Could the Tata Nano’s star be fading?
The diminutive car, hailed as the People’s Car, racked up more than 200,000 advance orders when it went on sale last year. But according to a company news release, Tata Motors sold only 509 Nanos in November. That’s down from 3,065? in October and is an 85 percent drop from November 2009.
At the end of October, Tata announced a price increase of about $200. That may have something to do with the decrease in sales. But Tata had a more significant safety and public relations issue that might have played a role. Shortly after the Nano went on sale in 2008, there were several reports of fires, including one in a car that had just left the dealership.
In October, Tata issued a news release extolling the car’s construction quality. “Some owners have taken their Nanos on countrywide trips or to altitudes like Khardungla, the world’s highest motorable road,” Tata said. “Customers can rest assured that there are no generic defects in the Tata Nano.”
Whatever the reason, the Nano needs a sales jolt. And according to The Financial Times, Tata executives are planning to step up efforts to promote the car.
One of those efforts, reports the Hindu Business Line, is to create alternative sales outlets for the car, outside dealerships. Another is to appeal to nondrivers.
“The profile of customers who want to buy the Tata Nano is that of the two-wheeler purchaser or those who do not own any personal mobility at all,” a company spokeswoman told The Hindu Business Line. “Many of them do not know driving. We are addressing their questions through initiatives such as test rides and extensive interactions.”
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