Tata has hit the sweet spot with harrier pricing esp with XZ but it could backfire as well , as while paying the 20 L consideration of compass sweeps into the buyers mind simply because of its aspiration value , xuv 500 also comes in for the sake of usefulness like 2 more seats, more features ,proven product, and finally the humble creta 1.6 sxo also makes way as its cheaper , more refined engine, frugal and some likable features, and as its considered a segment lower thus buyer also considers XT and realizes that at the difference of merely 30 k he is getting a lots of features with practicality . so it could give tata executives a hard time to explain it to potential buyers
The pricing pattern is such that on value proportion only XZ seems to be right while others in the lineup (XE,XM,XT) look overcharging .According to me XT should be priced 2-2.25 L cheaper than XZ to make it a value proportion (14-14.25 L ) as it misses a lot of usable features as well as luxury features ( difference in features and price of creta sx and sxo 1.6 is the reference ) while XM at 1.25 L less is acceptable ( around 13 L ) and again XE at 1 L difference is good ( around 12 L ) as a lot of buyer in will of buying harrier with limited budget might not feel short charged
