Synopsis on Tanishqs Corporate Communication

Submitted to: Prof. Dr. Madhavi Pandya

Submitted by: Group 1 Sourav Maity (M5-39) Shamit Mondal (M5-35) Mausam Sharma (M5-22) Vicky Shaw (M5-44) Gourab Roychoudhury (M5-48) Praveen Kumar Pandey (M5-25)

TITAN INDUSTRIES LIMITED

COMPANY PROFILE
Titan Industries is the organization that brought about a paradigm shift in the Indian watch market when it introduced its futuristic quartz technology, complemented by international styling. With India's two most recognized and loved brands Titan and Tanishq to its credit, Titan Industries is the fifth largest integrated watch manufacturer in the world. The success story began in 1984 with a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation. Presenting Titan quartz watches that sported an international look, Titan Industries transformed the Indian watch market. After Sonata, a value brand of functionally styled watches at affordable prices, Titan Industries reached out to the youth segment with Fastrack, its third brand, trendy and chic. The company has sold 100 million watches world over and manufactures 12 million watches every year. With a license for premium fashion watches of global brands, Titan Industries repeated its pioneering act and brought international brands into Indian market. Tommy Hilfiger, Hugo Boss and f c u k as well as the Swiss made watch Xylys owe their presence in Indian market to Titan Industries. Entering the largely fragmented Indian jewelry market with no known brands in 1995, Titan Industries launched Tanishq, Indias most trusted and fastest growing jewelry brand. Gold Plus, the later addition, focuses on the preferences of semi-urban and rural India. Completing the jewelry portfolio is Zoya, the latest retail chain in the luxury segment. Titan Industries has also made its foray into eyewear, launching Fastrack eyewear and sunglasses, as well as prescription eyewear. The organization has leveraged its manufacturing competencies and branched into precision engineering products and machine building.

With over 665 retail stores across a carpet area of over 8, 10,072 sq. ft. Titan Industries has Indias largest retail network. The company has over 311 exclusive World of Titan' showrooms and over 650 after-sales-service centers. Titan Industries is also the largest jewelry retailer in India with over 120 Tanishq boutiques and Zoya stores, over 29 Gold Plus stores and over 150 Titan Eye+ stores. The company has two exclusive design studios for watches and jewelry Backed by 4,934 employees, two exclusive design studios for watches and jewelry, 11 manufacturing units, and innumerable admirers over the world, Titan Industries continues to grow and sets new standards for innovation and quality. The organization is all geared to repeat the Titan and Tanishq success story with each new offering.

THE JEWELRY MARKET

Jewelry play a significant role in Indian customs and traditions, making this sector integral to the economy and one of the fastest growing industries in the country. Worldwide, the gems and jewelry industry has been growing at a good pace and is currently estimated at over US$ 130 billion. In India, it accounts for nearly 20 per cent of total Indian exports. It provides employment to 1.3 million people directly and indirectly. The Indian market is laden with gold jewelry of varying karatage, which has seen huge appreciation in value terms in recent times according to the market condition. The Gold Rush In the late 1990s, the Indian jewelry market witnessed a shift in consumer perceptions of jewelry. Instead of being regarded as only an investment option, jewelry was being prized for its aesthetic appeal. In other words, the focus seemed to have shifted from content to design. Trendy, affordable and lightweight jewelry soon gained familiarity. Branded jewelry also gained acceptance forcing traditional jewelers to go in for branding. Given the opportunities the branded jewelry market offered; the number of gold retailers in the country increased sharply. Branded players such as Tanishq, Oyzterbay, Gili and Carbon opened outlets in various parts of the country. Traditional jewelers also began to bring out lightweight jewelry, and some of them even launched their in-house brands. However, the share of branded jewelry in the total jewelry market was still small (about Rs. 10 billion of the Rs. 400 billion per annum jewelry market in 2002), though growing at a pace of 20 to 30 percent annually. The branded jewelry segment occupied only a small share of the total jewelry market because of the mindset of the average Indian buyer who still regarded jewelry as an investment. Moreover, consumers trusted only their family jewelers when buying jewelry. Consequently, the branded jewelry players tried to change the mindset of the people and woo customers with attractive designs at affordable prices.

Gold Jewelry Market in India

Before the liberalization of the Indian economy in 1991, only the Minerals and Metals Trading Corporation of India (MMTC) and the State Bank of India (SBI) were allowed to import gold. The abolition of the Gold Control Act in 1992, allowed large export houses to import gold freely. Exporters in export processing zones were allowed to sell 10 percent of their produce in the domestic market. In 1993, gold and diamond mining were opened up for private investors and foreign investors were allowed to own half the equity in mining ventures. In 1997, overseas banks and bullion suppliers were also allowed to import gold into India. These measures led to the entry of foreign players like DeBeers, Tiffany and Cartiers into the Indian market. In the 1990s, the number of retail jewelry outlets in India increased greatly due to the abolition of the Gold Control Act.'

