Thursday, July 07, 2011
By Pranjal Gera
Tata motors sales drop
There is a drop in sales of company’s two popular models Tata Indigo and Tata Indica. Whereas, Tata Nano, India’s cheapest car sales declined by 29% year on year in June and company could only sell 5,451 units of the car. Nano sales have been slow since 3 months now and total inventory of Nano is around 10,000 across the country.
As reported by a reliable source, Tata Motors dealers revealed, Company is now planning to launch a limited edition of Tata Nano which will be priced higher and with additional features but, company’s spokesperson stated that the objective of the company is to add 300 Tata Nano dealerships in small towns in addition to regular 619 sales outlets and company has no plans to launch any limited addition Tata Nano.
According to Analyst the sales of Tata Nano is dropping as it is in segment where buyers’ decision is affected by increase in interest rates. Huge inventory of this car on dealers can be another cause of drop in sales figures.
Through an Industrial Source, The Company feels that the sale drop of Tata Indigo and Tata Indica is due to increase in interest rates and increasing fuel prices and expect the sales figure will return to normal in some time. Tata Motors reports Company’s market share in Delhi was 6-7%, with gains from April-June. Though, Dealers feels that there is a drop in popularity of Tata motors cars in metropolitans.
Tata Motors is offering a discount between Rs. 5,000- 6,000 on Tata Nano and upto Rs. 18,000 on Tata Indica. The discounts may vary according to location.