As several of our readers pointed out in the latest financial report from Honda, The United States, and North America as a whole, represent just a very small portion of Big Red’s total volume of motorcycle sales. For Honda’s 2011 fiscal year, North America sold a whopping 1.6% of the company’s total motorcycle inventory, while Asia accounted for nearly 79% of Honda’s total sales.
While Honda and other motorcycle manufacturers certainly makes better margins on the units they sell in North America and in Europe, the volume opportunities abroad in emerging markets are far more lucrative for OEMs.
With 1.2 billion people (17% of the global population) and still growing, India is the shining star in emerging markets, so it should come as no surprise that Honda is forecasting that 30% of its business will come from India by 2020, as the Japanese company further increases its presence in Asian markets.