marketreviewfortanishq presentation 100505141603 phpapp01

8/4/2019 Marketreviewfortanishq Presentation 100505141603 Phpapp01

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MARKET REVIEW FOR TANISHQ...

AMRITAKSHA DUTTAGUPTA



TANISHQ… WHAT IS IT?

The company was founded in 1995 and is based in Bengaluru, India.

Tanishq (India), Ltd. operates jewellery stores in India. It offers necklaces,finger rings, earrings, pendants, bangles, kadas, mangal-sutras, chains, andwedding sets.

Tanishq (India), Ltd. operates as a subsidiary of Titan Industries, Ltd

http://en.wikipedia.org/wiki/File:Tanishq_Logo.svg






TITAN INDUSTRIES & THE TATA GROUP

Titan is a JV between TATA Sons & Tamil Nadu Industrial DevelopmentCorporation (TIDCO).

Titan is a part of the TATA Group having a turnover of aboutUSD 30 billion, equivalent to over 2.5% of India’s GDP and having thebiggest market capitalization in India.

The TATA group is India’s largest employer in the private sector – 222,000+employees across 85 companies

The TATA group has achieved many Firsts for India:

First private sector Steel mill (TATA STEEL)

First private sector Power utility (TATA POWER) First luxury hotel (Taj Hotel) First Airline (now Air India) The World’s least expensive car (Tata Nano) India’s largest software company (TATA CONSULTANCY SERVICES)

India’s largest watch & jewelley manufacturing company (TITAN &

TANISHQ)
















BUSINESS OF TITAN INDUSTRIES… WATCHES

EYEWEAR

JEWELLERY

PRECISION ENGINEERING

CurrentlyMarketingProducts

in26countries

with alarger

footprintin the

Middle-East and

Asia-

Pacific

Brands:

• TITAN• SONATA• FASTRACK• XYLYS• RAGA• OCTANE• REGALIA

• TITAN EYE+• ZOOP!• ZOYA• GOLD

PLUS+

• TANISHQ






2008-2009, SUMMARISED REPORTS

(Rupees in Crores) Watches Jewellery Others Corporate Total

Sales / Income from Operations 946.19 2760.23 141.3 - 3847.72

Less : Excise Duty 39.22 - 5.12 - 44.34

Net Sales / Income from Operatio 906.97 2760.23 136.18 - 3803.38

Add : Other income 1.52 2.97 0.11 0.66 5.26Net Sales / Income from Segmen 908.49 2763.20 136.29 0.66 3808.64

Profit before interest and taxes 137.86 164.40 -24.11 -18.16 259.99

Less : Interest 29.43

Profit before taxes 230.56

Less : Taxes for the year 60.68

Taxes of prev ious years 10.92

Net profit after taxes 158.96

Source: INDIA BRAND EQUITY FOUNDATION REPORT, 2009.

0

500

1000

1500

2000

2500

3000

2006-

07

2007-

08

2008-

09

1292

2027

2763

I n c o m e i n R s .

C r .

Year

TANISHQ

36%






















JEWELLERY BUSINESS- TANISHQ

Size of Market: Rs. 80,000 crores.

Urban Market- 38% of this base.

Branded jewellery is <10% of themarket.

Product Mix: Largely plane 22karat with gem set jewellery

constituting less than 10% of themarket

x Key players: Fragmented market,mainly retailer driven.

x Most retailers are unorganisedx Absence of hallmarking

x Tanishq is the first branded jewelleryplayer

x Increased investment by industrybodies (DTC, PGI, WGC) is spurringrapid growth of branded jewellerymarket in India

MARKET

PLAYERS



TANISHQ- A BRIEF OVERVIEW

Strongest and most inspirational brandin the jewellery category

Awarded most admired brand andRetailer of the year by Images Fashion

Enjoys a market share of over 40% in

branded jewellery

India’s only national jewellery retailer

117 stores in 70 towns – prime high

street locations

Many of these stores are run byfranchisees

Over 1.5 million customers shopped atTanishq last year

BRAND

NETWOR

K

CONSUMER

BASE



MARKET SEGMENTATION… Tanishq targets the mid-premium segment in retail of jewellery business.

