Tanishq business strategy and future plans
Tanishq: Honest and transparent glitter
Tanishq has leveraged the design skills that are part of the Titan heritage to refine its products, and it has invested a lot in research and customer-focused studies on what the Indian woman is looking for
Tanishqhas had to negotiate many bumps and curves to reach the highway to success.
The story began when Titan entered the jewellery business in 1995, primarily as a manufacturer, with retailing as a distribution channel.
But the company soon realised that selling jewellery was actually a more retail-intensive business, and that the real value addition and competitive challenge was to establish itself at the front end.
In early 2000, itan organised itself into two small business units: watches and clocks, and jewellery.
According to Jacob Kurian, the chief operating officer of Tanishq, this helped the company redefine its business purpose and focus.
"We are retailers," he says. "We design, manufacture, market and build a brand, but the primary focus is to define ourselves as retailers and create a unique proposition that consumers can relate to."
The challenges have been many. The jewellery industry in India has 3.5 lakh players and is estimated to be worth about Rs 40,000 crore. The share of the organised sector in this is just Rs 1,000 crore (about 2.5 per cent).
Tanishq has managed to carve a niche for itself within this segment by becoming Indias first branded jewellery manufacturer and retailer, and by bringing professionalism to the market.
Tanishqs arrival has helped change customer attitudes, while altering the traditional way jewellers did business.
"The sector was highly fragmented," says Mr Kurian.
"There were unethical practices and surprisingly, for such high-value products no branding. Branding provides reassurance and builds a relationship. There was no attempt to differentiate on any other factor but price.
Our research showed that woman perceived jewellery as their only personal possession. India being the worlds second largest gold jewellery market after the United States, we were confident we could succeed by being honest and transparent."
Tanishq: Honest and transparent glitter
Tanishq has leveraged the design skills that are part of the Titan heritage to refine its products, and it has invested a lot in research and customer-focused studies on what the Indian woman is looking for
Tanishqhas had to negotiate many bumps and curves to reach the highway to success.
The story began when Titan entered the jewellery business in 1995, primarily as a manufacturer, with retailing as a distribution channel.
But the company soon realised that selling jewellery was actually a more retail-intensive business, and that the real value addition and competitive challenge was to establish itself at the front end.
In early 2000, itan organised itself into two small business units: watches and clocks, and jewellery.
According to Jacob Kurian, the chief operating officer of Tanishq, this helped the company redefine its business purpose and focus.
"We are retailers," he says. "We design, manufacture, market and build a brand, but the primary focus is to define ourselves as retailers and create a unique proposition that consumers can relate to."
The challenges have been many. The jewellery industry in India has 3.5 lakh players and is estimated to be worth about Rs 40,000 crore. The share of the organised sector in this is just Rs 1,000 crore (about 2.5 per cent).
Tanishq has managed to carve a niche for itself within this segment by becoming Indias first branded jewellery manufacturer and retailer, and by bringing professionalism to the market.
Tanishqs arrival has helped change customer attitudes, while altering the traditional way jewellers did business.
"The sector was highly fragmented," says Mr Kurian.
"There were unethical practices and surprisingly, for such high-value products no branding. Branding provides reassurance and builds a relationship. There was no attempt to differentiate on any other factor but price.
Our research showed that woman perceived jewellery as their only personal possession. India being the worlds second largest gold jewellery market after the United States, we were confident we could succeed by being honest and transparent."