Titan .. how titan became the leader

1. The Story of Titan
Made By:
Hiteshwar Jindal
Rachit Jain
Utkarsh Verma
Megha Gupta
Salman Ali

2. The Brand Titan
• Titan Industries is the world's fifth largest
• Established in 1984, has emerged as a watch, eyewear & jewellery brand
• Customer base of 80 million, add 1.2 million customers every year
Major Highlights of its Success
• 247 exclusive ‘World of Titan’ showrooms in 110 cities
• 12000 outlets in 2500+ cities
• International presence in 30 countries
• Manufactures 8 million. Watches, 1.5 lac pieces of jewellery
• 700 after sales service centers
• A world−class design studio (R&D)that constantly invents new trends in
wrist watches

3. Vision
To be a world-class, innovative and progressive
organization and to build India’s most desirable brands.

4. The Watch Market & Industry in India
• India is an under-penetrated market for watches – only 27 %
of Indians own a watch
• Total estimated market in 2008-09 Volume - 20 Mn units &
Value: Rs 1600 Crores
• Vast proportion of the Indian market is below Rs 500 ~ 68%
(85% by volume)
• Market has been split into: Low end, Mass market, Premium,
Luxury
• Organised Sector = 46%

5. The Competition in India
• Titan sells around 7-8 million watches annually
• Timex sells under 1.2 million watches
• Other Brands (all put together sell less than 0.5 million watches)
• The Japanese – Citizen, Casio, have been present, while Seiko has
not made any significant moves in India.
• The Swiss – Rolex, Omega, Rado, Tissot, Tag, Longines, Cartier, Ebel
and a host of others
• The fashion brands – Esprit, Giordano, Tommy Hilfiger, Calvin Klien,
Fossil, Swatch and many more have recently entered the Indian
market

6. Watch Market Map
Formal / Classic
Omega,Rado, L
ongines
Raymond Weil
Tissot
Nebula
Sonata,
HMT, TITAN Citizen
Maxima XYLYS
Price
Rs 500 1000 2000 4000 5000 10000 30,000 +
Timex
Espirit, Swatch Fossil
Giordano, DKNY,
Fastrack Carrera Tag Heuer
Tommy Hilfiger Hugo Boss
C Dior
Fashion/Sporty

7. USP
An Indian Company Offering
International Quality

8. Mass marketing (undifferentiated marketing):
offering the same product to the
entire consumer population

9. Breaking the Rules
• Mechanical technology was the norm - Quartz had not really taken off in
India. Titan built its line based on quartz
• Styling was basic - This was a constraint imposed by technology. Titan
decided to make style a table-stake.
• Choice was limited - You had 200 models to pick from, that was it. Titan
decided to inundate consumers with a wide choice in style, functions and
price. The initial range was 350 models.
• Shops were dark, dingy and uninteresting - no importance given to
presentation. Titan brought in the concept of retailing in watches.
• Advertising was expenditure - Titan saw this as a vital investment. Right
from Day 1, Titan invested significantly in advertising.

10. Making the Rules
• ‘If
can’t be first Be Better’ – they used aggressive advertising to make the
consumers believe about their superior quality
• Essentially positioned as a premium brand
• J.V. with Timex to cover the lower segment
• Targeted gray market and not the HMT
• Differentiation
• Increased buyer value
• Build upon The TATA name though never using to promote itself but
neither hide it.
• Decided to be the Shaper and not adapter

11. Customer Relations
Management
• Titan has given a headway in CRM
• Implemented no. of small, yet significant measures
• Watch Care Centre’s
• Receptionist – Local Language
• Posh showrooms
• Late working hours
• No LunchTime
• 24 Hrs. Voice mail
• Also, Home Delivery
• Incresed Consumer Loyalty And Brand Awareness

12. Product Offerings
Year Brand Target Symbolisim
1989 Aqura Youngsters Affordable
1992 Raga Women Ethnic Range
1993 Insignia High end Exclusivity
1994 PSI 2000 Adventurous Sporty
1996 Dash Kids Colourful Range
1997 Sonata Budget Conscious Affordable,Quality
1998 Fastrack Youth Trendy
1999 Nebula Affluent Luxury Watches
2001 Steel Young Executives Smart, Contemporary
2008 Octane High End Unique, Fascinating

13. Our businesses
B2C businesses: Products B2C businesses: Retail
Premium 2 stores
1 store
2,700 sq ft 6,700 sq ft
Mid- 273 stores
2,50,000 sq ft 77 stores
premium 115 stores 68,000 sq ft
Fastrack 2,25,000 sq ft
accessories
7 stores,3500 sq ft
Mass 30 stores
48,000 sq ft
Watches Jewellery Others Watches Jewellery Others
+
B2B businesses: PED and MBA

14. Why HMT lost its leadership?
• Not responding to change
• Being a PSU didn’t helped the company either
• Mere 18% of the High Margin Quartz Segment

15. Strengths
Weaknesses
SWOT
Opportunities
Threats

16. Strengths
• The quality of watches is impressive.
• Innovation is core to its strategy.
• Visual Merchandizing has been Titan’s strength
ever since its inception.
• Good retail network by “WORLD OF TITAN”
• Excellent customer service.

17. Weaknesses
• Rural India does not form a substantial part of customer
base.
• Kids are fascinated with mobile phones rather than
watches and incidentally, they show the time.

18. Opportunities
• Only 35% (approx) of Indian population possesses
watches.
• Watches positioned as a fashion wear rather than just
utility products.
• Huge market in the exchange business.
• Rural market may be tapped

19. Threats
• Chinese Watches
• Big Multinationals
• Unorganized Sector/Grey Market
• Fashion Trends keeps on changing

20. Promotional Plan
• Titan Positions the Generic Device-Watch-As an Ornament
• Distribution and Promotion Further Strengthened
• Always remember the USP
• Don’t neglect Public Relations

21. The Road Ahead…
• A Marketing War…
• Defensive Strategies to be used:
• Courage To Attack Yourself
• Strong Competitive Moves Should Always Be Blocked

22. Conclusion

23. Thank You !!