tanishq- group 1 corporate communication m5th batch

8/4/2019 TANISHQ- Group 1 Corporate Communication M5th Batch

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Synopsis on Tanishq’s

Corporate CommunicationSubmitted 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 andTanishq to its credit, Titan Industries is the fifth largest integrated watch manufacturerin the world.

The success story began in 1984 with a joint venture between the Tata Group and theTamil 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, TitanIndustries reached out to the youth segment with Fastrack, its third brand, trendy andchic. 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 repeatedits 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 theirpresence in Indian market to Titan Industries.

Entering the largely fragmented Indian jewelry market with no known brands in 1995,

Titan Industries launched Tanishq, India‘s most trusted and fastest growing jewelry brand. Gold Plus, the later addition, focuses on the preferences of semi-urban and ruralIndia. 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 andsunglasses, as well as prescription eyewear. The organization has leveraged itsmanufacturing competencies and branched into precision engineering products andmachine building.



With over 665 retail stores across a carpet area of over 8, 10,072 sq. ft. Titan Industrieshas India‘s 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 GoldPlus 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, 11manufacturing units, and innumerable admirers over the world, Titan Industriescontinues to grow and sets new standards for innovation and quality. The organizationis 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 haveshifted 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 largeexport 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 arrivedin 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 jeweler‘s 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 Tanishqtransforms 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 tothe 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 littleplatinum 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 customer‘s 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 theBritish 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 theraging 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 designsto 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. Thisrange 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 andfeelings:

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 weighsabout 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 undulatingshape 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 thattime. 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, e veryday‘s, 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 brand‘s philosophy of being “Revitalizer of

Tradition”. Commenting on Tanishq‘s 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 canemerge victorious." Tanishq‘s 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 woman‘s life through festive promotions, customer contact

programmes as well as through Anuttara, Tanishq‘s 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 ever-

changing 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 specialmotifs 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 PLACE

(DISTRIBUTION)

PROMOTION PRICE (COST)

Features

Optional

Services

Product

Quality

Staff Quality

Location

Service

Frequency

Transportation

Distributors

Inventory

Publicity

of

Sales

Promotion

Personal

Selling

List Price

Discounts

Credit Terms

Inclusive/Not

Remoteness



Style

Brand Name

Packaging

Guarantees

Advertising

Mailing List

Strategic ApproachTANISHQ FOR YOU

At Tanishq it‘s not just the products, it‘s 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 theirrequirements 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 men‘s 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

Tanishq‘s ―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, Tanishq‘s 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 bank‘s 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 Tanishq‘s loyalty programme ―Anuttara‖

and avail of various discounts and privileges.

TANISHQ‟S 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-buildingstrategy: 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



INTEGRATED SUPPLY CHAIN MANAGEMENT

Titan Industries set up its jewelry manufacturing unit in 1994 with advanced technicalknow-how from the UK, Germany and Switzerland. Over the years, the jewelry division

has transformed the unit into a highly integrated jewelry manufacturing andoutsourcing 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 processinclude the refining plant with Swiss technology, the alloying equipment, accurate assay testing facilities and Yasui waxing and casting machines from Japan. Led by the mostup-to-date Swiss and Japanese technologies, Titan Industries is a pioneer inestablishing standards for consistent delivery of jewelry products, necessary forkaratage. The product development cycle is based on state-of-the-art CAD/CAMtechnology that enables seamless integration of various stages: styling, three-dimensional solid modeling, engineering design, tool design, tool making and prototypemaking.

ISCM is backed by high-end machinery such as Vacuum Melting unit, Rapid ProtoTyping machine, fully automated precious stone sorting machine, 99.99 % fine goldrefining system and computerized color matching machines that make the division mostadvanced in the industry. To maintain the quality standards, ISCM has implemented theISO 9001:2000 standards and put various initiatives in place: ambitious targets,customer initiatives, and employee initiatives. With ISO 14001:2000 ISCMimplemented, ISCM provides better work environment and upgrades the environmentoutside the manufacturing unit.

A dedicated Technology Cell has also been established to ensure that cutting-edgetechnology 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 Goldminesystem is considered one of the first successful ‗.net‘ initiatives in retail in India.

Outstanding functional as well as technical expertise coupled with design and world-

class quality transform sketches on paper into astonishing masterpieces and ISCM

continues to reach greater heights.



SOME OF TANISHQ‟S 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 Nakshatradiamonds 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 affordableto 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 theplace 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

PromotionTanishq launches „Free gold coin offer‟ campaign in July 19, 2008 (India).

Tanishq launched its "Get Gold free with Diamonds" promotional offer were forcustomer 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.

AdvertisingMiss 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: Tanishq‘s 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 brand‘sappeal, 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 15-20 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 counting…Tanishq 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)

Tata‘s Tanishq registers sales worth Rs 570 cr in FY -05 May 06, 2005 (India)

Tanishq launches exquisite collection for women‘s 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 world‘s 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.

tanishq- group 1 corporate communication m5th batch

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