Royal Enfield Dealership Showroom: Requirements, Investment, Profit, Applying Process:

India is a big market for vehicles. The automobile sector is developing very fast and it is rising day by day. India is now the world’s third-biggest automobile market. Are you looking about starting your own business in the automobile industry ? Look no further than Royal Enfield. This iconic Indian company has been manufacturing two-wheelers since 1901 and has gained a reputation for quality and durability. Royal Enfield has a wide range of motorcycles, spare parts, and merchandise. Royal Enfield gives opportunity to the entrepreneur to become a partner of Royal Enfield Family.

In this article, we will discuss about the history of the company, its products, requirements, investment, profits and how it can be a profitable business opportunity for you and many things.

About the Company:

Royal Enfield is a division of Eicher Motors Limited and is based in Chennai, India. The company has a rich history that dates back to the early 1900s when it produced its first motorcycle. Royal Enfield has grown into one of the most respected motorcycle manufacturers in the world, with a strong presence in India and other countries. The company is known for its classic, retro-styled bikes that have won the hearts of riders around the world. Royal Enfield’s bikes are known for their durability, reliability, and easy maintenance.

Royal Enfield operates through 17 company-operated stores and 705+ dealers in all major cities and towns in India, and exports to over 50 countries across the world including the USA, UK, several European and Latin American countries, as well as the Middle East and South East Asia.

Royal Enfield Dealership Company Details:

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Why Choose Royal Enfield Dealership ?

If you’re looking for a profitable business opportunity, a Royal Enfield dealership might be the right choice for you.

• Royal Enfield has a strong presence in the market, with a loyal customer base.
• The company offers a wide range of products, including motorcycles, spare parts, and merchandise.
• Royal Enfield has a reputation for quality and durability, which makes it an attractive brand for customers.
• You will get the company’s extensive network of support, which will help you to grow your business.
• It’ll be a great opportunity for you to enter in the automobile industry and build a profitable business.

Royal Enfield Dealership Business Model:

If you are considering taking on a Royal Enfield Dealership, it is important to understand the different types of dealership available. Royal Enfield offers two main types of dealership:

• Become a Dealer: This is an opportunity for authorized dealer of Royal Enfield motorcycles. As a dealer, you will be responsible for selling Royal Enfield bikes and providing after-sales services to customers. It requires investment of time, effort, and capital to establish and maintain the dealership. You will also need to meet the selection criteria and undergo a thorough evaluation process to become a Royal Enfield dealer.
• Become a Genuine Parts Distributor: This is an opportunity for becoming a distributor of genuine Royal Enfield spare parts. As a distributor, you will be responsible for procuring and distributing genuine spare parts to authorized dealers and other retailers. This requires a strong knowledge of the Royal Enfield spare parts market, as well as a well-established distribution network.

Both dealership options give opportunities to partner with Royal Enfield and become part of the Royal Enfield family. So it depends on you that which option you choose depends on your business goals, resources, and expertise.

Eligibility Criteria for Royal Enfield Dealership:

• Should have proper space for Dealership Unit.
• Should be engaged any FMCG/ Retail/Automobile business.
• Should be financially sound.
• Ability of Management/Supervision.

Requirements for Royal Enfield Dealership:

To become a Royal Enfield dealership, there are certain requirements that must be met.

• You should have a minimum area of 1500 sq. ft. for the showroom and 1000 sq. ft. for the workshop area.
• The showroom should be located on a main road or a highway with good visibility and accessibility.
• The applicants should have a minimum investment capacity of Rs. 2-3 crores.
• You should have a minimum of 3 years of experience in the automobile industry.
• The applicant should have a good understanding of the local market and the targeted customer base.
• You should have a team of well-trained and experienced sales and service staff members.
• You should have the necessary infrastructure and equipment to run the showroom and workshop efficiently.

Royal Enfield Motorcycles:

• Super Meteor 650
• Hunter 350
• Scram 411
• Classic 350
• Meteor 350
• Interceptor 650
• Continental GT
• Himalayan
• Bullet(Bullet 350 & Bullet es)

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Royal Enfield Dealership Cost and Investment: (Consider Own Space Area):

If you want to open Royal Enfield Dealership then it is important to know about how much cost and investment required to get start this business. So, let me clear you one thing that the investment for starting a Royal Enfield dealership can range from around INR 50 lakhs to INR 2 crores, depending on many factors such as the size of the showroom, location, and local regulations. This investment will cover expenses such as the initial franchise fee, showroom construction, inventory, marketing, and staffing.

