Business analysis and overview of titan watches

tester | Led 21, 2018 | Nezařazené |

Titan is one of the largest watch producer in India and sixth largest on the globe. Titan manufactures over 7 million watches each year and also have 65 million customer.
In 1984 titan was established as a jv between the Tata Group and Tamil Nadu Industrial Advancement Corporation. Manufacturing in a point out- of -the artwork at Hosur, Tamil Nadu the business brought the large change in
Indian market, by offering quartz technology with foreign styling. By understanding the different segments available in the market, the company launched its second brand Sonata watch, as benefit brand for many who like
styled designer watches with affordable prices.
In last two decade the company has build an extremely good impression in check out business to be India’s most significant manufacturer and world most significant sixth manufacturer of watches. This was mainly because
very good formidable distribution network. Becoming one of major retail chain of unique retail showroom for wrist watches called ‚The globe of Titan‘ propagate over 100 towns.
Titan have got branches over 30 countries, it’s also have multi company outlets named ‚Time Zone‘, service centres and supplier outlets. The company has view plant at Dehradun (UP) and Baddi (Himachal Pradesh) and
digital circuit boards in Goa. The promoters held bulk stake of the business, with Tidco having 28% of the shares and Tata Group firms owing 25% of the shares and the general public sharing holding around 28% in the
company. The rest stake is placed by the foreign institution, non resident Indian, mutual fund and other organization.
It likewise acquires a license for global brands such as for example Tommy Hilfiger and Hugo Boss, while. It has also in its portfolio its first Swiss Made watch brand – Xylys.
In 1995 the business capitalize to brand Tanishq as diversified into jewellery in fragmented marketplace operating no manufacturer in urban city.
Also in 2005 the company released its second Jewellery brand, GoldPlus, as which consists of opportunity for capitalizing in small area and rural India. It’s also diversified into style Eyewear by launching Fastrack Eyesight
Gear sunglasses in addition to prescription eyewear.

Investigation and analysis

Under the help of moderate execution and control, it is evident that product development strategies fit in for Titan and
deliver maximized profit to it.

Core Competency
Each buys are delivered with Top quality is Titan’s main competency and this for the low segment watches like maxima and HMT. Whenever any persons acquire Titan watches they find out it’s a piece of quality and is
supported by a Tata’s. Titan’s improvements in the region of design, uniqueness, technology and they have market from steel to gold to diamonds. Titan Edge is an only creation on the globe, owned by Titan.

Situation Analysis:

Environmental Analysis:
Environmental research helps Titan to comprehend what is happening both inside and
Outside the company and to increase the probability that the approaches will appropriately
Reflects its organizational environment, PEST analysis for Titan contains following
Factors:

Political:
It has a stable Government
Tinges of liberalization
Foreign brands had started getting into the Indian market with government permission.
Economic:
Current economic downturn
The purchasing electricity of buyers has decreased due to credit crunch and recession plus they could also spend less on high end items.
E-commerce is becoming prevalent
Protected Economy

Social:
There is been a whole lot changes in lifestyle
Indians Patronizing the Foreign brand.
Increasing aspirations
Grey Market
Good Quality/foreign makes bought to India
(http://www.scribd.com/doc/37204122/Swatch-Mkting-Plan)

Technological:
Having a better technological practices
Quartz wrist watches was the future
Technological items were having better preference
Watches were traditional mechanical
(http://www.scribd.com/doc/37204122/Swatch-Mkting-Plan)

Competitive Analysis:
Competitive examination is a vital part of a marketing plan. Its purpose is to determine the durability and weaknesses of the competition within the marketplace. Porter’s Five Forces research for Titan can be interpreted as
follows:

New Entrants:
Strong brand acknowledgement and consumer loyalty, Titan is a favorite brand among buyers substitution.
Many brands provide with range of similar styles
Threat from counter felt products

Buyer Power:
Buyer power is saturated in this industry simply due to the occurrence of so many rivals selling the same goods. It is merely differentiated in cost and consumer loyalty

Overall Strength of Rivalry:

Intense competition within in a very crowded market
(http://www.scribd.com/doc/37204122/Swatch-Mkting-Plan)
SWOT ANALYSIS:
Swot analysis may be the overall evaluation of a company’s strengths, weakness, possibilities and threats and is normally a method to monitoring the exterior and internal advertising environment (Kotler, 2009, p.89).

