CHAPTER- I

INTRODUCTION

INTRODUCTION ABOUT THE STUDY

The ability to use appraisal to develop and motivate employees is a core management skill.
Regular, constructive feedback on performance is vital if staff is to build on their strengths,
achieve their full potential, and make the maximum contribution to their organization.
Appraising staff equips you with all skills and techniques you need to conduct successful
appraisals. It clearly explains the key aims and benefits of the appraisal process, and leads you
step-by-step through the preparation, management, and follow-up of the appraisal interview. The
section is packed with advice to help you encourage open discussion, interpret body language,
build confidence, deal with performance problems, and more.

During and after world war-1, the systematic performance appraisal was quite prominent.
Credit goes to Walter dill Scott for systematic performance appraisal technique of man to man
rating system (or merit rating). It was used for evaluating military officers. Industrial concern
also used this system during 1920 and 1940’s for evaluating hourly paid workers. However with
the increase of training and management development programs from 1950’s management
started adopting performance appraisal for evaluating technical, skilled, professional and
managerial personnel as a part of training and managerial development programs. With this
evolutionary process, the term merit rating and been charged into employee appraisal or
performance appraisal. This is not mere change in the term but a change in the scope of the
activity as the emphasis of merit rating was limited to personnel traits, whereas performance
appraisal covers result, accomplishment and performance. Therefore performance appraisal
enables employee to get incentive treatment according to their potential, sincerity and
capabilities. They get motivated by which, performance appraisal benefits not only employee but
also the management in the form of greater productive efficiency.
1.1 OBJECTIVES

1 To study the current scenario of Indian wrist watch industry-TITAN.

2 To review the brand positioning strategies of different sub-brands of Titan watches.
3 To analyze the brand repositioning strategies of Titan watches.
4 To study consumer awareness and perception about the brand repositioning strategies of
Titan Watches.

This study would help titan industry to understand the gaps in its communication strategy
regarding brand repositioning exercises and the further measures to be taken for effective
marketing communications.
CHAPTER 2

PROFILE OF THE INDUSTRY/ORGANISATION

2.1 INDUSTRY PROFILE:

Titan Company Limited (earlier known as Titan Industries Limited) is an Indian luxury

products company that mainly manufactures fashion accessories such
as jewellery, watches and eyewear. Part of the Tata Group and started as a joint venture
with TIDCO, the company has its corporate headquarters in Electronic City, Bangalore,and
registered office in Hosur, Tamil Nadu.
Titan commenced operations in 1984 under the name Titan Watches Limited. In 1994, Titan
diversified into jewellery with Tanishq and subsequently into eyewear with Titan Eyeplus. In
2005, it launched its youth fashion accessories brand Fastrack. The company is the largest
branded jewellery maker in India, with more than 80 percent of its total revenues coming from
the jewellery segment. As of 2019, it is also the fifth-largest watch manufacturer in the world.
1984–1990
Titan Company Limited was inaugurated on 26 July 1984 under the name Titan Watches Limited
in Chennai. A plant was set up to manufacture quartz analog electronic watches in the State
Industries Promotion Corporation of Tamil Nadu, Ltd. Industrial area at Hosur. In November
1986, Titan Company and Casio signed a MoU proposing to manufacture 2 million digital and
analog-digital watches. In 1989, a satellite case plant was set up in Dehradun, Uttarakhand at
present with a manufacturing capacity of 500,000 watch cases annually.
1991–2000
In September 1993, the company changed its name to Titan Industries Ltd. as it ventured into
other range of products other than watches.
In 1994, Titan launched its jewellery brand Tanishq.
In 1998, the company launched its watch & accessories brand, Fastrack, targeted at a younger
audience in a bid to compete with Timex.
2001–2010
In 2001, Titan launched kids’ watches brand, Dash. The brand saw poor performance and was
discontinued in 2003. In 2004, the company entered into an agreement with Moet Hennessy
Louis Vuitton Group, to service the latter's range of watches in India through its customer care
centres. In 2005, Fastrack was positioned as an independent accessory brand targeting the urban
youth. With the objective to become a fashion brand, Fastrack launched sunglasses in the same
year and launched bags, belts and wallets in 2009.
2011–present
Titan acquired Swiss watch maker Favre-Leuba in 2011 to enter the European market.[21] In 2013, Titan entered
the fragrances segment with the brand Skinn [22] and later that year, it ventured into the helmets category under
its brand Fastrack. In the same year, it changed its name to Titan Company Ltd. In 2014, it entered into a joint
venture with Montblanc to establish its retail stores in India.
In 2016, Titan opened prescription lens manufacturing facilities in Noida, Kolkata,
and Mumbai to improve its order processing time.In 2018, Titan merged its jewellery brand,
Gold Plus targeted at customers in South India with Tanishq to establish the brand's presence in
South.
Taneira is an ethnic wear brand from Titan that retails hand-woven sarees from different weaving
clusters of India.The brand was launched in 2016.  The first retail store was opened
in Bengaluru in 2017 with more stores followed in New Delhi and Hyderabad.
Also, Titan announced recently (during the last quarter of 2016) about launching a series of
affordable smartwatches under its brands like Sonata and Fastrack soon.
In 2016, Titan entered the wearable devices market by introducing its smartwatch, Juxt, made
through a collaboration with Hewlett Packard. In 2017, the company launched a fitness tracker,
named Gesture Band under its youth accessories brand, Fastrack In the same year, it invested $3
million in a Singapore based wearable tech company, CoveIoT.[33] In 2018, the company added
new fitness tracker bands. The company had a 7.4% market share in the wearable devices market
as of 2018.

Products
Watches
The watches division comprises brands Fastrack, Sonata, Raga, Octane and Xylys. In 2011, the
company secured licence for marketing and distribution of Tommy Hilfiger and Hugo
Boss watches.Favre Leuba was incorporated in 2012. In 2018, the division accounted for ₹2,126
crore in revenue which was 10% of the total of the company.
Eyewear
In 2007, Titan Industries forayed into the fashion accessories industry with the launch
of sunglasses. It introduced Titan Eye Plus that makes frames, contact lenses,
prescription eyewear, and sunglasses. The division accounted for ₹415 crore in FY 2016-17
maintaining a stable growth of 8%.
Jewellery
Xerxes Desai started the brand Tanishq in 1995. Zoya was launched in the luxury segment, while
Mia, a sub-brand was under Tanishq for work-wear jewellery. Titan's total revenue grew 20.44%
in 2017-18 to ₹15,656 crore, of which jewellery sales fetched ₹13,036 crore.  In 2016, Titan
invested in CaratLane who reported a turnover of ₹290 crore in FY 2017-18.
Perfume
In 2013, Titan launched six variants of perfume in the Indian perfume market under the brand
name ‘Skinn’. They collaborated with world-renowned perfumers including Alberto
Morillas and Olivier Pescheux.
History of the watch market

The Indian watch industry began in the year 1961 with the commissioning of the watch division
of HMT. The first watch model manufactured by HMT was the Janata model in the
year 1962. HMT was the leader in the watch market till the Tata’s formed Titan Watches
in association with Tamil Nadu Industrial Development Corporation in the year 1987. They
took a major strategy decision, which later changed the face of the Indian watch market- to
manufacture only quartz watches.