I have given some investment data according to the currently running stores below: 

The above investment data may vary from the actual data so we always recommend contact to the company directly before taking any decision about taking Royal Enfield Dealership. 

Note: In Investment Lands (Space Area) price is not included.

Space Required for Royal Enfield Dealership:

The space requirements for a Royal Enfield dealership showroom depend on which dealership business option you choose and location. However, there are some general guidelines provided by the company:

• The minimum space required for a Royal Enfield dealership showroom is 1500 sq. ft.
• The showroom should have a minimum frontage of 30 feet.
• The height of the showroom should be at least 12 feet.
• The dealership should have a separate area for spare parts and accessories, with a minimum area of 300 sq. ft.
• The workshop area should be separate from the showroom and should have a minimum area of 1500 sq. ft.
• There should be a washing area of about 150 sq. ft.
• The dealership should have sufficient parking space for customers’ vehicles.

Documents & License:

The following are the documents that Royal Enfield Dealership needs in order to evaluate your ability to open a profitable franchise.

• Proprietors Aadhaar copy
• Proprietors/Business PAN card copy
• Photograph, Phone number, Email id
• Proprietors/Business Address proof
• GST Registration certificate
• NOC of unit/shop
• Unit/shop address proof
• Franchise agreement
• Trade Certificate
• Trade License
• EPF & ESIC Registration

Manpower required for Royal Enfield Dealership Showroom:

For a Royal Enfield dealership showroom, a range of courteous, efficient, and trained manpower is required to ensure smooth operations and high customer satisfaction. Here are some of the essential roles:

• Manager
• Sales Coordinator
• Sales Consultant
• Technicians
• Supervisor
• Workshop manager
• Service Advisor
• Salespersons
• Maintenance Staff
• Other

Royal Enfield Dealership Profits & Margin:

The profits and margin for a Royal Enfield dealership depend on various factors such as location, competition, market demand, and business efficiency. Generally, Royal Enfield offers attractive margins to its dealers, company will provide average profit of 5% – 7% depends on models. In addition to this, dealerships also earn profits from the sale of genuine spare parts, accessories, and after-sales services. Net profit on Spare Parts= 20% – 25% on MRP.

Royal Enfield has been experiencing significant growth in demand for its motorcycles, particularly in emerging markets like India, Southeast Asia, and Latin America. This growth trend has led to higher sales volumes and increased revenue for the company, which in turn, benefits the dealerships. By providing a high-quality customer experience, dealerships can generate customer loyalty, repeat business, and referrals, which further contributes to their profitability.

The above mentioned details and profits and margin may differ from the originals so we always recommend to contact to the company directly.

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Royal Enfield Dealership Revenue Sources:

If you open a Royal Enfield Dealership Showroom then there are many revenue sources which is listed below:

1. Vehicles Sales (3%)
2. Retail Finance (up to 3%)
3. Insurance (up to 40%)
4. Vehicle Servicing
5. Parts (25%)
6. Engine Oil
7. Accessories
8. Value Added Services

Royal Enfield Dealership Support:

There are many types of support which is provide to the dealers by the company some of given below:

• Marketing Support: Company will help you in marketing via digital marketing in your area.
• Sales Support: The company will help you to increase sales by trained staff.
• They also provide ongoing support to help dealers run their business successfully.
• Training will be provided to workshop technical staff and non-technical staff.
• Training will be provided to sales team on product features & benefits, customer handling, sales process.
• Advertisement support(Expenditure 50/50)

How to apply for the Royal Enfield Dealership ?

If you meet all the criteria and want to apply for the Royal Enfield Dealership then you have to follow some steps which is given below:

• Visit: https://www.royalenfield.com/in/en/home/
• Click on the above link.
• Scroll Down you’ll see two option “Become a Dealer” &  “Become a Genuine Parts Distributor“.
• Click on the option which opportunity you want to take.
• After clicking on the option you will see this dealership form.

• Fill the form properly and submit it.
• Within a week you’ll get a response from the company.

If you didn’t get any response then you can mail to the dealership team on support@royalenfield.com.

