Comparison - Jewellery Companies | Jewellery | Diamond

Avi Batra

BBA – Semester II

Roll No. 4501/09

Comparison of two companies as per Principles of Marketing

Jewellery Industry

Table of Contents
Chapter 1- Introduction To The Industry
Evolution Of Jewellery Industry Introduction To Indian Jewellery Industry SWOT Analysis Of The Industry Current Scenario Of The Industry Future Outlook Of The Industry

Chapter 2- Company Profile
Tanishq Orra

Chapter 3- Research Methodology
Objective Scope Data Collection Limitations

Chapter 4- Comparative Analysis
SWOT Analysis - Tanishq SWOT Analysis - Kiah

Chapter 5- Conclusion

Chapter 1- Introduction to the Industry
Evolution Of Jewellery Industry In India The Indian subcontinent has the longest continuous legacy of jewellery making anywhere since Ramayana and Mahabharata times. While Western traditions were heavily influenced by waxing and waning empires, India enjoyed a continuous development of art forms for some 5000 years. One of the first to start jewellery making were the peoples of the Indus Valley Civilization. By 1,500 BC the peoples of the Indus Valley were creating gold earrings and necklaces, bead necklaces and metallic bangles. Before 2,100 BC, prior to the period when metals were widely used, the largest jewellery trade in the Indus Valley region was the bead trade. Beads in the Indus Valley were made using simple techniques. First, a bead maker would need a rough stone, which would be bought from an eastern stone trader. The stone would then be placed into a hot oven where it would be heated until it turned deep red, a colour highly prized by people of the Indus Valley. The red stone would then be chipped to the right size and a hole drilled through it with primitive drills. The beads were then polished. Some beads were also painted with designs. This art form was often passed down through family; children of bead makers often learnt how to work beads from a young age. A female skeleton (presently on display at the National Museum, New Delhi, India) wears a carline an bangle (a bracelet) on her left hand. India was the first country to mine diamonds, with some mines dating back to 296 BC. India traded the diamonds, realising their valuable qualities. This trade almost vanished 1,000 years after Christianity grew as a religion, as Christians rejected the diamonds which were used in Indian religious amulets. Along with Arabians from the Middle East restricting the trade, India’s diamond jewellery trade lulled. Today, many of the jewellery designs and traditions are still used and jewellery is commonplace in Indian ceremonies and weddings.

Introduction to Indian Jewellery Industry India is a leading player in the global gems and jewellery market. The gems and jewellery industry occupies an important position in the Indian economy. It is a leading foreign exchange earner, as well as one of the fastest growing industries in the country. The two major segments of the sector in India are gold jewellery and diamonds. Gold jewellery forms around 80 per cent of the Indian jewellery market, with the balance comprising fabricated studded jewellery that includes diamond studded as well as gemstone studded jewellery. The Indian gems and jewellery industry is competitive in the world market due to its low cost of production and the availability of skilled labor. In addition, the industry has set up a worldwide distribution network, of more than 3,000 offices for the promotion and marketing of Indian diamonds.

Yesterday Unbranded Silver & Gold jewellery Investment Traditional design Marriage & festival is peak season

Today Branded Gold & Diamond jewellery Investment + Fashion Fashionable & innovative design Wear ability and gifts


Skilled labor Bargaining power of India is enhanced because India is largest consumer of gold jewellery.A. China Threat from producing nation like S.A. . Russia. Congo. Few Alternatives of cutting & polishing. Bargaining Power of Suppliers . US. Large presence of unorganized sector.Medium • • • • In jewellery industry the suppliers are S. 0. (1) Inside India & (2) Outside India. & Russia. DTC. UAE.Michael Porter’s Five Force Model for Jewellery Industry POTENTIAL NEW ENTRY INDUSTRY COMPETITORS SUPPLIER BUYERS RIVARY AMONG EXISTING FIRMS SUBSTITUTES Inter-Firm Rivalry -HIGH • • • • Two types of rivalry.000 Diamond jewelers International rivals Such as.. Australia.2 Million Gold jewelers and over 8. Botswana.