Strengths:
Strong brand and consumer loyalty
Repositioning into in the fashion market.
A wide selection of products with numerous designs across all cost points
Production and training facility is flexible plenty of to adapt new technology.
Industrial relations is great. Till date company didn’t encounter any kind of labour or industrial relations problem that may put business into jeopardy.
Watch industry keeps growing industry which faster rate
As the populace is rising, the watch market is also expanding
Customers are not very price sensitive as far as quality watch is concerned

Weakness:
There isn’t much marketing done by watch industry
No innovation in products
There are few quantity of special showrooms that decreases the consumer’s option of the product
Low asset turnover ratio
Weak employee productively
No emphasis on R&D and designs
It lacks workforce spirits and awareness which can result in low usage of human and equipment capacities.

Opportunities:
There is more need of fashionable luxury check out and fine luxury view brands that may be targeted in UK, as consumers are more like trendsetter and fashionable.
UK especially London is certainly a metropolitan city that makes it more attractive for the new company.
Youth are considerably more brand conscious than their predecessors. That causes the expansion of the marketplace for branded watches.
E-commerce offers trading opportunities
The market meltdown can force customers to get buy pills low priced items over luxury items

Threats:
There are many foreign players entering in the testmyprep.com race
Too various players will dilute the marketplace and the profit margin.
Mobile phones acting as substitutes of the watches.
Counterfeit products
Intense competition between different businesses within a crowded market
Current financial recession and coverage of price fixing decrease the sales
(http://www.scribd.com/doc/40142805/Marketing-Strategy-of-Titan-Watches1)
The Indian watch market began in the year 1961 with the commissioning of the check out division of Titan. The first watch model made by HMT was the Janata style in the entire year 1962. HMT was the first choice in the
watch marketplace till the Tata’s shaped Titan watches in colaboration with Tamil Nadu Industrial Creation Corporation in the entire year 1987. They took a major strategy decision, which soon after changed the face of the
Indian check out market to manufacture just quartz designer watches. Liberalisation in 1992 and removal of quantitative constraints due to WTO has opened up the doors for many the Indian market viz. Tissot, Swatch,
Omega, Rado, TAGHeuer. The import responsibilities on wristwatches are falling which makes the Indian market look appealing for the global majors like Casio, Swatch and Citizen.
Recommendations:

MARKETING OBJECTIVES:
Titan’s wants to become the creative and ground breaking leading brand in global market and establish a strong brand picture in your brain of consumers and its financial targets includes its profit to improve by 10% annually,
revenue to improve by 21.7% over another 2 years.

Strategic Alternatives and Strategic Choice:

According to the SWOT examination above, it really is evident the Titan has a steady presence in the style market with strong company image and customer loyalty. So that you can maintain and take benefits of such
strengths, Titan should adopt the marketplace – penetration strategy which means to sell existing goods into existing market segments with the goals of securing the dominance of market and increasing market share from
current products. (kotler, 2009, p.85).
Comparing with the price- leadership strategy and the merchandise development strategy, the former calls for value cutting when selling products
It not merely reduces company’s sales profit, but also influences its brand picture. The latter approach requires company to develop a new product, which may cost so much time and money to do the market research and
product test.
Therefore, Market – penetration technique is recognized as the core technique for TITAN.
According to my recommendations titan should use Ansoff’s product/market matrix in order to be creative and impressive brand in global market. As Ansoff development matrix is an instrument which helps businesses to
choose their product and marketplace growth strategy. Ansoff’s merchandise https://testmyprep.com/lesson/how-to-write-a-proposal-for-a-research-paper/market growth gives an idea to businesses growing is determined by
whether it markets fresh or existing products in latest or existing markets.
http://tutor2u.net/business/images/Ansoff%20Matrix%20w500.gif
Daigram2: http://tutor2u.net/business/strategy/ansoff_matrix.htm
The above diagram illustrates just how ansoff’s product/marketplace matrix works.
Once Titan is aware where they should put the new product in the existing market in addition they need have a proper STP (Segmentation, Targeting, and Positioning) during launching a product.

