How to Check a Car's Safety, EV Cars, Business Opportunities & Ratan Tata | FO 327 Raj Shamani
so a car with five star safety versus a. car with doesn't have festar. safety about the robustness of the. structure what we call as body in white. the metal. structure how strong the structures and. how it is able to withstand the impact. of a crack 3 to four is almost double. safety and four to 5 is even higher. safety can you guess in a day how many. people die on Indian. [Music]. roads 450 people die every day on Indian.
do you. [Music]. think. focus by 2020 it was clear future of. carbon free emissions is Eevee it was. always seen as a new opportunity but. very future facing opportunity why Eevee. makes more sense have you ever driv an. Eevee no should drive it like a daily. car driving becomes 10x easier not 1X or. 2x why because.
if someone who's an entrepreneur and. watching this what are the opportunities. they can spot an Eevee Community. charging is a very big thing what was. one feature with some other company. launched and you wish you would have. launched. first EET Le in strategies or t overall.
Journey passenger Electric Mobility. Chief commercial. officer about his meetings. with outcomes and lessons in the. leadership. ofct decision T Motors turn and road. safety EV adoption or customer Centric. Innovation through Legacy cre.
so watch this episode till the end but. before you do that rajani clips and Rani. shorts the. show have you met ran Tata sir yeah a. couple of times yeah fortunate to have. been around him what did you learn from. him amen uh one is this intense passion.
and love for automotive um you know. obviously when I met him he was already. quite out of the chairmanship but still. interested I mean despite his health. conditions he used to come and look at. new cars look at it with so much love. and. [Music]. Fascination Fascination and then he used. to ask the question questions you know.
and in the questions you know how much. he understands and how much deep he. loves this category of Automotive you. know so I was very fortunate to have met. him maybe three four times yeah what um. what is the most admiring thing you. found in. him humility humbleness you know never. try to the body language itself is so. humble you know which is a great lesson. you know I mean you don't need to walk.
with your shoulders broad or head high. to get respect you know you get respect. purely because of the humility you know. uh the fact that you keep everything. inside contained and give a very. approachable uh person it's amazing you. know true that's why that reference to. God right you know many people almost. treat him next to God I think that. humility and ability to. control your power your aura and show it.
in a very approachable manner it's. amazing true it was. my it was my dream to have him on a. podcast he was on my list of course of. my top guest who I want to and I really. really like I got I got so sadden and I. tried everything I spoke to everyone and. tried to get him but it was such the. timing was such that my pod started like.
two two and a half years ago and since. last two and a half years ago he's not. keeping his well like he was he was not. keeping very well true so I got very. close to one point of contact which I. don't want to name but like someone. who's very close to him and like that. person told me that he would I pitched. the. concept and according to the person he. said that he told this concept to Mr. Tata and he loved the concept but he. can't do anything at this point because.
he's so sick that he's not doing any. media interviews any podcast any. appearance and it's not even nice of me. to ask him to give time because he wants. to spend like this time with like his. just people and the work he's like. passionate about he doesn't want to do. yeah and I was like this I. definitely I know obviously like I can. understand but it was like one one Miss. Thing like which I missed it was it was. um yeah.
it would have been a dream not just for. me for like every viewer who's watching. to have him on the. show but it's okay we going to make an. independent podcast on his learnings one. day good good good just his learnings. and now it's happening now with the. Legacy has left it's happening through. you guys like we we recently did uh. Starbucks CEO exactly he would have. given some inputs yeah you can make a. accumulation of all this exactly so I'm. going to make like a whole group Sor.
accumulation then going to make a. podcast from all of you guys and be like. hey this is what we learned might be. better the Legacy lives beyond that is. Legacy okay there are when you set up a. dealership dealership set. up some agreement license something is. there and government officer sign he not. signing because he expect some sort of.
let's say a bribe or anything we don't. you know like let's say it's a 100 CR. project. [Music]. and would you hold the project for a. year group has never bried of course. we'll put all kind of pressure on that. person saying why it should take one. year.
legal power not even legal normal. administrative. [Music]. power you know these kind of. questions you will go and completely say. that you so when your direction is clear. what how you want to approach you are. very strong and then you build your. strength somewhere else.