Low • Divided in two types 1. Barriers to entry: Low to Medium • • • • • Low capital requirement Government subsidy EXIM policy & government’s rules-regulations are high Skilled manpower is essential Advanced technology required . Domestic buyers & 2.Bargaining Power of Buyers . Threat of Substitutes: Low • • • Substitutes are Real assets. Second preferred investment behind bank deposits Status and standard of living increase so demand is increasing at high rate. Foreign buyers • • As investment (Demand increase) Bargaining power of Indian exporter is high because Majority of the world's rough diamond production is cut and polished in India. Stock market. stone jewellery etc. bagasra jewellery. & Bank deposits & mutual fund investment and Other types of jewellery like imitation jewellery.

out of which one million are exclusively engaged in export production. Pricing and inventory management The diamond industry virtually offers the entire range of products. which cannot be relied upon with machines. were it not for Indian workers. which are to be bought for further processing by any diamond processing company. They can be different too. India’s strength lies in the two million highly skilled workforces in the country in the gem & jewellery sector. Experience is needed to understand the following features of rough diamonds. All the processes. It is not necessary that two diamonds looking similar are same. Experience Experience plays a very important role in the success or failure of a business because of the diversity and unique features of diamonds. Shade: rough diamonds look just like stones and only experience could tell as to what would be the shade of the diamond. a steady supply of raw materials and a state of the art manufacturing facilities is something that no other center will be able to match. right from sorting to polishing requires analytical skills. Purity: it is also important to examine the purity of the diamond.SWOT Analysis Strengths Availability of cheap and skilled labor India has a large labor force and this has made the country the biggest diamond-cutting center for small roughs. They are: Toughness: as to how are diamonds and as to how much effort will be required to polish them. many of these small diamonds would be put to industrial use rather than jewelry. It requires a lot of experience to diagnose as to what you would obtain after polishing a diamond. who virtually carve exclusive fancy stones. Indeed. India’s USP in the days to come is to achieve all round quality at low price. .

Weaknesses Less emphasis on quality The share of India in medium and large sized diamonds is comparatively less as when compared with other countries is because of less emphasis on quality. .Supportive government policy Since the diamond industry is one of the key contributors to the foreign exchange of our country the government has played a very supportive role to this sector. It will have a huge impact on large sized diamonds. Therefore. Low productivity The labor force in India is less productive as when compared with China. The cost of production of each piece of diamond increases with an increase in the size of the diamond. The government is also playing and important role by providing incentives which lowers the overall cost of production of diamonds. uneasy work environment and no friendly atmosphere created. The government is always trying to provide a helping hand for the promotion of the diamond industry. The workers therefore are not motivated to work therefore resulting in low productivity. This may be due to reasons like long hours of work. to remain competitive in the world market Indian businessmen will have to improve the quality of their diamonds. There will have to be an increase in productivity for the diamond sector to flourish. Thailand. Sri Lanka. Low cost of production The cost of production of diamonds in India is much less as compared to other countries. Incentives like Diamond Dollar Account (DDA) and SEZ packages and lowering of import duties are some examples. This is due to the availability of skilled and cheap labour force in the country.

