InvestorQ : Do you see the Tata Neu idea really working in the Indian context?
Juvina Maggie made post

Do you see the Tata Neu idea really working in the Indian context?

Deepa Salunkhe answered.
12 months ago

To understand if this idea will work in the India context, there are two question that must be answered. First, is this idea novel and secondly, does the Tata Neu really offer me agnostic choice of products and services. Prima facie, Tata Neu may not directly compete with Amazon, Flipkart or Reliance Retail. It would be more like a much broader version of an Adidas or Nike website, where you can order their products online. Also, this is not an agnostic platform since only Tata driven products will be offered on the Tata Neu Platform.

That brings me to the second question on choice. One reason many online ecommerce platforms like Amazon, Swiggy, Paytm and Flipkart succeeded was that they offered choice to the customer and empowered them. Amazon, Flipkart and Swiggy give a wide choice of suppliers. Tata Neu will be limited to Tata vendors only. However, Tata group has always maintained highest standards of customer service, so customer should be happy.

However, the problem of choice is still not addressed here. Despite the brand name, choice is still a big issue. However, these are early days to say if it can really overcome the choice factor. Indian consumers have to choose between a legacy of trust and the power of choice.