Acknowledgement: Bhadra For Giving Us An Opportunity To Do This Research Project His
Acknowledgement: Bhadra For Giving Us An Opportunity To Do This Research Project His
Acknowledgement: Bhadra For Giving Us An Opportunity To Do This Research Project His
EXECUTIVE SUMMERY:
The success story began in 1984 with a joint venture between the
Tata Group and the Tamil Nadu Industrial development
corporation .Presenting Titan Quartz watches that sported an
international look , Titan Company transformed the Indian watch
Market . After Sonata , a value brand of functionally styled
watches at affordable prices. Titan Company reached out to the
Youth segment with Fastrack, it’s this brand trendy and chic. The
company has sold 150 million watches world over and
manufactures over 15 million watches every year.
Titan company has also made its foray into eyewear , offering a
variety of differentiated product to the end consumer consisting
of frames ,lenses contact lenses, and accessories. Frames are
available in both international brands brands(Levi’s, Exprit,Hugo
boss etc.)and in house brands— Titan, Eye+ and Dash which is
an offering for children . The company has leveraged its
manufacturing competencies and branched into precision
engineering components and sub-assemblies, machine building
and automation solutions, tooling solutions and electronic sub
Institute of Management studies (Autonomous)
SWOT ANALYSIS
The SWOT of Titan discusses the strengths, weaknesses,
opportunities and threats for one of the biggest watch companies
in India.
Sonata from Titan (Now sold under TATA) aims at the mass market
and advertises itself as “a Titan watch at low price”. Sonata sold an
estimated 0.8 million prices (1998-99) within four years of its launch.
It is probably the largest selling sub brand from Titan. Titan entered
the watch market as a premium watch but competition from the
unorganized sector and low priced Option from HMT forced Titan to
introduce Sonata. Sonata was so successful that it cannibalized the
brand from the extension’s low price connotation.
Titan’s Exacta, a rugged steel watch starts at the low end of the price
spectrum but offers high price versions as well. It is reportedly selling
1.0 million pieces per year because of the constant upgradation in its
models.
Titan industries launched its Fastrack range of watches for women (For
men it is already present). The ladies watches are available in different
finishes frosted , polished and satin and come in varied geometric
shapes with trendy leather straps and classy metal bracelets. The
watches retail from ₹ 995 to ₹1950 and are attractively priced . The
watches which have been designed at Titan’s creative studio is the
outcome of research that has highlighted the need for a watch that is
fashionable , bold, unconventional and designed to accessories
western wears . A collection of watches with contemporary styles
those are young and distinctive . Design that go from the relaxed and
informal to the definitely sporty. The woman’s
collection presents the all new international ‘Frosted’ look , which is
trendy and chic l. The fastrack collection has elements like cool mesh
straps and features that include backlight and dual time. Also
presenting a range of fashion digitals in contemporary wrist hugging
cases with oversized displays and features that include countdown
timers, chronographs, lap timers, hourly crime , alarm and Hi- light
glow. Fastrack goggles are one of the products of titan which is
exclusively marketed by the company. It is popular amongst the
youth.
Data collection :
Sample universe : BHUBANESHWAR
Sample size : 100
Sampling plan : stratified Random Sampling
2. Buyer power :
The Indian watch buyer 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 recognized brand name
so understanding the buyer’s preferences is very crucial in this
industry in order to gain a Substantial market share.
3. Entry Barrier :
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.
4. Threat of substitute :
There are no such substitute 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 .
5. Degree of Rivalry :
There are many companies in the Indian watch market, however,
the product ranges offered by them are manifold . This makes the
company 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 ₹ 300 . Quartz watches form two third of the
organized sector, three fourth of the sales by volume comes from
watches that are priced below ₹1000.