the diamonds are not standardized. There is no legally binding contract between the people who do business. Even other countries in the world are looking up to India for supply of colored diamonds. Colored diamonds One of the major opportunities for the Indian diamond industry is colored diamonds. The newly entered businessmen are also finding it difficult to survive in the market. . A same size. The rich businessmen are becoming richer. Opportunities New markets The leading importer of Indian diamonds is US. They are the latest trend in the market. One really needs to work hard to earn a living and to survive in the market place. weight diamond may mean different things to businessmen around the world. colour. and the poor are becoming poorer. The Diamond Trading Company should take steps to ensure that the diamonds are standardized so that the dealers and clients are not cheated at any point of time. There is also increasing demand in South East Asian countries. Using advertising campaigns and promotion and marketing can do this. This is the only country that has been having a majority share in the world market. Payments are not received from clients even after years of expiry of the credit period. The clients now prefer colored gemstones and diamonds instead of the regular white color. Though payment of a high amount is to be made by cheque many transactions are done with cash. Everything in India works on word-of-mouth. Lack of standardization Though India is the largest exporter of diamonds in the world .No contracts There is no legal proof of any domestic trade related to diamond transactions in India. The Indians can also explore countries like Europe and Latin America. There is a gap created. Insolvency The rate of insolvency is very high in the diamond industry.

It has been over a decade and a half since Indian jewelry manufacturers began marketing their products. A great fear in the industry is that due to a mere 4 per cent of illegitimate trade. The reasons range from a cheap and disciplined labour force to high economic growth in the country resulting in a significant increase in potential consumers in the high-income segment within China. Sierra Leoneand Congo. The three named areas have been Angola. Else. infrastructure and a welcoming government. Conflict diamonds Another threat to the industry is the recent trade in Conflict Diamonds also called ‘Blood Diamonds’ which have become the thriving industry’s Achilles’ heel. An increasing number of diamond processors from Israel and Belgium.Scope in domestic market Since diamonds are expensive they seem to be possessed by the richer section of the society. Outsourcing of diamond jewellery The retailers worldwide have shown keen interest in sourcing diamond jewelry requirements from India because of easy availability of diamonds. unless the government backs the industry. Therefore the other classes can be made aware of the benefits of diamonds by advertising and promotion campaigns. Conflict diamonds are those mined and the income from their sale help finance arms buying and funding activities of terrorist groups. the rest might feel immense ramifications. India may lose its status as the world’s largest diamond processing centre. and even India. Threats Entry of China and Thailand in the diamond sector The Indian industry perceives a growing threat from China as a diamond processing and cutting centre. are setting up facilities in China for a variety of reasons. It also offers attractive labour union terms and export-friendly policies. The lower class prefers gold jewelry. . They consider diamond and risky and very expensive and very hard to handle. China has all the strengths of India—cheap economic labour. and also to the quality of Chinese workmanship which is steadily improving.

In the current scenario. In recent times there are a lot of robberies happening in broad day light without even anyone noticing it. India is the leader in importing. work in hot sheds chiseling roughs which eventually get sold in the fancy shops. roughly 7 out of every 10 diamonds set in jewellery worldwide are from India. The number of firms may reduce in the process. Current Scenario: The Diamond Industry Today. India has a virtually complete dominance in small sized diamonds. processing and exporting of diamonds. but not the size of the industry. India now accounts for nearly 55 percent of world net exports of cut & polished diamonds in value terms. In other words. with manufacturing on the rise and the number of banks providing finance to the trade . Yet overall the industry has ridden out the threat and as analysts point out. 90 per cent in terms of pieces and 80 per cent by caratage. A loss of a packet of diamonds can cause of a lot of money from your pockets. Therefore there should be an increase in security facilities. sometimes as young as 10 years old. apprehensions have been expressed in some quarters that a number of the small producers would find it difficult to sustain operations on current margins. nor even the levels of activity. Industry analysts believe that as the industry matures and takes its next step forward. Their nimble fingers and sharp eyes enable them to cut these diamonds in remarkable shapes. Security has become one of the major concerns for the diamond industry. No other export segment of the country has such a significant share in the world market. many of the smaller independent producers may find themselves being absorbed by the larger players. India accounts for over 70% of the world exports of cut and polished diamonds in caratage. which would lead to some turmoil. Much has been said about the rising bank debt of the Indian industry and there were a couple of disturbing cases of bankruptcy. Anti social activities and threat of terrorism Antis social activities are on the rise especially in places like Mumbai.Use of child labor Small boys. but while they earn well for these skills many of them find their eyesight getting progressively weaker as they grow older.

