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What is the play with TATA NEU?

Is TATA NEU a little too late?


Is there something that will make it fly?

Tata is unifying its 120 million users across apps and 2,500 offline stores under one roof.

NEU, the TATA Super App will house

BigBasket, 1mg, Croma, Starbucks, Titan, Tanishq, Tata Cliq, Westside, Tata Play, Vistara, Air India, AirAsia, IHCL, Qmin, and Tata Motors.

That’s basically everything that you can think of, from essentials to going on a luxury vacation.

The biggest synergy is that each portfolio brand can now access a wider customer base. Which means that if you were only using BigBasket, on the NEU app you are more likely to order medicine from 1MG as well.

The ultimate goal through the NEU PASS is to ensure loyalty and incentivize the users to transact within the TATA ecosystem which would result in a lower CAC and better LTV.

Now what might confuse the users is, should the loyalty be towards TATA? NEU? Or Independent Brands?


The obvious answer would be TATA.


But all these individual brands have created their own mindspace amongst their respective customers and for those customers who haven’t noticed ‘by TATA’ while they transacted with each of these brands, more likely that they wouldn’t know that it was owned by TATA too.

It might feel as though TATA has just partnered to list these apps on NEU.

What TATA has done fantastically is building these individual brands to being mammoths in their respective industries, but at the same time it would be an uphill task to get users to shift from the standalone apps to NEU.

I am sure great minds would have thought this through and it would be interesting to see how cross-sell adoption would pick up.

What do you think? Leave a comment


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