<font color="#ff0000">Special: </font>POV: Who will drive the Nano?

An industry view on where will Nano find its market. Will it be a small town phenomenon or a city's fancy car?

Is a brand classed as a small-town one or one for the metro – in the minds of the consumer or the marketer? Take the latest small-car from Tata. Has it already been classified as a small-town car? afaqs! spoke to a varied bunch in the industry to get a sense of where the newest car from Tata is headed.

Kiran Khalap, co-founder, chlorophyll

The Nano is a new category, one that is not aligned to any existing classification. It is not a watered-down version of an existing car but is a built-up version of a new concept. The Nano has features (tubeless radial tyres; MacPherson struts) that were associated with high-end cars. For the record, the slums of urban India are rural in their infrastructure, and the rich of rural India are driving Mercedes Benz cars ('small town' Ludhiana has the highest density of Mercs!). The Nano will be an expression of a mind-set, not a geographical location of income status.

Milind Bade, general manager (marketing), Bajaj Auto

For a motorcycle buyer there are three kinds of costs he is bothered about - acquisition costs, running costs and resale value. A car's acquisition cost is high while operating cost is extremely high (a litre gives you 65-75 km on a bike vis-à-vis 15-18 km on any car). Maintenance cost will be high and resale value is yet unknown. I don't see an upgrade up from bikes. Having said that families (irrespective of urban or a rural family) who want to buy a car and are looking at the second-hand car might settle for the Nano.

Jignesh Shah, general manager (marketing), Paras Pharmaceuticals

This is much like predicting the Sensex in volatile times. I do hope that it catches the fancy in small towns (a hope further that Tata Nano's frame and delicate parts are able to take on rough roads).

However, I don't find the affluent class buying a Nano just because it appealed to their fancy. I don't think they would feel comfortable travelling in a small and - more importantly - 'inexpensive' car. The upmarket buyer is looking for badge value and not for the utility value that a Tata Nano would offer.

Shiv Sethuraman, CEO, TBWA India

I believe that the Tata Nano, in its current form at least, will essentially be a 'first buy' for people looking to upgrade from their two-wheelers/mass transport. I don't think it really has appeal as a second car for more 'upmarket' families not so much because of what it is but, because of how it is positioned as a mass market brand.

The Nano will, therefore, create a consumer base among first-time buyers. Also, it lacks the aspirational value necessary even for a second brand in a more affluent household.