MM Project On Tanishq
MM Project On Tanishq
Project Report
And last but not the least we are also thankful to all our
group members who made valuable contributions and
constructive feedback towards the completion of this project.
Introduction
An Indian Brand, which can make big in the global market, is
Tanishq from Tata Group of Industries. Tanishq is India's largest,
most desirable and fastest growing jewellery brand in India. Tanishq
today is India's most aspirational fine jewellery brand with an
exquisite range of gold jewellery studded with diamonds or colored
gems and a wide range of equally spectacular jewellery in 22Kt pure
gold. Exquisite platinum jewellery and designer silverware is also
part of the product range.
Though they faced many difficulties in the early stages for about
six years, they then came with up with good strategies. The Tanishq
strategy for the coming couple of years relies on two things:—
Evolution of Tanishq
Titan came into existence in July 1984, when the Tata Group
joined hands with the Tamil Nadu Industrial Development
Corporation (TIDCO) to make a foray into the watch industry.
Titan started manufacturing jewellery watches and jewellery in
1994. It set up its fully integrated Rs. 400 million-jewellery plant in
Hosur. The plant had the capacity to manufacture four tonnes of gold
in a year. Titan launched these products under the brand name of
Tanishq, in 1995. The name Tanishq, a blend of two words, 'tan'
(body) and 'ishq' (love), was coined by Xerxes Desai, the then Vice-
Chairman and Managing Director of Titan.
To change its image from a watch manufacturer to a fashion
accessories manufacturer, Titan was renamed Titan Industries Ltd. in
1995. Titan scaled the capacity of its Hosur plant to 4.18 million
units in 1996 to meet the domestic and international demand. From
the late 1990s, Titan's commitment to the jewellery business
increased.
When Titan launched Tanishq in 1995, the jewellery industry in
India valued at Rs. 40,000 crore was mostly unorganized, with
around 3.5 lakh players. Before 1992,only the Metal and Mineral
Trading Corporation and the State Bank of India were allowed to
import gold. In 1992, as part of economic liberalization, the
government abolished the Gold Control Act of 1962, allowing free
import of gold.
In 1993, private companies were allowed to enter the hitherto
restricted gold and diamond mining industry. Foreign investors were
allowed to hold up to 50% equity in mining ventures.
Competitors
• D'damas Diamonds
D'damas Diamonds are part of Gitanjali Digico Group and one
of the earliest diamond houses established in India in 1966. On the
present day D'damas Diamonds offer highly modernized diamond
cutting and polishing facilities at five locations in India. D'damas
Diamonds claim to promote a range of emotions through their
collections.
• Asmi
Asmi, one of the leading diamond brands of the country, was
launched, In 2002 by The Diamond Trading Company Ltd, (DTC).
The Asmi diamond Jewellery Collection is crafted to beautifully
compliment and complete her. Asmi caters to the women of
substance & satisfies her mind for rewards recognition, evolving to
suite her style & Personality.
The brand has been endorsed by various celebrities such as
Kajol, Mandira Bedi & Perizad.
All these women epitomize the different strengths. An Asmi
woman is closely identifies with free-spirited, goal-oriented & with
an inner fire.
• Carbon
In early 1991, the Bangalore based Peakok Jewellery Pvt. Ltd.,
(Peakok) was incorporated and Mahesh Rao (Rao) was appointed
director. Peakok realized that the Indian consumer's relationship with
gold jewellery would grow beyond an investment need towards a
lifestyle and personality statement. In 1996, within the Peakok fold a
new brand of 18-carat gold-based jewellery called Carbon was
launched. In 2000-‘01 Carbon's focus had always been to move
jewellery from the vault to the dressing table and bring the selling of
jewellery out of heavily guarded jewellery stores. This was achieved
by persuading a few lifestyle stores to add branded jewellery to their
vast array of products.
Most of its designs were contributed by students at the National
Institute of Fashion Technology (NIFT) through the diploma
programme which the company sponsored. In addition, Peakok's
team of six designers, (headed by Rajeswari Iyer, an alumnus of a
German design school who had worked in the U.K., Germany and
India) turned out around 180 to 200 styles in a year, with 75 designs
per style. At any point in time, there are around 600 designs of
Carbon on sale. The creation, manufacture and marketing of Carbon
was different from the making and selling of traditional jewellery.
It is made available at `shop-in-shop' outlets in large lifestyle stores
(such as Shoppers Stop, Ebony, Globus, The Bombay Store, Lifestyle
and Taj Khazana) and some premium boutiques (such as the
Helvetica in Chennai).Carbon products were priced between Rs.
2,750 and Rs.20,000 per piece. While the cost of traditional jewellery
was negotiable, the cost of Carbon items was fixed and nationally
uniform. The brand is available at 50 outlets in 23 cities.
• Gili
4 P’s of Marketing
PRODUCT
•PRODUCT VARIETY
Tanishq today is India's most aspirational fine jewellery brand
with an exquisite range of gold jewellery studded with diamonds or
colored gems and a wide range of equally spectacular jewellery in
22Kt pure gold.
Tanishq designs and manufactures jewellery that is breath-
taking, contemporary and yet has a tint of tradition. It produces 22
carat pure gold earrings that come in various shapes, sizes and
designs. Some earrings are embedded with precious stones or colour
gemstones. These jewellery sets are overwhelming and could prove
to be apt for occasions such as marriage, festivities etc. Furthermore,
they also make bangles, chains, nose pins, pendants, finger rings,
Mangal Sutras etc. They also produce products made from silver
such as deity idols etc. Recently,Tanishq has started producing
diamond jewellery that are affordable and stunning. The diamond
jewellery include collections such as: All Day Diamonds, Aria,
Dewdrops, Tanishq Solo, Dancing Diamonds etc. These collections
come with a certificate of authenticity that states the caratage, color
and clarity of the diamond.
