Has positioned itself as high end product Designer jewelry - western. Indian woman perceived it as “nice, but not for me” type of product. In catering to affluent class, Tanishq lost focus on the actual customer demand of plain golden jewelry which constituted 80%.
Traditional in approach, target at plain gold jewelry. Low end product. Competition with regional jewelers. Better prices as compared to Tanishq. Branded as Tata product. Indian buyers obsessed with 22 carat and not 18 carat.
Recent times have seen larger brands witnessing an upward swings due to the factor such as – Created more occasions to wear gold in different regions of the country. 1. Increasing consumer sophistication 2. Diminishing investment-driven purchases 3. Growing Indian economy 4. With more women working, the demand for 9 to 5 wearable jewlery is incereasing
Tanishq- Lost focus on customer demand Gold Plus- Price compromise threat to Tanishq Double Taxation Expansion of GoldPlus beyond 20 stores would make it eligible for taxation and term it as a brand which in turn will make rural buyers away from it.
Going by the current situation : GoldPlus to be discontinued and more focus on diverse profile of jewelery. Our suggestion : Brand Absorption( Gold Plus within Tanishq) Product Segmentation Avoidance of double taxation Gaining both market share Difference in designs and quality catering to wide variety of buyers/customers