Liberalization in 1992 and the removal of quantitative restrictions due to WTO has opened
the doors for many foreign brands in the Indian market viz. Tissot, Swatch, Omega, Rado, TAG
Heuer, Rolex and many others. The import duties on watches are falling which makes the Indian
market look attractive for the global majors like Casio, Swatch and Citizen.
Supplier Power:
HMT has its own fully integrated operation for production of its watches. Titan has its own
production facilities for which it has invested roughly 120 crore rupees over the years, the
manufacturing capacity of which is 6 million units. Also there has been a rise of low cost
producers in China & Taiwan which has provided an opportunity for watch makers to outsource
watches at low cost, just as Titan has done to outsource the components for Dash. Due to the
large supply of watch movements available, there is little supplier power in the watch market.

Buyer Power:
The Indian watch buyers are very price sensitive, especially in the lower end of the market.
There is still a huge untapped market in India with market penetration of only 20 units per
thousand people while the world average is more than 100. At the same time there are a segment
of people who are willing to pay a premium for watches with good performance and with a
recognized brand name. So understanding the buyers’ preferences is very crucial in this industry
in order to gain a substantial market share.

Entry Barriers:
The Indian watch market in the recent years has shown a dramatic increase in the number of
brands available in the market due to removal of quantitative restrictions. So the new entrant has
to have an offering, which can be positioned and differentiated from the other players in the
market. This could be either price or functional or emotional appeal. So the prime barrier for
entry, in the current context, for a new entrant is to build a brand image and price competitively.

Threat of Substitutes:
There are no such substitutes to watch as a product. However, in terms of the companies offering
various variations for watches such as pendant watches and jewellery watches, some sort of
substitution has developed. Rich consumers prefer to purchase watches more as a fashion
accessory rather than simply for its typical use.

Degree of Rivalry:
There are many companies in the Indian watch market, however, the product ranges offered by
them are manifold. This makes the competition very stiff. Also at the lower end of the market it
is basically the Value for Money, which differentiates the players. The strategic stakes for the
producers are very high. Titan Ltd., the largest company in terms of market share in the
organized sector has faced losses in the quarter ended June 2001 despite increase in the market
share due to macroeconomic situation. HMT faced a similar situation when Titan was
introduced in the 1980s leading to a sharp fall in its market share.

Present Situation of the Indian Watch Market

The Indian watch market is today of 40 million units, out which 60% is in the unorganized sector
in which the maximum number of watches are sold are below Rs.300. Quartz watches form two
thirds of the organized sector and the rest is split between mechanical and digital watches. Even
in the organized sector, three fourth of the sales by volume comes from watches that are priced
below Rs.1000.
Plastic as such is not acceptable to average Indian consumers, especially those from the small
towns and rural areas who regard it as cheap and flimsy. They want toughness- which translates
into a good quality metal model at a reasonable price.

Watch is one of the consumer durables whose replacement rate is very high. The replacement
rate of watch is 33.8% (Source: India market demographics report, 1998). This is also due to
the fact that the estimated scrap rate of wrist watches is 7.8%, which is applicable after 6 years
(Source: India market demographics report, 1998 ).

So due to high scrap rate, outdated models, and the shift from the mechanical watches to the
quartz watches is causing a very high replacement demand for watches. This along with the low
penetration levels represent the untapped market potential for watches in India.
2.2 COMPANY PROFILE
Established in 1992, at Salem, Tamil Nadu, India, we “Manakkadu Masala,” are a
prominent manufacturer of a wide variety of Masalas. All our products are offered
under the brand name “Manakkadu Masalas”.

TITAN COMPANY LIMITED

 COMPANY PROFILE

COMPANY NAME TITAN COMPANY LIMITED

ADDRESS TITAN ENGINEERING AND

AUTOMATION LIMITED, UNIT 1,
27&28 SIPCOT INDUSTRIAL
COMPLEX HOSUR – 635126

E MAIL TITAN.EMAIL.IN

WEBSITE WWW.TITAN.IN

YEAR OF ESTABLISMENT 1984

BALANCE SHEET SHARE CAPITAL 88.78Cr

RESERVE AND SURPLUS 6093Cr

NET WORTH 6182Cr

CEO C K VENKATARAMAN

DIRECTOR PANKAJ KUMAR BANSAL

ANNUAL TURNOVER 201 BILLION RUPEES

TOTAL EMPLOYEES 7500

MONTHLY PRODUCTION
 MAJOR BRANDS IN THE INDIAN WATCH MARKET

The major players in the Indian watch market include HMT, Titan and Timex. The other players
include Westar, Shivaki, Maxima, SITCO. Foreign brands such as Cartier, Piaget, Omega,
Tiffany’s and Corrum, Gucci, Longines, Casio, Citizen, Tag Heuer and Espirit are also making
an inroad into the Indian market.Titan has been consolidating its market share over the past
decade. Timex watches, which entered in India with collaboration with Titan, now
independently has also gained substantial market share.
VISION:
Creativity and innovation: Driven by innovation and creativity, we focus on smarter
approaches and newer technologies. Passion for excellence: In all our pursuits, we ceaselessly
strive for excellence. Corporate citizenship: We ensure that a part of our resources is invested in
environment and community betterment.

MISSION:

To create wealth for all our stakeholders by building high performance businesses through a
customer centric approach and to give back to the communities within our realm
2.3 ORGANISATION CHART
 CHAPTER 3

DEPARTMENTS

1. PRICING DEPARTMENT

2 MARKETING DEPARTMENT

3. BRAND POSITIONING DEPARTMENT

4. SEGMENTATION DEPARTMENT:
3.1 PRICING DEPARTMENT
Titan consists of watches that cater to various segments and to various categories and so their
pricing strategy is also in accordance to their products and the features offered by them cashing
in on monopoly, unique features, outstanding performance and the name TITAN.

Titan’s primary pricing objective is to kill Competition. Being an Indian manufacture and
infusing the advantages of the Indian market with the dynamics of the western market the
company has carved itself a place difficult to achieve by foreign players.
The Objective for pricing are mixed with them being
Survival : Exacta, Spectra, Raga
Maximum Market Share – Sonata, World Watch
Market Skimming- Nebula, The Steel collection Insignia
Product Quality - Leadership – All watches in their respective segments.

PRICING METHODMARK UP PRICING – Titan goes in for the mark up pricing strategy.
The Titan product carries a maximum retail price on it. Now shops such as the world of titan –
exclusive showrooms buy directly from the dealer and hence the element of the middleman is not
there.

A retailer in this category buys the watch for 17-18% lesser than the MRP and hence he is able
to get the 17% profit margin on sales. It is up to the discretion of the retailer to offer any discount
on the MRP as it would affect what he gets in return. In the recent past Titan has also used the

PERCEIVED VALUE PRICING to its advantage. It is managing to successfully convince the

customer of the perceived value of the WORLD WATCH using billboards and hoardings all
around the city, increasing buyers image, trust worthiness, innovation, differentiation, value for
the product. The hoardings go about to say the international presence of an Indian Watch. Titan
has also in the past done so for its steel collection but using Commercial Advertisements.

There is always a positive relationship between high prices, high quality, and a high advertising
budget. Titan too demonstrates this feature. People are willing to pay the price for the quality and
titan spends 25 crores a year on advertising its products. This is the highest spending done in the
watch industry in India. More so ever with high value and lower prices in case of the sonata, the
product is the heart throb in the watch industry.

