Two-wheeler


1st half of 2013 1st half of 2012 Change % Change
Volumes Sell in
(units/ 000) 
Turnover
(million euros) 
Volumes Sell in
(units/ 000) 
Turnover
(million euros) 
Volumes Turnover Volumes Turnover
 
EMEA and Americas 128.0 382.1 161.0 462.6 -20.4% -17.4% (32.9) (80.5)
  of which EMEA 118.0 337.0 152.1 417.6 -22.4% -19.3% (34.1) (80.6)
  (of which Italy) 23.4 75.3 38.1 116.6 -38.6% -35.4% (14.7) (41.3)
  of which America 10.1 45.1 8.9 45.0 12.9% 0.3% 1.1 0.1
 
India 25.4 16.0 4.9 3.7 415.4% 329.9% 20.5 12.3
Asia Pacific 2W 48.5 91.7 50.8 95.6 -4.6% -4.0% (2.3) (3.9)
TOTAL 202.0 489.8 216.7 561.9 -6.8% -12.8% (14.8) (72.1)
 
Scooters 184.8 333.8 196.7 389.8 -6.0% -14.4% (11.9) (56.0)
Motorcycles 17.2 89.9 20.1 90.4 -14.5% -0.6% (2.9) (0.5)
Spare parts and Accessories 59.9 68.9 -13.0% (8.9)
Other 6.2 12.8 -51.8% (6.6)
TOTAL 202.0 489.8 216.7 561.9 -6.8% -12.8% (14.8) (72.1)
 

The Two-wheeler business mainly comprises two product segments: scooters and motorcycles, in addition to the related spare parts and accessories business, the sale of engines to third parties, involvement in main two-wheeler sports championships and technical service.

Comments on main results and significant events of the sector  

The Piaggio Group maintained its leadership position on the European two-wheeler market in the first half of 2013, with a 17% market share (19.4% in 2012). In the scooter segment, the Group consolidated this position, with a 26.6% market share.
With production at its own site in Vinh Phuc, the Group also consolidated its position on the premium market in Vietnam with successful sales of its Vespa and Liberty models, and laid the foundations for future growth in other Asian area countries, by forging business relations with local importers.
The Group also consolidated its position as the main manufacturer on the North American scooter market, with a share above 24% (25% in 2012). In this context, the Piaggio Group is steadfastly committed to consolidating its presence in the motorcycle segment, with its Moto Guzzi and Aprilia brands.

Brands and products  

The Piaggio Group operates on the two-wheeler market with a portfolio of 7 brands that have enabled it to establish and consolidate a leadership position in Europe: Piaggio, Vespa, Gilera, Aprilia, Scarabeo, Moto Guzzi and Derbi.
The brands offer a complementary product assortment, so that the Group can supply the market with a fully comprehensive range to target the needs of different customer groups.

In the first six months of 2013, the Piaggio Group was absolute market leader, thanks to the introduction of vehicles with a style and content placing them at the top of their segments.

Piaggio

With a wide range of models covering all main scooter segments, Piaggio is one of Europe's and the world's leading brands. The huge success of the brand has been built up around a thoroughly Italian design and technical innovation which mean ease of use and an outstanding functionality for customers, plus consumption and emission levels which are among the best on the market.

In March 2013, the Piaggio Beverly 125 was restyled and comfort was improved.

In the summer, the brand will make over the Liberty, with a new lower consumption engine, upgraded body, improved ergonomics and even better load capacity. With other 800,000 units sold worldwide, the Piaggio Liberty is a leader in the high-wheeled urban mobility segment.

