A Project On Brand Repositioning Strategy of Titan Watches
A Project On Brand Repositioning Strategy of Titan Watches
Submitted By
Anuranjan Jee
Roll N0.-24
University of Mumbai
[1]
YMT’s College of Management
GUIDE CERTIFICATE
This is to certify that Mr. Anuranjan Jee, Roll No-24, student of Master of
Management Studies, II year, YMT’s College of Management of Mumbai University
has completed his work “Study of Indian Wrist Watch Industry and
Repositioning Strategy of Titan Watches” under my guidance and supervision for
the fulfillment of the MMS curriculum of YMT’s College of Management, Mumbai
University for the academic session 2007-2009.
To the best of my knowledge and belief, this work contains true and complete
information collected, studied and compiled by the student himself.
University of Mumbai
[2]
YMT’s College of Management
CERTIFICATE
This is to certify that Mr. Anuranjan Jee, student of Master of Management Studies-II
Year of YMT’s College of Management has completed the project work titled “Study
of Indian Wrist Watch Industry and Repositioning Strategy of Titan Watches”
as partial fulfillment of the requirement of the course curriculum of Mumbai University
for the academic session 2007-2009. The work has been found satisfactory to the
extent that it is accepted as a perquisite to the degree for which it was submitted.
ACKNOWLEDGEMENT
University of Mumbai
[3]
YMT’s College of Management
With great pleasure and a deep sense of gratitude I hereby acknowledge everyone
who provided me with their help, assistance and sustained support without which,
even if I have had done this work, it would not have been as it has turned out to be.
Their enlightened feedbacks and directions can be sensed as the project moves on.
I would like to use this privilege of mine to recognize the gratuitous help of Mr.
Chetan Anand (Regional Manager, Marketing, North Division, Titan), who gave me
an insider view of the world of Titan.
Primary data collection for the project was done with the help of junior
management students from colleges across Navi Mumbai. I thank them all for their
valuable time and considerate assistance.
Anuranjan Jee
02/04/2009
PREFACE
University of Mumbai
[4]
YMT’s College of Management
mechanical wristwatch has slowly become less of an object of function and more a
piece of modern culture. The Indian watch industry began in the year 1961 with the
commissioning of the watch division of HMT. The first watch model manufactured by
HMT was the Janata model in the year 1962. HMT was the leader in the watch
market till the Tata’s formed Titan Watches in association with Tamil Nadu Industrial
Development Corporation in the year 1987. Titan was the first company to launch
quartz watches in India.
The Indian watch market is today of 40 million units, out of which 60% is in the
unorganized sector in which the maximum number of watches are sold are below
Rs.300. Quartz watches form two third of the organized sector and the rest is split
between mechanical and digital watches. Even in the organized sector, three fourth
of the sales by volume comes from watches that are priced below Rs.1000.
Watch is one of the consumer durables whose replacement rate is very high.
The replacement rate of watch is 33.8 %( Source: India market demographics report,
1998). This is also due to the fact that the estimated scrap rate of wrist watches is
7.8%, which is applicable after 6 years (Source: India market demographics report,
1998). So, due to high scrap rate, outdated models, and the shift from the
mechanical watches to the quartz watches it is causing a very high replacement
demand for watches. This along with the low penetration level represents the
untapped market potential for watches in India.
Lately Titan has tried to reposition its Brand to capture more segments of the
watch market retaining the already served market segment. The strategy has been
studied in deep during the project.
Executive Summary
update, recalibrate, or just simply fend off the competition in an effort to better
explain "why buy me."
Brand positioning creates a specific place in the market for the brand and
product offerings. It reaches a certain type of consumers and delivers benefits that
meet the needs of several key target groups and users.
In the recent times, a major brand repositioning exercise has been planned by
Titan Industries Ltd. in order to provide more to its customers. The company has first
gone for change in logo and tagline. Then the communication strategy has been
revamped to convey its new position. The present study consists of reviewing the
positioning strategies of Titan watches. An analysis of repositioning strategies of
Titan also forms part of the study.
The main objective of the study is to broadly understand the overall wrist
watch industry in India. Secondarily to study the brand positioning and re-positioning
strategy of Titan wrist watches and to find out whether the loyal consumers of titan
watches are aware of the new positioning strategies of the company and how they
perceive them.
University of Mumbai
[6]
YMT’s College of Management
Primary and secondary sources of data have been made use of in the study.
The first part of the project, i.e., analysis of Indian wrist watch industry and analysis
of brand repositioning strategies of Titan Company has been completed on the basis
of secondary data. For this purpose, internet, journals, books, magazines and so on
have been made use of.