Gold Jewelry Becomes Fashion Accessory

Till the early 1990s, the average Indian bought jewelry for investment rather than for adornment. Jewelry made of 18- karat gold was not favored as it was considered a poor investment. Confidence in the local jeweler was the hallmark of the gold jewelry trade in India. A jeweler or goldsmith in a local area had a fixed and loyal clientele. The buyer had implicit faith in his jeweler. Additionally, the local jeweler catered to the local taste for traditional jewelry. However, since the late 1990s, there was a shift in consumer tastes: women were increasingly opting for fashionable and lightweight jewelry instead of traditional chunky jewelry. There was a rise in demand for lightweight jewelry, especially from consumers in the 16 to 25 age group, who regarded jewelry as an accessory and not an investment. The new millennium witnessed a definite change in consumer preferences. A research study arrived at the following conclusions: The Indian market was witnessing an accelerated shift from viewing jewelry as an investment to regarding it as aesthetically appealing ornaments. The focus had shifted from content to design. The younger generation was looking at trendy, contemporary jewelry and clearly avoiding heavy, traditional gold jewelry. The consumer wanted a wider selection at a single convenient location and expected an international shopping experience. The Indian consumer was willing to experiment with new designs. In the late 1990s and early 2000s, with the increase in the number of designers from design schools such as the National Institute of Fashion Technology (NIFT), a wide range of new designs became available. In addition, the growing number of manufacturers needed a retailing platform with global and national reach. All these led to the proliferation of branded jewelry players.

TANISHQ AN INTRODUCTION
Tanishq is India's largest, most desirable and fastest growing jewelry brand in India. Started in 1995, Tanishq is the jewelry business group of Titan Industries Ltd- promoted by the TATA group, India's most respected and widely diversified business conglomerate. This year marks a decade of successful innings for Tanishq. With retail sales of 1200 crore last years and gunning for 2000 crores this year, Tanishq has arrived in the Indian jewelry market. It is a story of a successful Indian enterprise, which has delivered value to its customers and shareholders in a complex category, marked by its completely localized front end as well as back end. Tanishq has set up production and sourcing bases with through research of the jewelry crafts of India. Jewelry at Tanishq is crafted in one of the world's most modern factories. The factory complies with all labor and environmental standards. Located at Hosur, Tamil Nadu, the 1, 35,000 sq. ft. factory is equipped with the latest and most modern machinery and equipment. Every product at Tanishq is painstakingly crafted to perfection. Diligent care and quality processes ensure that the Tanishq finish is unmatched by any other jeweler in the country. Tanishq challenged the age-old jewelers word with TATA's guaranteed purity. It exploded the market with facts about rampant impurity across India. It introduced technology backed challenge in a category completely governed by individual trust. Tanishq introduced innovations like Karatmeter, the only non destructive means to check the purity of gold. Tanishq also introduced professional retailing in the disorganized Indian jewelry bazaar, where women can shop with comfort and peace, without worrying about the purity of the jewelry they are buying, as well as, select from the best jewelry collections available in the Indian market. Tanishq today is India's most aspirational fine jewelry brand with 91 stores in 64 cities, with an exquisite range of gold jewelry studded with diamonds or colored gems and a wide range of equally spectacular jewelry in 22Kt pure gold. Exquisite platinum jewelry is also part of the product range. Tanishq had its first showroom in Chennai in 1996. Today it has over 60 showrooms in 47 cities. Only six of these are owned by the company. The rest are run by franchisees. There are six branches in Mumbai.

Here, we are going to mention each and every detail regarding the Corporate Communication with reference to this case.

Jewelry is one of the last great commodity frontiers in India; it has remained so because this market is very fragmented, much unorganized. Tanishq has successfully taken on the challenge of transforming this frontier into a reliable consumer space by bringing to it all the virtues and benefits that branding offers". - Harish Bhat, CEO, Tanishq.

PRODUCT LINE & THE COLLECTIONS

PRODUCT LINE
Tanishq Diamonds The sparkle of diamonds has always attracted the human eye. Finding the perfect piece of diamond jewelry is an exhilarating and unique experience. As with any significant purchase, it is important that the customers make an educated decision. Cut and crafted with utmost care, Tanishq diamonds come with a certificate of authenticity, stating the caratage, color and clarity of the stone, to enable them to know exactly what they are paying for. No gemstone expresses human emotions more powerfully than a diamond and Tanishq transforms these precious stones into breathtaking masterpieces, each unique and splendid in design. When it comes to diamonds at Tanishq the customers will be spoilt for choice from many collections Tanishq have to offer. Tanishq Gold From the traditional harams, mangalsutras and thalis to the more fashionable earrings, chains, bracelets and rings, there is a lot to choose from at Tanishq. In India Gold has always been associated with security and is the most valuable form of investment. However, it has been observed that consumer is an easy target to several malpractices like under karatage, under valuation of the gold sold and unfair buy back policies due to the lack of awareness about these issues. Tanishq propagates ethical practices not only by assuring the customer purity and selling policies, but also fair policies to the karigars who craft the jewelry Tanishq's designs in Pure 22k gold are not only unique, expressing the wearer's individuality but each piece issubject to the intricate process of design, crafting and stone setting with stringent quality standards at every point. Tanishq, cater to every occasion. Their collections in gold abound from the grandiose wedding

