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Old 6th May 2013, 16:08   #361
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

A simple 4 speed CVT with power steering will change the game. There is no car at that price that offers a auto box. A big USP considering its a city only car. This will be an ideal second car in the house for city commute only.
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Old 6th May 2013, 16:29   #362
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Root cause may also be inconsistent marketing. I have a Nano and my friends were surprised by the sheer amount of space it provides. Honestly, that alone leaves people astounded and sort of breaks the ice.

They should make as many people as possible take test drives of the car. Go to upmarket colonies/areas, insist people take test drives and propose they buy it as a 2nd city car or a safe & economical mode of transport for the college kids.

Launch the diesel and CNG variant at the earliest.
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Old 6th May 2013, 18:07   #363
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

None of the reasons attributed to Nano's failure blames the petrol power train, fuel efficiency, cost of ownership etc etc.

However the most popular "suggestion" making the rounds is "Introduce a Diesel Engine". Brilliant! How will a change of power train undo a marketing failure? Beats me how just plonking in a "Diesel Engine" is going to solve the following problems:

Quote:
Poor targeting
Quote:
Simply too unconventional
Quote:
The image of the “cheapest car” in the world
Quote:
The Nano isn’t really a 1 lakh car
Quote:
Poor communications
Problem lies with the brand not with the product. And it takes lot more than just plonking in a new engine to change the fortunes of a brand.
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Old 6th May 2013, 18:47   #364
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

All sales figures that you read about in the media are about wholesale to dealers.
From what a Tata Motors dealer shared with me, the company is on a well crafted, deliberate strategy to empty out dealer stocks, by focusing strongly on retail numbers - as in retail to the end customer (the figures which SIAM does not publish).
In fact Tata Motors retail figures over the last two months has been pretty good - hovering around the 17k mark, and way above the published wholesale figures.
This stock correction is expected to free up dealer funds so that they are in a much better position financially as well as psychologically, to do justice to sales in the coming months. Expect this trend to continue for the next 2 months when things should be straightened out.
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Old 6th May 2013, 19:12   #365
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

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Originally Posted by arjab View Post
In fact Tata Motors retail figures over the last two months has been pretty good - hovering around the 17k mark, and way above the published wholesale figures.
Sounds like a really impressive number. Do you have any sources to back it up ?
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Old 6th May 2013, 19:41   #366
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

This is saddening for me, especially after owning and driving the Nano for almost three years, there's nothing at all wrong with this car, infact it betters in many areas when compared to close competitors. The engine and other mechanical elements are very much reliable as in all these three years, there has not been any major or know generic issues (except maybe the starter motor and the combination switch issue). It gives very good FE, awesome space and sweet price. The things I think that contribute to the poor sales are:

1) Brand TATA (as of now) - They have a very bad image in general with poor popular perceptions about the quality, reliability and issues with their famous products, aka, the Indicas and Indigos. Some of my friends own these and are definitely going to stay away from TATA products, mainly because of the poor history of their cars quality. Nano is one exception and I guess this car has very much lesser niggles compared to all other TATA products.

2) A. S. S - It needs to improve a long way for people who own Marutis to consider the Nano. The A. S. S in general seems to be very lethargic and getting all the issues covered in one go rarely happens. Services and Parts are cheap and that is actually a very big plus point when compared to the increasing Maruti A. S. S charges. TATA has this huge plus which they aren't utilizing at all.

3) Need to get more into public - TV ads alone aren't going to help increase the Nano sales. The initial fire issues spread like a rocket and to rectify the false poor image, their good aspects should also spread as wide and deep as the fire incidents spread, for which, they need to bring the car more closer to the people by providing test drive events at residence associations and such places. They need to connect with people more directly than the TV ads and website. Just think, people go and buy Alto not because of their TV ads and online reviews, but just because of a popular perception about the car. That is what they have to target. General public rarely has respect for an ad and everyone, including us, believe that ads just blow-up stuffs about a product.

4) Engine, fuel option and about Diesel - I, for once, do not understand the basic need for a Diesel in this little car, other than the perception factor (again, phew!). The running costs are low and with the steadily increasing diesel prices and with definitely a higher price tag for the diesel over the petrol (maybe around 40k to 50k), I don't find it an interesting option, to be frank!. It is a city car, ladies friendly and that doesn't clock great figures (in general) to get savings from a diesel engine.
What might be a better option is to improve the present engine for its refinement, power/torque and FE, so that costs can be kept low and this would be a more practical option. Electric/CNG versions make a very good proposition too!