APPLICATION OF THE PRICING STRATEGY IN PRODUCTS

The main plank of the watch market is in the less-than-Rs.1,000 price category. Effectively,
about 70 per cent of the sales in the watch industry in India is in this category. None of the
foreign brands has a presence in this category. Only cheap Chinese watches are present in this
bracket and they compete with the unorganized manufacturers, who are more expensive than
them. So, the unorganized sector is getting hit from the bottom by Chinese products and at the
top by the organized sector brands, such as Sonata.

LOWER SEGMENT

The SONATA Brand which proudly emphasizes it to be a TATA product is the watch for the
common man and for the lower class of the society. Pricing itself between Rs.300 – Rs.900 is
Titan’s fastest selling watch. This watch was launched to make titan everybody’s company from
the image of it being a Richman’s company. Watches were offered for as low as Rs.300 with a
guarantee of 1 year and the styles were very appealing for the price. Titan in this case has
followed the Penetration policy. Maxima Quartz is a competitor with similar offerings at Rs.350.
The lower end market being price sensitive, such pricing used to drive away competition, making
people buy the product to make one trust what a Titan is all about was promptly why this low
price was offered. There are many in the stable such as the Exacta, Spectra and Fast Track which
is priced at what one would pay for a simple but impressive watch. These watches deliver value
for money with Titan’s name and the innovation done by the company to deliver better models at
the same price.

THE 1000 PLUS SEGMENT

The TITAN market share is actually growing because of the increased share that has been
cornered in the Rs.1,000 – 2,000 range, which is the main strength for Titan plus a growing
contribution from people upgrading to Rs.1,500 range. In the last 2 years TITAN has been
introducing lot of products in this range and have been growing in this segment. The Indian
watch market itself is expanding in the price bracket of greater-than-Rs.2,500. This has been
happening for the last couple of years. The greater-than-Rs.2,500 price bracket is the highest
growth category, though it might be a small contributor to the total watch market. This segment
is growing because of the interest that has been created by the international brands. Titan was
quick to launch the steel collection, the world watch and its bandhan, insignia comes in these
ranges. Titan used its technological prowess as its unique selling point. Priced in the Rs..4,500-
Rs.5000 range, Titan targeted the brand at the techno-savy consumer looking for a prestigious
watch, who would otherwise go in for a foreign brand.

`The WORLD WATCH TITAN’S’ latest offering to the Indian market is a watch which is
made in India but which shows off a truly international look with styling rare to the Indian
market. This is a product which none of the Indian watch makers can offer as of today but meets
with competition from foreign players like Swatch and Esprit. The watches taken out are priced
between Rs.2700 – Rs.5500. This range of pricing can be associated with Skim the cream pricing
used by titan. These watches represented true international quality for an Indian price.

The same watch by Calvin Klein would cost the Indian customer about 4 times a titan watch and
hence he would prefer the titan watch for the same value for lesser price. There has been societal
changes and a growing demand for these price watches with the culture of the west coming in
and the smart move to get these watches to India. The Indian consumer is still a price sensitive
player even though it be a high value product.

The NEBULA is Titan’s price catch and is also watch selling in top of the line. These solid gold
watches gracefully and elegantly shows off richness of the gold and the design makes it stand out
from a regular gold watches. Preferred on occasions of Diwali and marriages it is priced between
10000 to 40000. Titan is able to do so for the reason it is a pure gold watch and the same time no
one else in the market can offer these watches. A pure gold watch for a festival or marriage
would be 90% of the times bought by titan.

Thus whatever may be the price titan carefully chooses it to see that its product is able to survive,
rise and become the product leader and at times after skimming the market it attains price
leadership with cutting prices slightly or waiting for competition to come in and promote the
market. One final statement that can be made is the objectives and the price go hand in hand as it
should always go.
Titan has tried to achieve a balance of cost focus and differentiation focus. By this we mean that
in the lower - end (Popular segment) of the market, it seeks to achieve a cost advantage by
exploiting the differences in cost behavior. In the mid-and higher–end (Mid Premium segment)
of the market, it seeks differentiation by providing better designs.

PROMOTIONS: Price Discounts and Allowances

Titan once a year comes out with a Price discount sale on the MRP of the watches. Now this is
entirely based on the stock carried by the company at the year end. Allowances are more on the
company to the retailer where the retailer gets a special allowance if the store picks up more than
a certain quantity.

Warranties and Service Contracts

Titan promotes sales by adding a free warranty or service contract to its watches and this is
backed up by the name TATA which is especially needed to convince and march ahead in the
lower segment market.

Product Line Pricing

The differences in the prices of the watches are justified by the features, the style, and the
differences which makes up each watch. Titan prices all its watches in such a way that it
maximizes the total profit on the total mix.
Captive Product Pricing There is a general buzz in the market about titan being more expensive
than the rest in terms of servicing and the parts used by TITAN. Titan watches, the lower end
ones are cheap but the straps and the battery with services is generally expensive.

For the past few months, the one-point agenda of the Tata group has been to bring about synergy
among its individual companies, and to promote Tata as a single, unified, central brand. “The
Tata’s have realized that many of their companies are addressing the same target clientele and
share a common customer base. So it makes sound business sense to synergies the marketing
efforts for these companies.
The main reason behind Tata doing this was the results of a survey which revealed that: “the
Tata brand is like sameone who is established, but not modern, large but not focused, profitable
but not in top gear, a warm person but not efficient, Tata group is so large and fragmented that
the central brand gets lost in the vastness of the empire. As a result, the top-of-the-mind recall of
the Tata brand-pegged at Rs.10,000 crore – is not so strong amongst its various products, be it
Taj hotels, Titan watches or Westside garments.

Tata has come to realize that their biggest asset is their name TATA and not their factories and
hence like the value of the assets the value of a brand can also come down and so is the name
coming down, now the Tata Brand Equity and Business Promotion Agreement states that –
advertisements and commercials by any Tata company must carry the TATA mark.

The Tata’s may be a 102-year-old company, but they want to be seen as a young, contemporary,
new, entity”,. Besides evolving a central brand for all companies, the Tata group has also
redefined its objectives and laid down three key themes that would guide the philosophy of the
“new Tatas” – global, futuristic and modern. The target audience? Generation next.The Tata
Open The battle ground for this new strategy of synergy started with the Tata Open (India’s
biggest tennis tournament) held every year in December – January. The tata’s have paid Rs.10
crore for the three-year contract. For the Tatas themselves, it meant more than just sponsorship –
it signaled the beginning of a new era in the Tata regime.

