Tata Nano plans see distribution being strengthened

Soon after Ratan Tata went on record that he was optimistic about the Nano launch and prduction, Tata Motors is going all out to strengthen its distribution channels so that the people’s car would be a success.

Distribution network planning and strategising is i full swing, despite the current shutdown at the main Nano plant in Singur, West Bengal. Tata has rejected the agreement between Trinamool Congress and the CPM-led state government in West Bengal saying that they could not compromise on project land.

It is being said that Tata Motors is going ahead with its distribution and financing plans for the Nano car. Besides, the car maker is also given a thrust to the retail and finance models too. Tata Motors is implementing a ‘hub-and-spoke’ model for Nano’s distribution, which wuld mean that it would involve increasing dealership points as well as adding sales and customer touch points. 

Tata Motors has said that dealerships based in bigger cities will be responsible for looking after these touch points, which could be located even in the remotest corners of the country. As per the plan, the Tata Nano dealers in the cities would play the role of hubs. They in turn will undertake the effectiveness of other sales and customer touch points, which would play the spokes. As per plan, Tata Motors would launched the Nano across the country. 

Tata Motors has reportedly decided to focus on semi urban and rural markets to sel the people’s car. It may be recalled that Ratan Tata recently had conveyed optimism that Nano will be launched on time, saying that all obstacles in its path would be removed. 

The Tatas are also going in for mass production of the Nano and this is expected to be done very soon. Though work at Singur has come to an almost standstill, it is expected that Tata Motors will be able to keep its promise for launching the Nano at the price that it promised, on the promised deadline. The Singur faciliy, located around 40 kilometers away from Kolakata, has been seeing ryots on the war path with the government being urged to return the 400 acres of land taken away from them for the plant.