collection to exotic kundan and polki, from the stunning Aarka collections to the exclusive Nakashi work. Tanishq ensure that they have something for everyone with the baby range, 9 to 5 for the working woman and high fashion, men's wear, teen's collection and regional specific designs. Tanishq Platinum This product line states Metal at its best. Pure Platinum's purity endows it with a brilliant white luster. This helps to reflect the true radiance of diamonds, because it is generally 95% pure (18 karat gold is 75% pure), platinum jewelry does not fade or tarnish and keeps its looks for a lifetime. Rare Platinum is rare, the coveted treasure of discerning individuals. There is very little platinum on this earth and it is found in very few places around the world. This exquisite metal is 30 times rarer than gold. Platinum's rarity makes it exclusive and distinctive - a celebration of the customers individuality. Eternal Platinum jewelry is the perfect choice for a lifetime of everyday wear. Platinum does not wear away and holds precious stones firmly and securely. All precious metals can scratch, and platinum is no exception. However, the scratch on a platinum piece is merely a displacement of the metal and none of its volume is lost. Some of the world's most famous gems are set in platinum, such as the Kohinoor diamond, part of the British crown jewels. Platinum and White Gold are distinctly different materials and must not be confused. Platinum is a metallic element while White Gold is a Gold alloy, which gets its white color due to palladium or nickel. Tanishq's Platinum represents excellent value for money. The price may be higher than a similar item in gold but platinum is pure, rare, enduring, beautiful, luxurious, classic, and the perfect host for diamonds; precious qualities that make it worth paying that little bit extra for.

THE COLLECTIONS
The Diamond Collection No gemstone expresses human emotions more powerfully than a diamond After all, a diamond is timeless and finding your perfect piece of diamond jewelry is an exhilarating and unique experience. Cut and crafted with utmost care the diamond collection renders each piece eternal.

 The Wedding Collection The bride blushes; everyone around smiles; the shenai announces festivity; the priests chant auspicious promises; she walks demurely; a vision of beauty; her jewels are exquisite; crafted by the best in the land; as pure as the blessings bestowed on her. The Zoya Collection Intricacy coupled with the simplicity; the magnificence of history interwoven with linear contemporary; secrets of the pharaohs masked with the mystery of the cosmos; oriental art embellished with occidental architecture; nature's bounty matched with man's ingenuity.

The Fashion Earring Collection The Fashion earring collection', has a range of over 300 exclusive designs. Keeping in tune with the raging popularity that earrings currently enjoy, the Tanishq design team has created the Fashion earring collection, inspired by the evergreen Jhumkas or Karnaphools and the trendy Chandelier and delicate Stiletto designs The Kundan and Polki Collection Influenced by the mughal era Kundan work requires special craftsmanship and a myriad of stages, each crafted by a different set of highly skilled karigars. Tanishq as a revitalizer

of tradition brings to life techniques and motifs of the period through their exquisite collections of Kundan and Polki (uncut diamonds). It is difficult for jewelers to ensure the purity and correct grammage of the product since it involves so many stages. However, Tanishq ensures the karatage and net wt of the product.

The Colors of Royalty Collection Colors of Royalty are a range of exquisite studded jewelry, reminiscent of the magical Victorian era. The collection is inspired by the classic design essence and sensibilities found in the architecture, fashion, design, drapes and patterns of the Victorian period. Tanishq has incorporated the timelessness of these styles into exquisite jewelry designs to present a collection where fashion and tradition converge. This line of precious stones and diamond jewelry in 18k from Tanishq comprises more than 200 pieces and is by far the largest studded collection launched by them. This exclusive collection was launched at the Ponds Femina Miss India 2006, where the 25 finalists wore it. The Colors of Royalty is a line of exclusive gems and stone studded jewelry that reflects the grandeur of India's rich past represented through the varied meanings associated with colors in their lives. The Moham Collection The collection comprises designs, motifs inspired by nature that have been beautifully crafted to make them the most desirable possession this season Moham is a range of exclusive ruby studded jewelry that embodies the auspiciousness the color red has in their lives. Rubies have been associated with prosperity, passion and have been the most coveted gemstone for many years. It is a must have for a Indian women. This range attempts to strike a balance between convention and fashion by creating designs suitable for the progressive Indian woman, rooted in her tradition. This line of Ruby studded jewelry from Tanishq is available in both 18k and 22k. This launch reiterates Tanishq's focus on catering to region specific tastes and preferences. India offers great potential for the Moham collection where Ruby studded jewelry enjoys great popularity

and acceptance. Consumer survey indicates that women attach great inspirational value to rubies, second only to diamonds. The Aria Collection Aria is a collection of variety of everyday jewellery which depict various moods and feelings: Mysteries of love Mysteries of passion Mysteries of envy Bewitching Fascinating Enchanting Hypnotizing Sensuous Captivating Exquisite crowns and jewelry Tanishq, India's most innovative jewelry brand, unveiled the awe-inspiring set of crowns and its 'Colors of Royalty' range of jewelry, specially crafted for India's leading beauty pageant, Femina Miss India 2007. Tanishq has built itself a reputation of bringing innovative designs that suit the needs of "the ever-changing never changing" Indian woman. The crowns have been designed to convey the essence of India through the use of distinctive motifs such as the traditional and auspicious 'teeka' the Indian touch to the contemporary styling. Crafted with painstaking detail, each of these crowns convey a story; a story of their "ORIGIN". Inspired by interplanetary movements and colors of flora and fauna, these tiaras are a stunning combination of trillions, baguettes, round brilliant cuts, princess, and pears and specially cut colored crystals. Each crown weighs about 450 gms and has a special spring mechanism designed to fit perfectly on any size or shape of head. Inspiration behind each crown Is distinct and personifies the spirit of the title Miss Universe: This crown has the perfect cosmic blend of elements, very like the universe itself. The large red stone, set slightly on the side, is the symbolic and stylized 'teeka'. Miss World: The natural essence of this piece is enhanced by the wave-like undulating shape on the base of the crown, sitting snugly on the forehead of the wearer. And of course the vivid rectangular blue stone that expresses the teeka of victory, and sets off the varying hues of the sea on the rest of the crown. Miss Earth: This crown derives its inspiration from the essence of nature- her flora and fauna. Based on the fabulous colors and movement of the peacock and its feathers,