I mean group level file you know so I. think that is very. clear you know I think that has been. established. you application files exactly exactly. absolutely and of course the group is. Big probably you know that we also asked.
you. [Music]. know we can create some sticky situation. for that Administration as well so. lovely I started eyeing haror yeah that. used to be the car I wanted to buy like. it was my life turned around after 2020. to.
then it's like for from 2019 to. 2021 stopped yeah I just stopped looking. at cars or anything at all but 2019 I. wanted Harrier the black color Harrier I. really liked like even a giant car like. a really good car mean and mean looking. car it's very popular even now we sell. uh about 30% of our sale is the black. Hario Hario yeah out of all the haros. out of all the haros it used I really.
liked it like Harrier was it looked like. the car I want to drive like it's like I. can't afford let's say a Land. Cruiser like something or or like a. Range Rover I can't afford. that is on a. platform discover like that's used to be. like it's a discovery platform you know. okay it's a exactly the same uh pre. previous generation Discovery platform. d8.
so this was Harrier get mbu launch you. were there you just entered so Harrier. you planned the marketing you were there. yeah har I mean I joined in 2016 har was. 2019 by then we had you know. significantly moved up as a brand yeah. harer also be launched yeah in 20 what. was the turning point for Tata now I. think turning point was 2020 you know a. lot of just before covid I would say we. we launched four or five products. between 16 and 20 but in 20 we updated.
all our products together uh that was a. point when the industry also went into a. um bs6 emission Norms actually um which. was a big step we took an opportunity to. change the design of the cars and. upgrade all the cars together and. suddenly customers started seeing um you. know a brand which had very aspirational. cars the other turning point is when we. started talking about saf safy you know.
Nexon which we spoke about India's first. festar GN capap rated car festar GN. festar GN capap is basically uh the. safest you can get from a safety point. of view worldwide explain GN capap is um. a you know a private organization which. rates cars in terms. of safe in terms of they undertake all. kind of crash tests and then they give. points to every car they do it across.
cars. internationally and they are very they. are neutral they can go pick up any car. from any company and crash it only thing. the company needs to pay the price for. of the car to them you know um so we had. taken it as as a you know challenge to. see how robust our cars where you know. and then um initially we um undertook.
the zest there was a model called zest. um the zest it was submitted and we came. with a fourstar rating which really. motivated us and um you know kind of. encouraged us to go even higher then. with the next on we said let's go for. five star which was the industry best. nice and at that point of time nobody. imagined that a car made and designed in. India could achieve five star which is. like the global best in safety. so that really changed Nexon achieved.
that in 2018 actually so a car with five. star safety versus a car with not five. star saf like doesn't have five star. safety I. can't um explain it simplistically like. that but double um it is not 3 plus 1.4. 3 to 4 is almost double safety and 4 to. 5 is even higher safety you know in. simple layman's terms you know not not.
being technical but like what is there a. feature airag extra is. it fundamentally about the robustness of. the uh structure what we call as body in. white the metal structure. of um it is how strong the structure is. and how it is able to withstand the. impact of a crash so there are certain. key points in the structure where which. are strengthened use the right.
material actually weight is. counterproductive to safy because more. weight means more um inertia right more. momentum so it is a fine balance between. strength and weight okay and in the. right places also so obviously so very. interesting for you to know tat Motors. is which has a in-house crash test. facility so that helps us a lot that we. can test internally it is like.
Preparatory exam before the board exam. before we send it to GN we our. know you. know so um I think that really um made. customers realize that b t mot cars not. only look good but they have the. engineering provess to deliver safest. cars fortunately or unfortunately India. is the world's leader in deaths on the. road I don't if you saw the latest.
article can you guess in a day how many. people die on Indian roads a wild guest. no know two people all. India 450 people die every day on Indian. roads. yeah that is how unsafe our. roads. yeah 450 is like a big number it is. every day every day through accidents or.
some of other means on the road on the. road 450 people are dying every day. that's how bad our roads have become you. know but as an as an Insider of some. like a large yeah car company do you. think Sid. suf. no zero I mean depends if a car is safe. then car can be made as safe as the S. SUV and the SUV can be made as safe as a. car but in Market generally are SUVs.
more and I'm talking about crash safety. you know crash but if you talk about. ground clearance you know ground. clearance is lower so you will always. have a risk of grounding it do you think. Indians safety is definitely top. priority now for Indians they know very. well will they pay. premium I don't like I said I don't. think they're being asked to pay pay a. premium I mean uh our cars now are in. the same ballpark as any other.
