MARKETING NANO IN

INDIA
IN VIEW OF TOUGH COMPETITION FROM
OTHER SMALL CAR SEGMENT
TATA KA SAPNA
GHAR GHAR ME
NANO…HO..APNA…
LAUNCHING OF NANO
WHY CHEAP????
 Build and Features of NANO
• The Nano's design is chock-full of cost-reducing innovations.
• The Nano's trunk is only accessible from inside the car, as the rear hatch
does not open.
• One windscreen wiper instead of the usual pair.
• No power steering, unnecessary due to its light weight.
• Three lug nuts on the wheels instead of the usual four.
• Only one wing mirror on the base model.
• Air conditioning not included with base model.
• No airbags on base model.
• 623cc engine has only 2 cylinders.
 COMPETITORS OF NANO
• MARUTI 800
CHEVROLET
BEAT
ROYAL ENFIELD
THUNDERBIRD
 PRICE LIST OF POSSIBLE
COMPETITORS……..

• MARUTI 800 • 2.5+++

• ALTO • 3+
• 3+
• CHEVROLET BEAT
• 1.10
• BULLET MACHISMO • 1++++
• HIGH END TWO WHEELERS

• In lakhs
 FEATURES
• Stylish, Safety & Comfort:The design concept and interiors of the People's
Car was laid out considering a typical Indian family in mind, which has a
roomy passenger compartment with generous leg space and head room.
It can comfortably seat four persons. Four doors with high seating
position make ingress and egress easy. 
• Fuel-Efficiency & Engine:T he People's Car has a rear-wheel drive, all-
aluminium, two-cylinder, 623 cc, 33 PS, multi point fuel injection petrol
engine. This is the first time that a two-cylinder gasoline engine is being
used in a car with single balancer shaft. The lean design strategy has
helped minimize weight, which helps maximize performance per unit of
energy consumed and delivers high fuel efficiency. Performance is
controlled by a specially designed electronic engine management system.
INTERIORS OF NANO
ENGINE OF NANO
 STRENGTH

•Low Price & Stylish

•Environmental friendly- Green house effect
•High fuel efficiency
•Space-Internal-21% more than M-800
•External-8% less than M-800
•Variometric gear system- Magnifies torque
•Tested successfully for crumple zones
 WEAKNESS

•No Modern facilities-ABS,AC etc

•Less Boot space
•No Headlight levelers
•Not fit for hilly terrain
•Poor traction control
•Poor engine cooling & hence overheating
•Small Tyres
•Windows wind down by hand
•No passenger side mirror
 OPPORTUNTIES

•Created a Niche market

•Diesel & Electric variant
•Developing low price engine oil
•Auto Finance
•Create Employment
 THREATS FOR TATA NANO

•New competitor – Bajaj, Chery, Honda Siel, GM etc.

•Traffic congestion.
•Government may increase taxes in metros.
•Rising cost of raw material.
•Reducing Parking Space.
•Strict European Safety standards
 MARKETING STRATEGY FOLLOWED BY
NANO

• GRAND LAUNCHING OF CAR AT AUTO EXPO-

2008 NEW DELHI
• MARKET SEGMENTATION
• TAKING ADVANCE BOOKINGS
• MAINTAINING THE LOW COST
• TAGGING IT AS PEOPLE’S CAR
• LAUNCHING VARIANTS OF THE MODEL
 WHY NANO WAS NOT A
SUCCESS????
 THE ENGINE GETS HEATED EASILY
 LESS COMFORTABLE SPACE
 REAR ENGINE MAKES BACKSEAT UNCOMFORTABLE
 BEING TAGGED AS MASS CAR WHICH DID NOT MAKE
IT A FEEL GRAND TO OWN PRODUCT
 INEFFECTIVE PROMOTION AMONG TARGET
CUSTOMER
 INSUFFICIENT SERVICE OPTIONS
 1 LAKH PRICE EXCEEDED
 ALMOST HOLLOW FRONT DECK RISKY FOR FRONT
SEATERS.
SIMILAR..AUTO AND.NANO..ENGINE
CHASIS OF AUTO….
SINGU-----R………..
 Hindrances and Mishaps
• Singur factory pullout
Tata Motors announced in 2006 that the Nano would be
manufactured in Singur, West Bengal. Local farmers soon
began protesting the forced acquisition of their land for the
new factory, and there was widespread violence when police
and farmers on clashed in December, 2006. As the protests
continued in 2007, Tata Motors delayed the launch of Nano
to September 2008. Violence continued throughout 2008 and
late that year Tata announced the Nano would be built at a
location in Gujarat, instead.
NANO MISHAPS
IN INDIA
 SURVIVAL STRATEGIES
THE FOLLOWING THINGS THAT COULD HELP NANO
TO STAND ITS COMPETITORS ARE

