A classic motorcycle brand is making a foray into Thailand to tap well-heeled bikers as part of ambitious plans to expand operations globally.
Arun Gopal, head of international business for the Indian maker of Royal Enfield motorcycles, said Thailand's mid-sized segment remained promising and flourishing, with sales of 50,000 to 60,000 motorcycles a year despite an overall sluggish market.
Royal Enfield defines mid-sized motorcycles as those from 250-750cc in displacement.
Founded in 1893, Royal Enfield is the oldest motorcycle brand in Britain, but its home production base closed in 1971.
In 1990, Royal Enfield collaborated with Indian automotive firm Eicher Motors and was merged in 1994 as one of Eicher's divisions.
In the past two years, Royal Enfield has steadily expanded its global footprint in major cities such as London, Madrid, Paris, Dubai, Bogota and Medellin.
Last year, Royal Enfield grew by 70% to more than 300,000 motorcycles globally. Of those, 95% were made in India.
The company aims at sales of 450,000 motorcycles worldwide this year, equal to its production capacity from its two factories in Chennai, India.
By 2018, Royal Enfield will have annual capacity of 900,000 motorcycles from a third factory in the same location.
Royal Enfield wil next year also focus on Indonesia, the largest motorcycle market in the region.
Statistics from the Asean Automotive Federation showed 7.9 million motorcycles were sold in in that country last year.
Thailand's overall domestic motorcycle sales are estimated to reach 1.6 million this year, marking a third straight year of contraction.
In 2011, motorcycle sales hit 2.01 million for the first time.
Sales rose to 2.13 million in 2012 before dropping to 2 million in 2013 and 1.7 million last year.
"Mid-sized motorcycles can be used for both day-to-day use and having a fun ride," Mr Gopal said.
"This segment and the big-bike segment are very attractive for the Thai market."
In Thailand, Royal Enfield has appointed General Auto Supply Co as its first Thai distributor.
Nattavude Charoensukhawatana, executive director of General Auto Supply, said the company was building a 40-million-baht showroom and service centre in Bangkok's Thong Lor area.
Construction is due to be complete early next year.
The company also plans to set aside another 10 million baht for a Royal Enfield marketing campaign in 2016.
In Asean, Royal Enfield is already present in Brunei, Malaysia, the Philippines and Singapore.