Royal Enfield's total sales dropped by 13 percent in December 2018 versus last year. The company sold 58,278 units versus 66,968 units sold in December 2017.
The domestic sales dipped by 14 percent (yoy) to 56,026 units. This drop in demand has coincided with the return of Jawa motorcycles.
On November 15, 2018, Jawa unveiled three new bikes - Jawa, Jawa Forty Two and Perak.
The Jawa and Jawa Forty two were available for pre-booking on the same day. But the M&M-controlled company had to close bookings on December 25.
This is because unprecedented demand led to a stock-out situation at the Madhya Pradesh factory.
In a research note, Motilal Oswal says, Jawa has emerged as a reasonable alternative for potential re customers.
The Royal Enfield Classic 350 carries a price tag of Rs 1.4 lakh (ex-showroom, Delhi). While the Jawa has been priced at Rs 1.64 lakh and the Jawa Forty Two Rs 1.55 lakh (ex-showroom, Delhi).
Deliveries of Jawa bikes, as per current bookings, will begin in March and continue till September.