manufacturer but they getting um safety. as an additional benefit but uh I think. awareness of safety has gone up. definitely you know people start saying. that if I rather buy a safer car than. buy a car filled with other features. it's not okay so people are still. consider at least they consider. safety has become a larger reason to buy.
it's not like I'll buy a piece of. plastic just because it has more. features. absolutely I mean people didn't know. that. there's called Safety you know that my. car can actually make me safer as a what. my question was how in European nations. Volvo. chose to build a brand safety is equals.
to Volvo like they stood by it for years. yeah right uh do you think and premi. it's not like as far as I have seen you. can compare that car with other cars. which are much cheaper and have similar. features correct but then the additional. premium and the brand that they've built. is like we have we are. safer you don't know people are not even. comparing because trust has gone so up. absolutely right I think that's the.
journey we are. in. status probably after another 10 years. we'll be able to do that no but is your. focus to be named as the safety. equivalent uh to be honest as a. marketeer uh I'm not I'm not sure that. alone is enough in India just safety. um.
um The Proposition of safety alone is it. good for a brand is I'm not sure in. India it was good enough in. Europe where the value of life is much. higher in. India I. think we always feel that.
I'm a better driver than him we link all. these things to safety you know uh the. safety uh the importance of safety in an. accident um is not understood right you. know accident can happen to. anybody driving skill. awareness safety. alone so that's safety alone is not. going to be a thing safety alone might.
not be as of now hopefully it should. change in the future because as our. highways are becoming bigger more and. more people coming on the road people. realize that it's not how well you drive. or how good the road is it is your. prevention again it's like Insurance all. of us pay premium for insurance right. yeah safety is like Insurance true you. know I feel her Country Three Stages. consumerism consumer product and. [Music].
go for the cheapest correct right. then so then it's status and. then then the country reaches a point. where. like important. value sing singular value singular value. then it becomes quality safy important. driving experience important luxury.
important it can be anything I think. that's a very good read by you you know. I think just other. day transition stage one to stage two so. 30 LH is still I would say stage two. yeah suddenly impulse bu.
right changes so which is I think India. is in that transition from stage one to. stage. two aspiration is like a big correct we. of course A lot of people are in stage. three as well you know I think India's. got among the highest billionaires in. the world but that is a very Niche thing. but bulk of the country is moving to.
stage two I would say yeah so that's. what I. feel then now we. like not only phone it should be like. it's a. stat and then you'll go to like a. specific feature or a specific abely.
then I'll say I want to focus on. photography I want the best photography. because then what is my need because. then you realize it because status at. after a point it doesn't matter to you. that much that's when brand. Consciousness heightens you know then. that's where Brands start playing a. bigger. role I will get the best in photography. similar in other areas of life as well. you know whether it's travel or luxury. or Automotive. uh in anything you know it can start.
associating with that singular feature. that you're talking about okay talking. about e now. yeah I yeah maybe petrol diesel cars may. we have lost some. battle to. FOC market share where did this Focus.
come from see it was never either or. thought. FOC either electric or petrol diesel was. never the thought okay it was always. seen as a new opportunity but very. future facing. Opportunity by 2020 it was clear that. future of carbon free emissions is e. when it's going to happen we don't know. but we have to start somewhere.
but we had to start and we thought let. us start it was a combination of the. vision of our chairman plus the ability. of um you know the then head of electric. vehicles sales who is now MD and the. provess of the engineering team who said. that we can try and do it so it's a. combination of vision ability to execute. uh push to execute how to get the right. size product Jo right sizing. this is a right size product made not.
too techy so that you will take 5 years. to make it not too basic that it won't. be reliable perfect product done in the. right time time not too long um so. that's how it came about like I said it. made many of us within the company also. convert into believers do you want to. compare an EV with all the other cars. yeah do want to do it why Eevee makes. more sense. firstly I think it's longterm it is less.
emissions for me that is the most. important it is but the way EV is made. it's not that like I said it I it is. already proved. that uh see e have longer lives and. that's the one thing we should remember. so by default whatever carbon I mean. emissions has happened at the time of. manufacturing gets uh negated over a. longer life second is emission or also. is zero uh like I said earlier even if.
the power is from you know unsustainable. sources today it's only a matter of 2 3. years before power generation will. rapidly become greenfi you know that. something the government is working on. uh we can't wait for that time for it to. become then introduce EVS so for me the. first thing is um the environmental. sustainability aspect and this is purely. my opinion. second is EVS are the digital version of.