One of the main reasons for the sponsor of this event is “Global event like these provide a great
opportunity to corporates to satisfy their marketing objectives and cross-promote their
brands”,Creative AdvertisingTitan introduced a contest on cartoonnetworkindia.com which
invites children to use their creativity and imagination to design a watch. The prize –winning
design was launched as a new watch in the Summer 2002 collection and the winner received the
first watch of this collection. The Top 5 won a Dash! Watch each and all participants were
awarded certificates. Type Of Advertising Titan believes in making its ads clean, well made,
touch an emotional chord, convey the message, have catchy jungles and make an impact. The use
of celebrities, superstars is not there. These only ad to the expense packet of the company and
companies only catering to the niche market of the upper cream like a Rolex or an Omega afford
these. Majority of the people are rational buyers and very rarely get carried away by celebrity
endorsements. They also know that they will eventually end up paying for such celebrity
endorsement. Rich kids, Young DINKS (Double income, no kids) and Yuppies may fall for such
ads but not ordinary people. At the end of the day, if your product or service is not good enough
or does not offer value for money, your advertising will get no where. Promotion On Occasions
Titan is one of the companies which formally believes in the policy of promotion the product
based on the occasions of the calendar. With every occasion having a special memory attached to
it exploits this memory aspect and pushes its products. Not only the promotion of the existing
products is done on these occasions but new products which would sell like hot cakes are
launched for the sole reason it creates an impact in the minds of customers and appeals to the
occasion thus making it even more special. In this context TITAN launched the

THE BIG HEART OFFER FROM TITAN FASTRACK where fashionable jewellery was a
gift on purchase of any Fastrack watch. This jewellery set of a pendant and earrings is
contemporary and unique in form and material, with steel and acrylic being used together for
stunning effect. This was launched for Valentines day where the name scheme, The watch being
advertised for (Fast track) as it pertains to the youth, jewellery (for the youth), valentines day
(more so for the youth) and adding to the excitement is A LIMITED EDITION FASTRACK
VALENTINE'S COLLECTION that is being made available in four designs. Only 300
watches of each design will be on sale across cities during this fortnight. These watches are
designed is steel with leather straps in the colors of the season – black, red and silver. The dials
are in matched colors with heart patterns, making the collection a true blend of fashion and
romance. "Young couples are looking for new ways to discover their relationships and this set of
special watches and matching jewellery from Fastrack, gives them just the reason to do so. The
`promotion was in Mumbai, Delhi, Pune and Bangalore from Feb 1–14.Musical Advertisements
– Subtle Advertisements

With changes coming up in the way one advertises Titan has changed too from the trend of
constantly bombarding the consumer with the name of advertisements to subtle advertising.
Through this titan is reinforcing just the name Titan and not any one of its products. The tune
used by titan is Wolfgang Amadeus Mozart's 24th symphony as its signature tune. In the recent
trend of advertising Titan uses only music to get its message across, with the company name
making only a brief appearance.

Segmentation
Titan started its activity of marketing under the name TITAN as a brand not promoting on basis
of the models it had. Gradually when markets became more demanding it felt that the brand
needed to be segmented. This was in the years of 96 and onwards titan segmented because it felt
the need that people know about different brands and the target audience was easy to identify.
This was because titan was just entering the market and needed to meet specific people for their
needs. For eg, it went on with the regalia, sonata brand which met different needs of different
sets of people in the market. Thus titan got known among every one in the market cause they
knew what was in store for them from the titan's stable rather than just knowing that titan
manufactures watches.50 Million Concept Titan achieved the 50 million mark and hence it had a
great slogan to blow the trumpet loud. The 50 million concept signifies the concept that 50
million happy faces who not only own but a sense of love, care and prestige, associated with
what the titan has given them and will be giving them. This was aimed at all the categories with
the smiling faces of the common man. Seeing this one gets the message of 50 million watches,
the landmark titan has achieved, which means the name has metal in it and is something which
can be trusted at the same time the emotions portrayed in the ad make emotions run high in the
blood and one wants to be associated with the brand rather than buying some other watch.

Strategic Implementations
Implementation is an integral part of strategy. Strategy is not just a set of ideas removed from
reality. It becomes visible only when you implement it. When Titan entered Indian jewellery
market it signaled an opportunity for an organized sector. The customer was moving towards
branded goods in other segments. The concept of brands was not familiar with the Indian
customer. Titan did the process of creating brands in the minds of customer. A consumer goes to
Tanishq because she believes the brand stands for purity and good design. This insight, along
with the increasing mobility of Indian customers, is helping Tanishq mature into a national
jeweller.

Focus
The strategy that Titan adopted in recent years is that of focus. It has segmented the market into
different need groups and tailored its strategy to the exclusion of others. By optimizing its
strategy for the target segments, it seeks to achieve a competitive advantage in its target
segments. Market segmentation is concerned with identifying differences in the buyer behaviour,
allowing a firm to match its capabilities with distinctive products and related marketing
programs. Market segmentation tends to focus on the marketing activities in the value chain in
which Titan commands a very formidable position. This also allows Titan to find out how it
should serve each segment.

Strategic implementation
Companies must have robust processes to develop strategies irrespective of the personality of the
CEO. `THE WORLD OF TITAN’ our exclusive showrooms for watches are our assets. As retail
formats change the role of the showrooms may also change. Initiatives need to be prioritized.
Some of the showrooms have been done up last year. However we must start today. Pragmatism
has also set in perhaps because of the downturn. The depth to Equity ratio in titan is high where
Titan faces a financial risk and hence their current initiatives involve any thing which do not
require much financing.
Banners-Hoardings
It is not difficult to see TITAN hoardings displaying its prominence in the streets of an urban
city. The prime locations, next to dealer outlets hoardings with attractive, clear, simple but
catchy slogans are put up and a particular product or some times the name TITAN in general.
One of the hoarding promotes the World Watch where the hoarding states “MADE IN INDIA”
“CHERISHED IN GREECE”. Like this many catchy ones are there. Older ones state “THE
PERFECT VALENTINE GIFT” was released a month before valentine’s
day.SponsorshipTitan is involved in sponsoring major events, culturals and other fests in
colleges, schools and nation wide happenings. This way of promotion gives it the extra mileage
to increase its data base by directly tapping the customers to convince them about a TITAN.

Revamping the titan Brand Image Titan after all its marketing efforts in the market is going back
to step one where it started when its first marketing activity concentrated on titan name rather
than the different watches it offered. Then came the segmentation of the brand where every
different product was advertised individually that is every product got its own identity. Titan felt
that the segmentations was high and the brands have got their own name rather than titan being
associated with them, so titan has gone back to revamp the brand image and market this product
on the name titan. For this all its ads from September 2003 onwards would focus on titan as a
name, this includes the showrooms are being re modeled to suit the strategy. The focus now is on
titan rather than fast track and regalia the logo would promote TITAN. The policy is in
accordance with the advertisement released on television which simply and subtly promotes
TITAN.

Seasonality One major way of promoting the titan product is through seasons. To understand a
little more about it for Example. During a wedding season or for Diwali Titan promotes Nebula,
Bandhan because there is demand for the product. Gold watches and pairs are the likes of a
wedding occasion., similarly the fast track brand is promoted in the months of June – August
when schools and colleges re open and since these watches cater to the segments of youth, these
watches get the extra mileage on sales if promoted during these seasons.

Gifting Concept Titan initially started of as a brand which was associated with gifting and
relations. Today also titan is associated with the image it stated off with. The fight concept sells
well for people have come to associate titan with love, care and makes emotions run high. More
so ever the product is that of quality and style. The titan Nebula and Bandhan would fall more
aptly in this category and the Dash is promoted with the gifting concept in mind because a parent
gifts the child a watch.

