Situation AnalysisConsumer profileAccording to consumer research of Tanishq (2004-2005), there were four respondent profiles which arementioned below. - The bride: a single woman, age 22-27 years, planning to get married in the next 6-12 months. - The Young mother: a married woman, age 28-35 years. - The settled woman: married, age 36-45 years. - The bride’s mother: mothers, typically age 46-60 years, getting their daughter married in the next 6-12 months. These four aspects to what women seek in jewelry in descending order of importance: self- actualization and self-expression; self esteem, perceived attraction, confidence: social affinity; and safety and well-being, affluence.As per Qualitative research, consumers are divided in five psychographic segments. 1. The confident matriarch Consumers were usually in their mid-30s or older, were typically in a nuclear family or in a position of power in a joint family. They were home centric but not home bound and had a strongly held view about dos and don’ts. They had the confidence to adapt and to adopt change, and had the desire to be seen as progressive. 2. The sanction seeker Spread across all ages ad life stages and was one the most widespread segments in small towns. She was not closed to change, although, she lacked the inner will or confidence to go against the grain. She derived satisfaction from others’ appreciation and had a high need for external validation. She represented 30% of the market; approval driven sanction seekers were about 10% and investment driven sanction seekers were about 20%. 3. The balancer She was a younger woman, unmarried or married. She experienced a shift in her inner reference group, distancing herself from traditional or parental values. She identified with the “new age”/working woman archetype, whether she worked or not. She had a respect of traditional sensitivities and did not want to flout social norms. She had a dual personality, adapting to the needs of her social environment. She conformed to the exepectation of her parents , in laws and husband as required.. she was quietly assertive about her own choice whenever feasible or when the social environment permitted. She represented about 20% of the market. 4. The individualist
Came from a niche segment of fairly young, upper-class working women, primarily living in urban centers and metro-centric. She was brought up by “liberal” parents and strongly identified with being “modern” She valued independence and achievement. She made her own decision about things such as work, marriage and style of dress. She usually collaborative relationship with her parents and received their support on these decisions. Some were impatient with tradition and saw no reason to compromise on what they wanted. She represented 5% of market and was often display driven. 5. The uninvolved conformist Similar to the sanction seeker, differing essentially in terms of the amount of independence she enjoyed. She was much more independent and seemed content in her passive role, with inner convictions about “obeying” her husband and her elders. She was far more secure with the status quo. She belong to niche segment, was typically from north India, living in a small town. She represented 8% of the market.Decision model for jewelryPerception and attitude of consumersInitially, Indian consumer didn’t perceive 18-karat jewelry as suited for weddings and festival. Inconsumer’s mind, Tanishq was an aspirational brand but still carried a perception of “not for me”. Theyconsidered it expensive twice as the local jeweler. Many consumers believed that all jewelers wouldmore or less “cheat on purity”, yet accepted this, given other benefits.Personality associationsThe brand was associated in several high profile fashion events like Femina Miss India beauty pageantcrown; and Apsara awards Trophy as well as participating in Milan Fashion Week. This gives animpression to consumer about high quality and contemporary image of Tanishq.Consumer spending habitsConsumer spending habits changed as well with time. People had more disposable and were willing tospend on fashion item.As per Qualitative research, there are five psychographic segments in of jewelry buying habits 1. The confident matriarch They had considerable experience buying jewelry and had interacted extensively with the category, either by virtue of life-stage or due to very high involvement with jewelry. They didn’t
lean others and were often the influencers for others in their family and friends’ circle. They know from where to shop and what to buy in jewelry, also had confidence to experiment.2. The sanction seeker- As a bride: She along with parents’ choice of store for jewelry. She participated in selecting designs, with her mother’s guidance. She might occasionally like something “different” but was unlikely to insist on a design she liked if her mother didn’t approve. She believed her mother “know better” and wanted to do the “right” thing.- As a married woman, she stuck to stores frequently by her mother. She shopped with her husband and sought her mother’s and other family members’ endorsement of design. She might experiment with stores recommended by friends if there are endorsed by her husband.- As Bride’s mother: by the time she had developed store loyalty, however this loyalty is based less on conviction and more on the fact that it is what she has “always” done, and was therefore more open to influence from her husband or significant others.3. The balancer- As a bride, the balancer was sensitive to the ritualistic significance of wedding jewelry, and respected her mother’s wishes to buy what was traditionally appropriate. She went along with her mother’s choice of store for most jewelry and chose design jointly with her mother, allowing herself to be led by her mother’s choice for a few traditional pieces.- As a married woman, she was driven by design in her jewelry buying, but was also practical about the need to ensure” good value” in her jewelry. She might choose her own designs, but sought the advice of “someone who knows” when it came to store choice. She was drawn to the modernity of Tanishq’s designs, as well as stores’ glamrous shopping experience. Her sustained patronage of Tanishq was based on the reassurance the provided brand image on gold quality and her husband’s endorsement of the brand.4. The individualist As a jewelry buyer, the individualist was design led, the concept of jewelry as wealth didn’t resonate for her. She wanted modern jewelry to wear. She usually wore gold jewelry or diamonds and other stones. She often had her own way with the wedding jewelry, with her parents support, even if her choice was not theirs. She was attracted to branded jewelry, for the modernity of designs as well as its contemporary image.5. The uninvolved conformistIn terms of buying jewelry, she was purely led by her parents’, husband or in-laws’ deicisions. She asminimal involvement in jewelry purchase and her opinion was neither sought nor offered.
Strategic analysisWhat worked - Complete positioning - Introduction of studded jewelry - Very high promotion - Pioneering the Karameter - Elimination of traditional middle men.What will you do ? - Tanishq & Gold Plus, complement each other - Understand their market territories & Characteristics - Capitalize their strengths - Cross Branding the market to own a larger share - Going Global and teaming up with Indian entertainment products internationally