Tata Group Chairman N Chandrasekaran said on Wednesday that the group’s newly launched super app, Tata Neu, which currently sells products from Tata Group companies, will likely allow third-party sellers to use the platform at the same time. coming. Chandrasekaran said the super app is built on an open architecture system which allows it to be more inclusive.
“Tata Neu will have all the products and services from the Tata stable, Tata Neu (built on) open architecture. Our goal is to make Tata Neu become this great application that simplifies life and meets demand of each consumer of the product from the point of view of services and business needs. For this, the offers can come from the Tata stable or from outside,” said N Chandrasekaran on Thursday.
The Tata chairman also denied suggestions that the two-year-old app had suffered excessive launch delays and insisted it was in fact a calibrated approach.
Tata Neu is currently part of Tata Digital, the wholly owned unit of Tata Sons Pvt. ltd. It allows users to shop across categories ranging from groceries to luxury goods and hotels, combining all of the Tata Group’s consumer brands on one platform.
Since its launch last week, the super app has registered 2.2 million downloads. “I believe in the Indian economy; it is a very strong economy. It ranges from 5 trillion to 10 trillion. Per capita income will double or triple and all this is a tremendous opportunity for us to shape Tata Neu te appointment for every Indian consumer,” added the President.
For consumers, the app brings together airline group Air Asia, hotel company Indian Hotels Co., online grocery company BigBasket, as well as other retail brands such as Croma, Starbucks, Tata 1Mg, Tata CLiQ, Tata Play and Westside.
On April 8, Mint wrote that Tata Group’s super app comes at a time when India’s retail landscape is transforming as the pandemic has pushed more people to shop online. India’s e-commerce market is expected to hit $88 billion by FY25, accounting for almost 8% of the overall retail market. Categories such as food and groceries are expected to hit $28 billion, while consumer electronics will represent a $20 billion online opportunity, according to a report by consultancy Technopak.
In May last year, Tata Digital acquired a 64.3% stake in online grocer BigBasket for ₹9,500 crore, citing accelerated adoption of online grocery shopping. It also acquired digital pharmacy 1mg and signed an agreement to invest up to $75 million in CureFit Healthcare.
Chandra denied that the two years it took to build the app was due to any delay. “There was no lag. We calibrated it throughout when to launch it and what to go with,” he said.
The app lets users log in with just a name and mobile phone number and uses device biometrics, like fingerprint sensors on Android phones and Face ID on iPhones, to secure access to the app.
The president said the team is working on a number of service, technological innovations that include an AI-driven personal assistant to improve the consumer experience.
For example, the app saves purchase histories from the company’s pre-existing databases for existing Tata customers. As a result, the app will offer a customer who has stayed at a Tata hotel or is already using BigBasket, Tata Cliq, etc., a digital reward in the form of “Neu Coins”, which can be redeemed for purchases made on Tata Neu .Customers can spend these new coins in any category.
One of the crucial differentiators of the super app from the rest is its rewards program – NeuPass. “Neu Pass will also go beyond the Tata Group at some point,” the chairman said.
“Neu Pass is not only a loyalty program on every touchpoint where you can easily earn and consume effortlessly, but also an integrated financial credit line that grants instant loan very easily,” said the group’s president. Aunt. He added that NeuPass will continue to be improved in terms of benefits and offers.
On the day the app launched, there was a three-hour glitch due to the “surge” of “unprecedented demand,” the CEO said. He has since said that the application “stabilization phase” and then the problems did not recur.
Tata’s digital president, Mukesh Bansal, the founder of Myntra, expects consumers to go from being a mere app user of Tata brands to the super app. “During the pilot phase, we’ve seen our single category customers grow from 10% to 30% and that’s a substantial increase – folks… We expect the number to grow to 50 %,” he said Thursday.