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March 22, 2007 15:50 IST
Last Updated: March 22, 2007 18:12 IST
The much-touted 'people's car' from the stable of Tata Motors could create a major dent in the top-end motorcycle sales with its lucrative price tag, which has become a global case study, global consultancy firm J D Power said on Thursday.
If the Tatas are able to get quality and customer satisfaction parameters right, the 'People's Car' could shift buyers from a top-end two-wheeler on account of its safety and convenience factors, it said.
"The two-wheeler market in India could see a dent at the top-end because of the Rs 1-lakh car, but how far reaching will it be, will depend on the product's performance, after sales service and overall customer satisfaction," JD Power India Director Mohit Arora told PTI.
The progress of the car is being monitored by automobile industries across the world for possible replication in different markets.
"The Rs 1-lakh car is a case study which the whole world is watching. If successful, the car can spark demand in a new segment. Brazil and China are looking for similar products," J D Power Asia Pacific managing director Gerrit Kuyntjes said.
The firm, however, cautioned that Tata's would need to get its product right at the first shot as the dynamics of Indian automobile market have changed over the years. "Unlike Indica, in which Tata Motors got a second chance, it is doubtful if it would get a similar one with the Rs 1 lakh car as consumers have become more discerning and demanding," Arora added.
Even the rural customers, one of the main targets of the car are becoming demanding and less forgiving, he said.
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