titan industry

7/29/2019 titan industry

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VISION & MISSIONOur Vision:To be a world-class, innovative, progressive organisation and to build Indias most desirable brands.Our Mission:

To create wealth for all our stakeholders by building highly successful businesses based on a customer-centricapproach, and to contribute to the community.Our Values and Standards:Total customer orientation

- Customers take precedence over all else, always.Employee appreciation

- We value and respect Titanians and endeavour to fulfill their needs and aspirations.Performance culture and teamwork

- At Titan Industries, high performance is but a way of life and is nurtured by teamwork.Creativity and Innovation

- Driven by innovation and creativity, we focus on smarter approaches and newer technologies.Passion for excellence

- In all our pursuits, we ceaselessly strive for excellence.Corporate Citizenship

- We ensure that a part of our resources is invested in environment and community betterment.

Introduction

When we talk about the wristwatch brand, remember the only Indian wristwatch market were

so shabby, one more ordinary than other and when the craze for imported watch was not

implemented. That was before the time of titan, a name which brought the revolution in the

Indian wristwatch market.

Titan wristwatch brand is the part of titan industry, which was launched in 1987 by TATA

group. TATA group had indentified the watch category as a potential consumer market for the

TATAs to enter.

Xerxes Desai, a TATA veteran and the MD of TATA Press was elected to that business.

By offering quality products and classic design with advanced technology to the consumers,

Titan made a success story. Outstanding services, wide variety of models and effective

marketing helped Titan to capture the market in its born stage.

The reason behind the success of Titan watches was their research on the Indian consumer

psychological mind. The company today has a model for every price segment and every market,

urban and rural, regional and international.

Titan brought quartz technology first in the Indian market and acquired first place by displacing

HMT into second place, who offers mechanically driven wristwatch.


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TITAN INDUSTRIES-WATCHES

It also brought a sense of style and design, which is only available in the West or in Japan at thatpoint of time.

Major Competitor

There are lots of competitor in wrist watch segment which directly or in directly affecting thetitan watches industry. The major players are-

Domestic Level:

HMT

Maxima-quartz

Rado

Casio

International level:

Espirt

Swatch

Citizen

ICBM-School of Business Excellence Page 2
http://www.titanworld.com/collections/series/WWF


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Tag heuer

Seiko

Cartier

Giordano

Fashion Houses:

Dkny

Gucci

Adidas

Nike

Bvlgary

Among all these competitors, Maxima-quartz and HMT are major players .The strength and

weakness of the companies varies from segment to segment.

Spending habit of consumers

Despite of high inflation, high oil prices and high volatility in gold prices, watch segment of

Titan Industries doing well in the current fiscal. For these, watch segment sales income increased

from Rs.168.83 crore during the first quarter of last year to Rs.171.89 crore during the

corresponding period this year. These data indicate that consumers spending pattern is

increasing respective target market.

From the above information we can easily understand that consumers buying more of Titanwristwatch. There are few reasons behind the growth in sales of Titan .They are as follow.



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Brand name

Quality of the products

Features ,which differentiate from others

Attractive models

New innovation

III. SWOT Analysis

A. Strength:

1. Style: Titan first introduced the style concept in India and projected the watch as a

fashion accessory. Now a days style is a very much evident factor among the youth. And

there is a craze for stylish wristwatch. So, Titan makes the peoples life more glorious by

making stylish wristwatch.

2. Models: As Titan offers the best and the biggest range to customer to choose the watch

of their choice with an affordable price.

It offers about 14 different names with about 1000plus different varieties with a watch

for literally everyone.

3. Exclusive products: Today Titan holds the pride for say that its products both within the

country and internationally running in battle position. Its EDGE the slimmest watch in

the world position.



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Other than these there have few more strength like-

4. Contribution of owned brands and retail. The profit is accounted by being in the

retail space which is booming.

5. Watches are available with popular functions like dates, multifunction and

chronographic.

6. Guarantee/warranty

A. Weaknesses

1. Pricing: the average price of Titan in mid-price segment is very high than the other

competitor. Average price for Titan is Rs.1100 while the price for HMT is Rs.550. In the

mid-price segment the company is not performing up to the mark due to the lack of

choice of consumers.

2. Market share: As the average price of Titan wristwatch is far more than the other

competitor, Titan has less market share. The market is more demonstrate by middle class

people and for them Titan is quite costly. Among 75% market share in mid-segment.

Titan market share is between 18-20% which is far lower than HMT and Maxima.

3. Globalized: As the company is Indian based which leads it to the strength, where as it is

the weakness also because the company not sufficiently globalized.