driving you know they have you ever. driven an Eevee no no not yet you should. after I've driven ones oh sorry I've. driven one just for like test drive of. one of my friends car you should drive. it like a daily car you'll realize that. driving's become driving becomes 10x. easier not 1X or 2x why because it is so. easy to drive the I mean there's no. first of all the Comfort um you don't. hear the engine noise the vibrations. it's very digital second is the power is.
instant you know you just touch the. accelerator you get power so when you. move uh in in I mean in Mumbai traffic. um you don't need every time clut. declass or every time that one or two. millisecond Gap in terms of gear. engagement is not there so you are just. able to navigate so much easier in. traffic without sound you just used to. get that very digital kind of. feel so 10x easier to drive in traffic.
and 10x more comfortable because there's. no sound vibration heart these are for. me the three big reasons other thing is. that other peripheral reasons are that. EVS are software. driven they get far more features than. compared to I Vehicles other thing is. you can get all the soft me features. through software update it's more like a. gadget you know so I think those are the. reasons why I started driving an Eevee 2. years back which one do you drive next.
one you our U Dal chavel product I would. say but U but does they also have a cost. benefit analysis like have you done the. cost benefit analysis I don't do it much. because you know for me it doesn't. matter so much but of course it's very. very cheap compared to uh a petrol or. diesel yeah again. it's at Le at least 8X cheaper at least. eight times cheaper but initially you. end up paying more but that's changed. now completely you today you get the way. EV prices have come down in the last one.
year it's dramatic for the price of a. petrol uh tell me a nexxon petrol and. nexxon Eevee I mean I don't want to. compare it that way but you get nexxon. Eevees uh around there are petrol nexxon. at the same price as the Nexon Eevee so. sometime I mean it's earlier it always. used to be 20% higher 25% higher same is. the case with the punch or with the. Curve you know so so price parity as we. call it and I'm not even comparing Nixon.
petrol with Nixon you have all the other. competitors in the compact SUV space. Nexon e is available where other petrol. or diesel compact SUVs are available so. this price parity of EVS has happened in. the last 2 three months yeah you know so. we think that we are just going to see a. big boom now but there's always a. question it's the range everybody is. afraid that if I buy an Eevee where will.
I charge in the middle of the road if I. have to go from one city to another in a. on a petrol. car I live in overnight journey I can't. take my e you can because now e are I. mean we've launched the curve now we've. enhanced the range of the. Nexon when you have lot of charging. stations in between across the country. now you know of course um it's not as.
much as petrol stations so that's the. growth that we need in terms of EV. charging facility but on the other hand. you have apps today our own uh tata. EV. Ira app if you log in you you can make a. plan let's say 8:30 in the evening and. the app will do the planning for you. it'll tell it'll calculate how much. charge you have how much charge you need. to reach indor what are the four or five.
places you can charge in between and. it'll also tell you con charges. free. it go to the next Charger or how much. time you need to charge all that is. going to happen of course the other. thing to be honest a charging might take. you at least half an hour so charging. speeds also will go up you know probably. in the next one year one and a half. years all the Chargers will get up. upgraded to faster charging it'll come.
to a situation where in 15 minutes you. can get a top up top up for 200 kilom. you know so then it just goes so uh but. even now you know with a curve you can. do 400 kilm nonstop you know you so. let's say Mumbai paa up and down is a. reality you know um Bal indor is how. much. kilometers see one way you can easily. com 190 or something if I remember you.
know for me it's like three or three. and yes three and half when you're. having you can charge it also. you I'll tell my charging team to put a. charger there next time when you go but. 200 k mean 400 kilm real world possible. with curve which is a 20 lakh product. you know and 20 lakhs you have other. petrol diesel SUVs also so I think we. are just on the surface of uh you know.
the other thing also is that uh the main. stress is will I find a charger you know. I don't think the stress is about how. far I can go you know um so that will I. find the charger will dramatically. improve in the coming coming days as. today with that INF people can you can. do Mumbai to Bangalore Mumbai to Chennai. drives comfortably you have enough of. chargers especially if you go to the. south of India there are much more. Chargers you know and and very good. charging experience also you can charge.