The second part of the project comprises of conducting a survey with the help
of questionnaire. The survey is proposed to be conducted on a sample of 50
consumers who are loyal to Titan Company, selected through convenience sampling
technique. The questionnaire consists of appropriate mix of open ended and closed
ended questions. The data is presented using pie charts and bar diagrams.
TABLE OF CONTENT
University of Mumbai
[7]
YMT’s College of Management
1 ACKNOWLEDGEMENT 4
2 PREFACE 5
4 LIST OF ILLUSTRATIONS 9
5 LIST OF TABLES 10
13 CHAPTER-8 CONCLUSION 57
14 QUESTIONNAIRE 58-59
15 REFERENCES 60
List of illustrations
List of Tables
Chapter 1 - Introduction
"A business has two - and only two - basic functions: marketing and innovation."
- Peter Drucker
University of Mumbai
[10]
YMT’s College of Management
Brand repositioning has received little attention in the marketing literature and
has mostly been treated as a variation of brand positioning. Biel, for example, has
defined brand positioning as "building (or rebuilding) an image for a brand". The goal
of positioning and repositioning strategies relates to the management of consumers'
perceptions. However, positioning focuses on the creation of brand associations -
consumers' perceptions of the attributes that differentiate the brand from competitive
offers – while repositioning also implies managing existing brand associations. The
unique challenge of a repositioning strategy, thus, lies in rejuvenating the brand
image to make it relevant in an evolving environment, while honoring the brand
equity heritage.
the need for a thorough strategy is therefore necessary to avoid this occurrence.
Some analyst argue that to successfully reposition a establish brand name is almost
impossible because repositioning of a brand can make the most loyal customer to
switch brand. But, in some circumstances a repositioning is necessary to gain
credibility if the brand is eroded. Whenever a reposition is in question it has to be of
relevance from a customer perspective, is this achievable? Some brands will on no
account be thought on as a luxury brand and therefore an attempt to reposition will
only damage the brand image or the actual company.
After rolling out the strategy, it is time to modify the proposition through update
of the personality and through repositioning. There are benefits and risks with both of
University of Mumbai
[12]
YMT’s College of Management
this segments and it is of great significance that they are truly evaluated when
deciding the next step in the process. To further understand the stages stated above,
figure.1 will guide you through the different phases that follow after establishing a
brand proposition.
“Repositioning is a change, principally about trigging the vision, mission and value in
a new direction that is more suited for the brand in the future”.
(Brand manager consultant)
(PR- consultant)
“Repositioning is built upon the change of unique and differentiated associations with
the brand in some kind of direction, it is about having a balance between the category
party and differentiation when using reposition strategies” (Leading brand strategist)
New Position
Price
Previous Position
Experienced quality
University of Mumbai
[14]
YMT’s College of Management
understand that consumer’s minds are limited. People’s minds select what to
remember and it is therefore significant to convince the consumers with great
arguments. The market demand changes rapidly and therefore repositioning can be
necessary to meet these demands, newer and stronger arguments have to be
established to convince them to stay as loyal customers.
(1) Zero repositioning, which is not a repositioning at all since the firm maintains its
initial strategy in the face of a changing environment;
(2) Gradual repositioning, where the firm performs incremental, continuous
adjustments to its positioning strategy to reflect the evolution of its environment; and
(3) Radical repositioning that corresponds to a discontinuous shift towards a new
target market and/or a new competitive advantage.
After examining the repositioning of several brands from the Indian market,
the following 8 types of repositioning have been identified. These are:
University of Mumbai
[15]
YMT’s College of Management
It is not always that these nine categories are mutually exclusive. Often one
reason leads to the other and a brand is repositioned sometimes for a multiplicity of
reasons.
The benefits that can be derived from brand repositioning exercises can be
summarized as:
• Loss of focus
• Neglecting original customers
• Losing credibility for the brand
• Confusing the brand
ingredient branding, strategic alliances, etc.) that reinforce the new brand
positioning.
2.1 Objectives
watches.
University of Mumbai
[17]
YMT’s College of Management
This study would help titan industry to understand the gaps in its communication
strategy regarding brand repositioning exercises and the further measures to be
taken for effective marketing communications.
2.2 Limitations
The relevant data was collected from both primary sources and secondary
sources. The starting point of my information gathering has been the secondary
and journals and so on. Then I conducted a consumer awareness survey on brand
University of Mumbai
[18]
YMT’s College of Management
A sample of 50 consumers who are brand loyal to Titan watches since more
than a year and in the age group of 20 – 30 years have been considered for this
study. As Titan has taken up brand repositioning strategies since July 2008,
consumers who have seen the previous and new campaign have been targeted
ended and closed ended questions. The schedule covered parameters like
featuring Aamir Khan, new designs and so on. The data was collected through e-
The Indian watch industry began in the year 1961 with the commissioning of
the watch division of HMT. The first watch model manufactured by HMT was the
Janata model in the year 1962. HMT was the leader in the watch market till the
Tata’s formed Titan Watches in association with Tamil Nadu Industrial Development
Corporation in the year 1987. They took a major strategy decision, which later
changed the face of the Indian watch market- to manufacture only quartz watches.