Not any more. One is the lack of skilled manpower and technology to create and produce designs for the international markets. it is only natural that debt figures will show an increase as well. Indian firms will have to tightly control costs and prices.on the upswing. What is significant however and a sign of the maturity of the players is the process of self-regulation adopted by the industry. and that the country has for long been the world’s leading manufacturer of cut and polished diamonds. The council is hoping to tackle this by setting up a training institute. in the form of a pact on trading norms. these will be implemented through a consensus in the trade and interaction with the banks to encourage them to accept these as well has also got underway. But behind the scenes. who refused to accept what the numbers were saying. there were more than a fair share of skeptics. In fact industry analysts are now voicing their opinion that many of the Israeli sight holders have actually been manufacturing their goods outside the country over the past two years and that Israel was being used only as a transit point in the supply chain. Selling cut and polished diamonds yields margins of just 5 per cent to 10 per cent but selling finished diamond jewelry pieces to wholesaler’s overseas yields margins of between 20 per cent to 40 per cent. India has a definite cost advantage and our strength is diamonds today. But there are challenges ahead. Signed by all major trade bodies in the country. Profit margins are also higher in the competitive retail business. . Future Outlook: The Diamond Industry Way back in the mid 1990s. And retailing overseas offers margins of between 40 per cent and 60 per cent depending on the value of the diamonds. The entire diamond world knows that India has a virtually complete dominance in smalls. particularly Israel. Some manufacturers took a step forward in the mid-‘90s and entered jewellery manufacturing. the India centre has been moving confidently to take over a sizeable chunk of the manufacturing of medium and larger stones from other competing centers. when the Indian diamond industry first claimed its rightful status as the world’s largest manufacturer of polished stones.

Exquisite platinum jewellery and designer silverware is also part of the product range. is Tanishq from Tata Group of Industries. Tanishq will use the ‘shop-in-shop’ concept that it already does in 50 stores across different West Asian markets. Though they faced with many difficulty in the early stages they for about six years they then came with up with good strategies The Tanishq strategy for the coming couple of years relies on two things —increasing penetration in the domestic markets and going abroad in order to diversify its revenue portfolio. which can make big in the global market. Tanishq today is India's most aspirational fine jewellery brand with an exquisite range of gold jewellery studded with diamonds or colored gems and a wide range of equally spectacular jewellery in 22Kt pure gold. To push penetration in other markets. to win the trust of the customer. “This reduces distribution costs. . They were the first to come up with the idea of karat meter.Company Profile Tanishq Executive Summary An Indian Brand. Their main core competency is in designing a wide range of products. Tanishq is India's largest.Chapter 2. most desirable and fastest growing jewellery brand in India. for the consumer it remains a Tanishq store and helps us get a foot into the market. Also. which proves the quality of the gold.

In 1992. the government abolished the Gold Control Act of 1962. in 1995. It set up its fully integrated Rs. The plant had the capacity to manufacture four tonnes of gold in a year. 400 million-jewellery plant in Hosur. Foreign investors were allowed to hold up to 50% equity in mining ventures. when the Tata Group joined hands with the Tamil Nadu Industrial Development Corporation (TIDCO) to make a foray into the watch industry. private companies were allowed to enter the hitherto restricted gold and diamond mining industry. From the late 1990s. When Titan launched Tanishq in 1995. 'tan' (body) and 'ishq' (love). Titan launched these products under the brand name of Tanishq. the Vice-Chairman and Managing Director of Titan. allowing free import of gold. as part of economic liberalization. . a blend of two words.Evolution of Tanishq Titan came into existence in July 1984. only the Metal and Mineral Trading Corporation and the State Bank of India were allowed to import gold. Titan was renamed Titan Industries Ltd. Titan's commitment to the jewellery business increased. Titan started manufacturing jewellery watches and jewellery in 1994. Titan scaled the capacity of its Hosur plant to 4. the jewellery industry in India valued at Rs 40.000 crore was mostly unorganized. In 1993. To change its image from a watch manufacturer to a fashion accessories manufacturer. in 1995. was coined by Xerxes Desai.18 million units in 1996 to meet the domestic and international demand. Before 1992. with around 3.5 lakh players. The name Tanishq.