your car in 15 20 minutes and then leave. you can have breakfast or coffee on the. way so I think it's only a question of. time do you think battery swapping will. become a. reality see it is not seen as a econom. eco-friendly approach and it's too. complicated batteries are heavy uh and. putting it removing it out also is not. the easiest thing so I don't think it's. a s sustainable way to go ahead and. hence I don't think it'll be so you'll. never be able to carry extra charging no.
mean there's no point in carrying. charging you know um like I don't have. like an extra battery type sort of. something there are some solutions. coming up where you can take a change. put it and then I can change change put. it but you can have a some accessories. are there where you carry a 10 Kow. battery with you so in case you run out. of charge you plug in that battery and. give charge uh like your uh you know. portable chargers you get a portable. charger for here it is 20,000 mamp there.
it is 10 kilow you know that's only. difference but those are not because. those are heavy you know a 10 Kow. battery you need Wheels to take it you. know so that's a problem that is a. problem so but that you see It'll get so. like I said only solution is how far how. far are we from the solution of having e. really yeah it'll be that fast every. every bankk will get a charger in the.
next 2 to three years I would say. because oil marketing companies are. going that is their future yeah you know. when the industry is going to change to. EV they'll sell sell lesser and lesser. oil so you know that's how they look at. it yeah and recently ntin gari sir said. that he wants to end subsidiary on EV. vehicle soon I mean we don't have any. subsidies right now going no it's only. the state level subsidies which are. being um given isn't it cheaper for a. Noel customer to buy an e only a GST.
different differential GST which is not. a subsidy actually it is like you know. uh cup might have a different GST to the. table right it's like that how much is. it like what's the difference between e. are at 5% GST petrol cars are at Petrol. depending on the kind of cars it's. anything between 48 to 5. 52% that's a. massive massive massive thing that I. it's not a subsidy it's not a sub but.
that's a way sort of like some way of. compens e the government doesn't need to. import fuel to run it no that is a big. difference what they save in fuel. subsidy they give GST difference we. spoke about China right in China the big. uh push has been from government they've. been uh giving huge subsidies even in us. all the EVS get subsidies see you want. to rapidly accelerate adoption of a. technology you have to make it. affordable you know so I won't say in.
India it is still a GST difference not a. subsidy sub subsidy is when you buy a. car you are given one lakh it used to. happen right Delhi had that Maharashtra. had that even now some other states have. it that is a subsidy which is over over. and above the. GST currently it is a differential GST. item different depending on you know if. that ends yeah that'll be a.
problem it should not end because it's a. different category you know it's like um. if the government wants to move the. country in one way they have to ensure. main it for long time yeah maintain it. for long time you don't see that. changing any I I hope not. yeah affirmatively uh say that but it. isn't everybody's good the government. wants country to go e um you know. manufacturers of e also they still don't. have the economies of scale right um.
also the amount of localization Pro. possible in EVS are not as much as ice. the more you localize the better cost so. that support is required for the. category to go grow plus we spoke. earlier that price parity is so. important and you can achieve price. parity only with some help from the. government true so it is I think it's. like you have to nourish a growing child. yeah do you think you guys will enter EV.
bikes no plans as of now yeah it's a. different. bikes but because bikes is a big Market. it's a big Market but it needs very. different kind of capability a lot of uh. I mean a lot of management. bandwidth uh again margins are not easy. to come by so I don't think right now we. looking at it right now what what are. your plans like what's the future look. like we just have to continue to. convince customers that EV is the most.
sustainable relevant technology of the. future it is the safest most comfortable. way to drive uh continue to start making. reliable products I me continue to make. reliable products uh establish the. technology as a stable Tech in people's. mind you know I think they still look at. it as a very small um nent technology. not as a mainstream tick not yet so that. is a journey I think that'll happen in.
the next one one and a half years and in. next 5 years what's the kind of market. share you guys expect to cap more than. market share I would say we want to. achieve about 30% of our sales through. eeve currently we are at 12 we want to. move it to 30 in next 5 years in 5 years. um it all mean the PB site also is. growing but we want to grow much faster. on the EV side I think also working with. all the charging provide operators you. know you have lot of St startups putting. up charges you have the government.
putting up charges through the oil. marketing companies working very well. with them you know see one of the. advantages we have is we have data of. our cars you know where all they going. where they are charging which are the. charging hotpots let's say if if U you. know um there are I have data on how. many EVS Tata EVS are doing inor to Bal. every day I have the data um I know. exact most of them how many where they. prefer to charge because they're.
