BRAND BUILDING AND BRAND RECOGNIZING STRATEGY Of

Earth wrist watch

SUBMITTED T ABHISHEK DUTTA SIR

SUBMITTED BY SAQUIB JAVED(A22) ANSHU CHAUDHARY(A03) SANDEEP SHARMA() LOKENDER SINGH()

INDUSTRY OVERVIEW History of the watch market 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 Janta model in the year 1962. HMT was the leader in the watch market till the Tatas 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.

Indian Watch industry Porters Five Forces Model

SUPPLIER POWER No strong suppliers Lack bargaining power Rise of China, Taiwan as low cost suppliers

BARRIERS TO ENTRY Cluttered Market

DEGREE OF RIVALRY Increased number of firms Low switching costs THREAT OF SUBSTITUTES No close substitutes

Lack of Differentiation Strategic stakes are high

BUYER POWER Price sensitivity , Buyers Preferences

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Present Situation of the Indian Watch Market

The Indian watch market is today of 40 million units, out which 60% is in the unorganized sector in which the maximum number of watches are sold are below Rs.300. Quartz watches form two thirds 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 toughnesswhich 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 is causing a very high replacement demand for watches. This along with the low penetration levels represent the untapped market potential for watches in India. Major brands in the Indian watch market 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, Tiffanys 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, now independently has also gained substantial market share.

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Segmentation of Indian Watch industry

Based on price Mass (Rs.350-600), Popular (Rs.600-900), Premium (Rs.900-1500), Super-premium ( Above Rs.1500)

Based on user category Mens watches Womens watches Youth watches Kids watches Sports watches

Company Profile

Overview Earth watch Ptv Ltd has been established in 1 Nov,2011.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 Phagwara. The company launched different watches brand like -Diomand watch, 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 Track watch
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Products The company decided to manufactures over 1 million watches per annum in starting and has a customer base of over 60 million. It has manufacturing and assembly operations at Phagwra,Jalandhar,ludhiyana and chandigarh. Its main products are:

Watches : Currently manufactures four main watch brands viz. Dioamond for the premium segment, Track Watch focused on the youth and trendy fashion space. The Earth brand architecture comprises several sub-brands.Slimmy edge The world's slimmest watch which stands for the philosophy of "less is more"; Eve watch the feminine and sensuous accessory for today's woman.

Brand Positioning Strategies

Overall strategies Since its introduction, Earth is a new company but providing high quality products. With its numerous sub-brands catering to different segments, the challenge that Earth faces is to create a strong brand image. It follows different positioning strategies, these strategies can also be analyzed as given below: Attribute Positioning: For gaining the market share company launched all the watches together with the different attribute as earlier company explained. Dioamond watch has been positioned as elegant corporate wear that leaves a quiet, but definite impression and fusion of function and sophistication. Track watch now has a new weapon! As Magic
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in gold and bicolour look, the slimy edge range represents the essence of dress-wear. Eve watch has been differentiated and positioned as exclusive watches for women.

User Positioning:

Earth caters to several user groups- children (the Dash), sportspersons and adventurers. The Track 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 for cool man.) Benefit Positioning: The Track Digital range offers the customer a functional watch that is also attractive. The digital watch has a techno-geek image. Competitor Positioning: With the entry of several foreign watchmakers into the market, Earth has to counter the threat. Most of the entrants are catering to the upper end of the market- Omega, Tissot, Cartier etc. Earth watch is also providing a upper class watch with high price for making the good market and making the brand name. Quality or Price Positioning: In the overseas market, especially in India where it is competing with Titan and chines watches, it is positioning itself as value- for- money: reasonably priced (less than Titan watches and higher than Chines), attractively styled and of good quality. Mens segment:

With Earth 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
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have joined the list of tie, deodorant and shoes to represent the occasion and flaunt your status.

Dress Wear Earth has two brands positioned for this segment: Decorate and Beauty.

Decorate watch:Marketed as the Jewellery collection from Earth, Decorate is targeted towards affluent men who consider wearing gold jewellery a symbol of status. Magical blend of most coveted of metals, Gold and craftsmanship; Decorate is more of a super primium watch with the lowest price model range start from Rs.1500. It is marketed as a watch for discerning individual positioned as a gold jewel.