Liberalization in 1992 and the removal of quantitative restrictions due to WTO has
opened the doors for many foreign brands in the Indian market viz. Tissot, Swatch,
Omega, Rado, TAG Heuer, Rolex and many others. The import duties on watches
are falling which makes the Indian market look attractive for the global majors like
Casio, Swatch and Citizen.
University of Mumbai
[19]
YMT’s College of Management
2. Buyer Power:
The Indian watch buyers are very price sensitive, especially in the lower end of the
market. There is still a huge untapped market in India with market penetration of only
20 units per thousand people while the world average is more than 100. At the same
time there are a segment of people who are willing to pay a premium for watches
with good performance and with a recognized brand name. So understanding the
buyers’ preferences is very crucial in this industry in order to gain a substantial
market share.
3. Entry Barriers:
The Indian watch market in the recent years has shown a dramatic increase in the
number of brands available in the market due to removal of quantitative restrictions.
So the new entrant has to have an offering, which can be positioned and
differentiated from the other players in the market. This could be either price or
functional or emotional appeal. So the prime barrier for entry, in the current context,
for a new entrant is to build a brand image and price competitively.
4. Threat of Substitutes:
There are no such substitutes to watch as a product. However, in terms of the
companies offering various variations for watches such as pendant watches and
University of Mumbai
[20]
YMT’s College of Management
jewellery watches, some sort of substitution has developed. Rich consumers prefer
to purchase watches more as a fashion accessory rather than simply for its typical
use.
5. Degree of Rivalry:
There are many companies in the Indian watch market; however, the product
ranges offered by them are manifold. This makes the competition very stiff. Also at
the lower end of the market it is basically the Value for Money, which differentiates
the players. The strategic stakes for the producers are very high. Titan Ltd., the
largest company in terms of market share in the organized sector has faced losses in
the quarter ended June 2001 despite increase in the market share due to
macroeconomic situation. HMT faced a similar situation when Titan was introduced
in the 1980s leading to a sharp fall in its market share.
The Indian watch market is today of 40 million units, out of which 60% is in the
unorganized sector in which the maximum number of watches are sold are below
Rs.300. Quartz watches form two third of the organized sector and the rest is split
between mechanical and digital watches. Even in the organized sector, three fourth
of the sales by volume comes from watches that are priced below Rs.1000.
Plastic as such is not acceptable to average Indian consumers, especially
those from the small towns and rural areas who regard it as cheap and flimsy. They
want toughness- which translates into a good quality metal model at a reasonable
price.
Watch is one of the consumer durables whose replacement rate is very high.
The replacement rate of watch is 33.8 %( Source: India market demographics report,
1998). This is also due to the fact that the estimated scrap rate of wrist watches is
7.8%, which is applicable after 6 years (Source: India market demographics report,
1998). So, due to high scrap rate, outdated models, and the shift from the
mechanical watches to the quartz watches it is causing a very high replacement
University of Mumbai
[21]
YMT’s College of Management
demand for watches. This along with the low penetration level represents the
untapped market potential for watches in India.
The major players in the Indian watch market include HMT, Titan and Timex.
The other players include Westar, Shivaki, Maxima, SITCO. Foreign brands such as
Cartier, Piaget, Omega, Tiffany’s and Corrum, Gucci, Longines, Casio, Citizen, Tag
Heuer and Espirit are also making an inroad into the Indian market.
Titan has been consolidating its market share over the past decade. Timex
watches, which entered in India with collaboration with Titan, has now independently
gained substantial market share.
University of Mumbai
[22]
YMT’s College of Management
T I T A N ( s o nma at ax )i m Ha M T T i
University of Mumbai
[23]
NDS
YMT’s College of Management
Based on price
• Mass (Rs.350-600),
• Popular (Rs.600-900),
• Premium (Rs.900-1500),
• Super-premium (Rs.1500-8000)
University of Mumbai
[24]
YMT’s College of Management
University of Mumbai
[25]
YMT’s College of Management
4.1 Overview
Titan Industries was established in 1984 as a joint venture between the Tata
Group and the Tamil Nadu Industrial Development Corporation. The company
brought about a paradigm shift in the Indian watch market, offering quartz technology
with international styling, manufactured in a state-of-the-art factory at Hosur, Tamil
Nadu. Leveraging its understanding of different segments in the watch market, the
company launched a second independent watch brand-Sonata, as a value brand to
those seeking to buy functionally styled watches at affordable prices. In addition it
focused on the youth with its third brand – Fastrack. It has also premium fashion
watches by acquiring a license for global brands such as Tommy Hilfiger and Hugo
Boss, while. It has also in its portfolio its first Swiss Made watch brand – Xylys.