Before applying for the Royal Enfield Dealership make sure that there should not be existing Dealers in your location. In this case you cannot open for the Royal Enfield Dealership in your location.

Process To get Royal Enfield Dealership:

• First of all you have to apply for the Royal Enfield Dealership. Then if company consider your profile for the dealership in your area then you’ll get a confirmation mail form the company.
• Company’s executive will explain you via call. If you’ll agree for the dealership.
• Then they will survey your area properly, make a plan and discuss with you.
• After a day, they proceed your process if you’ll agree.
• Now, the area manager will help you to setup your business and make the agreement.
• You have to pay some amount for the agreement.
• After getting approval you can start you showroom works.
• They’ll provide you training and a sales man will work with you.
• And the process take 30 days.
• So, after 30-45 days you can start you Royal Enfield Dealership Showroom.

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Royal Enfield Dealership Contact Details:

If you have any query related Royal Enfield Dealership then you may contact to the company via given details as I’ve mentioned below:

Address: Royal Enfield Head Office Address Royal Enfield (A Unit of Eicher Motors Ltd) Tiruvottiyur High Road, Tiruvottiyur, Chennai – 600019

Phone No.:  1800 210 0007

Email:  support@royalenfield.com

Website: https://www.royalenfield.com/

Conclusion:

Royal Enfield is a well-established brand in the Indian market, known for its quality motorcycles and excellent customer service. Its dealership and distributorship opportunities offer a lucrative business model for aspiring entrepreneurs. The company has a rigorous selection process for dealership allotment and does not accept or demand money prior to processing applications.

With the right space, manpower, and investment, a Royal Enfield dealership can yield significant profits and margins. Overall, partnering with Royal Enfield can be a rewarding and profitable business opportunity for those interested in the two-wheeler industry.

FAQ(Frequently Asked Question):

Q. Is Royal Enfield Indian company ?

Ans: Royal Enfield is an Indian multinational motorcycle manufacturing company headquartered in Chennai.

Q. How can I apply for a Royal Enfield dealership ?

Ans: You can apply for a Royal Enfield dealership by visiting their official website and filling out the dealership application form. You can also contact their dealership team for further details and guidance.

Q. What are the space requirements for a Royal Enfield dealership showroom ?

Ans: The space requirements for a Royal Enfield dealership showroom may vary depending on the location and city. However, generally, a minimum of 1200-1500 square feet of space is required for the showroom and workshop.

Q. What are the eligibility criteria for a Royal Enfield dealership ?

Ans: The eligibility criteria for a Royal Enfield dealership include financial stability, experience in the automobile industry, a suitable location for the dealership, and the ability to meet the investment requirements.

Q. Is Royal Enfield Dealership profitable ?

Ans: Before saying it Royal Enfield Dealership is profitable lets discuss about the Royal Enfield Company. It is famous for the best bike in India. And now a days everyone wants that I must have at least one good bike. Due to which the demand of selling royal enfield’s bike is increased. And the existing dealers is selling more than 40 bikes per months. And there are more earning sources for the Dealers. Whenever you will join to the company they will guide you for the everything. So, we can say Royal Enfield Dealership is profitable.

Q. What are the profits and margins in a Royal Enfield dealership ?

Ans: The profits and margins in a Royal Enfield dealership depend on many factors, including the location of the dealership, sales volume, and expenses. Royal Enfield offers attractive margins to its dealers, which can vary between 5%-7% on the ex-showroom price of the bikes.

Q. Can I become a Royal Enfield genuine spare parts distributor ?

Ans: Yes, Royal Enfield offers the opportunity to become a genuine spare parts distributor. The eligibility criteria and application process may vary depending on the location and city.

Q. How long does it take to get a Royal Enfield dealership ?

Ans: The time taken to get a Royal Enfield dealership can vary depending on various factors, including the location, verification process, and completion of the agreement. It can take a months also.

Q. Does Royal Enfield offer training and support to its dealers ?

Ans: Yes, Royal Enfield provides extensive training and support to its dealers, including product training, sales and marketing training, and technical training. They also provide ongoing support to help dealers run their business successfully.

We hope you enjoyed reading this blog entry on the Royal Enfield Dealership Cost in India. For additional useful articles like this, keep visiting YMW Solutions.

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