1.IDENTIFYING TARGET CUSTOMERS(PENETRATE

THE RURAL BELT)
2.DIRECT MARKETING
3.PROMOTION AND ADVERTISING
4. SERVICE DIVERSITY
5.TECHNICAL UPGRADATION
 RICH

UPPER
MIDDLE
CLASS
LOWER
MIDDLE
CLASS

POOR CLASS

TATA NANO : BEING TAGGED AS A MASS CAR

 IDENTIFYING TARGET CUSTOMER
• Nano is a low cost product whose target customer are basically lower
middle income group customers. Only tagging it as a “people’s car” can’t
do the business. What matters is the number when the on road price of a
nano became 1.2lacs.

• As per sales field experiences the customer’s buying power can always be
stretched by 30% of their real buying capacity. So it becomes necessary to
identify the 1lac customer who will stretch to 1.2lac.

• So a person who could afford 2lacs would never go for a Nano, he would
go for a costly model even by availing easy credit facilities by banks. That’s
where we have to make a point. We have to identify the actual number of
customers. It is possible when our sales people will directly interact with
customers.
INDIAN MARKET..a.insight
RISING INDIAN CUSTOMER
CUSTOMER TRENDS IN INDIA….
INNOVATIVE AND GROWING
AUTOMOBILE SECTOR
 Key points to study customer
• Identify the real need of customer
• Accessing customer expectation from the
product
• Service desired by customer
• Accordingly deliver the product
 DIRECT MARKETING
 As the product is tagged as a mass product so it needs to marketed in way
that masses will identify.

 To stretch customer’s spending limit the direct motivation is best way to

sell you product.

 As per Maslow’s need theory when the basic need, safety needs are
satisfied then esteem need comes into play. So we have to understand
that though the customer is buying our low cost product but still his
esteem needs are to be satisfied as in India car is still a luxury and matter
of esteem.

 Nano is not a mercedes which will be coveted by customers. So we have

to sell it like credit cards. We can’t wait.

 Even though people own car we have to sell. So exhaustive marketing is

the only strategy that will do the job
 DIRECT
MARKETING
PROMOTION AND ADS….
 PROMOTION AND ADVERTISING
▪ Nano found its places on the cover page of leading medias but
it forgot to find its places on the rear pages of regional mass
media, which are the most reaching means of communication
among the so called masses.

▪ A house wife will never read an Auto Magazine, she will

prefer a copy of Women’s era. So imagine if a woman bys
sarees and bindi by seeing them from her magazne then wont
sshe think about a nano. That’s where we ll strike a cord of
our business. When we are marketing a product designed for
a common mass we have to think like that.
 DISPARITY B/W
NO. OF SERVICE CENTERS

TATAS MARUTI
 CHANDIGARH -2  CHANDIGARH-5
 DELHI-16  DELHI-41
 BALASORE-0  BALASORE-1
 BHOPAL-6
 BHOPAL-2  PUNE-14
 PUNE-8  JAIPUR-8
 JAIPUR-4
 Service and diversity
 In next ten years the global business paradigm will
shift to service and where sales will be a reward for
services offered.
 As by that time the developing economies like india
will be reaching a developed status or reaching a
saturation so its the quality and diversity of service
that would save the day.
 Tata has quality of service only it needs to diversify it
into services like doorstep services, online services,
technical assistance through call centres.
BRAND TATA..
 Technical upgradation
• Safety issues can be reworked specially the
steering section can be redesigned

• Engine heating can be reduced…by using

raditor..and..getting a powerful coolant

• THE interiors could be..made more attractive

ONLINE MARKETING…..
Future of nano….
NANO electric
VARIANTS OF NANO…..
THANK YOU