In 1995, the company diversified into jewellery under the brand – Tanishq to
capitalize on a fragmented market operating with no brands in urban cities. In 2005,
the company launched its second Jewellery brand, Gold Plus, for capitalizing on the
opportunity in small towns and rural India.
The company has now diversified into fashion Eyewear by launching Fastrack
Eye-Gear sunglasses, as well as Prescription Eyewear. The Company leveraged its
manufacturing competencies and branched into Precision Engineering Products and
Machine Building from 2003.
4.2 Products
University of Mumbai
[26]
YMT’s College of Management
The company manufactures over 8 million watches per annum and has a
customer base of over 80 million. It has manufacturing and assembly operations at
Hosur, Dehradun, Roorkee and Baddi in Himachal Pradesh and an ECB plant in
Goa. Its main products are:
• Watches: Currently manufactures four main watch brands viz. Titan for the
premium segment, Fastrack – focused on the youth and trendy fashion
space, Sonata for the mass market and Xylys for the premium market. The
Titan brand architecture comprises several sub-brands, each of which is a
leader in its segment. Notable among them are: Titan Edge – The world's
slimmest watch which stands for the philosophy of "less is more"; Titan Raga
– the feminine and sensuous accessory for today's woman, Nebula - crafted
in solid gold and precious stones and several other collections like Wall
Street, Heritage, Regalia, Octane, Orion, Diva, Zoop, WWF and the
Aviator series, all of which form a part of the Titan wardrobe. Sonata is today
India's largest watch selling brand and is priced between Rs 295/- and Rs
1200/-. The company's first Swiss Made watch – Xylys is for the hi-end
connoisseur and new age achiever. It also markets Tommy Hilfiger watches
under a licensing arrangement and is introducing Hugo Boss. Today, the
Titan portfolio has about 65% of the domestic market share in the organized
watch market.
• Jewellery: Tanishq is India's largest and fastest growing jewellery brand with
a premium range of gold jewellery studded with diamonds or colored gems
and a wide range in 22kt pure gold. Platinum jewellery is also a part of the
product range Tanishq is one of India's largest specialty retailers and is
University of Mumbai
[27]
YMT’s College of Management
• Eye wear: Titan Eye+ is currently on a pilot mode with 5 stores in 2 cities and
has sunglasses under Fastrack brand and prescription eyewear consisting of
Frames, Lenses, Sunglasses, Accessories and Contact Lenses of in-house
brands and other premium brands.
4.4 Awards
• Being named the No.1 Brand in the Consumer Durables category in the
"Brand Equity" Survey of The Economic Times, a leading Indian financial
daily.
• The Titan Design Team won the Young Design Entrepreneur of the Year
award at the design awards instituted by the National Institute of Design and
Business World, a leading Indian magazine. The team has won 7
accreditations also.
• Both Titan and Tanishq have been adjudged "Most Admired Brands" as well
as "Retailer of the Year" by Images Fashion Forum in consecutive years.
University of Mumbai
[28]
YMT’s College of Management
University of Mumbai
[29]
YMT’s College of Management
Attribute Positioning:
When the company launched its products, it was the first to bring quartz
watches to the Indian market. The company successfully leveraged this to penetrate
the market and gain a market share. Raga, Classique and Regalia come under this
strategy. Classique has been positioned as elegant corporate wear that leaves a
quiet, but definite impression and fusion of function and sophistication. Power
dressing now has a new weapon! As Magic in gold and bicolor look, the 'Regalia'
range represents the essence of dress-wear. Raga has been differentiated and
positioned as exclusive watches for women. The Raga and Silver Raga collection is
elegant, delicate and feminine with each piece being truly unique.
User Positioning:
Titan caters to several user groups- children (the Dash), sportspersons
and adventurers (PSI4000 and Fastrack range). The Fastrack range is seen as
being contemporary, sturdy and reliable. The advertising, packaging and
merchandising of this range is young, vibrant and ‘cool’ (the ad line says “Cool
watches by Titan”)
Benefit Positioning:
The Fastrack Digital range offers the customer a functional watch
that is also attractive. The digital watch has a “techno-geek” image, but Titan seeks
to differentiate its offering on the basis of superior style and attractiveness.