Vespa

Synonymous with style and elegance, the Vespa has been taking Italian design around the world in its 67 years of history, with its inimitable spirit.
The Vespa range, with its models boasting a unique design and typical steel body, was expanded in 2013 with the 946 model, directly inspired by the MP6 prototype which embodies the very spirit of the Vespa and has formed the basis for the inception of the world's most famous scooter. The Vespa 946 features exclusive materials, such as aluminium; it is manufactured in one of the most advanced production processes and has an unrivalled product content.
The Vespa 946 represents the height of technology achieved by the Piaggio Group: like all Vespa models, the load-bearing body is in steel with aluminium elements. For the first time ever on a scooter, full LED headlights are used - with the highest technological standard for lighting, until now a feature of luxury cars. The full LCD instrument panel is both minimalist and hi-tech.

The Vespa 946's applied engine technology is a nod to the future: with an ultra-modern 3V 125cc engine, for low consumption and very low CO2 emission levels, plus excellent noise levels.
The Vespa 946 is taking the Vespa brand into the future with a focus on safety: equipped with generous-sized 12" wheels, for a superbly smooth ride and a braking system to guarantee the utmost safety. Dual disc system. Two-channel ABS and ASR sliding control. The highest standard on the scooter market available today.

Gilera 

The Gilera brand features models in both the scooter and motorcycle segments. The brand came into being in 1909 and was acquired by the Piaggio Group in 1969. Gilera is known for its successes in racing, winning six world championship manufacturer's titles and eight world championship rider's titles. Gilera is a brand designed for a young, vibrant market and dynamic motorcyclists.

Aprilia 

Aprilia includes a 50cc to 300cc scooter range, and a 50cc to 1200cc motorcycle range. The brand is known for its sporting style worldwide, winning many important competitions, the excellent performance of its products, and a cutting-edge innovation and design.

The RSV4 M.Y. 2013 has introduced improvements in four areas: the engine, ergonomics, electronics and brakes. The V4 from Noale has an extra 4 hp (now 184 at 12,500 revs) and 2 Nm of torque (117 Nm at 10,000 revs) thanks to new mapping, a revised exhaust system and a considerable reduction in internal friction. The most important change is a new racing ABS, to increase rider safety. This system can be disengaged and mapped on 3 levels for rear wheel lifting parameter management.

Scarabeo 

The Scarabeo brand offers a wide range of scooters from 50cc to 500cc, and is the Group's premium brand, along with the Vespa. The Scarabeo brand was launched by Aprilia in 1993, and is the first brand to have introduced high-wheeled scooters in Europe.

Derbi 

The Derbi brand features a range of 50cc to 300cc scooters and a range of 50cc and 125cc motorcycles. Its target customers, aged 14-17 years, have made it one of the biggest manufacturers in the 50cc segment. The brand has made a name for itself winning 21 world titles, gaining a leadership position in Spain on the 50cc and 125cc motorcycle market.

Moto Guzzi

The Moto Guzzi brand came into being in 1921, and is one of the most well-known motorcycle brands in Europe, with a strong brand loyalty among customers. In 1970 Moto Guzzi gained worldwide popularity when it became the motorcycle of choice of the police in Los Angeles, California. Moto Guzzis, which have always been unique with their distinctive 90° V twin cylinder engines, are perfect for touring and combine a stylish traditional design with the latest technologies in the world of motorcycles.
In January, Moto Guzzi launched the new California 1400 Custom which, like its companion model the Touring, has cruise control and MGCT traction control with 3 settings - Touring, Fast and Rain - fitted as standard.

The distribution network  

EMEA

In the EMEA area (Europe, the Middle East, Africa) the Piaggio Group operates directly in main European countries and through importers on other markets: in June 2013, the Group's sales network accounted for just under 1,700 dealers.

Nearly 3,500 agreements to market the Group's brands are managed by the dealer network, of which 36% are sole agency agreements, where the partner only sells the Group's brand(s), and no products of other competitors.

At present, the Piaggio Group is active in 86 countries in the EMEA area and in the first six months of 2013 it further consolidated its sales network, appointing 76 new business partners, and expanding sales operations to some African countries, previously not covered.

