Go Back   Team-BHP > BHP India > The Indian Car Scene


Reply
 
Thread Tools Search this Thread
Old 27th January 2015, 10:31   #1
Team-BHP Support
 
Join Date: Feb 2004
Location: Mumbai
Posts: 7,300
Thanked: 23,853 Times
Default Tata's new passenger cars not for taxi market

Tata Motors has revealed that its future passenger cars will not be registered as taxis. Out of the total number of Indica hatchbacks and Indigo sedans that the company has sold, 30-35% have been registered as taxis.

Tata Motors is aiming to be one of the top three passenger car brands and the company plans to launch 2 new products every year till 2020. All the vehicles would be developed by teams in India, UK and Italy and would be global products. However, for now, the company plans to focus mainly on the domestic market.

While it has not disclosed any information on its upcoming products or which segments it plans to target, Tata Motors has revealed that it is planning to be present in every segment.

At present, the company has a dealership network of 460 outlets across the country. Over the next 3-5 years, it plans to have three times the number. Tata's recent products have been well-received in the market. The company claims that it has received 50,000 enquiries, 10,000 test drive requests and 1,500 bookings for the Bolt hatchback, which was launched earlier this month.

Source: Business Standard

Last edited by Aditya : 27th January 2015 at 13:28.
Aditya is offline   (8) Thanks Reply With Quote
Old 27th January 2015, 10:41   #2
Senior - BHPian
 
rajeev k's Avatar
 
Join Date: Jul 2009
Location: Emerging Metro
Posts: 3,306
Thanked: 1,730 Times
Default re: Tata's new passenger cars not for taxi market

Tata Motors need to do and serve differently, if they leave aside the 30 to 35% taxi sector sales, and to stay on a growth path.

Perhaps, it also means that, the Indica/Indigo range along with its variants would continue to be manufactured.

Last edited by rajeev k : 27th January 2015 at 10:42.
rajeev k is offline   Reply With Quote
Old 27th January 2015, 10:42   #3
BHPian
 
blueeyed's Avatar
 
Join Date: Jan 2015
Location: Alleppy,Kerala.
Posts: 57
Thanked: 29 Times
Default

But why?
Is it just to get rid of the 'taxi' image? Then Toyota should have done it the earliest.
blueeyed is offline   (3) Thanks Reply With Quote
Old 27th January 2015, 11:16   #4
Team-BHP Support
 
Join Date: Feb 2004
Location: Bangalore
Posts: 11,883
Thanked: 9,696 Times
Default re: Tata's new passenger cars not for taxi market

Well Tata need to ensure high standards to achieve this. As for the Taxi segment, let Chevrolet take it over, no one else looks at them as a brand anymore
ajmat is offline   (4) Thanks Reply With Quote
Old 27th January 2015, 11:44   #5
Distinguished - BHPian
 
drmohitg's Avatar
 
Join Date: Sep 2010
Location: Delhi
Posts: 4,478
Thanked: 3,621 Times
Default re: Tata's new passenger cars not for taxi market

But would it be good for there books to let go off that lucrative 35% sales? Honestly I do not see any change in brand perception unless they move away from the age old name and design cues of the Indica. Rather let them continue selling those in the Taxi market. But introduce cars that do not resemble Indica. That way I appreciate Maruti as most of its hatches look different from the outside, hence giving each its own identity.
drmohitg is offline   (6) Thanks Reply With Quote
Old 27th January 2015, 13:22   #6
BHPian
 
jetti's Avatar
 
Join Date: Nov 2014
Location: Hyderabad
Posts: 442
Thanked: 357 Times
Default re: Tata's new passenger cars not for taxi market

Can they really do this? I mean, once sold to the customer, are they allowed to restrict how its registered?
jetti is offline   (1) Thanks Reply With Quote
Old 27th January 2015, 13:59   #7
BHPian
 
Join Date: Sep 2013
Location: bangalore
Posts: 121
Thanked: 113 Times
Default re: Tata's new passenger cars not for taxi market

Quote:
Originally Posted by Aditya View Post
Tata Motors has revealed that its future passenger cars will not be registered as taxis.
Does it mean that the current model will continue to co-exist and cater to taxi industry? surely Tata's cant ignore the taxi market completely, as it brings a healthy top line for the car-maker.

Will be interesting to see the fate of Indica after the launch of Kite.
Visran is offline   Reply With Quote
Old 27th January 2015, 14:18   #8
Team-BHP Support
 
Join Date: Feb 2004
Location: Bangalore
Posts: 11,883
Thanked: 9,696 Times
Default re: Tata's new passenger cars not for taxi market

Quote:
Originally Posted by jetti View Post
Can they really do this? I mean, once sold to the customer, are they allowed to restrict how its registered?
The only way is to avoid fleet sales and discounting. It all depends if the new cars takes sales to another level.

Remember when the Logan came out. It had taxi written all over it but M&M refused to sell it as such. Poor sales meant the only buyers were taxi companes who bought at huge fleet discounts
ajmat is offline   (2) Thanks Reply With Quote
Old 27th January 2015, 14:22   #9
BHPian
 
Join Date: Nov 2007
Location: Pune
Posts: 574
Thanked: 159 Times
Default re: Tata's new passenger cars not for taxi market

I had heard the same thing at the time of Indica Vista launch. It was also followed for first couple of years, I think, but then even that was sold to taxi market. Let's see how strong resolve does Tata have this time.
shipnil is offline   Reply With Quote
Old 27th January 2015, 14:31   #10
Senior - BHPian
 
kiku007's Avatar
 
Join Date: Apr 2005
Location: Brisbane
Posts: 1,610
Thanked: 1,223 Times
Default re: Tata's new passenger cars not for taxi market

Misplaced priorities. IT IS the CUSTOMER who decides what happens to a car after it's bought.

