 "Tataneu, Tata Neu")
The Tata Group is in discussions with Uber Technologies to explore a strategic alliance aimed at boosting traffic volumes and engagement on Tata's digital platform, according to a report by the Economic Times (ET). The collaboration may involve integrating Uber's services as an 'anchor app' within the Tata Neu ecosystem.
Despite its positioning as a 'super app,' Tata Neu has faced challenges such as stagnant user growth and low customer engagement. The platform now aims to cater to 50 per cent of an average customer's daily needs, spanning groceries, medicines, fashion, food, travel, and utility payments. After receiving customer complaints, Tata Digital has revised its strategy to improve app performance and user satisfaction. It is unclear how successful this has been in boosting engagement on the platform.
A partnership with Uber, known for its mobility solutions, could help drive daily user engagement on Tata Neu and broaden its product portfolio beyond traditional offerings. Moreover, under Uber Technologies CEO Dara Khosrowshahi's leadership, Uber has diversified its offerings into areas like grocery delivery and high-margin advertising, which Tata Neu could benefit from.
READ: Tata cuts EV prices by up to Rs 1.2 L to pass on battery price reduction
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While talks of a potential alliance between the two entities have begun, the exact terms are still under negotiation, and there's no assurance of a definitive agreement.
Last year, Tata Motors signed an agreement with Uber to supply 25,000 electric vehicles (EVs), marking the largest EV commitment between an automaker and a ridesharing platform in India. The partnership would help electrify Uber services across major Indian cities and may include a longer-term supply commitment. The partnership aligned with Tata Motors aims to achieve a predominantly electric fleet by 2030, as well as Uber's zero-emission objectives. This also indicates a growing partnership between the two companies that could roll over to other Tata entities.