Beauty:-

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. This is also marketed as a watch for gift Special Watch for special occasion, positioning this as a costly gift.

Brand Identity
For EARTH Watch, the brand identity can consist of: 1. 2. 3. 4. Values Promise Benefits Personality [7]

1. Values: The value of Brand is derived from the heart of Earth pvt ltd. EARTH Philosophy To achieve market leadership in India through ensuring customer satisfaction To provide affordable watches to common Indian by maintaining technological leadership Promise: The EARTH WATCH promises to provide assured and confident moments to its customers. EARTH assures of a world-class product which an extremely reliable and highquality performance. Name Benefits: It would provide benefit in the form of long-lasting products, Ease of use, lifelong bonding with common Indian. Personality: It reflects a Lively, Strong, Confident, Considerate and Friendly person.

Brand elements
EARTH
In the long run, a brand is nothing more than a name. The difference between products is thus not so much between the products, as it is between their names, or perceptions of the names. Seeing as how its name is perhaps the most important element of a brand, we feel that point warrants a slightly more in-depth discussion. Let us see to what extent Earth satisfies these conditions. First of all, the name Earth itself comes from our origin, and symbolizes greatness, grandeur and power. Remember the greatness of earth?. We all live on earth and we move ourselves according to moveness of earth. It is easy to pronounce, as well as to remember. One only has to compare its name to that of its biggest competitor

Logo

The EARTH Watch used a unique logo which would be identify easly by anyone. Even while communicating the sub-brands; logo should be emphasized in order to promote awareness of the parent brand. This logo shows iself to earth. Since its tagline is move to right direction as we know that earth move only right direction. Earth appears in Always moving, and is usually in black.

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Because we should always believe in dark because when we deviate from right direction we can go in to dark. So the color of logo remind our limit also. Colour So far EARTH has used only heavy colours like black, yellow, white etc.symbols should be used instead of just numbers inside the dial.

Design Likewise the designs of watch frames should reflect the freshness and smart appeal while maintaining its core of honesty, familiarity and confidence. The appearance should be attractive and relevant. Now-a-days people prefer variety of irregular shapes such as square, trapezoidal, oval etc. Hence, the new logo should be designed in keeping with customer prefrerences. Style has to be renewed so as to attract youth towards the brand.

Taglines

Move to right.
Its tagline is very attractive and match with its name Earth because Earth always move in right direction. And people also want to move in right direction. So it is very attractive tagline for customers.

EARTH INTEGRATED MARKETING COMMUNICATION(IMC)

Advertising
1. Broadcasting Ads TV ads should touch upon emotinal side of consumers. EARTH known for becoming as a brand of common people attention should be grab and always taken by indian audience as a brand that is approachable and trustworth. [9]

2. Print Ads Same logo company use for Print ads.EARTH is covering all regional newspaper for ads.So that the people who is not having television facility they can also get the information regarding the Earth watch.It is also less expensive in comparison of braodcasting ads. One example of print ad.

Earth wrist watch This ad is showing that if you move to right direction with the you will sure success like dhoni, he suceesed to hit six with right time. 3. Packaging As in case of display devices packaging need not be so attractive but an Indian mindset seeks to derive value from packaging also. Hence, packaging should be such that the customer feels proud to show it to others. Also, the case should be of some utility to the Indian consumer; e.g. keeping something precious or memorable. To see the Indian mentality Earth watch made a attractive packaging so that it can help to make a brand among the watch industry. Packaging should be made more attractive with coloured logo on the box. It should also be simple and easy for customer to take out the product. It should be convenient in transportation, Indians dont wear watch always. It should provide safety to the watch.