this stunning piece is an intriguing study in harmony and contrast. The jewelry crafted beautifully with interspersion of diamonds and colored stones, is an ode to the ecstatic beauty and supreme power behind every woman. The contemporary styling has been brought to life with sensuous curves, balance, rhythm and symmetry of classic Indian motifs in an unconventional synthesis. These beautiful and vibrant gemstones in different shapes, sizes and colors are sprinkled amongst diamonds to create a symphony that enhances the look of the stones and adds a dash of color to conventional designs. Tanishq has translated the timelessness of these designs to a modern context and brought to life a collection where fashion, design and tradition blend perfectly.

TANISHQ RETAILING
Tanishq ventured into jewelry retailing in 1996 through exclusive stores, both company owned and franchised outlets, a concept unique to branded jewelry segment at that time. In just over a decade Tanishq has achieved several milestones and today is the largest jewelry brand in the country with a turnover of Rs. 1250 crores. This success of Tanishq is a result of an exclusive blend of exquisite designs, trust and reliability, innovation, highly focused communication strategy and innovative retail strategy. Innovation has been the hallmark of Tanishq all these years. Tanishq has constantly formulated an innovative product strategy this journey in line with the evolving consumer tastes. Tanishq Design Studio has created exquisite and varied collections like Fashion earrings, everydays, high-end Zoya collection among others aimed at distinctive consumer segments. Similarly Tanishq has undertaken several unique retail initiatives keeping in mind the customer demand for a world class shopping experience. As such Tanishq retail identity has evolved over the years to offer large format and concept stores that reflect the brands philosophy of being Revitalizer of Tradition. Commenting on Tanishqs success story, Mr. C K Venkatraman, COO, Tanishq, said "We have been able to capitalize on the trends of the local jewelry markets by building on our solid financial strength, market-leading brand position, wide network, local sourcing strategy, a management model of excellence and, most importantly, a philosophy of customer care. In the future, the key to building stronger competitiveness will lie in enhancing network coverage, brand equity and logistics. Amid the keen competition in the Indian jewelry market, only the strong player can emerge victorious." Tanishqs retail strength goes beyond its innovative identity and extensive reach. Tanishq has undertaken several unique retail and marketing initiatives like creating purchase triggers like Doctors Day / Professional Day etc that were unexplored avenues in the industry. Tanishq has also endeavored to be part of every occasion in an Indian womans life through festive promotions, customer contact programmes as well as through Anuttara, Tanishqs exclusive consumer reward

programme etc. In addition, Tanishq has created new logistics centers and upgraded existing ones, laying a solid foundation to meet future competition. Tanishq is the first and only jewelry brand to have organized mass jewelry retail chains across the country. As our company expands, more and more people will be able to share our mindset. Brand Tanishq is for every Indian woman; it is at all times keyed-in to their everchanging demands, moods and tastes. It conveys a feeling of self-confidence and individualism that characterizes the Indian woman. The offerings are in tune with fashion and yet do not lose touch with tradition.

Tanishq the "Revitalizer of Tradition" Tanishq has opened first-of-its-kind concept stores at Fort Knox Kolkata, South Extension Delhi, Kormangala Bangalore and Bund Garden Pune. These stores reflect the new retail identity of Tanishq the 'Revitalizer of Tradition' and combine the grandeur of the past with the reality of the present without losing its inherent character and appeal. The introduction of the idea of a concept store catapults Tanishq's unique brand identity in the retail space and takes jewelry retailing in India to a new level. The concept stores will take Tanishq closer to making it the complete jewelry brand catering to varying consumer needs and tastes across all consumer segments and also provide customers a unique and innovative buying experience. The theme 'Revitalizer of Tradition' has been incorporated in all the design aspects for the new concept stores. The stores have a contemporary feel while retaining the flavor of the past. Traditional craftsmen were used to create a period ambience so that the store replicates the authentic period look with its stunning sand stone arches and special motifs inspired by the inlay work of the Taj Mahal for the North and East stores and the Chettinad influences for the South stores. Tanishq has plans to extend its retail experience to a larger consumer base by launching more concept stores across the country.

Marketing Mix- 4 Ps
PRODUCT Features Optional Services Product Quality Staff Quality PLACE (DISTRIBUTION) Location Service Frequency Transportation Distributors Inventory PROMOTION Publicity of Sales Promotion Personal Selling PRICE (COST) List Price Discounts Credit Terms Inclusive/Not Remoteness

Style Brand Name Packaging Guarantees

Advertising Mailing List

Strategic Approach
TANISHQ FOR YOU
At Tanishq its not just the products, its the experience that matters. The company makes sure that they give you (the customers) the premium quality of not only product but service as well. Tanishq not only has an exquisite range of designs to meet all their requirements but also offer the benefit of any modification or customization on products. There are host of value added services that the customers can avail of at Tanishq like the Golden Harvest Savings Scheme, Gift Voucher purchase, Exchange of gold and diamonds etc.

