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Piaggio Group SWOT & PESTLE Analysis

ID : 52570453| Aug 2019| 15 pages


Business Sector :Automobiles, Industrial Goods

Operating Geography :Italy, Europe, Global

About Piaggio Group :

The 135-year-old Italian motor vehicle manufacturer based out of Pontedera; Italy is Europe’s largest manufacturer of two-wheeler motor vehicles. Piaggio group is on the road since 1884, founded by Rinaldo Piaggio. They have expanded their services to over 50 countries with a proficient presence in the Asian markets. The vehicle range includes scooters, mopeds and motorcycles starting from 50 to 1,200cc under the Piaggio, Vespa, Gilera, Aprilia, Moto Guzzi, Derbi and Scarabeo brands. The 3 and 4-wheeled light transportation vehicles are marketed under the Ape, Porter and Quargo brands. CEO Roberto Colaninno heads the group with employee strength of 7000.
The mission of the Piaggio Group as per its Annual Report is “To generate value for its shareholders, clients and employees, by acting as a global player that creates superior quality products, services and solutions for urban and extra urban mobility that respond to evolving needs and lifestyles.”

Piaggio Group Revenue :

Euros 1389.5 million – FY ended Dec 2018 (year-on-year growth of 4.3%)
Euros 1332.4 million – FY ended Dec 2017

Competitive Analysis of Piaggio Group

The SWOT analysis of Piaggio Group is presented below:
1. Strong Distribution network
2. Strong brand equity
3. Leadership position on the European market
4. Technologically advanced production process and strong R&D capabilities
1. Limited market size versus Industry peers
2. Majorly dependent on Indian and other Asia pacific market
1. Huge market potential in developing economies
2. Diversifying their product portfolio to accessories and merchandising
3. Growing demand for two-wheeler
1. Growing competition
2. Global disruption of automotive industry
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Detailed SWOT Analysis of Piaggio Group



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1. Huge market potential in developing economies: Trend of globalization and industrialization has impacted economies in the world. Emerging economies are now these days the most attractive market with huge potential for market growth. Mobility behavior has changed, supported by world class infrastructure growth. People are using vehicle not only for commercial or commute purpose but also for adventure. Earlier people used to have one vehicle per family, but this trend has changed dramatically. Not only there is an increase in licensed male drivers but also female drivers. Due to huge industrialization and investment emerging economies are spending more on developing road infrastructure. This is very crucial in changing consumption pattern for automotive industry. Due to increase in global pollution with increasing number of fuelled vehicles developed and developing economies are focusing more on greener substitute. The automotive industry mechanical to its core have to compete in digital world which demands a shift in expertise and eventually creates niche markets for business. Piaggio having a specialized world class R&D team has huge potential to grow if it can tap on these areas as mentioned tapping an altogether different economy for automobile industry.

2. Diversifying their product portfolio to accessories and merchandising: The global automotive accessories market is mostly led by the accentuating inclination towards vehicle customization. Piaggio can tap market of vehicle accessories by diversifying their product portfolio. Piaggio group has huge potential in accessories market as being a world class player by implementing new technologies like biometric access, lightening technology, and active window displays. The objective in achieving success in accessories market is based on consumer behavior with specific reference to their interest in accessories. Piaggio group can devise an effective routes-to-market methodology to evaluate current market trends and drive profitability. They can also focus on accessories supplier and develop professional relationship with them to harness this market potential. These days’ youth love to associate themselves with brands in any different ways like merchandise. Huge potential lies in tapping the merchandise market increasing brand ambassadors and even increasing their customer interaction on a global platform.

3. Growing Demand for Two-Wheeler: Global market for two-wheeler stands at around dollar $ 95 billion in 2016 and is projected to grow by US dollar 125 billion by 2024. The increase in demand for two-wheeler is backed by their high fuel efficiency, growing urban traffic, affordability, lower emission and easy maneuverability. Two-wheeler especially bikes are these considered as aspirational objects and are being sold at premium price much higher than few luxury cars. Indian market has report 41% increase in sales volume, where in total Asia pacific being 18% increase in volume.


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Major Competitors :

Major Brands :

  • Vespa
  • Piaggio
  • Aprilia
  • Moto Guzzi
  • Gilera
  • Derbi
  • Scarabeo
  • Ape
  • Porter
  • Quargo

Key Business Segments / Diversification :

Piaggio Group
Commercial Vehicles Bikes
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Check Out Analysis of Other Relevant Companies

References used in Piaggio Group Analysis Report

1. Piaggio Group 2018 Annual Report -

2. Piaggio Group Company Overview -

3. Piaggio Group Financial Statement 2017 -

4. Piaggio Group Environment -

5. A road map to the future for the auto industry -

The detailed complete set of references are available on request in the 'Complete report' on purchase.

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Piaggio Group SWOT & PESTLE Analysis - SWOT & PESTLE.COM

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Piaggio Group SWOT and PESTLE analysis has been conducted by Sweta Parida and reviewed by senior analysts from Barakaat Consulting.

Copyright of Piaggio Group SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

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Piaggio Group SWOT & PESTLE Analysis
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