Datsun Go targets Tier 2, 3 towns, top-end variant a big draw

The Datsun Go hatchback launched today, which targets the entry level customer in the B segment, has so far received 50,000 enquiries after a 100 city road show. The top-end T variant (Rs 3.69 lakh, ex-showroom Delhi) is the most popular of the three trim levels. While the base D variant is priced at Rs 3.12 lakh, the mid-level A variant costs Rs 3.46 lakh.

According to company officials, Nissan is optimistic of garnering a 10 percent share of this segment in the first year of the Datsun brand launch.

The Japanese carmaker says that the Oragadam plant, near Chennai, where the Go will be manufactured will help utilise the facility’s full capacity of 400,000 units. Production capacity at the plant, which is shared with Alliance partner Renault, can be upped to 480,000 units as per demand, according to Kenichiro Yomura, president of Nissan India Operations.

The Go is to be followed by the Go Plus by this year-end and the third sibling subsequently will be marketed through Nissan’s 125 outlets. The focus markets for the Datsun Go brand will be Tier 2 and 3 towns as well as rural areas. The gameplan is 40 percent Tier 1 markets and 30 percent each from Tier 2 and Tier 3 towns, along with 3,000 service points in 1,400 locations across the country.

“We are studying the best and most effective way to cover the customer demands that may be different from market to market. We can expect more demand from rural areas,” Tomonori Muto, GM (marketing and product planning group), Datsun Business Unit, told Autocar Professional.

He said the company’s marketing strategy will involve bringing the Datsun Go closer to the customer, educating him/her about the new brand and also driving it to gain a first-hand experience.
Once adequate volumes are mustered, dedicated outlets for the Datsun brand will be opened in India. “We have had discussions with existing partners about the expansion plan and some of them have an idea about setting up of dedicated Datsun showrooms. Since it will involve new investments for dealers, specific volumes will be required to justify the investment,” added Muto. 

Despite being optimistic of garnering large demand, Nissan is cashing in on being very transparent about its delivery schedule to customers. The roadmap for expanding its dealership network, which is still small, includes ending the current fiscal at 130 outlets with 200 outlets planed by 2014-15.

In addition, Nissan Motor India has 3,000 roadside assistance and service points to assist customers. A soon- to-be-launched mobile service van will attend to periodic small repairs, forging a partnership with local service points such as service stations or independent garages. The mobile service van will provide maintenance for both the Nissan and Datsun customers using third party infrastructure.  

Though the Datsun Go comes without the Anti-lock braking system (ABS), which is fitted on most Nissan cars, the company is ready to fit ABS if customers demand it. Similarly, the Go comes with a 1.2-litre petrol engine mated to a five-speed manual transmission. Muto said an automatic transmission can be considered later if there is enough customer demand to justify that investment and the pricing equation is favourable to customers.