charging there yeah so this kind of. information we are uh you know sharing. free of cost with the government with. all the startups saying that boss this. is a place where if you put a charer you. will get high usage you know so we are. we could charge money for it we are not. we giving the data so that people start. putting charges in the right place. customers benefited because they get. charges there those companies are. benefited because the usage is quite. high and we'll be benefited because the.
technology is being AC infrastructure is. getting so that net net is going to be. positive for the area that we'll. continue to be committed on sharing our. data to grow the charging Ino if someone. who's an entrepreneur and watching this. what are the opportunities they can spot. an Eevee which you guys see probably as. some gaps or the missing spots so that. some entrepreneur can come up and. partner with you you guys probably from. a small scale to large scale I'm open to.
hearing like multiple opportunities if. you have I think uh Charing INF. definitely something we can look we. already getting a uh seeing a lot of. startups coming in that space many of. them are restricted because of bandwidth. you know there are players who play in. only one region of the country because. you know to expand you need more. management bandwidth so charging is one. good opportunity um more and more on the. EVS you'll start seeing apps coming in. in the car you know um I spoke about how.
Amazon is already there uh we park plus. is come in you know you don't need to um. have a tag there your car has Park Plus. um you're going to get Google I mean UPI. also um in the car so that you don't. need to take out your phone and scan as. you pass by that payment will be made. you know I mean this is just immediate 2. 3 years down the line there's no end to. how much apps can get into the car and.
work you know so I think this entire app. infrastructure um you know how to make. the driving much more easier will become. a big place for these are Big. opportunities you see apps and charging. yeah and you don't see big players. coming into. this in into absent charging I mean big. players already there tataa power is. already there in the charging uh sector. uh and many of them are already fairly. big you know these startup so um oil.
marketing companies getting into. charging is a very big thing you know. they won't allow another player to come. and put their charger exactly it'll be a. bpcl charger there it'll be a you know. so then it it doesn't leave like lot of. opportunities for startups there are. because um very few because if the large. Mafia is coming into this no but the. opportunity is within the cities you. know see today anybody who buys a EV. will want have have a home charger so he. needs to have a dedicated parking for.
his car to put a home charger but I. think 70% of car buyers do not have. dedicated parking space they just park. by the roadside or wherever possible how. will they charge so Community charging. is a big thing in the future I if I if I. know that in Andi West around where we. are 500 M uh away I have a bank of four. five Chargers I'll buy an Eevee no I. don't need a charger at home.
so that Community charging is a very big. thing so Highway charging mean long. drive you must be going two times three. times in a year but you are going to. charge within the city every week so uh. the opportunity for cpos charge provide. operators is more in the city every. locality put a bank of five charges. you'll get start getting but then but. then let's say a local oil station or. AAS G station they can also put it they. can also put it like a bpcl will put it.
Indian oil gas HP gas the idea is in the. future you will have lot more I mean the. space required is first of all much. lower in putting somewhere close by you. know uh and if you're charging um bank. is much closer than a petrol bankk you. know there are not really so many petrol. Banks also around us you know we go. there and big thing is you're going to. the bank and coming back is a big work. whereas here you can just put it so like.
every lane can have like every lane can. have four or five that's the way it'll. and that's where the small startups can. enter actually become a big store in the. in the uh you know corner of the lane. you'll have Chargers also you know. that's how we looking at interesting. yeah I was comparing India us and China. in terms of cars and our per capita. income okay so it was us may her 1.2 L. is equals to one car correct so it's.
like almost everybody has a car yeah. right more than one car more. than. China so for every one car there's five. people maybe a little more now I would. say this is 2024 data which I was. reading so us. right so do you do you see that growing.
and reaching to a level of five. definitely uh with the kind of road. infrastructure and the kind of you know. GDP increase we are seeing uh it happen. also Auto industry is one of the. industries where the cost it has been we. have been challenging cost a lot if you. see relative cost between what a car has. grown to what other Industries have. grown it's been fairly stable I mean. maybe 15 years back you could get a car. for 2 and a half lakhs now you can get a.
car for three and half four lakhs you. know but look where income levels have. gone and you know but the same car which. you used to get for like let's say 5. lakhs today you get it for 10 lakhs um. it's not exactly the same car because it. has different engine the same name of. the car but it's not the same car at. Alles are more advanced much more fuel. efficient lot more safety parameters. like I'll give an example of let's say. one of your cars for uh if you want to.
put put it let's a Range Rover because. that's a luxury car so the Range Rover. which you were able to buy even 5 years. ago that same Range Rover you're not. able to buy at the same price today. that's not the way to because there is a. c i mean on one side Brands as they. become more familiar the automotive. industry always makes the cars bigger. more feature oriented and it keeps going. up but if you look at the bottom you. know what do the entry level car cost in.