In 2013, actions for the Group's distribution structure took into account market changes in the area and continued the process for a better quality/quantity balance of the sales network, with a particular focus on Group dealers managing motorcycle brands. In the first six months of the year, the process continued to implement new standards recently introduced in order to increase the quality levels of Group dealers and guarantee a high standard of service to end customers.

Distribution-related choices are based on two strategies:

  1. Consolidating local coverage, through a quality-based selection of the network, with the objective of increasing the weight and retention of exclusive Group dealers.
  2. Empowering the distribution network, by improving the economic and financial performance of dealers, raising quality standards for end customers and developing services and tools to support the network.

AMERICAS

In the Americas, the Piaggio Group is directly present in the United States and Canada, while in Latin America it operates through a network of importers. In June 2013, the Group had over 330 partners in the Americas, of which 260 in the United States, 45 in Canada and a network of 27 importers in Central and South America.
In 2013, measures continued to strengthen the sales network in order to further support the Group's objectives for growth. In the USA, main actions for distribution in the first six months of 2013 concerned the implementation of a plan to consolidate the sales network in order to boost the motorcycle segment and consolidate results in the scooter segment. To support the sales penetration of the Group's brands in the USA, 16 new dealers were appointed in 2013.
In Canada, where distribution logics are based on a US market model following the reorganisation of the sales network in recent years, 6 new dealers were appointed in the first half of 2013.
In Latin America, the Piaggio Group continued to improve and expand its distribution network. Sales agreements with 7 new importers were signed in different states, in the first few months of 2013, and sales operations began in Suriname.

Asia Pacific

In the Asia Pacific Area, the Piaggio Group has a direct commercial presence in Vietnam, Indonesia, and - for the Aprilia brand only - in Japan. On other markets in this area, it operates through importers.
In line with the Group's strategic objectives, which plan to expand operations in the region, the distribution network is being built up.

In Vietnam, the Group increased its importers from 4 in 2008 (when a different business model was adopted) to more than 40 dealers, and 80 sales outlets. The Group has aimed and is aiming to develop its network in quantitative terms, by stepping up its presence in smaller areas of the country, and in qualitative terms, with a particular focus on corporate identity.

In Japan, the Group directly manages the Aprilia network and operates through importers and dealers for other brands. In total, the distribution network in the country has 200 sales outlets.

The Group is also present in Malaysia, Taiwan, Thailand, Korea, Hong Kong, Singapore, the Philippines, China, Australia and New Zealand through importers.

India 

In India, Piaggio Vehicles Private Limited had 81 dealers as of 30 June 2013, with plans to increase its sales outlets. At present, the network covers main areas throughout the country.

Comments on main results and significant events of the sector  

During the first half of 2013, the Piaggio Group sold a total of 202,000 units in the two-wheeler segment worldwide, accounting for a net turnover equal to approximately €489.8 million (- 12.8%), including spare parts and accessories (€ 59.9 million, - 13.0%). As explained in the previous paragraphs, the Piaggio Group's performance in 2013 was highly penalised by the drop in demand on the European market. This downturn concerned both the scooter and motorcycle segments.
Results in the Asian area were down slightly compared to the first half of 2012, with sales and turnover falling by 4.6% and 4.0% respectively.
Excellent results were achieved in India, where sales of the Vespa amounted to 25,400 units. As regards India, data for the first half of 2012 were not entirely comparable as the Vespa was first sold in India in May 2012.

Investments  

Investments mainly targeted the following areas:

  • Development of new products and face lifts of existing products.
  • Improvements in and modernisation of current production capacity.

As regards investments for Piaggio Group products in particular, significant resources were dedicated to some brands and/or products which are key to the Group's development. Main investments for European and Asian production sites (Vietnam and India), addressed the following areas:

  • new Vespa 946 and New Vespa LX models;
  • new Aprilia Caponord;
  • the new injection system.

Industrial investments were also made, targeting safety, quality and the productivity of production processes.