PIAGGIO'S VESPA REDUCED TO RS 59,960

Italian bike maker Piaggio Vehicles Private Limited's iconic scooter Vespa was now reduced to Rs 59,960. The price reduce was to increase Vespa's mass appeal and to take on market leader Honda Two-wheelers. Piaggio has taken this step due to India's scooter market growth of 20.06% in a relatively flat automotive market. India's scooter stood at 1.94 million vehicles from April to November, according to industry lobby Society of Indian Automobile Manufacturers. Honda Scooters is leading the India�s scooter segment with more than 50% of the market share. Piaggio said it has sold over 25,000 units of its classic scooter in India.

"In keeping with the philosophy of maximising customer value, Piaggio would be sharing the consequent benefits with potential consumers beginning January 2013. This would lower the acquisition cost of the Vespa with the ex- showroom purchase price point now starting at Rs. 59,990 and taking the iconic brand to a wider set of aspiring consumers," Piaggio said in a statement.

"As we move into 2013, we are looking to increase this base and consolidate our national presence. From a business point of view, we've been able to build a strong network of dealers and partners much faster than we thought, thereby enhancing the reach and penetration," said Ravi Chopra, Chairman and Managing Director, PVPL.

Piaggio's Vespa classic LX 125 competes with the likes of Honda Activa and Duo, Hero Motorcorp Maestro, TVS Wego, Yamaha Ray, Suzuki Access 125, Mahindra Duro Dz 125 and Rodeo 125 and Suzuki Swish 125. Though Piaggio Vespa is reduced in cost it is still the highest priced scooter in India.

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