1. Pricing Strategy
Tanishq being a brand name of TATA, maintain a standard price for all of their products. But being in a competitive market with lots of local as well as branded competitors, Tanishq offers various attractive price schemes to allure customers. Here are some few pricing strategies which is followed by Tanishq: Flexible Pricing Market Skimming Price Bundling Competition Oriented Pricing Price Lining

2. Location Strategy
Prime Locations for Merchandise Value of space decreases further away it is from entry level floor Highly trafficked areas

1. Store entrances /escalators/ main aisles

2. Near checkout counter

Highly visible areas 1. End aisle 2. Displays

Value of space decreases further away it is from entry Special Considerations Avoid the butt-brush effect. Make merchandise accessible. Allow a transition zone.

3. Communication Mix

Personal communication channels Non - Personal communication channels Print Media [ Vogue, Femina, Cosmopolitan ] Business magazines for mens collection Broad Cast Media Display Media Event and Experiences Online Selling Fashion Shows International Jewelry Fairs

4. Visual Merchandising and display techniques

Attention-getting devices Color plates Familiar symbols Making and proscenia Sale ideas Fashion accessories Graphics and Signage

1. Customer Services
Golden Harvest Saving Scheme Tanishqs Golden harvest Savings Scheme is one of the most lucrative savings schemes that enable to save each month with Tanishq and plan for wedding jewelry purchases. Customers monthly installments are safe with them, whereas savings at home could easily get spent. This scheme provide the customers with much better returns than other saving options like bank deposits or post office savings schemes. In addition, Tanishqs special bonus at the end of the scheme period helps them to stretch their jewelry budget. Exchange Policy in Tanishq Exchange your old jewelry for new with Tanishq Most retailers have a differential buy back or different rates for selling and buying gold jewelry. At Tanishq, a single gold rate is maintained for buying or selling gold jewelry. 8% of the value is deducted for costs involved with testing, refining and taxes for the jewelry given by the customer. When the customer exchanges any Tanishq gold coin with jewelry, they get the benefit of the current gold rate and full value exchange without deduction. When they exchange any other banks gold coin with jewelry there is a 4% deduction on value. This deduction is made for handling and transportation costs and for refining the metal received on exchange. Most jewelers exchange jewelry returned to them at the purchase price hence any appreciation in the value of gold and diamonds are not accounted for. At Tanishq, when the customers exchange diamond jewelry purchased from them it is exchanged for its current value, thus giving them the benefit of any appreciation that would have taken place in the price of gold or diamonds. Gift Vouchers Gift Vouchers make the perfect gift for friends and family. These are available at all Tanishq showrooms across India and are also redeemable across the country, Gift vouchers are available in the following denomination Rs. 2501/-, Rs. 5001/- , Rs. 10001/- and Rs. 25001/- So the customers no longer need to worry about gifting their loved one, something of her choice. Purity Checks Purity checks allow lovers of the yellow metal to test the purity of the gold they already own. Playing a significant role in this is the Karat meter, which is the most scientific measure of purity in the world. It uses X-rays to give an exact reading of the purity of gold in just three minutes, giving the consumer an unmatched benefit when buying or selling gold. It is in fact the most scientifically proven, nondestructive means of testing

the purity of gold. Due to its excellent precision, X-ray analysis has been adopted by international agencies as well as by BIS (Bureau of Indian Standards) in India as part of the certification process used to hallmark Gold. Anuttara The customers can also become the member of Tanishqs loyalty programme Anuttara and avail of various discounts and privileges.

TANISHQS MARKETING STRATEGY

When Titan launched Tanishq in 1995, the jewelry industry in India valued at Rs 40,000 crore was mostly unorganized, with around 3.5 lakh players. India was the second largest consumer of gold in the world after USA. 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. In the 1990s, a number of brands entered the Indian jewelry market. In 1995, Mumbai based jewelry exporter, Gitanjali Jewels, started selling 18-carat gold jewelry under the brand name of Gili. Su-Raj (India) Ltd. launched its 22- carat gold and diamond jewelry in 1997. Other well known domestic players included Tribhovandas Bhimji Zaveri, Mehrason's and P. C. Chandra. Among the foreign players who entered the market were Cartiers, Tiffany, De Beers and Ashton Mining. Titan realized that there was a huge untapped market for branded jewelry in India. The critical success factors in the business were quality, fashionable design, and good aftersales service. Titan also observed that the changing lifestyles demanded lighter and trendier jewelry. After its launch, Tanishq faced several problems. With its original focus on exports, Tanishq's designs had been conceptualized for the Western markets and were introduced in India without any alterations. Formal consumer surveys showed that though brand awareness was quite high, it suffered from several negative perceptions. Many potential customers thought the products were over priced and associated the brand only with the rich. Hence, Titan decided to change its strategy on two fronts: Value proposition Retailing.