University of Mumbai
[30]
YMT’s College of Management
Competitor Positioning:
With the entry of several foreign watchmakers into the market, Titan
had to counter the threat. Most of the entrants are catering to the upper end of the
market- Omega, Tissot, Cartier etc. Titan already had the Tanishq brand in this
segment. However, it has tried to reposition this brand by increasing the price range
to encourage more customers.
With Titan positioning its range of watches as a life-style, the Indian market
started viewing watch more as a complement to dress than just a time showing
machine. They are also realising that, unlike other forms of art that are meant to be
admired, high-end jewellery watches have that added bonus: practical luxury with a
function other than beauty. Watches have joined the list of tie, deodorant and shoes
to represent the occasion and flaunt your status.
Dress Wear
Titan has three brands positioned for this segment: Nebula, Regalia and
Insignia.
Nebula:
Marketed as the “Jewellery collection from Titan”, Nebula is targeted towards
affluent men who consider wearing gold jewellery a symbol of status. Magical blend
University of Mumbai
[31]
YMT’s College of Management
Regalia:
“Incredibly eye-catching…. magic in gold”.
The watch uses the unique combination of gold and bicolour looks
representing the essence of dress-wear. In India, gold-look is associated with status
but at the same time, the silver-look is the fashion of the day in international
watches. With the combination of both, this watch is targeted towards affluent
businessmen. The elegant looks and colours make it a strong competitor to the
foreign brands like the Tissot, Piaget and Rado.
This is also marketed as a watch for gift “Special Watch for special occasion”,
positioning this as a costly gift.
Insignia:
‘The World Watch from Titan.’
The watch with fascinating designs and precision engineering was targeted
towards the European markets. The complexity of this watch is 10 times more than
a regular titan watch. Though it didn’t meet with much of a success in Europe, this
tag line and keyword “International” are used to position this watch as a world-class
watch for international traveller with European tastes.
Classic Watches
Watches that are for every-day use and those with less frills and more value
are classified as Classic watches. These watches are normally targeted towards
middle and upper middle-income class consumers.
Classique:
University of Mumbai
[32]
YMT’s College of Management
Royale:
“Collection of designs that suit everyday wear”.
Royale with its gold plated case and golden straps represents a formal every
day watch targeted towards the employees who can’t afford multiple watches for
occasions. The watch includes designs from simple to dressy eveningwear
switching between informal and formal looks based on the place and situation.
Spectra:
“Designed for those who look beyond the ordinary”.
This brand from Titan extends over wide range of prices from 900-7000. It is a
classic premium watch with style, which boasts of combining the sturdiness of steel
with richness of gold. The positioning of the watch is not very clear as it is targeted
towards the salary earners with its lower price point models and appealing models
for the corporate executives at the higher end.
Sports Watches
In the Indian scenario the sport awareness is not quite there. And the market
is not mature enough that consumers buy special watches for sporting except in the
super-premium and segments above that. A sports watch in the mind of an average
Indian is a polyamide watch with stopwatch and trendy look. So there is no clear
distinction between sports watches and casual watches. But in the available market
Timex, Casio, and Titan are major players and after the lifting of QR restrictions,
University of Mumbai
[33]
YMT’s College of Management
world famous Tag- Heur has also entered India but in the Connoisseur segment of
sports watches.
PSI2000:
Titan has introduced a range of contemporary Precision Sports watches. The
brand is marketed as tough, outdoor, adventure brand. (Psycho graphically
segmented) Ranging from 800 to 7500, these watches are in direct competition with
foreign brands like Swatch Irony.
Casual Wear:
The segment of watches that has a variety of brands and models to appeal to
the youth and mentally young people is casual wear. The watches in this segment
are mainly sporty watches, which are unconventional and typically symbolize the
attitudes of younger generation.
Technology Watches
Wrist Watches have changed a lot from the inception- a time showing
convenience machine to a status symbol. But the underlying concept remained
unchanged, convenience. Stretching this concept a bit with the development of
University of Mumbai
[34]
YMT’s College of Management
technology are the technology watches available in the market. Watch for time,
status has in the new technology era is looked for convenience of carrying data. In to
the competitive market with people willing to pay a premium for that advantage, a
good number of brands have ventured.
Technology (2350-8200):
“Multi-functional watches for the Tech-savvy”.
This brand is marketed as mergers of classic elegance and technological
mastery giving rise to multi-functional chronographs using the solar power. This
brand is positioned to compete against the Citizen’s EcoDrive.
Dress Wear
Titan has chiefly three brands in this category.
Nebula (6000-65000)-
“The Jeweler’s Collection”
Nebula is a precious jewellery watch from Titan. It is marketed as ‘a magical
blend of most coveted of metals and engineering excellence’. The Nebula range of
watches is positioned as objects of ornamentation. A 21 carat gold watch, studded
with gems it is targeted at the upper most end of the market in competition with
brands such as Rolex and Cartier.