•QUALITY
•DESIGN
•BRAND NAME
PROMOTION
The Tata Group has promoted Tanishq as a jewellery store
brand, which competes with close to three lakh traditional jewellers
who dominate the domestic market. Ithas launched new collections at
a quicker rate than its competitors, and conducted marketing
promotions and fashion shows to enhance the shopping experience of
consumers. Given the diverse nature of Indian ethnicity, Titan made
the designs more ethnic to satisfy the tastes of all regions. Titan
transposed designs by stocking Bengali designs in Delhi, Keralite
designs in Tamil Nadu and typical designs from Tamil Nadu in
Bombay in order to appeal to a variety of people.
‘Concept’ stores, the first of which, costing Rs 10 crore, opened in
Kolkata . The idea of such a store was to harmonize the tradition of
the past with the modernity of the present.
In 1998, it launched the corporate gold gift scheme - 'When you
want to say thank you, say it in gold'. In 1999, Tanishq delivered
gold coins worth Rs. 20 crores to Maruti Udyog Ltd., to be given
away as gifts to Maruti car owners. By 2001, the scheme accounted
for almost 5% of the turnover and over 30 corporate clients like
Coca-Cola, the UB Group, Whirlpool, TVS Group, Ceat and Liberty
shoes. In early 2000, it made miniature gold cars for Hyundai Motors
to be given to select dealers. Tanishq has also endeavored to be part
of every occasion in an Indian woman’s life through festive
promotions, customer contact programmes as well as through
Anuttara, Tanishq’s exclusive consumer reward programme etc.
Tanishq provides Gift vouchers in various denominations for gifting
your friends and family.
Tanishq, to set off competition, launched Jodhaa Akbar
collection and managed to get lot of marketing hype. The collection
Rs.399 was launched. The aim was to bring down the price barrier
significantly. Collections for the working women and a new set of
contemporary designs were brought into the stores.
Aria, for seven stone diamond jewellery, Hoopla, focused on
diamond studded hoops and Collection-G for lower priced gold
jewellery with an interesting twist are just a few lines that have come
out of the Tanishq’s stable in the last three years.
One of Tanishq’s more innovative ideas is to offer special schemes
during various festivals. Tanishq has also initiated a loyalty program
called the Golden Harvest Savings Scheme, which offers buyers the
benefit of getting more jewellery than what they have paid for. The
scheme allows consumers to plan future purchases in advance and
pay for them in easy installments.
Exchange offer - change impure gold for pure 22 kt gold - attracted
more people to the stores. It is estimated that roughly 2.85 lakh
customers bought from - and close to a million people went through -
53 Tanishq stores across 41 cities. Since the European designs in 18-
carat gold did not find any takers in 1997, Tanishq introduced 22-
carat ornaments. After hitting six countries in the last four years,
Tanishq entered the $57-billion US jewellery market with two
exclusive stores, one in Chicago and the other in New Jersey, in
the first quarter of 2007-08.
PLACE
PRICE
BRAND POSITION
Tanishq has been projected as an impeachable mark of trust by
raising the awareness of the people about unethical practices in the
jewellery business and then measuring the gold purity by carat meter.
Tanishq also has been positioned as a branded jewellery of luxury
rather than commodity. It moves jewellery beyond investment to the
fashion and adornment sector.
SEGMENTATION
•Niche Marketing
•Psychographic Segmentation
Life Style: Tanishq has found that 40% of the Indian women are
working and they targeted this segment with a specific group of
products called collection-G, a 9-to-5 jewellery for the working
women.
•Geographical Segmentation
Targeting
Tanishq was initally targeted at a niche market.However, the
traditional India woman who prefers 22-carat gold jewellery didnot
appreciated the International design made out of 18-carat gold. It was
then when the company went back to the drawing board and decided
to target the larger segment of the young Indian women, having a
modern, comtemporary outlook towards life while still being rooted
in the traditional Indian values. The target segment was thus,
changed to the mainstream Indian customer and the product was
differentiated from standard fares through the fusion of
comtemporary and traditional Indian motis.
This approach encouraged Tanishq to bring out new product
lines such as Aamra, Day Times, and Light weight color.
Accordingly, the collection was introduced with modern innovative
designs, creating a first-ever customized market to target such
segment.
SWOT ANALYSIS
•Strengths
➢Purity of the jewellery through carat meter is still the sign
of total purity.
➢Distribution network and retailing store are in place for the
company with130 stores countrywide.
➢Mind boggling/award winning designs have come
for the company.
➢Diversity in jewellery gold/diamond/platinum enhances
the product range of the company.
➢We also have competitive prices for the entire product
ranges as compared to the competitors.
•Weaknesses
•Opportunities
➢ Global markets like USA needs to be looked at.
➢ Low cost and easy to wear jewellery should be further
promoted.
➢ Customized jewellery designs should provided to the
customers.
➢ Concentrate on Gen-X by having trendy jewellery.
➢ Expand retail stores in India to further increase reach.
•Threats
➢ Competition from local jewellers all over India.
➢ Lack of Skilled workers in jewellery industry.
➢ Gold is no longer seen as source of investment.
➢ People are more concerned about design and luxury.
Conclusion
Refrences