Dubai: Austrian motorcycle manufacturer KTM said yesterday it is keen to strengthen its foothold in the region by increasing awareness of its brand, which is among the most popular motorcycle brands worldwide and a global leader in the off-road segment.
"Although KTM is highly popular worldwide among motorcycle enthusiasts, we are a relatively young brand in the region," Tim Trenker, managing director of KTM UAE, a subsidiary of KTM Middle East, told Gulf News.
He said he is now focusing on making the brand "more accessible" with its new flagship store on Dubai's Shaikh Zayed Road which was inaugurated yesterday, following "a quite substantial multi-million dirham investment". KTM's partner company in the UAE is the Al Shafar Group.
"We are targeting the large expat community in the UAE, who know the brand name," Trenker said. "But we also want to address nationals who might not know KTM too well."
KTM Sportmotorcycle AG is an Austrian motorcycle manufacturer founded in 1934. It is most popular for its off-road, cross-country and Enduro bikes which have won numerous prizes in global competitions.
Lately, the company introduced street bikes and the X-Bow, a light-weight sportscar, and also started a collaboration with quad bike builder Polaris.
In 2007, Indian two-wheeler maker Bajaj Auto acquired 14.5 per cent of KTM Power Sports AG (parent company of KTM Sportmotorcycles AG).
Broad network
Bajaj took over the distribution of KTM products in India and some other Southeast Asian nations. Later, Bajaj increased their stake and currently hold 38.09 per cent of KTM.
Under Bajaj's stewardship, KTM has developed a new 125cc performance street model for 2011, targeted at developing markets in Asia, especially India. "We are expecting a sales growth of 20 per cent in the Middle East region," said Trenker.
The company has importers and sales partners in Qatar, Kuwait and Iran, is currently starting sales in Lebanon and plans to expand to Saudi Arabia, Bahrain and Oman.
"We want to establish a broad dealer network throughout the region," said Trenker, who owns a stake in KTM Middle East.
KTM's main competitors in the regional market are the Japaneses big-four: Honda, Kawasaki, Yamaha and Suzuki, he said.
He added that in the last three years, KTM has outperformed the local market, increasing its UAE share in the off-road segment from eight to 30 per cent, against an overall market that fell 45 per cent.
Ahmad Al Shafar, President of the Al Shafar Group, announced that by investing in the new showroom and an after sales facility, the company plans to increase sales in the UAE by a further 15 per cent in 2011.