Regalia
University of Mumbai
[35]
YMT’s College of Management
At the beginning, when the brands were launched, they were positioned as
“Watches for all dresses” with changeable dials matching the sari color. But the
proposition was viewed with skepticism and hence didn’t meet with much success.
Keeping in mind Indian women’s love for jewellery, both these brands are
repositioned as a perfect accessory that completes a woman's wardrobe.
Casual Wear
Fastrack
The woman's collection presents the all-new international 'Frosted' look, which
is trendy and chic. The ad line : ‘Fastrack- ‘Cool watches from Titan’, aims at building
the brand around the ‘cool ‘ concept.
Titan has a brand called Dash! for kids. These are bright, colorful watches
targeted at children aged 6-14 years. These watches are priced Rs.250 onwards to
University of Mumbai
[36]
YMT’s College of Management
Rs.495 and are marketed under the ad line: “Wow! Watches from Titan”. The three
main collections from Dash include the ‘Popeye Collection’, which feature cartoon
character Popeye, and his friends. There is also a Digital Range, which has features
like Ellight, compass, Velco straps. So Titan is positioning Dash watches as ‘Fun’
watches for kids. Its features such as comic characters also appeal to the frivolous
nature of the children.
Dash also has a special collection for girls, with changeable bezel rings,
priced at Rs.295.
There are some other watches such as Pop-Swatch from Swatch, which are
positioned using the same appeal that of Dash and are expected to give Dash a
tough time at the same competitive prices
Titan Industries decided to revamp its flagship watch brand, Titan, with the
intention of making it more youthful and relevant to the changing times. The brand,
launched more than 24 years ago, has undergone a major repositioning exercise
only once before – five years ago, when Hindi film actor Aamir Khan was appointed
brand ambassador. What followed later was the ‘What’s Your Style?’ campaign,
University of Mumbai
[37]
YMT’s College of Management
which tried to increase watch consumption per person, by suggesting the use of
different watches for different occasions.
Beyond style
Now, Titan wants to move from style statements to personality statements.
According to Harish Bhat, chief operating officer, watches, Titan Industries, a watch
ought to denote the wearer’s mood and personality. “With the explosion of options in
a person’s life, our core consumer is changing. And to keep up with them, Titan has
evolved too,” he says.
On the adoption of ‘Be More’, Bhat says that that statement is supposed to
denote the aspirations of consumers to make more of their lives and be whatever
they want to be. “The watch allows for such imaginative travels,” he says.
Titan’s agency, Ogilvy India, has devised a campaign featuring Aamir Khan
that encourages people to find a new strand of their personality every day. It all
started with a logo change a few months ago (the same font in a red and white
combination), followed by a campaign rolled out now.
The ad film opens on a shot of Aamir Khan sitting alone on a roller coaster,
stating, ‘Be born every day’. Next, he is seen chasing the shadow of an aircraft on a
beach, then, sitting beside a truck driver, in the middle of nowhere, with a trail of
chassis trucks behind him. Here, he asks the viewers to try the adventure of getting
off at an unknown station, of exploring unknown lands.
As he crashes his vehicle while go-karting, Khan waves to the others around
him, while his voiceover explains the importance of making one’s own mistakes.
Further on, he talks of not making your passport photos last longer than three
months – you need to constantly reinvent yourself and adopt a new look every day.
(cut to shots of Khan’s varied hairstyles and looks in his movies, shown in an
ambient way through posters and T-shirts).
University of Mumbai
[38]
YMT’s College of Management
“Shock your reflection!” says Khan, as we see him with funny accessories
framing his face. The next vignette has him practicing meditation while slyly checking
out a girl walking past (‘Explore’). Cut to a shot of children, with Khan explaining how
we aspired to be different people as kids – “let’s revive that aspiration today”.
Wearing armor (sword and all), Khan reiterates, ‘Be Born, Every Day. Titan. Be
More’.
Malvika Mehra, group creative director, Ogilvy & Mather Bangalore, says, “‘Be
More’ pushes people to live many lives in one. We want to trigger people into
questioning, ‘Why should we be single minded and boring? Time to be multi-faceted.
Khan fit the bill as Ogilvy borrowed from his own life and work and his need to
constantly experiment and reinvent himself. “Be it Mangal Pandey or Lagaan or Dil
Chahta Hai, Aamir always manages to look different in every role,” explains Mehra.
“So we showed him doing things that were spontaneous, such as exploring places or
go-karting.” The idea, simply put, is to live life to the fullest – with Titan.