It must convey the message of the brand that wearing Earth watches makes its consumers confident and assured. 4. Brochures and Booklets Company designed the Brochure with contents that are helpful to customer to understand the product better. It is clear and concise. User guide has been written in simple language It contain images of product to show its usability to the customer [10]

Booklets also provide details of the various features It is multilingual, so that a relatively less educated person can read and understand the instructions and product features easily. 5. Point of purchase displays Point of purchase displays would be a very important part of IMC strategy since a good display would be the minimum expected to attract customers towards the brand. The display style should be similar in all the stores (distributors & Earth watch showrooms) The look and feel of display should match with the aesthetic of the model that we are planning to launch Displays should also be very attractive and give a feel of probable feel of product to customers if they bought it.

Sales Promotions
Following tools can be used for sales promotion: 1. Contest, Games & Lucky Draws With the launch of new product company should come up with contest like small quiz etc. There can be lucky draw coupons with each product sale. During festival seasons, these contests should be publicized in ad campaigns. 2. Gifts Surprise gifts can be sent as courier after the sale actually happened. This type of gift distribution help to strengthen the brand message communication that Earth watch is an honest and considerate brand which cares for its customers. This may not help in direct increase of sale but will help to build brand loyalty and word- of- mouth publicity. 3. Road Shows and Fairs Road show and fair are the place where customer gets a chance to interact with the product and they start forming opinion from there on. 4. Special Discounts/ Rebates a) Company can give special rebate to senior citizens.Also, rebate can be given to defense personals and attractive offers to lower end segments. b) Special discounts can be given during festive seasons and wedding seasons. Events & Experiences This communication medium will help in building brand association and awareness in consumer. 1. Sports Sports have a huge fan following in India and every brand has benefitted being attached to it. Thats why Earth watch get associated with Cricket events such as World Cup, IPL etc. because of the strong appeal of game with Indians. Having Earth logo on Score Board,may help in brand awareness. 2. Celebrity Endorsement (proposed) [11]

Earth watches sign a famous player to stress on its elements of honesty, leadership and care for its customers. In my opinion, they should rope in Mahender Singh Dhoni to endorse their watches. This would give immense face-lift to brand and new-generation will readily find Earth watch brand. 3. Festival As Indian consumer spend more during festival so Earth watch need to increase its availability and visibility of products during festivals. During Festival like Diwali, Id, Ganesh Puja, Chrismas etc; Earth watch Shops need to be decorated in sync with festival atmosphere. This will help Earth communicate with its customers that BRAND is with them always and it shares their happiness and prosperity.

Direct & Interactive Marketing

1. Catalogs Earth watch can build a database of its customers and catalogue of its products can be mailed to them depending on the chances when we feel that that consumer will buy a new product. e.g. Suppose a customer which is newly married couple building a new home bought a refrigerator the next expected buy for them is washing do we can send them catalogs of various models and available feature of our product. By this we will bring our product in the awareness set of our prospective consumers. 2. Mailings If company builds data base of its customers, regular mails can be sent to them about new models launches. They may not buy a second watch themselves but they may recommend that to someone who is close to them and considering to buy a watch. Telemarketing SMSs can be sent to prospective customers about new schemes and new products. SMS would be much better than giving calling customers as it wont interrupt in their privacy. 4. Website Website should contain the complete details of all the different models with their features. It should have facility to compare Earth product with competitors. Customers would get an impression that Earth understands competition and is open to sharing information; i.e. confident, reliable and trustworthy image is reflected. It should also host communities of customers based on the product they use.

Personal selling
1. Sales presentations Earth watch organize meeting in various cities across country where existing consumers can come and give their view about the product they are using currently. Also, customers can suggest modifications or improvements. This exercise will help companies to understand consumer requirements and plan future product lines accordingly. Consumers can be given small gifts/mementos in lieu of taking out their time. 2. Sales meeting [12]

Sales force is an important part of communication strategy as it is the team that can check that communication that company is using is it actually reaching the target audience .This team need to be highly motivated and should work in sync with the core strategy or communication message of the Brand. 3. Samples Earth watch can also think of placing few of its new models on display at position where it can catch eyes of people and in a way can give a trial experience to customers at these types of places for FREE! These positions could be Railway Station, Metro stations etc.

CONCLUSION
These are the some factor which can help us to improve consumer awareness about brand building strategy of Earth are as follows: To increase its visibility, we 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 gets 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 Earth has got more product collections, we can 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 can 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 Earth 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.
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