Since the European designs in 18-carat gold did not find any takers in 1997, Tanishq introduced 22-carat ornaments. Customer surveys revealed that gold jewelry was not bought so much for design as for value. Titan also decided to do away with the shop-in-shop formats and started retailing its jewelry through exclusive Tanishq outlets from 1998. Titan realized that, given the diverse nature of Indian ethnicity, it would have to satisfy the tastes of all regions. So, the designs became more ethnic. Titan also decided to transpose 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. The same year, Tanishq entered the studded jewelry segment, which it had ignored for long. Titan also tapped institutional customers also. 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. In early 2000, it made miniature gold cars for Hyundai Motors to be given to select dealers. The Tanishq strategy for the coming couple of years relies on two things increasing penetration in the domestic markets and going abroad in order to diversify its revenue portfolio.

Tanishq - Strategies for Wooing Customers

In the late 1990s, players in the branded gold jewelry market formulated strategies for wooing customers. According to Jacob Kurian (Kurian), Former Chief Operating Officer of Tanishq, the challenges were many. As the jewelry market was highly fragmented, lacked branding, and allowed many unethical practices to flourish, Tanishq worked hard on a two-pronged brand-building strategy: cultivate trust by educating customers about the unethical practices in the business and change the perception of jewelry as a high-priced purchase. Kurian said, "We are changing the attitudes of customers from blind trust to informed trust." To increase its market share, Tanishq formulated a strategy for luring people away from traditional neighborhood jewelers. Tanishq's strategy was to create differentiation and build trust. According to Kurian, the three parts of the strategy was: To provide a point of differentiation in a highly commoditized category this is the whole point of branding. To project Tanishq as an unimpeachable mark of trust. According to Kurian, "If differentiation plays the role of primary attraction, trust takes care of lifelong loyalty." One way to create differentiation was through design. The emphasis had to be on design because local jewelers could offer to design any pattern according to the customer's specifications. For a national brand a generic design concept with regional variations had to be evolved. For this, Tanishq set up a seven member

in-house design team and also out sourced designs from freelance designers. The designers travelled the length and breadth of the country to get feedback on Tanishq's designs and learn about customer preferences. On the basis of this feedback, each showroom could select the designs it would carry. To stay ahead of competition from local jewelers, Tanishq decided to focus on quality control. In 1999, it introduced Karatmeter which showed the purity of gold. In fact, Tanishq's USP was the purity of its gold. Accordingly, the company's ad campaigns emphasized the purity aspect of all Tanishq ornaments. In November 2002, Tanishq introduced a new collection of jewelry called 'Lightweights.' The collection featured neckwear, earrings, bangles, rings and chains in 22 karat gold with prices starting at Rs 1,100. It also launched Lightweight Diamonds, with prices starting at Rs 3,000. Tanishq focused not only on urban markets, but small town markets as well. Real estate was less expensive in the small towns than in large urban centers. Besides, competition from stores in small towns was less stiff than competition from the large jewelry stores in the metropolitan cities. According to Kurian, the best returns on investment came from small towns.

All That Glitters is Not Gold

Branded jewelry players will continue to face lot of competition from local jewelers. In order to gain market share, they will have to come up with designs that customers want and win the trust and confidence of consumers by hallmarking and demonstrating the purity of the gold used by them. To compete with traditional players, branded players must also find some way to differentiate themselves. While the success of a particular brand will depend on differentiation, affordability and quality will be a key element in sustaining a brand. In addition, branded players require focused advertising and astute salesmanship to compete with traditional jewelers. Besides the major brands- Tanishq, Carbon, Oyzterbay, Gili and Trendsmith- several regional players have opened branches to leverage the trust and reputation that they have built up over the years. This is going to add to the competition in the branded jewelry market. Most of the branded jewelry players in India focused on yellow gold; only a few of them experimented with the pink and white forms of gold. Some of the players also used diamonds and platinum, which appear to have a good future in the Indian jewelry market.

INTEGRATED SUPPLY CHAIN MANAGEMENT

Titan Industries set up its jewelry manufacturing unit in 1994 with advanced technical know-how from the UK, Germany and Switzerland. Over the years, the jewelry division has transformed the unit into a highly integrated jewelry manufacturing and outsourcing facility. Today, Tanishq and Goldplus have grown to be the most reliable jewelry manufacturing brands in India. The manufacturing at the Integrated Supply Chain Management (ISCM) unit at Hosur, Tamilnadu follows Lost Wax Casting process. Some of the key facilities for the process include the refining plant with Swiss technology, the alloying equipment, accurate assay testing facilities and Yasui waxing and casting machines from Japan. Led by the most up-to-date Swiss and Japanese technologies, Titan Industries is a pioneer in establishing standards for consistent delivery of jewelry products, necessary for karatage. The product development cycle is based on state-of-the-art CAD/CAM technology that enables seamless integration of various stages: styling, threedimensional solid modeling, engineering design, tool design, tool making and prototype making. ISCM is backed by high-end machinery such as Vacuum Melting unit, Rapid Proto Typing machine, fully automated precious stone sorting machine, 99.99 % fine gold refining system and computerized color matching machines that make the division most advanced in the industry. To maintain the quality standards, ISCM has implemented the ISO 9001:2000 standards and put various initiatives in place: ambitious targets, customer initiatives, and employee initiatives. With ISO 14001:2000 ISCM implemented, ISCM provides better work environment and upgrades the environment outside the manufacturing unit. A dedicated Technology Cell has also been established to ensure that cutting-edge technology is constantly tracked and infused into the business. The division's technology efforts have been widely recognized by the industry: the Karat meters pioneered by Titan Industries jewelry division has gained widespread acceptance, and the Goldmine system is considered one of the first successful .net initiatives in retail in India. Outstanding functional as well as technical expertise coupled with design and worldclass quality transform sketches on paper into astonishing masterpieces and ISCM continues to reach greater heights.