The film was conceptualized by Mehra along with Amit Akali, Anil Thomas,
Kunj Shah (who wrote the script) and N Ajesh of Ogilvy. In a sense, says Mehra, the
spontaneity in the ad is an indication of Titan’s gradual shift from the old to the
youthful (from ‘My Dad’s Brand’ to ‘My Brand’). “That is the way many categories are
moving,” she says.
Shot entirely in Chennai, the film has been shot in a way that suggests that
multiple locations were used for the shoot, as opposed to one city. “We had fast
paced shots to spread the look of the film,” says Pandey. When asked why Chennai,
he quips, “Because it was raining in Mumbai then!”
Several layers were added to the film. To show the aspirations of children, a
young girl was shown staring at an object and, later in the frame, you see the object
is a butterfly – the girl wants to fly.
“Kids are freer in their thinking than adults and we hope this has been
portrayed,” Pandey says. Even the last frame of the ad, which has Khan dressed as
a mock warrior (with an impromptu utensil serving as his helmet), was made to look
like the man had made use of things lying nearby in a spontaneous way.
Sonata’s sub-brands
Sonata has launched the Yuva 2008 collection, a series of colourful watches.
They are available in both casual and formal styles to complement the young, new
look for college or office wear. The collection has watches for both men and women
at price s starting at Rs 645. They are available in both gold and steel looks, with
both metal and leather straps.
Sonata, the watch brand from the Tatas, launched the Super Fibre, targeted
at the sub-Rs 500 market in urban, semi-urban and rural India. The watches have
been designed primarily for youth in the 16-30 age group, and will be available in a
price range of Rs 275 to Rs 550. The tag line for this sub-brand is ‘Super Strong,
Super Style.’
University of Mumbai
[40]
YMT’s College of Management
Octane
Titan has launched the Octane collection of chronograph, multifunction and
retrograde watches for the urban man. The range is described as blending style and
technology. The collection has over 35 styles and is priced between Rs. 5,000 and
Rs 7,500.
Nebula Celeste
It is a limited edition collection of jewellery timepieces. They are crafted in 18k
white and yellow gold. Prices range from Rs 6 lakh to Rs 12 lakhs.
Raga Crystals
Titan Industries Ltd has unveiled its new Raga Crystals collection of watches
in Kerala. The two new watches, called Venus and Fairy Dust, are available in yellow
metal and bi-metal versions. Venus is priced at Rs 4,450 and Fairy Dust at Rs 4,750.
Titan’s Stambha
A new ladies Heritage wrist watch ‘Stambha’ signifying fame, prosperity and
good luck was unveiled as part of Heritage collection. MrVijesh Rajan, Regional
Sales Manager (South), launching the watch collection, said that plans are on the
anvil to launch one new collection every month, reflecting the 3000-year old art and
cultural history of the country. A sale of around 7,500 watches has been fixed as a
target for this fina ncial year in the Heritage collection, he added. The prices in the
collection range between Rs 5,000 and Rs 10,000.
University of Mumbai
[41]
YMT’s College of Management
Nebula Zeus
It is a mechanical automatic watch in solid gold for men. Priced at
Rs.1,10,000, the limited edition watch (500 pieces) harks back to an older era of
luxury and romance.
The Nebula Zeus watch has been crafted using Swiss made mechanical
automatic movement with gold finish and a sapphire crystal back cover. Other
features include an instant start, a second hand stop device for accurate time setting;
42 hours reserve powers and auto wind convenience. The watch collection was
launched by singer and actor, Vasundhara Das.
Raga Shimmer
It comprises of a collection of exquisitely designed studded watches that
complement both Indian-wear as well as Western-wear. Priced between Rs 2,995
and Rs 4,495, the new collection comprises watches in gold, steel and bi-metal
finishes.
Raga Diva
An exquisite range of watches for women in the Kerala market. Inspired by
traditional Kundan work, this collection has been rendered in a delightfully
contemporary form. It is priced between Rs 4,000 and Rs 10,000.
University of Mumbai
[42]
YMT’s College of Management
• Titan is also trying to reach new customer segments. They are now trying to
target all adults in socio economic classes A&B.
• Titan is also looking at innovative retail strategies and planned to launch ten
innovative product collections soon.
University of Mumbai
[43]
YMT’s College of Management
consumers in the age group of 20-30 years possess Fastrack brand, 14% Sonata,
6% Raga, 4% Nebula and only 2% own WWF and Edge.
Period of use
The respondents were asked to mention since how long they have been
brand loyal to Titan. This was an open ended question and hence various responses
were received. The minimum period of use was set as one year, as mentioned
earlier, while the maximum period of use was determined. For convenience, the
different responses are categorized into three: 1year – 4years, 4years – 7years and
7years – 10years.
