Firefox eyes 25% jump in bicycle sales to 50k units in FY'13
The company that sold 40,000 units in the last fiscal.
New Delhi: Premium bicycle maker Firefox Bikes on Tuesday said it expects sales to increase by 25 per cent to 50,000 units in 2012-13.
The company that sold 40,000 units in the last fiscal, said in terms of value it is aiming a turnover of Rs 50 crore in FY'13, up from Rs 38 crore in FY'12.
"There is a huge potential in the Indian premium and leisure biking segment. We are expecting to increase our sales to 50,000 units in this fiscal," Firefox Bikes Managing Director Shiv Inder Singh told reporters here.
The company, which today launched a series of new bikes that are priced between Rs 10,280 and Rs 16,430, is targeting to expand it reach across the country to tap the potential in the premium segment.
In terms of turnover, he said: "This fiscal our target is Rs 50 crore. Last year, we had a turnover of Rs 38 crore."
Commenting on the company's sales network, he said: "Currently we have 90 Firefox branded outlets. By the end of this fiscal, we will add 25 more showrooms."
Singh further said Firefox Bikes would introduce a folding bicycle by the end of this year as it looks to expand its presence in the high-end segment.
The company will import the bicycle -- Tern -- from Taiwan and will launch it in November this year.
"We have signed with Tern to import their specialised folding bicycles in India," he said, adding at present the firm sells one folding bicycle model under its own brand.
"We are also planning to introduce bicycle racks which are mounted on a car's top. We have tied up with the US-base Saris and it will hit the Indian market by September this year," Singh said.
When asked about any investment plans, Singh said: "Our major investment goes into creating inventory. We hold an inventory of Rs 8-9 crore and keep a stock for four months."
The company, which currently sells about 70 bicycle models under Firefox and Trek brands, import all its products.
"Firefox has a manufacturing facility in Sri Lanka. We import our bicycles from there. The Trek products are imported from China and the US," Singh said, adding the company does not have any immediate plans to set up an assembly unit in India due to unavailability of "quality" parts.
While the Firefox range is priced between Rs 4,000 and Rs 18,000, the Trek's bicycles are priced at Rs 20,000-85,000.