Fleet Owners thought Tata Cars suited them well for their priorities and bought loads of Sumos, Indicas and Indigos. Individuals thought these cars were just too crude for personal use and didn't scale up to what the competition is offering them and didn't buy them.

Now how should a company address this? By offering world class products which make Individual customers think of a Tata Car again. Not by shoooing away Fleet Owners. Funny part is, India is not like USA where Fleet purchases happen in hundreds and have low margins. Why kill a golden egg laying goose?

The Zest and Bolt are a good step in that direction. HOWEVER when will they stop bearing that same damn smiley face n silhouette?
kiku007 is offline   (6) Thanks Reply With Quote
Old 27th January 2015, 14:46   #11
BHPian
 
aditya79india's Avatar
 
Join Date: Sep 2008
Location: DELHI
Posts: 253
Thanked: 214 Times
Default re: Tata's new passenger cars not for taxi market

Probably they mean that while newer models wont be pushed into the taxi segment, the current lineup would continue to serve the taxi market.

The other day I was at a local TML dealer to test drive the Bolt. Out of curiosity, enquired about the Vista still present in the display area and was told that it would continue to exist alongside the bolt as it was doing very well in fleet sales.
aditya79india is offline   (1) Thanks Reply With Quote
Old 27th January 2015, 17:16   #12
Senior - BHPian
 
Join Date: Oct 2009
Location: BANG-A-LURE.
Posts: 1,111
Thanked: 3,462 Times
Default Re: Tata's new passenger cars not for taxi market

I am not sure how a manufacturer/seller can decide on the car's future after it is bought.I have seen plenty of Vista and Manza cars registered as taxis in contrary to the news when they were launched that the will not cater to the taxi market.

Waseem.
SILVERWOOD is offline   Reply With Quote
Old 27th January 2015, 17:31   #13
Senior - BHPian
 
svsantosh's Avatar
 
Join Date: Mar 2008
Location: Hosur
Posts: 3,309
Thanked: 1,388 Times
Default Re: Tata's new passenger cars not for taxi market

Did Learjet's "Head of sales" get the Tata 'VP-Sales' Job?

Learjet sells jets to individuals who can afford their private planes, (of course they dont have a mass carrier), since when did tata get to decide they cant cater to mass/aam-admi market.

Do they just assume by stopping taxi sales, their brand will be valued by 'new' prospects.

Contrary to that, lesser the Tata car is seen on roads, lesser it will sell.

IMHO - a BIG % of own-Tatas (not taxis) were bought because public perceived 'if the taxi wallah can abuse it so much, it will last longer in my hands'...
svsantosh is offline   (2) Thanks Reply With Quote
Old 27th January 2015, 17:42   #14
BHPian
 
Join Date: Feb 2008
Location: Chennai
Posts: 762
Thanked: 518 Times
Default Re: Tata's new passenger cars not for taxi market

Tata should spin off the taxi cab business into a different brand like 'Indica' or 'Indicab', with it's own dealership and service network distinct from the passenger/private segment. Their CV dealership including those who sell ACE trucks know the fleet market segment very well and can cater to the demands of taxi cab owners and drivers. Basically, not just taxi cars, but other vehicles mainly used for commercial purpose, like Sumo, Winger, etc should be part of the same dealership network.

RSA and service network in rural areas can remain common so that private users have the best of both worlds.

Tata has unmatched reach and reputation in the CV sector and should leverage that to get the best sales for their entire product range.

Last edited by chncar : 27th January 2015 at 17:43.
chncar is offline   (1) Thanks Reply With Quote
Old 27th January 2015, 17:44   #15
BHPian
 
wantarangerover's Avatar
 
Join Date: May 2006
Location: Vadodara, IN
Posts: 154
Thanked: 134 Times
Default Re: Tata's new passenger cars not for taxi market

Quote:
Originally Posted by chncar View Post
Tata should spin off the taxi cab business into a different brand like 'Indica' or 'Indicab', with it's own dealership and service network distinct from the passenger/private segment. Their CV dealership including those who sell ACE trucks know the fleet market segment very well and can cater to the demands of taxi cab owners and drivers. Basically, not just taxi cars, but other vehicles mainly used for commercial purpose, like Sumo, Winger, etc should be part of the same dealership network.
My thoughts exactly. They should create a brand (for ex. TCV- tata commercial vehicles) and bring all CVs under that umbrella. That way, the same platform (for ex. a Xenon) can be sold under two brands catering to two different clientele.
wantarangerover is offline   Reply With Quote
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search


Similar Threads
Thread Thread Starter Forum Replies Last Post
'24×7 On-Road Assistance’ From TATA-TVS for TATA and FIAT Passenger vehicles Sunilrj The Indian Car Scene 14 6th October 2015 15:20
Tata Motors launches 'Tata Motors Service' for passenger vehicles GrammarNazi The Indian Car Scene 10 30th July 2013 11:21
Tata passenger cars most problematic in South Africa: JD Power bheem The Indian Car Scene 1 8th December 2007 08:07
Should the TATAs spin off a new brand for passenger cars? kvish The Indian Car Scene 26 3rd May 2007 12:37


All times are GMT +5.5. The time now is 23:23.

Copyright ©2000 - 2017, Team-BHP.com
Proudly powered by E2E Networks