Big Bazaar Driving Tata Nano Sales*

Abstract:

This caselet discusses automotive major Tata Motors' partnership with retail chain Big Bazaar to increase the sales of its low-priced car, the Tata Nano. The tie-up was a first-of-its-kind distribution strategy in the country wherein a car was retailed through a super store. The case explains how Big Bazaar aided Tata Motors in pushing sales of the Nano through a unique distribution strategy. It concludes with a question of whether Indians were ready to buy a car off the shelf.

Issues: » To study the distribution and sales strategy of the Tata Nano » To analyze the impact of the tie-up on sales of the Nano » To understand the product positioning of the Nano Introduction In February 2011, automotive major Tata Motors tied up with retail conglomerate Future Group to sell its low-priced car, the Tata Nano (Nano), through the Future Group's consumer retail outlet – Big Bazaar . The partnership was a first-of-its-kind distribution strategy in the country wherein a car was being retailed through a super store. The Nano was displayed at 120 Big Bazaar outlets across India. Prospective buyers booking the Nano at a Big Bazaar outlet received gifts such as gold coins and vouchers worth Rs .1,500...

Questions for Discussion:

1. Critically analyze the logic behind the strategy of distributing the Nano through Big Bazaar.

2. "There is a lot of commonality between Big Bazaar consumers and prospective Nano buyers." Elucidate.

3. Do you think Big Bazaar will be successful in driving Nano sales? Discuss the advantages and disadvantages of this kind of a tie-up for both the companies.

Key words:
Product positioning, Sales Strategy, Tata Nano, Big Bazaar, Distribution Strategy, Off the shelf

* This caselet is intended for use only in class discussions.
** More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.