Benchmarked against the best in the world. Titan eye plis has played
a major role in elevating the eyewear category in India from its
traditional functional status to one that of a fashion statement the
brand has also redefined the way
The organized optic retail market in India operates through pioneering
concepts such as the open -touch -feel browse format complete
transparency in pricing ,style free insurance on spectacles etc. All of
this is backed by the high level of quality and trust that customer have
come to expect from the house of Tata and Titan Industries Limited in
particular. It has recently introduced the remote online eye testing
facility
Titan Eyeplus has over 470 exclusive stores operating in over 200
cities and offers a wide range of stylish and contemporary eyewear.
The journey of Tanishq started with the launch of 18k gold watches
studded with precious Stone in 1994. But its soon grew into a 22k
jewellers who presented an exquisite range of gold and diamond
jewellery while striking a perfect balance between traditional appeal
and contemporary charm. The brand perfectly understands the ethos of
current Indian jewellery markets and keeps evolving along with its
changing demands and preferences.
With retail sales of over of ₹10,000 crore in the last financial years.
Tanishq continues to rule the jewellery segments in India.
Titan engineering anD
Automation limited
(TEAL)Titan Engineering and Automation Limited. Formerly known as
TITAN precision engineering division (PED) is a wholly own subsidiary of
Titan company Limited.
Aerospace
Engine and Accessories
Aero system
Transmision
Landing system
Defence
Underwater system
Optronics
Missiles
UAVs
A&D unit serves various international customers such as :
UTC aerospace
Prat and whitney
Thales
Business Divisions
WATCHES AND ACCESSORIES DIVISIONS :
The watch products divisions is where the Titan story begins. Today this
divisions has placed Titan company among the world largest retail
network. And earned the company the place of fifth largest integrated
watch manufacturer in the world .with over 4000 employees spread
Over three business units in Bangalore , India a manufacturing unit of
Hosure and 3 assembly plants located in the north of India, the division
continues to add world class brand to the company’s portfolio
Customers brand our customers have been at core of this growth and
divisions offers a slew of products that cater to their inherent needs.
Some of the most notable brands in the divisions portfolio are
Titan edge : The world’s slimmest watch( at 3.45 mm) that epitomized
the philosophy less is more.
Titan Raga : A feminant and oppulant accessory for today’s affluent
women.
Nebula : watches crafted with solid 18k gold and precious stone.
Sonata : India’s largest selling watch brands to suit the common
man’s wallet.
Xylys : A swiss -mad impeccably designed watch for the connoisseur
and new age achiever
Fastrack : watches created to accessorise the trendy youth of today.The
watch collection also boasts of collection such as Automatic, Heritage,
Nebula , Orion , Raga, Zoop and series like aviator, Octane and WWF.
Reyail : The watches and accessories divisions also markets some well
known international brands such as Tommyhilfiger, Timberland, police
and Fcuk under a license, agreement giving the new generations
customers an access to premium brands with their well equipped
retail chain.
The division has sold over a million watches through the unique format
of “world of Titan “where both house brands and licensed brands are
offered and through a vast network of dealers and lifestyles stores in
India and in 32 countries worldwide. The division offers after sells
Service network that has been considered benchmarked operation in
the industry.
The divisions constantly endeavours to understand and predict the
customers needs and strive to launch newer and trendier product
regularly.
Spread over a specious area of 2650 sq ft the high end multi brand
watch store houses more than 2200 watches and over 35 premium
international watch brand including versace ,seico ,
vorando ,mugoboss, citizen, Fossil, Titan , Xylys, Tommy hilfiger,
Raymond weil , Baume & mercier, and victormox amomgst others.
TITAN CUSTOMER SERVICES :
Spread across India with 748 services contact point is more than 265
towns, Titan company service centres network Is committed to deliver
a satisfying port sales experience to all customers.
The watch care centres are attached to the world of Titan and
authorized service centres are attached to multi brand outlets both
offer quick and high quality repairs for all types of watches currently
sold by Titan with a six moth service guarantee at the Titan watch care
centres all repair activities follows a strict and Systematic process that
is controlled and measure through an ISO audit system to ensure good
quality faster turnaround time and customers satisfaction . Titan
industries have various scheme in place . A post service follow up ( for
major repair ) activity