2010 if I'm in the market to buy the. cheapest car possible uh because I want. to upgrade from my two wheeler what is. the how much is the affordability 2 LH. 2.5 lakhs no it's hardly 20 30%. difference so that's other way to look. at it no but same car. popular is that it I mean um yes because. let's say like in average I'm talking. upgade has to happen right for example.
even if it's. small like let's. say because you guys have changed your. car pick up exactly that's the point you. changed cars I'm not talking about e. with brand but if you want to continue. the same brand which is the best way to. do it and many of international. manufacturers do it very well especially. the Japanese when you get the next. generation of the same car it has to be. better than the previous generation so. automatically the size changes the. features change engine changes so over a.
decade two decades you will see that the. car has become much larger engine have. become much larger features are much. larger for the same name plate and hence. the cost also goes up what was one. feature which some other company. launched and you wish you would have. launched first me we have launched it. now but maybe automatic transmission. maybe we could have been faster to the. market you know embraced it much faster. mhm um you didn't expect India to go.
from manual to automatic this soon so. fast it also needed a lot of investment. I would say um now we are catching up. you know we catching up very fast but. maybe 10 years back if we had gone. wholeheartedly into automatic it have. worked you know so India is India has. gone Mass like post pandemic itom. Automatic Transition transmission is we. did have but not in the way the customer. wanted you know we had some something. called am. and not the way customer wanted as I.
mean the I would me um there are. different Technologies of automatic and. the way they have transitioned through. it was is very fast so maybe we could. have embraced it much earlier we. introduced um AMD Transmission in. [Music]. 2017 but maybe we should have done it. little earlier is my point there's a. question which bothers me usually. and this is purely based on the.
perception. of people who have spoken to regarding. car. AC why I mean mainly it is because um of. the number of years we've been making. cars you know um and when I say car. proper cars um it is definitely a field. where age a number of years of.
manufacturing is associated with. technical progress it is changing a lot. now especially with EVS uh and I think. even the mindset of customers are. changing a lot today you have two both. the Indian manufacturers in the top five. you know so it's changing for sure um. for much part of this calendar year Tata. punch was the number one selling car in. the country. you know so I think it is dramatically.
changing you know in terms of acceptance. of Indian manufacturers as being as good. as them safety also played a big part. you know when we said that we achieved. five star then they suddenly realized. that boss this is world class. manufacturer so it is changing a lot. but we still have that feeling that just. because of the manufact mean. International manufacturers are. supplying cars across the world they. have much more experience in making. different kind of Technologies they do.
have a wider spectrum of power trains. Etc um they have access to uh you know. different universities from where they. take the best students so uh I think. those are more circumstantial and. geography driven than anything to do. with national uh nation of origin and. nation of origin association with the. provess is changing rapid rapidly. especially in India you know and I think. the more people see you know today we.
are making semi- highspeed trains in. India you know which was not possible we. are making aircraft in India now so I. think in the next four five years that. believe that we can't make the best in. India will go away completely it's. already going away but other. circumstantial and geography oriented. thing like I said in terms of access to. best of talent skill access and exposure. to International markets that will take. some time um and I think but India is. the future I mean in the next decade two.
decades I think it that will also change. yeah so you. feel that it's only. because in terms of experience exposure. but more and more it's becoming that it. can be as much a disadvantage as an. advantage why why disadvantage to change. leg Legacy processes Legacy so they are. not fast and agile they are not at all.
fast and agile so that way but you guys. are also comparatively very big large T. processes code of. conduct how mean code of conduct I'm. just making I just use the word. relatively we are much more we can be. much more agile you know and as a. culture tat Motors is highly risk taking. you know if you look back at every. single car we have made right from. sudden. um we were you know we were making. commercial vehicles you come with a Tata.
