Tata Motors, India’s biggest automobile company, is launching limited-period promotional offers for its small car Nano, including sizeable discounts on the car to the employees of various companies under the Tata Group. Higher price tag and soaring fuel costs have swayed buyers away from the ultra compact car over the months.
The automaker recently concluded an offer to the employees of Tata Consultancy Services, India’s top software exporter, allowing them to buy the small car for a discount of Rs 25,000 on the top-end variant.
Tata Motors also said the response from the 10-day offer from end-July to early August had been overwhelming from TCS.
While a similar promotional offer was launched by the company for its own employees late last year, more such offers are expected to pour into other group companies.
According to sources, Tata Motors will extend a similar offer to the employees of Tata Steel in the coming days followed by other group companies. Along with heavy cash discounts, the company has also offered cheaper finance schemes.
Other features of the Nano sold to TCS employees included a signature of Tata Group Chairman Ratan Tata, near the instrument console on interiors of the car. The Nano sold to TCS employees was termed as a ‘TCS edition’ car, sources added.
“From time to time, on all our products, we work with sister companies in the group to create exciting offers for colleagues and their families, just like we do for our own colleagues,” a Tata Motors spokesperson said.
“As for the Tata Nano specifically, as for any prospective customer, it is equally an aspirational car for colleagues across the group. In the Tata Group, companies offer colleagues in other companies special offers on their products. As for the special offer on Tata Nano for TCS colleagues, the response incidentally has been overwhelming,” he added.
Tata Motors is aiming to tap into the potential yet sizeable consumer base for the Nano within all group companies where more than 200,000 people are employed in India.
While promotion of its own vehicles amongst the employees of its mother group is not new for Tata Motors, it can potentially bring in added sales for the Nano whose demand has started to dwindle once again.
The Nano’s country-wide sales so far this year has posted six per cent growth, outpacing the growth of the entire car segment which has grown by one per cent during the same period. However, monthly sales over the last two months have nearly halved to 8,712 units compared to the corresponding months a year earlier.
The entry price tag of the Nano is at Rs 1.53 lakh, while the top-end variant costs Rs 2.11 lakh (both prices ex-showroom, Mumbai).
The company is making attempts to revive sales of the small car including expanding dealer base in the interiors of the country. Tata Motors Finance, the financing arm of the company is providing loans at lower rates.