Strategic FlexibilityKeeping your options open means building flexibility in the strategy. For
instance in 1998 – 99 Titan announced its intention to become a global player, to address the
multiple segments emerging in the Indian market through multiple brands and sub brands, and to
offer terrific value for money through differentiated design, retailing and brand image. The
company addressed multiple segments through brands such as sonata, fast track, Raga etc. it
realized that as the market became more competitive multiple brands would be the best way to
address the needs of the market. When you have multiple brands you are more flexible and less
vulnerable. Titan has gone in for multiple brands.

Promotion Through ContestsTITAN ties up with various magazines, televisions, outlets where
TITAN gifts could be own for winning the contest. One of them is THE WEEK magazine where
one could win TITAN watches and also many magazines offer many watches depending upon
their needs. TITAN also offers bulk discounts to players who pick up in lots offering it as a gift
to schemes and to companies for their employees.Promotion Through Television
ProgramsTITAN sponsors a program or a serial or ties u with for example a show like MTV
TIMECHECK done by ESPRIT, time wear. Such promotion done as an exclusive sponsor and
targeted at a particular segment. For example, if a youth program then fast Track would be
focused on and on CNBC or CNN business programs the Steel or the World watch.

3.2 MARKETING DEPARTMENT

Titan Industries was established in 1984 as a joint venture between the Tata Group and the Tamil
Nadu Industrial Development Corporation. The company brought about a paradigm shift in the
Indian watch market, offering quartz technology with international styling, manufactured in a
state-of-the-art factory at Hosur, Tamil Nadu. Leveraging its understanding of different segments
in the watch market, the company launched a second independent watch brand-Sonata, as a value
brand to those seeking to buy functionally styled watches at affordable prices. In addition it
focused on the youth with its third brand – Fastrack. It has also premium fashion watches by
acquiring a license for global brands such as Tommy Hilfiger and Hugo Boss, while. It has also
in its portfolio its first Swiss Made watch brand – Xylys.

In 1995, the company diversified into jewellery under the brand – Tanishq to capitalize on a
fragmented market operating with no brands in urban cities. In 2005, the company launched its
second Jewellery brand, Gold Plus, for capitalizing on the opportunity in small towns and rural
India.

The company has now diversified into fashion Eyewear by launching Fastrack Eye-Gear
sunglasses, as well as Prescription Eyewear. The Company leveraged its manufacturing
competencies and branched into Precision Engineering Products and Machine Building from
2003.

Today Titan Industries is India's leading manufacturer of watches and jewellery employing 3,800
people. Titan and Tanishq are among the most admired brands in their categories.

PRODUCTS
The company manufactures over 8 million watches per annum and has a customer base of over
80 million. It has manufacturing and assembly operations at Hosur, Dehradun, Roorkee and
Baddi in Himachal Pradesh and an ECB plant in Goa. Its main products are:

Watches : Currently manufactures four main watch brands viz. Titan for the premium segment,

Fastrack
– focused on the youth and trendy fashion space,

Sonata
for the mass market.

Xylys
for the premium market. The Titan brand architecture comprises several sub-brands, each of
which is a leader in its segment. Notable among them are:

Titan Edge
-The world's slimmest watch which stands for the philosophy of "less is more";
Titan Raga
– The feminine and sensuous accessory for today's woman,

Nebula
- Crafted in solid gold and precious stones and several other collections like Wall Street,
Heritage , Regalia, Octane, Orion, Diva, Zoop, WWF and the Aviator series, all of which form
a part of the Titan wardrobe. Sonata is today India's largest watch selling brand and is priced
between Rs 295/- and Rs 1200/-. The company's first Swiss Made watch – Xylys is for the hi-
end connoisseur and new age achiever. It also markets Tommy Hilfiger watches under a
licensing arrangement and is introducing Hugo Boss.

Today, the Titan portfolio has about 65% of the domestic market share in the organized watch
market. The company has 255 exclusive showrooms christened 'World of Titan' , making it
amongst the largest chains in its category. Titan watches are sold through over 12,000 outlets in
over 2,500 cities and internationally in over 30 countries, primarily in the Middle-East and Asia
Pacific. Its after-sales-service is itself a benchmarked operation with a network of 750 service
centres and amongst the world's fastest turnaround times. The company has a world-class design
studio for watches and accessories.

Jewellery :
Tanishq is India's largest and fastest growing jewellery brand with a premium range of gold
jewellery studded with diamonds or coloured gems and a wide range in 22kt pure gold. Platinum
jewellery is also a part of the product range Tanishq is one of India's largest speciality retailers
and is transforming the jewellery market in India
102 boutiques in 72 cities across the country. ‘Gold Plus' is the recent retail offering for the
mass market with plain gold jewellery selling through 19 stores in 19 towns. The jewellery
division has its own design studio.

Eye wear :
Titan Eye+ is currently on a pilot mode with 5 stores in 2 cities and has sunglasses under
Fastrack brand and prescription eyewear consisting of Frames, Lenses, Sunglasses, Accessories
and Contact Lenses of in-house brands and other premium brands.

Precision Engineering
The company's Precision Engineering Division supplies precision components to the avionics
and the automotive industry. It also manufactures dashboard clocks as OEM to car manufacturers
in Europe and America. The division also provides fully integrated Automation solutions

Awards

The company has been awarded the following distinctions:

 Being named the No.1 Brand in the Consumer Durables category in the "Brand Equity"
Survey of The Economic Times, a leading Indian financial daily.

 The Titan Design Team won the Young Design Entrepreneur of the Year award at the
design awards instituted by the National Institute of Design and Business World, a
leading Indian magazine. The team has won 7 accreditations also.

 Both Titan and Tanishq have been adjudged "Most Admired Brands" as well as "Retailer
of the Year" by Images Fashion Forum in consecutive years.

 Retail Asia and Media Magazine – Singapore adjudged Titan Industries as amongst the
leading Retailing Companies in India.

 Titan has won the Brand Leadership award at the India Brand Summit.

 The Time Products Division of the company was awarded the JRD QV Award in 2006.

3.3 BRAND POSITIONING DEPARTMENT

Overall strategies

Since its introduction, Titan has been positioned as a premium brand, providing high quality
products. With its numerous sub-brands catering to different segments, the challenge that Titan
faces is to create a strong brand image. It follows different positioning strategies, these strategies
can also be analyzed as given below:

 Attribute Positioning:
When the company launched its products, it was the first to bring quartz watches to the
Indian market. The company successfully leveraged this to penetrate the market and gain a
market share. Raga, Classique and Regalia come under this strategy. Classique has been
positioned as elegant corporate wear that leaves a quiet, but definite impression and fusion of
function and sophistication. Power dressing now has a new weapon! As Magic in gold and
bicolour look, the 'Regalia' range represents the essence of dress-wear. Raga has been
differentiated and positioned as exclusive watches for women. The Raga and Silver Raga
collection is elegant, delicate and feminine with each piece being truly unique.

 User Positioning:
Titan caters to several user groups- children (the Dash), sportspersons and adventurers
(PSI4000 and Fastrack range). The Fastrack range is seen as being contemporary, sturdy and
reliable. The advertising, packaging and merchandising of this range is young, vibrant and
‘cool’ (the ad line says “Cool watches by Titan”)

 Benefit Positioning:
The Fastrack Digital range offers the customer a functional watch that is also attractive. The
digital watch has a “techno-geek” image, but Titan seeks to differentiate its offering on the
basis of superior style and attractiveness.