Sierra which is you remember the Sierra. you you don't you know it's well before. your time it was a 1995 or so I was not. even born then yeah so if you can just. uh Google it later you'll see it was. first India's first lifestyle SUV you. know which had a 360° view those days. then you came then there was a Tata. Safari which was launched then we. launched the indicia which was Sumo Sumo. also but I mean the kind of risk taking.
ability that t Motors has saying that we. will give the Indian consumer something. which is extremely different from what. he has seen but still does the basic job. you must have heard of safari right. Safari the first again you very popular. very popular car Nano I mean all of us. know how much of innovation went into. Nano on the other side you know on one. side you have a safari which push the. envelope in terms of Technology. performance Nano is still seen as a.
benchmark template for you know uh. Frugal. manufacturing even now if you see in. terms of design Innovation nexxon was a. completely different looking product you. know you must have seen duster if you. compare a duster with the Nexon Nexon. looks like a you know a Porche kind of a. rear you know we Benchmark that so we I. think tat Motors has that drive for. innovation. um never to give if somebody wants a you.
give him a b which does the job of a a. also but also looks different you know. that's how we have always approached so. that'll Hold Us stable in the future. fair but still we are not one and two. like Indian brands are not rank one rank. two. where man like I said it's a joury you. know and sometimes the objective is not. to be number one number two it can be. different compare an Indian customer. with a customer of let's say Middle.
East difference Middle East or Indian. customer Indian customer firstly he. plans to own a product for a longer time. you know if you take a car in mind you. have four to 5 years you know minimum. minimum or more or more there probably. maximum they think of a year and then. they'll sell it off and many people used. to buy it on lease. also you can keep changing your car. anytime that's the mindset plus the. overall uh place also is like that right.
you as long as you have a job there you. have a Visa then you allowed to leave um. even if you change your job you all to. leave and come back you know when your. Visa gets renewed so sub say. approach see let me enjoy now I don't. know how long it it's going to last you. know that's the mindset overall I think. it's it's a different kind of place I'm. not running down Dubai at all you know. it's I think it's become quite a Haven. for xarts if you want to enjoy life have.
a peaceful life it's the best place but. for business it is very different from a. developing market like India you know uh. probably in Dubai the market mindset has. not changed in 10 years but in India. like we were saying P um affordability. affordability or um you know lowest cost. [Music]. cheese when you go for an Al or 800 or. let's say the cheapest phone Etc but now. it's other side you know customer wants.
more and more you know um now we are a. value for money market yeah uh money for. value market you give me value I'll pay. money now earlier it was completely cost. low cost cost Centric or low cost Market. I was speaking to one of these guys from. an expert in the car industry who sells. like secondhand cars and has studied a. lot about car deal dealerships and he. told me that no car dealership makes. money in long run every car dealership.
loses money it's a very Capital. intensive business where only the rich. person can invest in this and then just. it's a status game so they afford to be. rich like it's not like you can make a. lot of money through. dealerships do you believe in this I. don't so dealerships do make money of. course you know nobody is in in a long. run like not because today like your run. is going great so in last 3 4 years T. dealership must have made T of. money yeah yeah me it a relatively a.
long-term retail game not like. traditional retail where it is much. slower because uh same issue when it's a. capital intensive industry so very yeah. so dealer stock holding is high you need. large showrooms to be able to display. more number of cars you need service. centers which also needs more space you. need Bay with lifts and all that so. investment is high but car dealers May. money how good amount of. money but over a long period of time of.
course you need to run it well you know. you can't just leave it to somebody. because it's complex you know it's a. full-time business not like a side. business you can have full-time job it's. got all the complications of running a. larger company you have hugely Manpower. intrinsic uh operations which is the. front line sales customer facing you. have um deep Financial aspects where you. are to manage your money hold inventory. hold.
inventory service part technical aspect. is there uh then you know you have to. manage large uh areas of land you know. to stockyard you have the service center. you have the dealership so it's quite a. complex business then you have to sell a. lot of uh non vehicle business you know. you have to sell insurance accessories. Finance so it's a end to end kind of a. business game even a small card. dealership has multi multiple streams it. is not that I will sell only cement and.
that's my only thing you know thank you. so much for. spending my pleasure Raj thank you sir. thank you for spending too much time 340. yes sir local language Hindi or local. language I think import so they are more. loyal as audience towards any product. like I've seen in a small. village and there 10,000 the guy will. come and. Billy yeah the other cell is maybe.
cheaper but he wants the billya cell. because he trust that that's a good. thank you so. much number two.
and number. [Music]. three this episode and many more. episodes to come until next episode keep. figuring out. [Music].