(premium segment by ZOYA, mass segment by GOLDPLUS+)

Cater with ‘superior craftsmanship, design expertise, product innovation,

and guaranteed quality’.

Gold jewellery in 22k pure gold, Also make platinum jewellery, with diamond

and other precious stones.

Innovated karat meter, the only non-destructive method to check purity ofmetal and jewellery.

No astrology division.

To promote glamour value of metals (gold) besides its status as a securesource of investment.












BRANDING…

Strategic tie-up with organisations like DTC & WGC.

Sponsors of the three crowns for PONDS FEMINA MISS INDIA 2009Beauty Pageant.

Launching a new product-line to keep in regular time intervals, to keep theinterest of the customers, latest being ZOYA, a collection of diamonds with

kundan/polki.

Special showcasing on purity and craftmanship.

Zodiac Rings & Bhagwad-Gita pendants on offer.

Brand ambassador: Amitabh Bachchan.

State-of-art factory at Hosur, virtual tour through website. Online tracking of jewellery, all designs have specific codes.

Value-added-services.



MARKET MIX ‘Experience products, experience

services’

‘Gold Harvest Savings Scheme’

Selling Gift Vouchers

Gold & Silver coins

Free Gold Purity Testing! Collection for weddings, birthdays,

specific occasions (Valentines Day,Anniversary)

Custom made jewellery on offer (tocater individual needs)

Provision of savings account transfer!!

Scope of missing a month’s instalment.

Scheme Type 11+1 18 month

You Pay 3000 3000

No of months 11 18

Total Paid 33000 54000

Bonus 3000 3900

Total amount 36000 57900 Time period after 12 months after 18 months

Advantage

Bonus - 100% ofmonthly

instalment Flexible deposits

every month

InstallmentAmount (Rs)

Bonus for 12months scheme

Bonus for 18months scheme

1000 1000 1300

2000 2000 2600

2500 2500 3250

3000 3000 3900

5000 5000 6500

10000 10000 13000



FUTURE STRATEGIES… With a view to expand in the estimated INR 1,000 billion Indian jewellery

market, Tanishq will come out with specific traditional collections to cater tobrides from the regional communities.

To maximise the Tanishq brand presence across regional markets in India.Large format outlets are intended to act as a one-stop solution and enhance

sales.

At present, Tanishq offers only standard jewellery in its wedding range. Thebrand is planning an expansion of its retail business in order to cross theINR 30 billion sales mark by the end of fiscal year 2010.

The company will be opening a total of 17 more Tanishq boutiques in 2010and its major focus will be on large format stores of over 4,000 sq ft, asagainst the currently existing ones which have an area of around 2,500 sqft.









GLOBAL BRANDING STRATEGY, 2010-11… Product Focus on ethnic Indian jewellery Indian and International

segment of products, with varieties like bridal collection, party wear etc. Issue purity certificates along with items

Price Premium pricing of the product Price to vary as per the design andpurity

Place Target markets of US, UK and Canada Target population - NRIsand fashion conscious Tie up with high-end retailers like Harrods, Cohls

Promotion Fashion Shows International Jewellery Fairs InternationalJewellery and Art Magazines

Action Plan Kick-start operations by securing export license Sellinternationally in malls and high-end retail stores Promote the Tanishqbrand through advertisements, reviews in magazines, news papers etc. Impose symbolic positioning of the brand during show- roominnaugrations Experiential positioning by providing unique shoppingambience Station a resident trainee graphics designer in-store Enable computerized customization of designs Launch a website toincrease visibility of the collections























THANK YOU

„A TATA PRODUCT‟

“IN INDIA, NOTHING INCURS MORE TRUST THAN THISTAGLINE…”

-JEHANGIR RATAN DADABHOY TATA, EX-GROUP CHAIRMAN,TATA SONS.

TANISHQ: TA: First two letters of TATA; NISHQ (NISHK: Gold, in sanskrit).SIGNIFIES: LOVE [ISHQ ] YOUR TATA GOLD


marketreviewfortanishq presentation 100505141603 phpapp01

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