Rattibha

In 1960s-80s, JAWA bikes created a cult in India that used to go toe-to-toe with Royal Enfield!
But eventually failed after Royal Enfield beat them to dust
60 years later now, they’ve re-launched to end Royal Enfield’s 96% monopoly
THREAD: The fall, and revival of JAWA 🧵

For people born in India before 1980s, Jawa, Yezdi and Royal Enfield were familiar household names.
Back in the day, Jawa had a cult following something which Royal Enfield enjoys now.
Every cool hero in Bollywood was riding a Jawa and Yezdi.

Jawa motorcycles were featured in movies like
— Humjoli, Parvarish and Chasme Buddoor.
Hence, it captured the imagination of riding enthusiasts across the country.
Royal Enfield was popular in Punjab and Kerala, while the Jawa was popular in Mumbai, Bengaluru, and Pune.

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Jawa motorcycles earned a reputation for being — rugged, simple, and unbreakable,
This was a welcome change from the British bikes dominating the Indian market at the time.
In 1973, Ideal Jawa Ltd began selling licensed Jawa motorcycles under the brand name Yezdi,

which was an Indianization of the Jawa brand built to be more rugged.
In the 1970s, the Jawa Yezdi was known for its cool factor, while the Royal Enfield Bullet was considered macho.
Both brands were supported by their biking communities.

Things changed post 90's globalization as more and more two-wheeler manufacturers from Japan started eyeing India as a potential market.
The big, bulky, shiny and iconic motorcycles were then replaced by compact, frugal and easy-to-use scooters and bikes.

And only Royal Enfield survived the paradigm shift in the industry.
Royal Enfield managed to survive the test of time due to the loyalty of the armed forces and police, and an attempt to relaunch the bike a few decades ago.

The Jawa on the other hand, pulled off a vanishing act in 1996 when the parent company, Ideal Jawa Pvt Ltd had to shut down its operations because of stricter emission norms.
Even though Jawa vanished from the markets, it always stayed in people's hearts.

In fact, the yearning to own a Jawa became even stronger after the last Yezdi motorcycle was sold in the 1990s.
Jawa was a dream bike for many.
Its appeal was in the premium experience it offered.
But it went silent for 22 years and became a part of nostalgia.

Until, Mahindra & Mahindra revived it in 2018.
You see, Mahindra & Mahindra is a leading SUV maker in India.
But their stint in 2-wheelers didn’t work out so well in the market dominated by HeroMotoCorp, Honda Motorcycle and Bajaj Auto.

In 2015-16 they had a loss of Rs 615 crore in their 2-wheeler business.
So, to reboot their loss-making business, they tweaked their strategy
— instead of trying to build their own brand, they thought of bringing back the iconic brands under their ownership.

Hence, Jawa, Yezdi (and BSA) were re-born.
In Oct 2016, Classic Legends Pvt Ltd, subsidiary of the Mahindra Group, acquired British motorcycle maker BSA Company for about Rs 28 crore.
This way they got the licensing rights to manufacture and sell Jawa motorcycles.

And in 2018 Classsic legends launched
— Jawa, Jawa Forty Two, and Jawa Perak
Then in Jan 2022, Classic Legends reintroduced the Yezdi motorbike in India, launching the three variants
— Roadster, Scramble, and Adventure

Jawa had everything going for it.
The financial and industrial muscle of Mahindra, the nostalgia of Jawa and Yezdi, customers yearning for an alternative to Royal Enfield.
They even had the product to walk the talk

— an impressive debut motorcycle, more technically modern than any competition at the time, with near perfect retro looks.
They had a story, a history, and a brand.
The audience was convinced.
The bookings went through the roof & led to huge order backlogs and waiting periods.

In fact, when Jawa made a comeback, Royal Enfield posted a 14% sales drop in December 2018
Jawa couldn’t have asked for a better start.
But now 6 years later, Jawa hasn't been able to capture more than 1% of the market while Royal Enfield is basking in 96% market share.

Royal Enfield sold 7,150,56 units, while Classic Legends only sold 32,368 units
So where did they go wrong?
They failed at logistics supply chain and demand forecasting.
Now in 2024, Classic Legends is on a revival plan.

They are expanding their dealership network.
— from nearly doubling its dealership count in India, introducing more models, to focusing on exports to ASEAN countries like Malaysia, Thailand, and Vietnam.
It recently introduced the Jawa 350 motorcycle to take on Royal Enfield.