Segmentation and Targeting:

As Kotler, Philip (2009, p.247) described that segmentation is normally to divide market in to distinct sets of buyers with different needs, features of behaviour, who might require separate products. The account for the Titan’s
suitable customers includes following factors:
Demographic:
Gender: Male and Female, in 2007, 11.1% of women bought wristwatches for self, while 9.3% visited men, 5.3% of females bought watches for someone else, while 3.4% visited men.
(http://www.scribd.com/doc/24305562/Titan-STP)
Age: In terms of amount of folks who purchased wristwatches during 2007, 15-19 accounted for 23.4%,
20-24 accounted for 18.1% and 25 – 34 accounted to 16.9%
Lifestyle: Buyers in UK are even more inclined towards the trendy styles which stand for their uniqueness and flavour and personality.
FasTrack, Raga, Sonata, Xylys, Nebula and Flip are sub-brands within Titan that are targeted at the youth, men, girls and children
Sonata is the affordability watch company from Titan industries. It really is directed at consumers seeking durability and value with a clear positioning of "No compromise watch".
FasTrack was positioned as a youth manufacturer. The youthful Indian racing driver Narain Karthikeyan was the company ambassador. The business used targeted distribution supplementing its watch outlets with youth
focused outlets like music shops and internet cafA�’s for FasTrack.
Titan targeted its Raga watches at ladies in the high quality segment which offered them the sensation of intimacy. The business realized that more females were wearing wristwatches for capabilities. It offered slimmed down
and sleeker designer watches for women. The Raga spectrum remained for more distinctive reasons, like marriages or functions.
Xylys comes from the House of Titan, is certainly targeting a new era of achievers who are looking for symbols to reflect their way of life, frame of mind, moods and beliefs.
Nebula-precious jewellery watches from Titan. It is a assortment of intricately carved models for ladies inspired by floral patterns and these watches are engraved with delightful habits in gold and important stones. This is for
the superior segment.
Titan Advantage and Titan Steel will be the mainstream Titan products which improve the brands photograph of leadership, invention and pride. Titan is known as to have one of the effective segmentation and targeting.
Titan adopted a technique of target. Titan tries to accomplish competitive benefit by optimizing its approach in different market segments.
Once the firm has identified its marketplace – segment, it must determine which ones to target (Kotler, 2009, p.267). Titan will concentrate on working females among the 24 – 35 generation. Firstly, it really is clear that female
purchasing goods for themselves more than male and they take the lead in the whole market. Therefore, in order to be more self aware in the fashion sense and much more likely to be in influenced by trends, and also lifestyle,
women ready to spend extra on themselves.
Secondly, more recently there is a downward tendency in the number of marriage in the UK. Two main drivers will be behind it. One can be single people improved from 3 million in 1997 million to 9.2 million in 2007. The other
is the average age at which couples are receiving married has increased to 32 for males and 29 for women of all ages. Therefore, the 24 – 35 age groups may be competent in independent financing and lifestyle.
(http://www.scribd.com/doc/24305562/Titan-STP)

Targeting:
Titan’s watch TIME RAGA is an exclusive watch for women. ENOUGH TIME RAGA collection is tasteful, delicate and feminine with each piece being truly unique. It includes an exclusive assortment of attractive motifs with
studded bracelets. It really is largely inspired for working girls class. It is crafted exclusively for complex woman, who wears silver jewellery with elan, enough time RAGA makes an ideal item that completes a woman’s
wardrobe.
(http://www.scribd.com/doc/24305562/Titan-STP)

