a strong presence in the moped/step-through technology as well. Mahindra can easily cash on this in India, as the Luna brand was one of the most famous mopeds. The only hurdle is complete localisation, which isn’t a major challenge for a company with an Indian origin.

Overseas plan:

With Peugeot scooters, Mahindra is looking at capitalising on the US market as there is a lot of scope in that market. Today, the fastest growing scooter brand in North America is Vespa and with Peugeot’s brand history, Mahindra will want to compete with the Italian scooter brand. Mahindra is also looking at entering several other markets were the Peugeot brand is strong (in four-wheelers) like Vietnam, China and even North Africa or where Mahindra has an existence.

The company is looking at venturing into new markets also with Mahindra and Peugeot brands. In some it will enter as Mahindra, while the rest could be Peugeot. There shall be cross-branding as well, between the two brands.