B. Opportunities



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1. Seasonality: At the time of festival, like Diwali Titan promotes Nebula, Bandhan

because there is demand for the products.

- Gold watches and pairs are the like as a wedding occasion.

-The fast track brand is promoted in month of June-August when schools and

colleges re-open.

2. Gifting concept: Titan started as a brand which was associated with gifting and relation.

The fight concept sells well for people have come to associate Titan with lovecare andmakes emotion run high.

3. Exchanging offer: The Titan stores offer exchange offer of any old watch, of any make,

in any condition functional or otherwise and receive a flat discount of 25% on their

purchase of a brand new, stylish and technologically advanced watch from Titan.

D. Threats

1. Competitor: As we know that lots of Foreign brands are entering in our country with

their branded watches. As the removal of quantitative restrictions on import watches leads to

threat to titan.

2. Premium segment: As in premium segment Titan is getting threats from reputed

international brand such as Espirit, Swatch and Citizen.

3. Mobile:Now a days people can get the time and the other feature in mobile phone. So,

the need of wristwatch is in decreasing trend. People can talk and see the time in a cell phone

and some people think that there is no need of wristwatch.



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Marketing Mix:

PRICE

PRODUCT

PROMOTION

PLACE

Price:

As achieve our marketing our marketing objectives, we can do some change in the pricing .

The main consideration will be in changing price are followings.

A. Survival:

In case of some of the watches titan prices them according to the features .The Exacta is a simple

steel watch priced at Rs.600-1,100. As the company also deals with Spectra, Raga through

pricing policy.

B. Market share:

As we know that 70% of sales in watches come from the lower segment, therefore by pricing

Sonata at 350 onwards with guarantee.

Titan prices its world watches which compared equal to an international players like Calvin

Klien where a customer pays 4 times as value of the world watch, therefore market with low

prices to international players to gain market share.

C. Market Skimming: In Indian watch industry there is no one offering pure gold watches,

watches in pair, jewellery watches. Here Titan offers there product with the Indian touch in its

design, the product, the love.

Product:



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Quality and leadership are the two main terms for the Titan. As to achieve the marketingobjectives this aspects should also be considered.

A. Product line: To increase the sales, the difference in the prices of the watches are justified by

the features.

B. Product pyramid: Portfolio of Titans product is of 3 distinct price-range that can be

defined in general, as Popular, Mid, and Premium. At the popular segment, the emphasis is on in

volumes but not in margins. At the premium segment, the emphasis is on profits and image but

not in volumes. Obviously, company giving more emphasis at the top of the pyramid as profits at

the top of the pyramid is very high. This pyramid guided the strategy of Titan.

C. Product strategy: Titan was first focused only on the premium segment of the watch market.

As per the product strategy they took, Titan moved in to the mass market for watches. To widen

base, Titan created new segments and increasingly focusing on segments individually. In the past

few years Titan has took a lot of initiatives to focused on specific segments.

D. Product Quality: Quality and leadership are synonymous to Titan. It seek to achieve both

through their value for products compared to their prices.

Promotion:

Promotional pricing:

A. Marketing pricing: As by opening new shops such as the world of Titan buy

directly from the dealer and hence the element of middleman is not there.

Here the retailer in this category buys watches for 17-18% lesser than MRP and hence they are

able to get the 17% profit margin on sales.

It is managing to successfully convince to the customer of the perceived value of WORLD

WATCH using hoarding all around the city, increasing buyer image, trust worthiness,innovation, differentiation, value for the product.



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Price discount and allowances: Every year Titan comes with a price discount sale on the MRPof the watches. The allowances varies from one segment to another.

B. Creative advertising: Titan introduces a contest on cartoon network in india.com

which invites children to use creativity and design watch.

The prize winning design was launched as a new watch in summer 2002 collection .

Type of advertising: Titan believes in making its ads clean, well made, touch on emotional

chord. As the company is using celebrities or superstars that is Amir Khan for the Titan watches.

As here we can say that a female actress would be more effective for the promotional purpose. Itcan be Katrina Kaif, as now she is one of the popular actress in Bollywood.

C. Promotion on occasion: Titan is one of the company which formally believes in the

policy of promotion the product based on the occasions.

Place:

Keeping in mind about the young trendy and fashionable consumers, Titan distribute its product

and set up world of titan in different region. The consumers life style in India, especially in

urban area(because the turnover in urban area is 210 million, while the turnover in rural area is

90 million) plays a significant role in the success of Titan.

A.Time Zone: Titan Industries brings together the countrys leading watch brands under one

roof, providing the customer with variety in brands, looks and price ranges and also efficient

after-sales service. These 1142 Time Zones located across 89 towns which offer its customer the

complete watch shopping experience.

