Ratan Tata led TATA Motors, game changer plan, bumper discount likely to be offered on cars as per new strategy by management, claims report.
In an effort to strengthen its leadership in the battery electric vehicle (BEV) market, Tata Motors is reportedly considering the introduction of a Battery-as-a-Service (BaaS) model for some of its electric vehicle (EV) product lines.
According to a Money Control report, this offering could be available for electric variants of popular models like the Tiago, Punch, Tigor, Nexon, and others. The BaaS model would allow customers to purchase EVs without the battery, significantly reducing the ex-showroom price by 25-30%.
Ratan Tata Big Move For Tata Motors
Under this system, buyers would pay for the vehicle at a reduced price, while renting the battery on a pay-per-kilometer basis. This model is expected to make Tata’s EVs more affordable and accessible to a broader range of customers.
“There is a strong possibility that Tata Motors will give the BaaS option because consumers are actively looking for affordable EV options. Its prospective consumers are ready to shell out monthly battery rentals which are economical to operate,” said one of the sources to Money Control.
Tata Motors Potential Discount
Tata Motors, which currently holds a 75-80% share of the domestic electric passenger vehicle (PV) market, is keen to maintain its dominant position. While promotional offers such as discounts and free vehicle charging may attract some customers, the company recognizes that price parity with internal combustion engine vehicles (ICEVs) is essential for broader EV adoption.
Currently, Tata Motors offers electric versions of its ICE models, including the Tiago.ev (starting at ₹7.99 lakh), Tigor.ev (starting at ₹12.49 lakh), Punch.ev (starting at ₹9.99 lakh), Nexon.ev (starting at ₹12.49 lakh), and the recently launched Curvv.ev (starting at ₹17.49 lakh). With the introduction of the BaaS model, industry observers estimate that the prices of these models could drop by ₹2-3.5 lakh (excluding the battery).