5) Practical stuffs - An auto-box (CVT maybe) which doesn't decrease FE tremendously will be a great option. A 5th ration is definitely needed. Better access to luggage space and such small things are just add-ons needed. Another thing that's very much needed is to get the controls - clutch, steering, etc - feel lighter. This is a big deterrent as the clutch is hard compared to the Marutis and other hatchbacks and the steering is heavy at parking speeds for someone who doesn't have a reasonable figure. Not ladies and newbie friendly at all!

All in all, Tata should focus more on getting the peoples perception right and understand that its not the problem with the product, but with the way they handle the public and their customers!

Just my personal views and opinions.
Cheers!
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Old 7th May 2013, 07:31   #367
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

The Slump Continues: Nano Registers Only 948 Unit Sales in April 2013.

http://motorbash.com/the-slump-conti...in-april-2013/
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Old 7th May 2013, 07:59   #368
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

Nothing wrong with the Nano. Its a great city car. Issue was with the way it was positioned. Mr Ratan Tata himself, was guilty IMHO of playing to the galleries when announcing he wanted a 1lac car which was essentially a scooter replacement. Now no matter how car like the Nano is, it will always be compared to a poor man's four wheeler, a basic replacement of a scooter or an autorickshaw.
Indian people are basically hypocrites. Sorry for a strong word, but that word essentially describes us. We as a race want things for free, ok maybe for a rupee at the max, but would want the free product to showcase how well off we are. In essense we might rather buy a 6 year old Alto to show off to the neighbours than be seen in a new 1 lac car.
Second issue is the Nano was never a 1 lac product. Marketing hyperbole aside, the base Nano also retails for over 1.5 lac rupee and the top end retails for 2.5 lac upwards, which brings it pretty close to Maruti 800/new Alto/Hyundai Eon territory where in its found wanting. A 3 lac Alto or a Hyundai is certianly more car like than the Nano especially in NVH, power and refinement. A twin cylinder will never give the experience of a 3 or 4 cylinder petrol.

The next big mistake Tata will make is to power up the Nano and give it 5th gear or an autobox or all of the above and price it around just below the Vista range. Seems they never learn from their mistake. With the name Nano registered as the 1 lac car, no person would like to see a 4 lac car however nice with the same batch. Similar to Indica/Indigo and the Vista/Manza? or Sumo/Grande? I believe so.
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Old 7th May 2013, 08:08   #369
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

The only reason I see for fall of Tata motors sale is due to many players in the same segment and too many better looking cars, for many years we Indians have been buying products made outside of India because of quality , Tata motors had a good run till the other global gaints came in with better products aligned for Indian conditions , Ford , Fiat and GM missed the early to India soil opportunity with bad cars which were fuel guzzlers and costly to maintain in comparison to Maruti Suzuki , the newer entrants have learned the lessons and are bringing in products that suit Indian needs for better economical usage. I have been driving a Nano for close to two years and I love it , its a joy to ride this , I do not think changing an engine will do any wonders to Nano ,as you can see from having Fiat Multijects in so many cars , but not counting into sales for others except Maruti.
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Old 7th May 2013, 08:43   #370
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

Will the diesel engine save the Nano at this point? I'd say it's very possible, looking at how expensive fuel is (either diesel or petrol). A 1L CRDi engine in a car as light as the Nano is likely to exceed the 30kpl mark.

The main problem with the Nano right now is the cheap image, caused by the scooter like engine sound, lack of a rear hatch, power steering, fifth gear, engine parts being visible from back etc.

Tata needs to introduce the Nano Europa variant it has been showing for years now. It should be positioned separately from the existing car, with the larger 800cc 3cyl petrol, and the 1L diesel engines only, and features like AC and power steering should be standard. Interiors need to be spruced up too, with a better dashboard and seats with separate headrests.

I think that a properly specced and priced diesel variant will surely improve the Nano's sales. There's nothing fundamentally wrong with the Nano.
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Old 7th May 2013, 08:59   #371
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

From what I have read about the Nano I can say that it has achieved what Fiat has achieved, "Bad Image" and as the Fiat owners say that 'the majority of the problem seems to be faced by people who don't own one' aptly fits to Nano.

