Titan
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Transcript of Titan
The Story of Titan
Made By:Hiteshwar Jindal
Rachit JainUtkarsh Verma
Megha GuptaSalman Ali
The Brand Titan• Titan Industries is the world's fifth largest • Established in 1984, has emerged as a watch, eyewear & jewellery brand• Customer base of 80 million, add 1.2 million customers every year
Major Highlights of its Success• 247 exclusive ‘World of Titan’ showrooms in 110 cities• 12000 outlets in 2500+ cities• International presence in 30 countries• Manufactures 8 million. Watches, 1.5 lac pieces of jewellery• 700 after sales service centers• A world−class design studio (R&D)that constantly invents new trends in
wrist watches
Vision
To be a world-class, innovative and progressive organization and to build India’s most desirable brands.
The Watch Market & Industry in India• India is an under-penetrated market for watches – only 27 %
of Indians own a watch
• Total estimated market in 2008-09 Volume - 20 Mn units & Value: Rs 1600 Crores
• Vast proportion of the Indian market is below Rs 500 ~ 68% (85% by volume)
• Market has been split into: Low end, Mass market, Premium, Luxury
• Organised Sector = 46%
The Competition in India• Titan sells around 7-8 million watches annually
• Timex sells under 1.2 million watches
• Other Brands (all put together sell less than 0.5 million watches)
• The Japanese – Citizen, Casio, have been present, while Seiko has not made any significant moves in India.
• The Swiss – Rolex, Omega, Rado, Tissot, Tag, Longines, Cartier, Ebel and a host of others
• The fashion brands – Esprit, Giordano, Tommy Hilfiger, Calvin Klien, Fossil, Swatch and many more have recently entered the Indian market
TITAN Citizen
Timex
Watch Market Map
Rs 500 1000 2000 4000 5000 30,000 +
Formal / Classic
Fashion/Sporty
Sonata, HMT,Maxima
Espirit, Swatch Fossil Giordano, DKNY, Carrera Tommy Hilfiger
Raymond WeilTissot
Omega,Rado, Longines
Tag Heuer Hugo BossC Dior
Price
Fastrack
XYLYS
10000
Nebula
USP
An Indian Company Offering International Quality
Mass marketing (undifferentiated marketing): offering the same product to the entire consumer population
Breaking the Rules
• Mechanical technology was the norm - Quartz had not really taken off in India. Titan built its line based on quartz
• Styling was basic - This was a constraint imposed by technology. Titan decided to make style a table-stake.
• Choice was limited - You had 200 models to pick from, that was it. Titan decided to inundate consumers with a wide choice in style, functions and price. The initial range was 350 models.
• Shops were dark, dingy and uninteresting - no importance given to presentation. Titan brought in the concept of retailing in watches.
• Advertising was expenditure - Titan saw this as a vital investment. Right from Day 1, Titan invested significantly in advertising.
Making the Rules• ‘If can’t be first Be Better’ – they used aggressive advertising to make the
consumers believe about their superior quality
• Essentially positioned as a premium brand
• J.V. with Timex to cover the lower segment
• Targeted gray market and not the HMT
• Differentiation
• Increased buyer value
• Build upon The TATA name though never using to promote itself but neither hide it.
• Decided to be the Shaper and not adapter
Customer Relations Management
• Titan has given a headway in CRM
• Implemented no. of small, yet significant measures
• Watch Care Centre’s• Receptionist – Local Language• Posh showrooms• Late working hours• No LunchTime• 24 Hrs. Voice mail• Also, Home Delivery
• Incresed Consumer Loyalty And Brand Awareness
Product OfferingsYear Brand Target Symbolisim
1989 Aqura Youngsters Affordable
1992 Raga Women Ethnic Range
1993 Insignia High end Exclusivity
1994 PSI 2000 Adventurous Sporty
1996 Dash Kids Colourful Range
1997 Sonata Budget Conscious Affordable,Quality
1998 Fastrack Youth Trendy
1999 Nebula Affluent Luxury Watches
2001 Steel Young Executives Smart, Contemporary
2008 Octane High End Unique, Fascinating
Premium
Mid-premium
Mass
Watches Jewellery Others
+
B2B businesses: PED and MBA
B2C businesses: Products
Watches Jewellery Others
B2C businesses: Retail
273 stores2,50,000 sq ft
115 stores2,25,000 sq ft
7 stores,3500 sq ft
77 stores68,000 sq ft
1 store2,700 sq ft
2 stores6,700 sq ft
Fastrack accessories
30 stores48,000 sq ft
Our businesses
Why HMT lost its leadership?
• Not responding to change
• Being a PSU didn’t helped the company either
• Mere 18% of the High Margin Quartz Segment
SWOT
Threats
Opportunities
Weaknesses
Strengths
Strengths
• The quality of watches is impressive.
• Innovation is core to its strategy.
• Visual Merchandizing has been Titan’s strength ever since its inception.
• Good retail network by “WORLD OF TITAN”
• Excellent customer service.
Weaknesses
• Rural India does not form a substantial part of customer base.
• Kids are fascinated with mobile phones rather than watches and incidentally, they show the time.
Opportunities• Only 35% (approx) of Indian population possesses
watches.
• Watches positioned as a fashion wear rather than just utility products.
• Huge market in the exchange business.
• Rural market may be tapped
Threats
• Chinese Watches
• Big Multinationals
• Unorganized Sector/Grey Market
• Fashion Trends keeps on changing
Promotional Plan
• Titan Positions the Generic Device-Watch-As an Ornament
• Distribution and Promotion Further Strengthened
• Always remember the USP
• Don’t neglect Public Relations
The Road Ahead…
• A Marketing War…
• Defensive Strategies to be used:• Courage To Attack Yourself• Strong Competitive Moves Should Always Be Blocked
Conclusion
Thank You !!