Positioning:
In UK TIME RAGA is put as "the slimmest look at in the universe". All good things are packaged little or could be packaged slimmest on the globe.
Brand positioning of TIME RAGA:
Promise of purity and a unique experience: its design and retail innovation have already been hallmark of Titan’s all these years. TIME RAGA assures the purity of its jewellery and certifies the quality of its diamonds and
coloured gems in writing.
Luxury: TIME RAGA will end up being positioned as a top quality jewellery of luxury instead of commodity. It moves jewellery beyond expense to the fashion and adornment sector. It’ll be positioned as superior product. It’ll be
positioned as a completely new point of view to jewellery buying in particular when it comes to exquisite oriental jewellery.
(http://www.scribd.com/doc/24305562/Titan-STP)
To working women among the 24 to 35 generation, who’ve strong purchase power, Titan is the watchmaker that produces extra unique watches than any other brands for its the most selection of designs. Their top quality but
low price make customers proceed to multi ownership across a variety of looks and price points.
Titan has managed to get fair marketplace in Middle East and Africa but its failure in Europe was a downturn for the business as the return had not been as effective as investment made for the expansion. Titan has made a
decision to revamp its flagship look at brand in Europe largely in UK. Titan wants to reposition it more youthful and highly relevant to the changing times.
Titan offers entered the International markets in 1989 through the export of watch pills online moves. Titan’s first global footprint was positioned in the UAE – the major market in the Middle East then it shifted towards Egypt,
Oman, Saudi Arabia and few market segments in Africa. Though it confronted solid competition, it reached the product sales of 100,000 designer watches within a calendar year of its release. It started to maneuver globally
and moves towards Sri Lanka, Bangladesh, Maldives and Nepal.
After its comprehensive survey, it figured it needs good reason to stock the manufacturer. Titan needs to re-position its brand picture in the UK market. Therefore Titan decided to against soft alternative of travelling its
globalization through private label exports. It would launch its item under its brand with marketplace positioning Therefore Titan found a massive marketing campaign to create brand consciousness. It also participated in the
fair which showcases the world’s biggest watch brand on the globe.

Marketing Mix:

Price:
As achieve our advertising objectives, we are able to so some switch in the pricing. Selling price will need unique benefits which will offer a benefit to the customer in the competitive market. It’s assumed that higher prices are
a luxurious product. Titan must select the pricing because of its product which can be afflicted and decided by the cost of manufacture, most up-to-date plant, and high expenditure for the product. It can also open duty – free
outlets in the airports such as for example Gatwick and Birmingham airport terminal and in Eurostar station in London. Eurostar estimates to passenger number will increase from 8.3 million this year to 10 million by 2010
(Railnews, 2007). It can also put banner on the web such as for example Face Book.

Product:
Titan’s main goals was to make consumers buy multiple watch to increase marketplace size by raising it augment demand for designer watches. It can it product different selection for different segments. It will introduce a
jewellery watches to attract working ladies in UK. Product ought to be customizing to personalize the view to fit customer’s style and make it more unique. It can work with specialize features that emphasize even more special
and limited edition for a youthful, ground breaking and exciting look.

Place:
It can produce place from positioning. It can attract customers by having its own showroom which can only help to increase it invest in in the competitive market. Additionally, it may have dedicated exceptional distributions
which can exclusive showcase Titan items and its ranges. Additionally, it may make an investment in a showroom and also in line with the product positioning. It can rent stores in prime spots which has busy high street which
can also help increase its sales.

Promotion:
Titan can achieve its marketing goals by exploring its associations with its suppliers, distributors and all stations which can increase its sales. It could develop promotion tactics such as gift items, promotion themes and etc. It
can focus even more on its market research feedback which can improve its photo in the local and international market. It should focus more on the after sales service which is very important in UK where brands with
reputation is recognised. It can endorse its product with superstar and use their impression. Advertising such as for example print / broadcast advertisings, posters and leaflets or billboards, it can also use immediate and
indirect marketing such as E-mails, mobile messages and websites.

Conclusion:
To increase its presence, Titan Provider can sponsor events equivalent to fashion cheap mircette and weight displays which all latest styles launched are displayed. This is important as it includes a great effect on different
segments of the customers in various ways. Titan should also own Tie up with radio channels and television set to broadcast and telecast its advertisement about various sales promotions every once in awhile. Specially, R&D
needs additional investment as customer objectives are changing rapidly.
Titan can focus more on introducing more kinds and luxury items on the market at standard interval. Titan should expose exclusive collection for working women in order to have more contemporary and complements for any
fashion variations. Tie up with overseas watch brands to make the product stronger in the market. Titan should apply internet to spread awareness among consumer about the brand.
Finally, on the basis of all analyses, it is clear that market – penetration strategy match for Titan. Titan’s key target ought to be working girls who own a strong purchasing power and pursue a trendy life style. Therefore,
customized watches right aim as of this target market. This innovation development will essentially not only strengthen its current customer loyalty, but also broaden its client base.
Selecting the check out parts from a wide – order hytrin generic name selection of current watches could reduce the cost. However, because of the limited and different features, these watches sell with high price tag. Hence
the turnover would be increased therefore Titan UK provider would make the maximized gain.