Almost all the owners are more than happy with the car, that really proves something.

PS: Where is car sales analysis thread or am I missing something.

Last edited by carwatcher : 7th May 2013 at 09:07.
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Old 7th May 2013, 09:44   #372
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I just recently read somewhere that the Diesel variant is infact quite quiet & refined compared to the current petrol one.

Another significant reason of Nano not taking off was because of the delay in launching the car. They set up things at Singur on time, but then protests made it impossible to start manufacturing. Then shifting to Sanand, they had to set-up the factory and train unskilled labour all over again. Simply put, by the time the product could come to the market, the excitement died out.

It may not be at 1L, but its a damn decent package at the price point it's currently being sold. If people are ignoring it, they're definitely missing out on something good.
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Old 8th May 2013, 20:17   #373
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

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Originally Posted by GrammarNazi View Post
Root cause may also be inconsistent marketing. I have a Nano and my friends were surprised by the sheer amount of space it provides. Honestly, that alone leaves people astounded and sort of breaks the ice.
Agree with you. I bought a Nano in February and almost all of my friends and relatives who saw the car were surprised (some shocked) at the space available inside.

I think the main issue here is improper marketing, although recent ads have been in the right direction. Adding a power steering (at least in the top end version) would go a long way in increasing sales.
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Old 8th May 2013, 22:37   #374
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

Sales are all about public perception. Not the actual product. Lets take an example: Compare the Safari with the Scorpio. Technical specs wise, the Safari is a clear winner. Space wise, both are equal,with the Scorpio being a little cramped when compared with the Tata. Ride comfort, no questions. Price, almost on par, compared with the features. Fuel economy, at par again. Sales? Tata 700 odd compared with 4000+ for Scorpio.
Where Tata lost the plot is, they introduced the 3.0 ltr and the 2.2 ltr Dicor engines, packed with new technology, but not enough quality checks. Initial horror stories of cars breaking down mid way, umpteen changes, retrofits, vehicles spending half their lives in service centers etc ensured that the Safari was known as a problem vehicle.
Mid 2011-till now the Safari is now a stable platform, no issues reported and the car doesn't need to visit service centers except for regular service, however people still shy away from the product, because perception so built is very hard to shake-off.

Likewise with the Nano, coupled with the well published fire cases. Same issue with Indigo and Indica.

Finally Tata has got its quality right, with all the new cars being pretty sorted, as good or as bad as the competition. Now they are on the slow upward path of changing their image to a positive one. It may take time, but eventually they will get there. They are a cash rich company, and they can take the hit of low sales for a couple of quarters. It seems like a planned move by Tata to get their quality right, until then reduce sales, not to introduce new models etc.
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Old 8th May 2013, 23:16   #375
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Default Re: Tata Nano-November Sales=506. Analysing the root cause and devising the solutions

Quote:
Originally Posted by darsa View Post
None of the reasons attributed to Nano's failure blames the petrol power train, fuel efficiency, cost of ownership etc etc.

However the most popular "suggestion" making the rounds is "Introduce a Diesel Engine". Brilliant! How will a change of power train undo a marketing failure? Beats me how just plonking in a "Diesel Engine" is going to solve the following problems:


Problem lies with the brand not with the product. And it takes lot more than just plonking in a new engine to change the fortunes of a brand.

This is the most relevant comment on this thread so far. I think a majority who have posted anything different from what darsa has mentioned above has most likely not driven or used a Nano. I found a lot of people talk in similar fashion offline as well, and all of them have never driven one or for that matter never sat in one!!

We have a fleet of cars from merc to maruti and I did not think much untill (bad or good about the nano) one day my wife and mom (lot of nano owners have a similar story) urged me read bugged me to get one, 7 days later we had a sun shine yello car delivered. I can write a whole chapter here as to why the car is spot on in terms of packaging, pricing and every single thing that is there on paper visa vi the price. Nothing needs to change but for the unfortunate and somewhat thakela Indian perspective/perception or assumption, or perhaps know it all. I urge all here to use one for a week and then form a realistic, candid, and OBJECTIVE, and RELEVANT opinion on it

Anyone feel offended by the above please ignore as I don't wish to get into verbal tustle here cheers

Last edited by canonball : 8th May 2013 at 23:18.
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