Tata Zest sedan triggers fresh price war

New Tata Zest sedan, starting at Rs 4.64 lakh, undercuts every major segment rival; diesel auto model most affordable in India.

Published on Aug 18, 2014 11:37:00 AM

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Tata Motors’ determination to not just win back the compact sedan segment but also turn around its fortunes is now clearer than ever before. The company has launched the Zest compact sedan at an extremely aggressive price, which could trigger a price war in the segment. 
 
Buoyed by the fantastic profits in Q1 (Rs 5,398 crore), which have trebled thanks to the stellar performance of its subsidiary Jaguar-Land Rover, the pricing of the Tata Zest indicates that Tata Motors isn’t obsessed about profitability in the short term. What remains to be seen is how long Tata will continue with the introductory prices for the Zest. 
 
Priced at Rs 4.64 – 5.99 lakh (petrol) and Rs 5.64 – 6.99 lakh (diesel), the new Zest steps into a now hotly contested territory. We pit it against the Honda Amaze, Hyundai Xcent, Chevrolet Sail, Mahindra Verito Vibe and segment leader Maruti Dzire to see where it stands in terms of pricing. All prices are ex-showroom, Delhi.
 
Tata Motors has launched the new Zest sedan in both petrol and diesel variants. The petrol motor on the Zest is the new 89bhp, 1.2-litre Revotron and the diesel engine is the tried-and-tested 1.3-litre Quadrajet which comes in two states of tune – 74bhp and 89bhp. While the petrol variant gets four trims, the diesel gets five with the base trim being powered by the low-output 74bhp diesel motor. Transmission duties are handled by a five-speed manual gearbox and there is the option of an AMT gearbox on the diesel.
 
Since the Zest is unique as the only diesel automatic on this list, we will compare the manual variants of each car for ease of understanding.
 

Petrol

The entry-level Zest petrol is priced at Rs 4.64 lakh and the top-of-the-line trim costs 5.99 lakh. The Amaze starts at Rs 4.99 lakh and goes all the way up to Rs 6.77 lakh. The Xcent is priced from Rs 4.70 lakh to Rs 6.51 lakh while Chevrolet has priced the Sail from Rs 5.15 lakh to Rs 6.38 lakh. The Dzire costs anywhere between Rs 4.85 lakh and Rs 6.31 lakh.

The Verito Vibe does not offer a petrol variant at all.

Tata ZestMaruti DzireHyundai XcentHonda AmazeChevrolet Sail
XE - Rs 4.64 lakhLXi - Rs 4.85 lakhBase - Rs 4.70 lakhE - Rs 4.99 lakhBase - Rs 5.15 lakh
XM - Rs 5.25 lakhVXi - Rs 5.44 lakhS - Rs 5.36 lakhEX - Rs 5.30 lakhLS - Rs 5.60 lakh
XMS - Rs 5.43 lakhZXi - Rs 6.31 lakhS (O) - Rs 5.61 lakhS - Rs 5.69 lakhLS ABS - Rs 5.88 lakh
XT - Rs 5.99 lakh          --SX - Rs 6.26 lakhSX - Rs 6.64 lakhLT ABS - Rs 6.38 lakh
          --          --SX (O) - Rs 6.51 lakhVX - Rs 6.70 lakh           --
 

 

Diesel

Tata has priced the Zest diesel from Rs 5.64 lakh for the base XE trim to Rs 6.99 lakh for the top XT. The Amaze is priced from Rs 5.97 lakh to Rs 7.49 lakh. Hyundai’s Xcent costs Rs 5.61 lakh for the entry-level trim and Rs 7.42 lakh for the top trim, so its base diesel model does undercut the base Zest diesel by a not-too-significant Rs 3000. The Chevy Sail is available in the price bracket of Rs 6.34 lakh to Rs 7.54 lakh. The Mahindra Verito Vibe, which is available only with a diesel motor, is priced from Rs 5.71 lakh to Rs 6.56 lakh.

Tata Zest Maruti DzireHyundai XcentHonda AmazeChevrolet SailMahindra Verito Vibe
XE - Rs 5.64 lakhLDi - Rs 5.78 lakhBase - Rs 5.61 lakhE - Rs 5.97 lakhBase - Rs 6.34 lakhD2 - Rs 5.71 lakh
XM - Rs 6.27 lakhVDi - Rs 6.51 lakhS - Rs 6.27 lakhEX - Rs 6.24 lakhLS - Rs 6.66 lakh
 
D4 - Rs 5.97 lakh
XMS - Rs 6.45 lakh
ZDi - Rs 7.32 lakh
 
S (O) - Rs 6.52 lakhS - Rs 6.65 lakhLS ABS - Rs 6.93 lakhD6 - Rs 6.56 lakh
XT - Rs 6.99 lakh 
 
 SX - Rs 7.17 lakhSX - Rs 6.90 lakh
LT ABS - Rs 7.54 lakh
 
 
  SX (O) - Rs 7.42 lakhVX - Rs 7.49 lakh  

Overview

Price for the entry-level petrol variant of the Tata Zest is the lowest at Rs 4.64 lakh, the closest competition being the Hyundai Xcent petrol, priced Rs 6,000 higher at Rs 4.70 lakh. The base Dzire petrol starts at Rs 4.85 lakh, around Rs 21,000 higher than the base Zest. The top-end Zest petrol, at Rs 5.99 lakh, is also the most affordable, the closest rival being the Dzire at Rs 6.31 lakh; Rs 32,000 higher that the Zest XT petrol.

The base Zest diesel, at Rs 5.64 lakh, is marginally pricier than the entry-level Hyundai Xcent, which is the most affordable at Rs 5.61 lakh. Top-end Zest diesel costs Rs 6.99 lakh, which again is marginally pricier that the top-end Verito Vibe at Rs 6.56 lakh, but then it does get a fair bit more equipment than the Mahindra. The Honda, Hyundai and Maruti have their top-end diesel versions priced well over Rs 7 lakh.

Not only is it the best priced car on this list overall, as our test made clear, it's also a very capable car in its own right. Tata also has an ace up its sleeve, with the Zest being the only diesel automatic car in this segment, and the cheapest diesel automatic in the country. Even with a strong equipment list on middle and top-end variants, the Zest undercuts the competition on pricing.

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