Homegrown auto major Tata Motors on Monday said it erred in realising the demand for its sub-4-metre mid-size sedan Zest, adding that it may have missed a golden opportunity in the process.
Launched in August this year, around 10,000 units of the car has been sold so far. It is the company’s first new car in almost four years and competes with Maruti Swift Dzire, Honda Amaze and Hyundai Xcent.
With average sales of less than 3,500 units per month, it is a laggard in the segment. “After a long time we had a golden opportunity with the Zest but we may have missed it,” said Mayank Pareek, president-passenger vehicle business unit, Tata Motors.
“There is a supply constraint on the petrol and automated manual transmission variants as well as in those where the Harmon Kardon music system is offered. It is not an ideal situation to have a waiting list on a model and we should have foreseen that.”
Pareek, who joined Tata Motors in October after an over two-decade stint at India’s largest car maker Maruti Suzuki, said there was a need for the company to expand its passenger car dealer network in rural areas.