University of Mumbai
[44]
YMT’s College of Management
64% of the respondents fall into first category, i.e., they are using Titan watch
in the range of one to four years. 24% respondents are in second category and the
rest 12 % are using it for more than seven years.
University of Mumbai
[45]
YMT’s College of Management
Reasonable Price 7
Brand image 22
Good quality 25
University of Mumbai
[46]
YMT’s College of Management
Titan’s advertisements
Titan advertises its watches in almost all media vehicles. The advertisements
can be seen in TV, magazines, newspaper, hoardings, billboards, radio and so on.
All the 50 respondents have seen the advertisements of Titan watches in
various media. This was a multi-response question and the options given to select
were restricted to TV, magazines, newspapers, hoardings and radio.
The findings of the survey have been summarized in a table as follows:
Table 2: Major Advertisement media
University of Mumbai
[47]
YMT’s College of Management
University of Mumbai
[48]
YMT’s College of Management
University of Mumbai
[49]
YMT’s College of Management
University of Mumbai
[50]
YMT’s College of Management
University of Mumbai
[51]
YMT’s College of Management
University of Mumbai
[52]
YMT’s College of Management
University of Mumbai
[53]
YMT’s College of Management
In the survey, 31 out of 50 respondents rated after sales service as” Good”, 4
each as “Average”, “Above Average” and “Excellent” while 7 respondents rated as
“Poor”.
Figure 17: Consumer perception of Display of watches
University of Mumbai
[54]
YMT’s College of Management
Most of the respondents have given high ratings to the display of watches in
Titan showroom. 22 respondents rated it as “Excellent”, 24 respondents as “Good”
and only 4 respondents gave rating of “Average”.
The respondents were also asked to give overall rating to Titan’s exclusive
showrooms. It was found that out of total 50 respondents, 30 rated as “good” while
the remaining considered the showrooms to be “excellent”.
Around 50% of the respondents rated all the variables related to Titan’s
exclusive showrooms as “good”.
Suggestions given by the respondents to improve brand image
University of Mumbai
[55]
YMT’s College of Management
Varied responses were received for this question. All the responses have
been summarized as follows:
University of Mumbai
[56]
YMT’s College of Management
months has been to more or less half of the consumers. However, those who
have seen the new campaign consider it to be effective in conveying the
message it intended to deliver, i.e., to “be more” in lives.
The after sales service and behavior of sales personnel have been given low
ratings compared to other variables mentioned in the questionnaire with
respect to Titan’s exclusive showrooms.
Chapter 8 – Conclusion
University of Mumbai
[57]
YMT’s College of Management
• To increase its visibility, Titan Company can sponsor events similar to fashion
shows in which all latest designs launched are displayed. This would have
multiplier effect as the latest designs launched by the company get noticed by
different segments of the customers in varied ways.
• Tie –up with FM radio channels for reminder advertisements and informing
customers about various sales promotion offers from time-to-time.
• Invest more in R&D as customer expectations are changing rapidly. Though
Titan has got more product collections, it should focus on introducing more
varieties in already existing product collections. In other words, having a
limited but more depth in product collections would be more advantageous.
• Introduce exclusive collection for working women which is more contemporary
and complements both traditional and western wear.
• Majority of the population in India live in rural areas. So, showrooms should
be set up at places nearer to them. Introduce cheaper and rough use watches
for this segment.
• After sales service has to be improved. That is, the process of servicing and
repairing of watches should be made faster. This can be done by ensuring the
spare parts availability and training all sales personnel in Titan showrooms to
undertake these tasks.
• Tie up with international watch brands and make them available locally.
• Make use of internet to spread awareness among consumers about the
brand.
QUESTIONNAIRE
a) Fastrack
b) Sonata
c) Raga
d) Nebula
2. Since how many months / years have you been using Titan watch?
a) Attractive designs,
b) Reasonable price
c) Brand image
d) Good quality
a) Yes b) No
a) TV
University of Mumbai
[59]
YMT’s College of Management
b) Newspaper
c) Magazines
d) Hoardings
e) Radio
a) Poor
b) Average
c) Above Average
d) Good
e) Excellent
a) Yes b) No
b) Effective
University of Mumbai
[60]
YMT’s College of Management
c) Highly effective
12. How do you rate Titan’s exclusive showrooms with respect to the following:
a) Ambience -
b) Sales personnel -
d) Display of watches -
e) Overall showroom -
13. What suggestions would you like to give to improve Titan’s brand image
among customers?
References
University of Mumbai
[61]
YMT’s College of Management
• www.marketingprofs.com
• www.brandingstrategyinsider.com
• www.thehindubusinessline.com
• www.economictimes.com
University of Mumbai
[62]