gems & jewellery industry
TRANSCRIPT
Competition in Jewellery segment of India
500,000 players, in India with the majority being small players.
Changes in consumer preferences due to adoption of western lifestyle. Consumers are demanding new designs and varieties in jewellery
Increase in per capita income has led to an increase in sales of jewellery, as jewellery is a status symbol in India.
Net Gems and Jewellery exports for 2015-16 was to the tune of US$ 32B as compared to US$ 36.2B in 2014-15
Major Players
Rajesh Mehta,Chairman
TURNOVER: Rs 30,000 crore in 2013
Key Business Fact: Integrated player
USP: No making charges
5% of gold produced in the world.
database of 29000 designs
40 % market share in India Gold industries
Lowest cost gold jewellery producer in the world.
The only company in the world with value chain of Gold from refining to retailing.
Extensive marketing network. Several innovative
technologies and processes in the manufacture of Jewellery
Titan Company Limited (Tanishq)
Division of Titan Industries a company promoted by the Tata GroupStarted in 1995, Tanishq is the jewellery business based in Bangalore launched by TITAN.
150th showroom in Indiascheme called Golden Harvest for sales promotion and to help buyers plan for large purchases like during weddingsTanishq introduced innovations like Karat meter
Market Strategy –Transmigration Of DesignsContinous Change In DesignsOwn Chain Of Retail Stores Positioning -Tanishq diamonds embark the aspiration of emerging Indian women who uses tradition rather than being used by it
Established in 1986.
Sophisticated and scalable diamond and jewellery manufacturing facilities
Approximately 1,246 retail outlets in India and 143 outlets in the U.S.Shraddha Kapoor is the brand ambassador of Parineeta brand
Net Revenue of 9.67bn and a growth of 60%in 2013
Leading brands
GITANJALI
Strategy In India • Promotion through TV ads and print ads• Diversity of productcredibility
Kalyan Jewellers
Kalyan branched out into the field of jewellery retailing in the year 1993 by opening its first store in Thrissur.
Their target segment are women of middle and upper class .It has position itself as royal Brand
Mohanlal Jewellers• Mohanlal Jewellers was founded
in the year of 1990 by its proprietor Mr. M.Mohanlal Khatri
• Supplying order items on time is the core strength of Mohanlal Jewellers with committed purity in the whole sale market, with the support of its loyal customers
PC Jewellers• Established in 1980 (HQ : Sadar Bazar,
Delhi ) Jewellery designers -35 Total no of stores – 11 Gross sales 4018 Cr in 2013
Rajesh Exports Ltd
Mar 16 Mar 15 Mar 14 Mar 13 Mar 12
Revenues 38,622.70 37,923.56 23,538.22 31,228.64 25,850.33
+21%-24%+61% +2%
GDP Growth poor- 4.7%Volatile RupeeImport duty on gold - 2 to 6
Mar 16 Mar 15 Mar 14 Mar 13 Mar 12
Revenues 8,097.49 8,218.94 6,868.87 10,534.01 8,049.81
Gitanjali Gems Ltd.
-35% +30%+20%-1.4%
Financial Analysis of Major Players
Challenges High dependence on Imports Volatile raw material prices Changing fashion Limited financing options for the industry Limited Research and Technology Adoption Lack of training facilities for labourers Low level of quality and productivity
Strategies• Manufacturers should emphasize on their ‘competitive
advantage’ • Diversify the export product portfolio, and concentrate more
on other products of gem and jewellery• Product Innovation and Channel Innovation• Publicity measures should be initiated through media network• Expanding international presence• Provision to organize trade fairs and exhibitions• Additionally, government should establish more designing
institutes of jewellery
More Even Demand
Pure gold 22 carat to light weight, lesser carat gold
Neighborhood store to brand store and e-retailing
Gold to platinum and Diamond studded jewellery
Emerging Trends
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