Revenue in million Revenue in million Rupees 2001 2002 2003 2004 2005 2006 2007 2008 2009 .

The Bombay Store. within the Peakok fold a new brand of 18-carat gold-based jewellery called Carbon was launched. Most of its designs were contributed by students at the National Institute of Fashion Technology (NIFT) through the diploma programme which the company sponsored. Carbon products were priced between Rs. In addition. The creation. While the cost of traditional jewellery was negotiable. Germany and India) turned out around 180 to 200 styles in a year. Peakok's team of six designers. manufacture and marketing of Carbon was different from the making and selling of traditional jewellery. At any point in time. Peakok realized that the Indian consumer's relationship with gold jewellery would grow beyond an investment need towards a lifestyle and personality statement. Ebony.. Carbon also sold its products as gift items over the internet. In 1996. Globus. Ltd. It is made available at `shop-in-shop' outlets in large lifestyle stores (such as Shoppers Stop. . (Peakok) was incorporated and Mahesh Rao (Rao) was appointed director. 20. This was achieved by persuading a few lifestyle stores to add branded jewellery to their vast array of products. In 2000-‘01 Carbon's focus had always been to move jewellery from the vault to the dressing table and bring the selling of jewellery out of heavily guarded jewellery stores.Competitors Carbon In early 1991. (headed by Rajeswari Iyer.000 per piece..K. Lifestyle and Taj Khazana) and some premium boutiques (such as the Helvetica in Chennai). Like Tanishq. the cost of Carbon items was fixed and nationally uniform. 2. Besides selling from lifestyle stores. the Bangalore based Peakok Jewellery Pvt.750 and Rs. there are around 600 designs of Carbon on sale. an alumnus of a German design school who had worked in the U. with 75 designs per style. Carbon laid emphasis on design.The brand is available at 50 outlets in 23 cities.

40. Gili distributed its jewellery priced between Rs.Gili Gili launched a collection of traditional Indian ornaments made of 18-carat gold. This collection consisting of tiny. Gili soon realized that just pushing its product was not enough. the 15 to 30 age group.10. the 15 to 30 age group. Gianti. Having captured the low price point market of Rs. The collection was promoted at college campuses with banners. heartshaped diamond jewellery was well received by teens. Gili distributed its jewellery priced between Rs. pendants. to provide customized jewellery to clients in India.000 through lifestyle and department stores across the country to increase accessibility among its target segment. 500 and Rs. Gili also made special promotional offers during festive seasons like Christmas and Diwali. . All Gili products came with a guarantee of diamond and gold quality. pamphlets and a few advertisements targeted at teens. In 1999. earrings. catchy advertising and extensive press coverage contributed to the success of the collection.2000 to Rs. it also had to customize its products for special occasions. Special packaging. necklaces and bangles made of 24-carat gold. the company is focused on penetrating the premium market of customized jewellery. 000. 500 and Rs. it launched a Diamond Heart Collection specially designed for Valentine's Day. This range included rings. Following this. the Gili Gold range was introduced. For this Gitanjali jewels opened a jewellery salon.000 through lifestyle and department stores across the country to increase accessibility among its target segment. 40.