B.Value Mart: These outlets sell surplus stocks of Titan watches at reduced prices. By doing

these it offering fabulous value for money with the same warranty as a regular full-priced watch

enjoy. However these shops would not be placed in the main locations and not working as a

normal shops. This is to make the customer go to the shop rather than the shop calling thecustomer and hence the locations are not very suitable for shopping.



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C.Sonata Stores: Sonata stores is also an Authorized Service Centre for Sonata & Titan brands.Sonata store meet the large scale demand for the watch and also to attract customers in more.

These shops had full stocks of the watch in demand whereas the others could afford to maintain

only limited stock.

D. Head office, regional office, showrooms:

Offices Address Telephone Fax Email

Corporate

Office

Tower A, Golden Enclave

Airport Road, Bangalore -

560 017

+91-80-66609000, +91-80-

6660 9027, +91-

80-6660 9028

+91-80-2526

9923, +91-80-

2526 3001

[email protected]

Regional

Office

North

No. 202, Okhla Industrial

Area, Phase 3, New Delhi

011-66603260 /

66628680 /

26332619 /26332620

[email protected]

Regional

Office

East

Block 'C', 8th Floor,

Apeejay House 15, Park

Street Kolkata - 700 016

033-22495553 /

5556 [email protected]

Regional

Office West

The Metropolitan 9th

Floor, Plot No. C-26/27

Bandra-Kurla ComplexBandra East Mumbai - 400

051

022-26571128 -32

[email protected]

RegionalOffice

South

Mitra Towers #10/4Kasturba Road Bangalore -

560 001

080-4150 4000080-41504111

[email protected]

IN HYDERABAD:

mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]


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16-11-741-C/2B

NANDINI COMPLEX, DILSUKHNAGAR500036

PH: 040-24040019

AMRUTHA MALL, RAJ BHAVAN ROAD

BEGUMPET, PANJAGUTTA500016PH: 040- 23325056 55611424

2, UPPER GROUND FLOOR

METHODIST COMPLEX, ABIDS500001PH: 040-55513580

PRASADS, OFF. N.T.R.GARDENS

L.I.C.DIVISION P.O.500063PH: 040-23450228

103&104, ALLURI TRADE CENTRE

NEAR KPHB COLONY, KUKATPALLY500 072

PH: 23062744/ 23060654

LIBERTY PLAZA

3-6-365, BASHEERBAGH500029

PH: 040-23220107

SHOP NO 4, CITY CENTRE MALL

BANJARA HILLS500 072

PH: 040-66611888

2-85,Chandanagar,500050

040- 23030307/66139139

MBR PLAZA,(NEXT TO LEVIS),

DR.A.S.RAO NAGAR,040-42213362

DOOR NO.3-10-6,CG GOPAL RAO COLONY,

TIRUMALGHERI MAIN ROAD,KARKHANA,500015



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Marketing Implementations:

Marketing plan basically implemented on the basis of market segmentation .

We have gone through the target market segment which basically include

High income class

Middle income class

Lower income class

The marketing mix is the part of marketing strategies ,which help to the company to match the

needs of the consumer as well as the need of company, because we know that MARKETING

IS THE SOCITAL PROCESS WHICH HELP IN FULLFILLMENT OF THE NEED

,DEMAND OF THE CONSUMER AT A PROFIT.

Implementation is an integral part of strategy. It make sense when it is implemented into Indian

jewellery market it saw an opportunity for an organized sector. The customer was moving

towards branded goods in other segments. Titan did the process of creating brands in the minds

of customer.

Budget and control:

It is very important to make a control on Budget to reduce the operating cost which we can

reduce to certain amount by the following ways.

Retailing:

Titan bring in the concept of retailing into the watch market ,which will really help in making

the Direct relation with customer. This will help in reducing the cost of intermediaries.



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Advertisements cost:

As for reducing the cost of companies we can take advertisement into consideration. We can

reduce the TV ads cost by reducing the duration of advertisement.

Source of informations:

www.titanwold.com

www.tata.com/titan

www.google.com

www.indianfoline.com

www.thehindu.com

www.economictimes.com

BOOKS REFERED

MARKETING MANAGEMENT PHILIP KOTLER

http://www.titanwold.com/http://www.tata.com/titanhttp://www.google.com/http://www.indianfoline.com/http://www.thehindu.com/http://www.economictimes.com/http://www.titanwold.com/http://www.tata.com/titanhttp://www.google.com/http://www.indianfoline.com/http://www.thehindu.com/http://www.economictimes.com/

titan industry

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