 Competitor Positioning:
With the entry of several foreign watchmakers into the market,Titan had to counter the threat.
Most of the entrants are catering to the upper end of the market- Omega, Tissot, Cartier etc.
Titan already had the Tanishq brand in this segment. However, it has tried to reposition this
brand by increasing the price range to encourage more customers.

 Quality or Price Positioning:

In the overseas market, especially in Europe where it is competing with Swiss and Japanese
watches, it is positioning itself as ‘value- for- money’: reasonably priced (less than Swiss
watches and higher than Japanese), attractively styled and of good quality. In Indian market,
 Sonata is a perfect example of Price positioning, titan came up with this segment when it was
facing heavy competition from lower end segment

POSITIONING

TITAN PERSPECTIVE

Titan initially pioneered the concept of "Gifting watches". The ads captured the essence of
gifting and along with the trendy music, easily caught the imagination of the market. Customers
who were fed up with ugly time machines welcomed the brand and Titan had a dream run for
many years. Titan then moved away from gifting. Titan was positioning itself as a fashion
accessory rather than a time keeping device.

Titan also found its persona in Mr. Aamir khan which provided the much needed edge to the
brand. Titan was careful in keeping the brand above the celebrity. The ads were fresh and neatly
executed. The idea was to make watches that would be seen as style and fashion accessories
rather than just utilitarian devices. The company decided to use Aamir in brand and product
communication on television and in the print and outdoor media. Though, the vast distribution
and service network of TIL had served as an effective entry barrier in the 1990s, foreign brands
were becoming increasingly popular in the early 2000s, thanks to the paradigm shifts in the retail
scenario and the growing affluence of the Indian consumers.

And TIL found that it was not safe even at the bottom of the pyramid. The grey market with
cheap Chinese imports and the unorganized sector had cornered a sizable chunk of the low-end
market. The appointment of Aamir Khan as brand ambassador for the Titan brand was seen as
an attempt to broad base the appeal of the Titan brand.

Titan also was pushing another strategy. Watches were perceived as a onetime buy and
consumers seldom owned multiple watches. So Titan pushed the concept of "Matching Watches
to Clothes" in the recent commercials. Since men are becoming more serious customers of
fashion accessories, this is strategy that is worth trying out. For Titan, even if the concept fails, It
has created the much needed freshness in the brand.

Earlier Fastrack was targeted at 20-25 year olds and positioned along the line "Cool watches
from Titan". Then the company found out that the youth in the age group of 11-20 years account
for 42% of watch buying in India. Based on this insight, the company relaunched the brand
lowering the target segment to 18-30 year olds with the baseline “How many you have?". Again
the strategy aimed at promoting the multiple watch owning concepts. Fastrack also launched a
range of fashion accessories like Sunglasses trying to be a lifestyle brand.

Positioning According to Product

WATCHES

Raga
“The slimmest watch in the universe”All good things are packaged small. Or we can say they are
packaged slim. Titan presents a large range of Titan Edge watches –the slimmest in the world.
Clean –cut, elegant designs that speak of who you are. Go ahead , choose a style that says so
much with so little. And you can see it is adding an edge to your personal

Orion
A unique range of watches inspired by the astral wonders of the universe. The collection
celebrates the intelligence and masculinity of today’s men.

Octane
“Be speed, Be more”A range of high octane sports watches personifying speed and power with
multi-functions, retrograde, analog-digital and chronograph.➢

Nebula
Inspired by the noble metal. Titan presents a classic collection of stunning jewelry watches-
NEBULA. Crafted superbly from 18 karat solid gold and inlaid with precious stones, each piece
comes with a lifetime guarantee.

Zoop
Titan presents Zoop- timepieces for young stars. Take your pick from floral, butterfly, duckling,
and base ball themed watches or go digital with features such as dual time, countdown timer, 50
yr calendar, compass, stopwatch, alarm, EL backlight and more.

WWF
Titan & WWF have joined hands to celebrate the beauty & behavior of six endangered species
with the launch of six new animal themed watches. A part of the proceeds from every watch sale
is contributed to WWF towards the preservation of these animal.

Raga
“Unveil the real you, Be more” The magic of ornate motifs and blushing enamel casts a spell on
you. From intricate dials glowing with inner radiance, to delicate bracelets that flow around you
in familiar embrace. The essence of woman, Revealed at last.
FAST TRACK

Titan Fast track is positioned as an essential thing for the trendy youth of today. With its special offerings
it is really serving the urban youth. Its strongest offerings are availability and affordability.

Titan Eye+ of Titan Industries offers sunglasses under its Fastrack brand. Prescription eyewear such as
lenses and contact lenses is also part of the range. Titan Eye+ offers frames, sunglasses, and
accessories of Titan Industries’ in-house brands as well as other premium brands.

Fast track was spun of as independent brand of watches targeting the urban youth In 2005. Since then it
has carved a niche for itself with designs that were refreshingly different and affordable. During that time,
Fastrack also extended its footprint into eye gear and in the last 4 years has quickly notched up the title of
being the largest sunglass brand in the country.

Fastrack has now chartered into newer categories – bags, belts, wallets and wrist bands – as part of its
vision to become a complete fashion brand for the youth. With enough categories to fill up one cool store,
Fastrack has ‘moved on’ to open its own stores for its young consumers. The store is positioned
as a complete accessories destination with all Fastrack gear under one roof.

Titan Fast Track provides an impressive range of stylish and contemporary eyewear, through
exclusive optical outlets. Currently, Titan Fast Track boasts 70 stores across 41 cities. Titan Fast Track
heralded standardisation by benchmarking with the world’s best, in sync with the TATA principles of
quality and trust. Sales counters now

offer products and services of international quality standards coupled with transparency in pricing, style,
and upbeat designs.
Tanishq

Colours of Royalty : Coloured jewelry corrected the impression of tanishq having only
modern design.
Aarka : Positioned thanishq as high fashion 22 karrat gold collection.

Fashion earrings : A collection of studded jewelry , an attempt to move tanishq from being a
traditional studded collection.

Brand Positioning of Tanishq

o Promise of purity and a unique experience. Design and retail innovation have been the
hallmark of tanishq all these years.
o Promise of purity and unique experience.
 Design and retail innovation have been the hallmark of tannishq all these years
 First and only jeweler to guarantees the purity of its gold jewelry and certifies the
quality of its diamonds and coloured gems in writing.

o Trust

 It has established itself as a highly ethical player in a market that was rated as
having the highest incidents of under karatage (bis)
 They even have gold meters where one can check the purity of the gold.
o Luxury
 Tanishq also has been positioned as a branded jewelry of luxury rather than
commodity. It moves jewelry beyond investments to the fashion and adornment
sector.
 Superionr Product
 In order to compete with the regional players tanishq introduced the concept of
‘consistency in delivering promise’
 Tanishq is known for its ability to develop specialized design collection. It is the
only jewelers that houses a full fledged design studio with a team of several
international award winning Indian designers.
 Offer a totally new perspective to jewelry buying especially when it comes to
exquisite oriental jewelry.
3.4 SEGMENTATION DEPARTMENT:

TITAN

Titan had traditionally focused on premium segment , in the late 90s Titan segmented the market
in to different groups based on different parameters.