color and clarity of the diamond. Aria. Recently. They even have gold meters where one can check the purity of gold. sizes and designs. Dancing Diamonds etc. Tanishq designs and manufactures jewellery that is breath.It maintains its quality standards in all .taking. Thus it has established itself as a highly ethical player in a market that was rated as having the highest incidence of under karatage (Bureau of Indian Standards). they also make bangles. festivities etc. nose pins.Tanishq promises superior quality jewellery with purity in gold. contemporary and yet has a tint of tradition. Mangal Sutras etc. pendants. Tanishq has started producing diamond jewellery that are affordable and stunning. They claim and deliver the exact carats and weight that they promise. Impurity in gold and not delivering what was promised is one of the main problems the consumers face when going for gold purchase. Dewdrops. It is the first and only jeweller that guarantees the purity of its gold jewellery and certifies the quality of the precious/semi-precious stones in writing. Furthermore. finger rings. Quality Consistency in delivering on their promise . It produces 22 karat pure gold earrings that come in various shapes. The diamond jewellery include collections such as: All Day Diamonds. They eliminated this and have built its brand in trust.4 P’s of Marketing Product Product Variety Tanishq today is India's most aspirational fine jewellery brand with an exquisite range of gold jewellery studded with diamonds or colored gems and a wide range of equally spectacular jewellery in 22Kt pure gold. They also produce products made from silver such as deity idols etc. Some earrings are embedded with precious stones or colour gemstones. Exquisite platinum jewellery and designer silverware is also part of the product range. These jewellery sets are overwhelming and could prove to be apt for occasions such as marriage. Tanishq Solo. chains. These collections come with a certificate of authenticity that states the karatage. Tanishq now stands for quality and purity.

very unorganized. Tanishq is the only jeweler to have a full. . In fact. Every product at Tanishq is painstakingly crafted to perfection. They have the right range of products for the different markets across the globe. Only they have to remember their differentiating factor. Tanishq was recently adjudged the Most Admired Jewellery brand (for the third consecutive time) in India at the Images Fashion awards 2004. This shows that they have a resolute core purpose. Each piece of jewellery is designed by a team of award winning designers.fledged design studio with one of the largest design teams in the country.its products wherever they are sold. Design Widely acknowledged as a design leader. Brand Name "Jewellery is one of the last great commodity frontiers in India. casual and formal. Tanishq has successfully taken on the challenge of transforming this frontier into a reliable consumer space by bringing to it all the virtues and benefits that branding offers". Tanishq is known for its ability to develop specialized design collections. Positioned as ‘9-to-5 jewellery’. Diligent care and quality processes ensure that the Tanishq finish is unmatched by any other jeweller in the country. the collection is stylish and modern and is designed to suit all forms of attire. It has also been judged as the Images Retailer of Year in the fashion category. The differentiating factor for Tanishq will be the experience and quality they will be giving the consumers when they come to the store. This is what they will have to maintain even when they global. western and Indian. it has remained so because this market is very fragmented.

an associate of IMRB. Promotion The Tata Group has promoted Tanishq as a jewellery store brand. To ensure you get the right valuation for your old jewellery. reliable and transparent processes including testing it with the Karat meter. and conducted marketing promotions and fashion shows to enhance the shopping experience of consumers. The company also kept the entry-level price as low as Rs 600 (for a pendant) and offered a range. All Tanishq outlets gave a 100% return guarantee on its brand of jewellery and also exchanged other jewellery after deductions depending on purity. which competes with close to three lakh traditional jewellers who dominate the domestic market. Tanishq launched a direct consumer contact program and conducted surveys to monitor store walk-ins and footfalls and percentage of repeat customers. They welcome you to exchange your old gold jewellery for new designs. which far exceeded that offered by any other jeweler.Services One of the company’s most important initiatives was customer service enhancement. Given the diverse nature of . CSMM tracked customer satisfaction parameters for Tanishq on a quarterly basis. A customer satisfaction measurement program was started with the help of Customer Satisfaction Measurement Management (CSMM). It has launched new collections at a quicker rate than its competitors. use scientific.

