Atlas Honda Limited (AHL) has recently announced a zero percent markup installment plan for its motorcycles. This strategic move is seen as an attempt to stimulate sales amidst a recent downturn in the industry.
The special offer is exclusively available to MCB Bank credit card holders. Although AHL has not explicitly stated which models are included in this scheme, it is widely speculated that the offer applies primarily to the Honda CD70, one of the company’s best-selling bikes.
Recent data from the Pakistan Automotive Manufacturers’ Association (PAMA) reveals a significant drop in bike sales across the industry. In June 2023, bike sales were down by 15% compared to the previous month. AHL, recognized as Pakistan’s largest bike manufacturer in terms of production and sales volume, was not immune to this trend. The company reported selling only 75,056 bikes in June, marking a 14% decrease on a month-over-month basis.
The reasons behind this slump in sales have not been officially disclosed. However, industry analysts suggest that import restrictions and subsequent production halts could be potential factors negatively impacting bike manufacturers. Additionally, some market observers argue that inflated bike prices may also be contributing to the decline in sales.
Despite rumors indicating that imports for the auto sector have been reinstated, experts predict that sales will continue to remain weak. The industry is expected to undergo a slow recovery process due to the economic and operational challenges it has faced. Through the introduction of the zero percent markup installment plan, AHL aims to counter these challenges and revive its sales figures.
