TATA Nano has failed to evoke public intrest as of now (sales figure of nov. 2010 and dec. 2010 is testimoney of that)....in my opinion following are the reasons for that:
1. Costing (purchase cost is more than 1.5 times of what was promised)..
2. Unorthrodox design...engine at back etc..
3. Image of burning Nano cars on our TV screens and newspapers are still in our memory...
4. Also, car is considered as a "prestige purchase"...and branding it as cheapest car (i.e. low prestige)...has dettered many buyers from going after it...
Hence, Target consumer i.e., young educated/middle class with freshly acquired disposable income...feels inclined to go for next viable option i.e. 800/alto/santro...etc...for him in different age brackets i.e.
(young-->point 1/4 above) and (old-->point 2/3/4 above) acts as deterent....
Hence in my opinion to prove the ruggedness/agility of Nano...it should be promoted as an alternative to great indian auto rishakshaw...and should be segmented as per that...I know it may be sounding stupid....and with due regard to Mr. Ratan Tata....a bit insulting....but is'nt it what he promised....a choice of drive for average indian....we all know...apart from bus...80% indians use auto rickshaw as an public mode of transport....so no harm in that...believe me it won't be considered a giffen good...in economic parlance...afterall we take case study of Tata Indica to justify that...(also in worst case...it goes that way...then also there is no harm...after all what what an avg. indian want...a cheap and convinient way of public transport...and what the company objective should be...to maximize profits...so both balls fit here)...so...enough of data to support my idea...so what exactly should be done next??...
1. Pricing-->Make CNG version of NANO available at approx. 1.5-1.8 L segment...
2. Target--> Auto rikshaw market segment...as he is least bothered about image and concerned only in profitering...
3. Positioning--> Cheapest public 'reserve' transport...utilise nano as radio taxi..
4. Launcing-->CNG Tata nano in BIS-IV compliant cities...painted in local auto rickshaw colours...painted in yellow and gren in delhi...yellow and black in mumbai etc...
5. Future-->With time as Nano will prove its ruggedness.....and pass through faith of great indian middle class....its sale will boost there also...as has been the case of indica...
Hence in my opinion there is no point wasting time and pumping huge revenues in ads and facelifts...company should ponder over points enumerated as above........
Chillax...
