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Fastrack was launched when the Timex and Titan parted ways in 1997 , to fill the gap that Timex had left. It served the youth market.
It targeted early jobber 20-30 year-old male executive. Only 1-2 yrs later it launched line for women.
Fastrack started well. But in 2001-2003
their sales started to stagnate. This happened for 2 reasons: 1)Titan the parent co. was contemporizing their product, eg: Launch of Steel Collection, which was similar to Fastrack in terms of looks, price point and consumer buying behavior. 2) There was no independent identity. The backing of Titan was a positive assurance. However, kids don’t like to be serious and sober like their parents. Hence it created a barrier.
Re-launch of Fastrack
It came out as an independent
identity separate from Titan the brand. Apart from watches it launched: Eyegear. Vision :Complete Fashion brand for youth Targeted :College goers between 18 and 22 years and then extended audience of 15-25.
Re-launching a success?
1. Twin approach of constantly innovating
on product design & yet being affordable. 2. Understanding the needs, limitations(in terms of money) and mentality of targeted group. 3. Partnering with MTV which is associated to be a youth channel for communication. It gave then access to MTV`s wider customer base and fan following.
Strategy is to focus on one segment more sharply. Fast track is changing its design very often and
coming up with new collection to stay in the market. With extension into eye gears, They changed it`s tag line from “how many you have?” to ‘Move on’ to keep trying new things.
Organizational structure :Organizational climate FASTRACK follows the market trend and is following the foot steps of its competitor SWATCH and SEIKO
MARKET SEGMENTATION & TARGETING
Exclusive Fastrack store. Opening 50 such stores by2010 ,India. “Fastrack plans on being a Rs 500-crore
brand in 3-4 years. Not to be surprised if it touches Rs 750-1,000 crore in 5-7 years.” In three years, Fastrack projects to contribute 25-30 per cent of the Titan’s watch business. Fastrack contributes to 4 per cent in value to Titan and the company has decided to establish it as an independent brand because of its high penetration potential.
It is difficult to quantify this segment which
has other brands like Esprit, Timex , Casio, Calvin Klein, etc. But it is believed to be getting bigger. One of the biggest competitor for Fastrack is Swatch.
STRENGTHS: Goodwill in the market Strong financial position Fast changing designs WEAKNESS: Short cycle products which are expensive to make Weak channel of communication Lack of exclusive stores
OPPORTUNITIES: Rapid market growth Changing customer needs To create relation between society on social marketing basis THREATS: Tough competition in watches Low profit margins New competition in market