SOME OF TANISHQS COMPETITORS

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 Jewelry 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. Nakshatra Diamonds The world renowned Nakshatra diamonds were launched in 2000, with an equally dazzling Aishwarya Rai as its brand ambassador. In the present scenario Nakshatra diamonds occupy a leading position in the fashion diamond jewelry segment. The traditional diamond is the most wanted design among Nakshatra diamonds. Nakshatra diamonds claim to shine your glamour and love life. They have aptly put their slogan as "brightest circles of light." Elegant and graceful Nakshatra diamonds are the epitome of passion, attitude and independence. Gili Gili was launched in 1994, targeting mainly the youth who wanted to celebrate Valentine's Day. Since then, the brand has clocked a turnover of Rs. 90 crores. Nirvana Diamonds Nirvana Diamonds from Fine Jewelry (I) Ltd. was launched in 1987 in India. Nirvana diamonds are targeting at fashion conscious, modern and independent thinking women. Internationally acclaimed Nirvana diamonds are manufactured by using state-of-the-art technology. As a proof of their quality Nirvana was among one of the brands to offer lifetime warranty to its consumers. 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. Adora Diamonds

Adora Diamonds were launched in India in July 2003 by Mumbai based Concept jewelry (India) Ltd. On the present day the still expanding retail network centers of Adora expands to 117 outlets in 47 cities of India. Adora means glory in Spanish and claims that its diamond collection is themed on love. Adora diamonds are for adornment of every moment, occasion, and phase of life through its up and downs. The Swaranjali signature collection of living legend Lata Mangeshkar is a unique feature of Adora diamonds. Each piece of Swaranjali collection is conceptualized and approved by Lata Mangeshkar and bears her laser printed signature. Kiah Diamonds World's largest volume manufacturer of diamonds-Sheetal manufacturing Company (SMC) launched its exquisite Kiah diamond collection in October, 2004. Kiah diamonds are claims to be for celebrating womanhood. The brand name 'Kiah' means beautiful place. On the latest Kiah diamonds have won the Best Showroom in the DTC Diamond Season for 2005-2006.

Survey of the brand Tanishq

"Men buy products while women choose brands," says model-turned-designer and CEO of a billion dollar company, Kathy Ireland, a fact which jewelry brand managers in India will not refute. Hence the Solitaire - TNS Survey across Mumbai, New Delhi and Bangalore was targeted solely at women. While the sample size was small, 600+, the fact that the target group was covered in and around shopping malls, banks, corporate areas and commercial zones, made the sample more relevant to the objectives. A survey was conducted through personal interviews over a period of15 days. What Did Women Really Buy? An interesting question is whether there is a difference in what women consider as India's best brands and what they finally opt for. Quite naturally, price structure and affordability are in conflict with aspirations. However, there has been little or no difference observed in our target group in their choices. This may be because most jewelry brands have a varied price range that caters to women belonging to different segments of society. Even in a high-profile brand at least a few lines are made affordable to most people. Thus, the toppers in the best known category come up trumps even here. What Woman Want? While Tanishq and a few other regulars do occupy women's mind space, the good news for other brands is that women are not unduly influenced by the aspirational longings of their hearts. A long history of fascination for the yellow metal as a status symbol and as

an instrument of security and its easy convertibility to cash has most women, both working and non-working, picking up gold jewelry without precious stones as their most preferred jewelry. With the economy moving upwards and income levels increasing, gold consumption in India is showing tremendous growth. WGC reports that there has already been a 50 per cent increase in the first half of 2005 over the same period last year! With established jewelry manufacturers (read brand owners) recognizing the everlasting appeal of gold among Indian women, jewelry brands in the future might see more visible usage of gold. 22 carat yellow gold jewelry is the most preferred gold jewelry. Diamond studded jewelry is the next highly preferred. 40 per cent of the working women are willing to try new jewelry outlets. 32 per cent of non-working women opted for the same. Where Do Women Buy From? As constant as their liking for gold, Indian women are totally rooted in the choice of the place from where they buy their jewelry. In this case, the traditional/independent jeweler seems to have no competition at all from the new generation brand stores, malls, etc. But there are changes happening. Working women, the survey points out, are more open to trying out branded and new retail outlets. With an amalgamation between the old and the new marketing strategies, independent/family jewelers have also created indelible brands. Thus, in the final reckoning, most women are brand conscious and opt either for the ones that are highly visible or those that have been embedded in their buying culture through family association.

PROMOTION, ADVERTISING & PUBLIC RELATION

Promotion
Tanishq launches Free gold coin offer campaign in July 19, 2008 (India). Tanishq launched its "Get Gold free with Diamonds" promotional offer were for customer be entitled to win at least one 22-kt one-gram gold coin on every purchase of diamond jewelry worth Rs 5,000 and above. "Get Gold free with Diamonds caters to the aspirations of Indian woman by providing an opportunity to own diamond jewelry and win gold, which is a huge investment opportunity. Akshaya Tritiya is one of the four most auspicious days of the Vedic calendar. The Akshaya Tritiya pre-booking scheme along with the 10 per cent deduction on making charge offer is available across all Tanishq boutiques.