Demographic segmentation :

In this the market is divided into groups on the basis of variables such as age, family, size, life
cycle, gender, income, occupation, education, religion, race, generation, nationality, social class.
These variables are the most popular basis for distinguishing customer groups. The
following are some of the demographic variables used to segment the market:

Age and life cycle stage :

Consumer wants and preferences change with age. These tastes and preferences are not constant
and change with time.

TITAN PERSPECTIVE

Titan markets its products for all following age groups:

 Less than 12 : Dash, Zoop.

 Between 12-20 : Dash, Fast Track, Sonata, WWF.
 Between 18-30 : Fast Track, Flora, Sonata, Raga, Edge, Bandhan, WWF, Nebula,
Octane, Technology, Spectra,
 Between 30-55 : Edge, Nebula, Raga, Steel, Xylus, Regalia,Automatic,Heritage,
Bandhan, Orion, Exacta, Royale, Insignia.
  Above 55 : Regalia, Classique, Sonata.

Gender :

Gender segmentation has been applied to clothing, hairstyling cosmetics, wrist watches,
magazines etc. There are certain brands, which are positioned exclusively for a specific gender.

TITAN PERSPECTIVE

Titan markets its product across:

 Gents : Automatic, Octane, Orion,

 Ladies : Raga, Raga Diva, Flora, Nebula, Heritage,
 Married couples : Bandhan

Income :

Marketers tend to segment product and services on the basis of income groups. Nowadays,
companies have recognized the potential of lower end income groups and have started
segmenting them.

TITAN PERSPECTIVE

Titan offers its products with a price range to suit the different income groups such as:
 Low ( 1 lakh) : Sonata,
 Lower Middle (1 to 2.5 lakhs) : Fast track, Regalia,
 Middle(2.5 lakhs to 4 lakhs ) : Steel, Fast track Ladies, Raga
 Upper Middle( 4 to 6 lakhs) : Nebula, Edge, Steel.
  High ( Above 7 lakhs) : Nebula, Xylus, Bandhan, Insigna

Generation :

Generation plays a major role in segmenting markets. Every generation is deeply influenced by
various activities. Such influences deeply impact their product purchase pattern.

TITAN PERSPECTIVE

Titan has many products to satisfy all the generations. And through constant innovation Titan
developed many products for new generations too.
 New Generation : Fast Track, Technology, Flip
 Old Generation : Sonata

Social Class :
Social Class segmentation is influenced by customer choices of automobiles, interior decoration,
clothing preferences etc. The tastes and preferences of the social class also change according to
time.

TITAN PERSPECTIVE

Titan has realized the demand of the society and has marketed its products for each of the
following social strata.
 First segment: Fashion statement :These products have specialties like European
leather, sapphire crystal, scratch resistant, crafted with 18 ct. solid gold & inlaid with
precious stones.
Example: Fast Track, Royale, Aurum, Nebula
  Second Segment: For this segment also, watch is all about fashion but price does
matter to them. These products have digital technology & of trendy shapes. Always
splash oomph on to your ward robes and smear danger on your look.
 In this range, Titan has : Raga, Technology, Fast Track etc.

 Third segment: For this segment, watch is just an device to show the time. They
invest after a lot of thoughts. In this category, Titan has Sonata, Karishma.

Psychographic :
Buyers are divided into different groups based on personality, values, belief, lifestyle,
motivation, etc. People within the same demographic group can exhibit very different
psychographic profiles.

Lifestyle :
People generally exhibit different lifestyle depending upon their income, social group etc. People
usually buy the product which suit their lifestyle

TITAN PERSPECTIVE
According to the life style of people Titan has segmented it’s product to fit the box. Like in the
luxury section it has Nebula, Aurum etc. In the mid-premium section Raga, Gold -Steel,
Technology etc. And in the mass section, it has Sonata, and Karishma.

Personality :
Marketers can use personality variables to segment markets. They endow their products with
brand personalities that correspond to consumer personalities
TITAN PERSPECTIVE

Titan advertises its products by portraying movie stars as user of its products and it offers a lot of
option to its customers.

The four groups with higher resources are:

1. Innovator
Insignalia, AutomaticPeople who are sophisticated, have niche oriented products, and are
very high on self esteem, desires for these kinds of watches. These watches are inspired by
architecture and engineered in steel, this is a watch crafted for ‘take charge’ people.

2. Thinkers
Steel, Orion.Under this category people are matured enough and try to find out the
functionality in the goods. These products are known for their durability, Functionality and
Value in products.

3. Achievers
Xylus, Edge, Bandhan. In this category titan has tried to fulfil the desires of those people
who are focused on family and career. All these three models come under this category to
satisfy the requirement of a premium product.

The four in the lower resource are:

1.Believers
Raga,HerritageAll those who have a very conservative kind of thinking process people fall into this
group. These people are traditional and conventional , so they don’t want to experiment more and are
sticking to the traditional things. .
 2.Strivers
NebulaTitan has designed this product for those who are trendy and fun loving and resource
constrained . Here the nebula is made up of 18k gold and precious stones. 3.

3. Makers
Sonata,Dash, Zoop, Royle,These models suits those who are humble and down to earth kind
of people. They are not too much bothered about the fashion and other aspects of the watch,
but he functionality of the watch. 4.

4.Survivors
Steel, FloraLastly in this category those people who are elderly and who are loyal to their
favourite brand are included. This catered to all kind of people but always been the favourite
of the elderly people and those who don’t want to change their preferences.

Behavioral
Organizations can divide markets on the basis of behavior that consumer shows towards the
usage of the products. Various variables for segmenting market on the basis of purchase
behavior of customers are occasions, benefits, user status, usage rate, loyalty, etc.

Occasions :
Markets can be classified on the basis of various occasions that customers encounter because
people need different products for different occasions.

TITAN PERSPECTIVE
Titan also offers occasion specific products like Formal (Nebulla, Steel, Raga, Gold & Steel),
Dress wear (Regalia, Raga, Gold & Steel, Royale), Fashion (Technology, Gold & Steel, Steel,
Raga, Fast Track)

Benefits :
Market is divided on the basis of the benefits customers seek from theproducts. Benefit
segmentation can be used to position various brands within the Gold & Steel

TITAN PERSPECTIVE
Titan product has benefits like:
 It provides the”TITAN WORLD” SERVICE CENTRE in 174 towns.
 It provides a huge product range to choose from.
 It’s products have good life cycle.

TANISHQ

Demographic segmentation :

Age and life cycle stage :

TITAN PERSPECTIVE

Titan markets its products for all following age groups:

o Between 14- 20 : Design Accolades, Fashion Earrings,Bangles of India, Solo, Daisy, Pahelib)
o Between 20-30: Moham, Aria, Zoya, Diamond Collection, Punjabi wedding, Wedding
collection, Nuvoc)
o Between 30-50: Kundan and Polki, Colours of Parity, Diamond Collection, Ivy, Aqua
o Above 50 : Colours of Royalty, Ivy.
Niche Marketing
After its inception in 1995 focus on exports, Tanishq's designs had beenconceptualized for the Western
markets and were introduced in India withoutany alterations. Tanishq positioned itself as an international
brand for theIndian elite. The brand was targeted at a niche market (However they lateron started
targeting the mass marketing since 1997).

Psychographic Segmentation

Life Style: Tanishq has found that 40% of the Indian women are working and they targeted this
segment wth a specific group of products called collection-G, a 9-to-5 jewellery for the working
women.

