“60 per cent of the Aeris sales might be powered by CNG”, says Vivek Srivatsa, CCO, Tata Passenger Electric Mobility

Tata appears to be aiming for multiple targets with the Aeris: the dual tank in the iCNG version helping with better boot space, or just improving the safety standards, integrating the newest tech in the car with the X-ALFA Architecture platform; but there is one target that remains the biggest for Tata: making this sedan more oriented for personal use instead of fleet use, and the first step in that direction, as Vivek Srivatsa from Tata Motors explains.

As told to Mohit Vashisth

Why the new name?

The new name is to commit ourselves to a personal sedan buyer. I think the industry has been working on a one-size-fits-all approach where the same product is being sold to both fleet and personal customers.

So going with the all-new name allows us to develop a personal-oriented product package with the Aeris and focus firmly on fleet-driven needs with the Xpres. So I think it is a fork we have taken to cater to the two big customer groups in the compact sedan category.

With two different powertrain options, what kind of split is Tata Cars expecting in overall volumes?

The compact sedan is one category where actually the CNG penetration is extremely high; it is in excess of 50 per cent. This is even if you take out the fleet and look at only personal customers; even then the CNG penetration is very high. Since we offer dual-cylinder CNG without compromising on boot space, I think a lot of our customers will actually opt for CNG, plus we have the AMT available in the CNG as well.

So my estimate would be that 60 per cent of the Aeris sales might actually be powered by CNG.

Why is Tata Cars investing in the sedan segment when it seems to be slowing down?

I would say about 250,000 customers are buying sedans for personal use per year for the last, I would say, couple of years. The numbers are stable, but if you compare with how the industry has grown, probably, the growth has not happened in the sedan category. We believe that a lot of it is because there is a lack of excitement, honestly, in the sedan category.

Like I said earlier, ‘one-size-fits-all’ approach where a car is made to suit the fleet and the same car is sold to customers. I realise that a lot of sedan customers have to compromise because the same car is being sold to the fleet. I think a combination of the latest tech features, some exciting design and a very accessible price point will definitely push sedan growth in the industry, and that is exactly where Aeris is positioned because it comes with a very fresh look, all the latest technology thanks to the X-ALFA platform and of course very, very attractive pricing.

Why should somebody choose the Aeris?

I have been saying that the era where you can create price buckets is gone. We have to live in the era where prices overlap and allow consumers to choose the product or the body style they want, or the fuel option they want based on their particular needs. If you look at other categories, you know, mobile phones or tech, there, people do not worry about price overlaps.

They have products created for specific needs. The consumer is smart enough to know that this is my need and this is the product that best suits my need, and the automotive industry is going exactly the same way. So, price overlaps and body style overlaps are the reality, and I think we need to understand what a customer actually needs the product for and make the product suited to consumer needs.