Advertising
Miss Asin the bollywood actress is the brand ambassador of the Product Tanishq.

T V Advertisement: Tanishq focus on the emotional attachment in the advertisement like engagement, marriage and such other occasions. Print advertisement: In leading news paper and famine magazines are targeted to do the advertisement. In short they know their target market and hence do advertising as required. Bollywood tie-up: Tanishqs appeal lies in the wealth of its designs and purity of gold. It has won the trust and admiration of customers and created a unique position for itself in the marketplace. The association with Bollywood blockbusters like Paheli and Jodhaa Akbar which was very pricey and suggested retail price is between Rs 25,000 to Rs 15

Lakhs. In addition, the 2003 Miss India beauty pageant have enhanced the brands appeal, lending it an aura of elegance and grandeur.

PUBLIC RELATIONS
MUMBAI (Reuters) - India's high-end jewelry retail chain, Tanishq, is likely to see a 1520 percent rise in gold jewelry sales in the current financial year even if prices remain volatile. The jewelry division of Titan Industries Ltd. would be able to increase sales as the clients it targets are not very averse to high prices, C.K. Venkatraman, chief operating officer of Tanishq, told Reuters in an interview. "Tanishq's customers are slightly above average in terms of income and quality consciousness, therefore less price-sensitive," said Venkatraman. "My sense is that volume growth for jewelry alone would rise by 15-20 percent (in the full year)." Sales of gold coins and bars could see an even bigger growth as investment-driven buying of the yellow metal catches on in the country, he said. Venkatraman said consumers are more brand conscious from 10 years ago, when Tanishq began operations - a trend that could help boost its appeal. "We have typically been getting stronger in the wedding segment," he said. "This has driven our sales significantly." Also, the aggressive advertising and promotional activity undertaken by the company during April to June could push gold sales further, he said. Venkatraman said the decline was largely due to the increase in expenditure on brand building. "We have made a lot of investment in advertising and marketing in the first quarter, which will pay off in subsequent quarters," he said. Across India's bullion industry, high and volatile gold prices have affected trade with many dealers speaking of a sales drop ranging from 5 to 40 percent last month. Gold prices have risen significantly since the beginning of the year and have been quite volatile, touching a 26-year peak of $730 an ounce in May, before tumbling to $543 in mid-June.

Tanishq News Headlines

Tanishq launches Free gold coin offer campaign July 19, 2008 (India) Tanishq to spread its radiance with new stores May 15, 2008 (India) Celebrate Akshaya Trithiya with Tanishq jewelry May 02, 2008 (India) Tanishq Jodhaa Akbar collection January 28, 2008 (India) Royal Mughal appearance in Tanishq jewelry January 28, 2008 (India) Tanishq opens 3rd exclusive showroom in Chandigarh November 20, 2007 (India) 100th store in Patna & still countingTanishq October 26, 2007 (India) Tanishq is a perfect gift for your sister! August 18, 2007 (India) Tanishq targets US jewelry market April 09, 2007 (India) Tanishq unveils coveted Miss India 2007 crown March 23, 2007 (India) Tanishq launches elegant fashion earring collection November 16, 2006 (India) US to shine with Indian jewelry November 03, 2006 (India) Celebrate DHANTERAS with exquisite jewelry from Tanishq October 10, 2006 (India) Tanishq Jewelry adds glamour to women's ensemble October 04, 2006 (India) Tanishq expects 15-20% sales gain this year August 03, 2006 (India) Tanishq to strengthen its presence July 31, 2006 (India) Tanishq launches Colors of Royalty range jewelry April 17, 2006 (India) Tanishq's 'up to 25 per cent off scheme January 31, 2006 (India) Tanishq introduces exquisite 'Paheli Collection' July 02, 2005 (India) Tanishq introduces exclusive 'Paheli' collection June 24, 2005 (India) Tatas Tanishq registers sales worth Rs 570 cr in FY-05 May 06, 2005 (India) Tanishq launches exquisite collection for womens day March 07, 2005 (India) Tanishq and Titan declared The Most Admired Brands Of The Year at LIFA January 27, 2005 (India) Tanishq Launches Aria Collection October 07, 2003 (UAE)

GLOBALIZATION
Titan opened its first Tanishq jewelry brand outlets in Chicago and New Jersey by January 2008. Company aims to expand this into a 10-store chain with initial investment of US $6-7 million. Tanishq has targeted the worlds biggest jewelry market, through either franchisee or self-owned outlets. Currently, US jewelry market is valued at around $16 billion. The Indian jewelry manufacturer plans to launch its pilot retail jewelry store in Chicago, US, in July. The store is proposed as a 2000 sq. ft. Facility, where the jeweler would retail 18 karat gold and diamond studded jewelry. The designs at the store have been inspired and themed basis the lifestyle of modern American women, with concepts like Rain, Yoga, while Native American influences like a local tree in New York have also inspired the jewelry collections. Price points for the jewelry have been determined ranging between $400 to $12,000. Tanishq would inch its way to open a second store in the middle of the year, in New Jersey.