[DukeNukem]

Italian automotive manufacturer Piaggio has revealed its intention to produce a mass segment scooter, according to a report in The Economic Times. This announcement came on the back of decent sales figures posted by its premium offering Vespa, which was launched earlier this year.

The company also has its eye on expansion, both in terms of production and sales. It plans to invest Rs 150 crore at its Baramati plant (Maharashtra) to double the installed capacity of 1.5 lakh units a year, by the end of 2013. The dealership network is also set to be increased to 100 from the existing 48 by the year end. This will be preceded by an aggressive marketing campaign for brand Vespa.

The domestic scooter segment is growing exceedingly well despite the downturn in the motorcycle segment. It grew by almost 25% in 2011-12 to 25.62 lakh units (SIAM figures) and is expected to continue growing at a steady 20% for the next five years. The likes of Honda, Bajaj, TVS, Suzuki and Mahindra & Mahindra are all locked in a tussle to dominate this segment.

This is not Piaggio’s first venture in India, having tested Indian waters before in association with Bajaj and LML. However, with the launch of the Vespa LX 125 earlier this year, Piaggio began their solo venture in the domestic market. Hence, this mass segment product could be a defining move for Piaggio in its bid to expand its appeal in the domestic market that places high emphasis on value & mileage.

To that end, one can expect the product to focus on high fuel efficiency and be priced competitively (unlike the Vespa model). It is also expected to be launched as a new brand and not under Vespa so as to not affect Vespa’s premium positioning.

Related threads

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[ghodlur]

The scooter is named Fly125 and is expected to launched in Diwali in the range of 50K. The link below shows the engine specs.
Piaggio Fly125 to hit the market by Diwali | Motoroids

Looks like Piaggio is all set to take the market leaders by their horn with the mass market offering. I hope they get the success in this outing atleast. The Indian consumer will be spoilt for choices.

[abybabykcc]

Fly 125 doesn't look any different from the regular run-of-the mill stuff currently in the market. The USP with Vespa LX 125 was their retro styling, which made them stand out in the crowd. But by pricing it exorbitantly, they've probably killed it in the bud. The sensible thing to do now is to price the Vespa correctly and introduce more retro-styled scooters, the bigger ones, and establish a whole new market. Introducing mediocre products will only bring them up to the also-ran level.

[TaurusAl]

Good to see more scooters are getting telescopic suspensions in front, great boon to improving the ride quality. Disk brakes and alloy wheels justify its heavy on pocket price tag.

[Rahulkool]

Originally Posted by abybabykcc

Fly 125 doesn't look any different from the regular run-of-the mill stuff currently in the market. The USP with Vespa LX 125 was their retro styling, which made them stand out in the crowd. But by pricing it exorbitantly, they've probably killed it in the bud. The sensible thing to do now is to price the Vespa correctly and introduce more retro-styled scooters, the bigger ones, and establish a whole new market. Introducing mediocre products will only bring them up to the also-ran level.

I guess it looks pretty good, also comes with decent amount of features

Telescopic front
Alloys
Disc brake
10Bhp engine
Adjustable rear shocks
Tubeless 120 section tyres

I guess its better than most of the scooters available in the market.

[parrys]

I heard this from a friend of mine, Bang Bang Films is already working on the launch event of the Vespa Fly. The scooter seems to be launch ready.