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Case presentation on tata nano

Hi All, We have analyzed the positioning of Tata Nano (Kellogg School of Management Case Study)... We have looked into the current sales trends as of 2015... We have proposed an unique positioning... Hope you will appreciate.

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Case Presentation
on
Tata Nano
Group Presenter: Shyam Sundar Gour
Indian Institute of Management Kolkata (IIMC)
EPSM 08
Speak:+919351961181
Jodhpur (Rajasthan)
Blue Ocean Strategy of Mr Ratan Tata with Tata Nano
Business Strategy of Tata Motors with Nano
 To create a new passenger car category
 Grab the Price Sensitivity of India potential Car Owners.
 Target the customers of Two-Wheelers (8.5 Million in FY 2009.)
Industry Potential
 Indian Population
 Large and Increasing Middle Class Segment
 Increasing Disposable Income
 Low Penetration of Car’s as compared to U.S.(12 per 1000 versus 765 per 1000 in
U.S.)
Positioning from 2007-2009
 “People’s Car”
 “World’s cheapest Car”
Sales Goal
 350000 in First Year
 Then 1 Million
Performance?
Average Passenger Car Sales: 2.5 – 3 Million
Year Nano Sales (*as per Siam)
FY10 30350
FY11 70432
FY12 74527
FY13 53848
FY14 21129
Causes of Below expected success of Tata Nano
.
Mileage
Vs
Bikes
Low
Performance
Features
Low Status
Symbol
Brand Benefits Highlighted
Happiness
of owning
a car
Expression
of Love
Mileage
Modern
Youth
USP’s of Tata Nano
Functional
• Small Length
and Width
• Fuel Tank: 24
Liters
• AMT
Economical
• Low Price
• Mileage
Psychological
• Variety of
Colures
• Central Locking
etc

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Case presentation on tata nano

  • 1. Case Presentation on Tata Nano Group Presenter: Shyam Sundar Gour Indian Institute of Management Kolkata (IIMC) EPSM 08 Speak:+919351961181 Jodhpur (Rajasthan)
  • 2. Blue Ocean Strategy of Mr Ratan Tata with Tata Nano Business Strategy of Tata Motors with Nano  To create a new passenger car category  Grab the Price Sensitivity of India potential Car Owners.  Target the customers of Two-Wheelers (8.5 Million in FY 2009.) Industry Potential  Indian Population  Large and Increasing Middle Class Segment  Increasing Disposable Income  Low Penetration of Car’s as compared to U.S.(12 per 1000 versus 765 per 1000 in U.S.) Positioning from 2007-2009  “People’s Car”  “World’s cheapest Car” Sales Goal  350000 in First Year  Then 1 Million
  • 3. Performance? Average Passenger Car Sales: 2.5 – 3 Million Year Nano Sales (*as per Siam) FY10 30350 FY11 70432 FY12 74527 FY13 53848 FY14 21129
  • 4. Causes of Below expected success of Tata Nano . Mileage Vs Bikes Low Performance Features Low Status Symbol
  • 5. Brand Benefits Highlighted Happiness of owning a car Expression of Love Mileage Modern Youth
  • 6. USP’s of Tata Nano Functional • Small Length and Width • Fuel Tank: 24 Liters • AMT Economical • Low Price • Mileage Psychological • Variety of Colures • Central Locking etc
  • 7. Target Segment Analysis: 2015 (As per Mckinsey Report) Target Segment: Middle class Indian: 2500000 Indian (19% of Total Population in 2015) Disposable Income: 2-10 Lacs Transportation Expenses: 38000-190000 (19% of Total Disposable Income) Profile: Increased Aspirations, Habitual for Bargaining, Looking for the low prices.
  • 9. How will you position the Nano to achieve that goal? Target Segment: Middle Class Young (20-30 Years old) Geographic Profile: Living at Cities with busy traffic, Small Streets. Pscygrophic Profile: Trendy, Using Latest Technology, Big Aspirations. Positioning of Tata Nano: As a premium, unique gift to the for their some one special (Brother-Sister, Husband-Wife, Son-Father, Father-Daughter) as it offers convenience, safety, style, ease of driving. Associations Planned: Festivals, Gifting Behaviour, Culture, Relationships.
  • 10. Why is the recommended positioning strategy superior to other positioning strategies that might reasonably be considered? General Considerations while choosing a gift Joy of Gifting Unique Regular Utility Something Big Memorable Word Of Mouth Trendy Stylish Colorful Low cost