Tata Motors, which is making a commercial launch of its new hatcback Tiago on Wednesday, hopes to make a comeback in the passenger vehicle segment, something which it did not achieve with the launch of Zest (compact sedan) and Bolt (hatchback) more than a year back.
The car, which the company is manufacturing at its Sanand plant in Gujarat will in many ways decide its future course in the passenger vehicle segment as it will be followed by the Hexa (an MPV) and Nexon (a compact SUV) which were showcased in the Auto expo earlier this year.
Few years back Tata Motors devised the Horizonext strategy to revive its ailing passenger vehicle business. The company also developed the new set of Revotron engines for its new set of products in the domestic market. Despite all these efforts the Tata Motors still finds itself at the bottom of the list due to poor after sales service and brand positioning.
“This product will be extremely significant for Tata Motors as the company will look to consolidate itself in the market with the Tiago. The success of the vehicle will also give a momentum to Tata Motors for the upcoming products like Hexa and Nexon,” said Abdul Majeed, partner, PricewaterHouse Coopers.
The launch of the vehicle got delayed by around two months as its initial name Zica had to be changed due to the outbreak of virus Zika. The car will come with a 2-litre petrol and diesel engine. Tiago manufactured under the supervision of Tim Leverton, president, product planning and engineering, is expected to give a tough competition to the likes of Hyundai Grand i10 and Maruti Suzuki Celerio.