Geographical Segmentation

Titan realized that, given the diverse nature of Indian ethnicity, it would haveto satisfy the tastes
of all regions. So, the designs became more ethnic. Titanalso decided to transpose designs by
stocking Bengali designs in Delhi,Keralite designs in Tamil Nadu and typical designs from
Tamil Nadu inBombay in order to appeal to a variety of people.

FAST TRACK

o Based on price · Mass (Rs.350-800) - Essentials, Bikers, Fall·

o Popular (Rs.800-1200), - Bikers, Summer 08·
o Premium (Rs.1200-1800), - Bikers Reloaded, Summer 07, Sports, Campus,
o Super-premium (Rs.1800-2500) - Army, Sport

Gender :
Though we can classify the products according to gender, most of the fast track glass brands are having
both varieties of men as well as women. And there are glasses which fit for both men and women which
comes under the category Unisex. For example under the brand Sports it has all the varieties include
Guys, Girls and Unisex. So we cannot say this brand segmenting this gender. The below classification is
based on general basis.

TITAN PERSPECTIVE

Titan markets its product across:

o Gents : Army, Bikers, Bikers Reloaded, Fall
o Ladies : Essentials, Fall
o Unisex : Sports, Summer 07, Summer 08, Campus,
 CHAPTER 4

SWOT ANALYSIS

Strengths:

 Mechanical watches: TITAN is the market leader in mechanical watches which serves to the
lower segment of the society.TITAN has a strong hold in this segment but to make sure that
players like titan and timex do not occupy the stance TITAN needs to do its homework.

 Brand equity: TITAN has a very strong brand image. People know TITAN because of its quality
and reliability.

 Production and training facility: production facility is flexible enough to adapt to new
technologies. Training program is one of the best in the country.

 Industrial relations: company has very good industrial relations. Till today company did not
encounter any kind of labor or industrial relations problem which can put company in to
jeopardy.

 Adequate assets: company has commensurate amount of land, building and machinery available.

Weaknesses:

 No emphasis on R&D and design: TITAN did not pay much attention to aesthetics and design.
While its competitor titan kept innovating its products with latest technology, features and design,
TITAN was still grappling with its basic design models.

 Retailer policy: TITAN did not have control measures over its retailers; hence they lost control
over prices and the trade.
 Lack of team spirit and awareness: TITAN’s motivational strategies-punishment/reward
have been inadequate, resulting in low utilization of human and machine capacities.
 Trade audits: No regular trade audit was being carried out by the company to check what was
actually happening in the market.

 Management levels: The ground level TITAN staff has nearly six rungs of bureaucracy to go
through before a general manager in sales or marketing could take a field decision.
Opportunities:

 Diversification of products: there are good diversification possibilities in products. Apart from
mechanical watches TITAN can also focus on anadigi, digiana, multifunction, digital, stopwatch,
alarm, thin etc.

 Exports: export market can be tapped.Market segmentation: company can expand the market
launching products suitable for different customer profiles e.g.: youth, gift fashion, sports,
novelty etc.

 Enlarge network of sale outlets: An effective distribution system is mandatory for company’s
success.

 Product improvement: Company can manufacture product based on current customer

preferences, combining technology and aesthetic appeal together to enhance the experience.

Threats:

 From competitors: titan, timex, citizen, swatch etc.

 Spurious operators: People who indulge in fraudulent activities. Misusing the brand name.
 Authorized service agents: For foreign smuggled watches.

 Regional players: With their cheap prices and availability.

 Unorganized manufacturing
 CHAPTER 5

5.1LEARNING OUTCOMES:
The findings of the consumer awareness survey are listed below:

1 72% of the respondents in the age group of 20 – 30 years possess Fastrack watch. This shows
that the positioning strategy of these watches has been good.
2 Most of the consumers prefer Titan watches for their attractive designs and good quality.
However, there is a misconception about pricing of Titan products among the consumers.
They perceive them to be high priced.
3 Logos and taglines are rarely noticed by the watch consumers. Hence, any change in them
also goes unnoticed.
4 Advertisement in mass media such as television, newspapers, and magazines are best means to
spread awareness about brand.
5 Celebrity endorsement of watches not only increases the visibility of the product but also
gives an assurance to the consumers that it is of high quality.
6 Titan watches’ designs are rated as “good” by 78% of the respondents. This indicates that they
are looking forward for more innovative designs to be introduced by the company.
7 Only 50% of the respondents have seen the new campaign launched by Titan watches in 2008
and 2009. This implies that the reach of the campaign in six months has been to more or
less half of the consumers. However, those who have seen the new campaign consider it to
be effective in conveying the message it intended to deliver, i.e., to “be more” in lives.
8 The after sales service and behavior of sales personnel have been given low ratings compared to
other variables mentioned in the questionnaire with respect to Titan’s exclusive showrooms.

5.2 SUGGESSIONS:

Varied responses were received for this question. All the responses have been summarized as
follows:

o Introduce more trendy and innovative designs

o Focus on niche markets such as working men and women
o Spread awareness about availability of watches in lower segments as most of the consumers feel
that Titan brand is synonymous with premium watches.
o Take steps to change consumer perception that Titan watches are high priced.
o Improve after sales service.
5.3 CONCLUSION:
The suggestions to improve consumer awareness about brand repositioning strategy of Titan are as
follows:

o To increase its visibility, Titan Company can sponsor events similar to fashion shows in which
all latest designs launched are displayed. This would have multiplier effect as the latest
designs launched by the company get noticed by different segments of the customers in varied
ways.

o Tie –up with FM radio channels for reminder advertisements and informing customers
about various sales promotion offers from time-to-time.

o Invest more in R&D as customer expectations are changing rapidly. Though Titan has got more
product collections, it should focus on introducing more varieties in already existing
product collections. In other words, having a limited but more depth in product collections
would be more advantageous.

o Introduce exclusive collection for working women which is more contemporary and complements
both traditional and western wear.

o Majority of the population in India live in rural areas. So, showrooms should be set up at places
nearer to them. Introduce cheaper and rough use watches for this segment.

o After sales service has to be improved. That is, the process of servicing and repairing of watches
should be made faster. This can be done by ensuring the spare parts availability and training all
sales personnel in Titan showrooms to undertake these tasks.
o Tie up with international watch brands and make them available locally.

o Make use of internet to spread awareness among consumers about the brand.
BIBLIOGRAPHY:
Bibliography

References

o Sengupta Subroto (2006), “Brand Positioning: Strategies for Competitive Advantage”. Second
Edition, Tata McGraw Hill Publishing Company Limited, New Delhi.

o Gopalakrishnan PS (ed.) (2007),”Rebranding: An Introduction”. ICFAI University Press,

Hyderabad.

o ICFAI Journal of Marketing Management

o ICFAI Journal of Brand Management

o www.marketingprofs.com

o www.brandingstrategyinsider.com

o www.thehindubusinessline.com

o www.economictimes.com

o http://www.flickr.com/photos/20714224@N02/

o http://www.fastrack.in/offer/fastrack-offer.aspx

o www.googlesearch.co.in

o www.titanindustries.com

o www.financialexpress.com

o www.tatagroup.com

o www.economictimes.com

o www.naukrihub.com