The . For instance. A majority of this was spent towards advertising. The idea of such a store was to harmonize the tradition of the past with the modernity of the present. TVS Group. Titan transposed designs by stocking Bengali designs in Delhi. say it in gold'. In 1998. Whirlpool. Keralite designs in Tamil Nadu and typical designs from Tamil Nadu in Bombay in order to appeal to a variety of people. 20 crores to Maruti Udyog Ltd. Tanishq has also endeavored to be part of every occasion in an Indian woman’s life through festive promotions.. 65 million to Rs 100 million in 2000-01. Ceat and Liberty shoes. to be given away as gifts to Maruti car owners. In 1999. it launched the corporate gold gift scheme . Tanishq’s exclusive consumer reward programme etc. launched Jodhaa Akbar collection and managed to get lot of marketing hype. substantial promotions were carried out. which was Tanishq’s single largest market. In 1999-2000 the communication and promotion budget was increased from Rs. Tanishq.000 to Rs 15 Lakhs. The collection is very pricey and suggested retail price is between Rs 25. Titan made the designs more ethnic to satisfy the tastes of all regions. the scheme accounted for almost 5% of the turnover and over 30 corporate clients like Coca-Cola. costing Rs 10 crore.'When you want to say thank you. opened in Kolkata . the UB Group. to set off competition. the first of which. ‘Concept’ stores. By 2001. it made miniature gold cars for Hyundai Motors to be given to select dealers. Tanishq provides Gift vouchers in various denominations for gifting your friends and family. In early 2000. Tanishq delivered gold coins worth Rs.Indian ethnicity. while a portion was also earmarked for promotions tailored to match regional preferences. customer contact programmes as well as through Anuttara. in New Delhi.

500 sq ft. Place Tanishq jewellery is crafted in one of the world's most modern factories. unmatched collections and assured purity. Modern retail values and principles in the selling of branded jewellery in India are almost completely the handiwork of Tanishq. The stores operate on the franchise model. Located at Hosur. The brand has broken fresh ground in retailing by creating exclusive outlets with hitherto unknown in-store ambience and hospitality touchstones.000-1. Tamil Nadu. The factory complies with all labour and environmental standards. ft. Tanishq will invest extensively during 2008 in marketing and retail initiatives to further develop the market. comprising national-level spends (both electronic and print media). the average store-size for Tanishq is 1.Rs 100 million was split into four parts. Tanishq reached the century mark as it unveiled its 100th store in Patna at Hathwa Market. the 135. With a strong presence in 70 cities across India. factory is equipped with the latest and most modern machinery and equipment. Tanishq opened 30 retail stores during FY08. Tanishq has undertaken several unique retail initiatives keeping in mind the customer demand for a world class shopping experience. Following more than 40% percent growth in operations last year. Currently.000 sq. Design and retail innovation have been the hallmark of Tanishq all these years. regional budgets. In addition. Tanishq will build new logistics centres and upgrade existing ones. Tanishq has constantly formulated an innovative product strategy in this journey in line with the evolving consumer tastes. Having embarked on the retail journey a decade ago. Tanishq has quickly become the first choice of discerning customers. taking the tally to 130 stores. As such Tanishq retail identity has evolved over the years to offer large format and concept stores that reflect the brand’s philosophy of being “Revitaliser of Tradition”. direct mail and research. laying a solid foundation to meet future competition. . Tanishq today is the largest jewellery retailer in India.

making it India's first and largest jewellery retail chain. Hoopla. Bandhan and the most recent.onwards the Tanishq range of diamond jewellery is the ideal accessory for the customers. Tanishq has successfully entered key export markets such as the US.Solo. Daytime’s collection of all day diamonds.comprises wearable everyday jewellery which has been designed for the urban working woman. . wearability and value for money. 1. the UK. Singapore and Australia.Besides catering to Indian consumers. Brand Position Tanishq has been projected as an impeachable mark of trust by raising the awareness of the people about unethical practices in the jewellery business and then measuring the gold purity by caratmeter. earrings and finger rings starting from Rs. 2. The jewellery is targeted at customers who are looking for international designs. This attractive offer has been introduced to benefit the customers and provide them with the best price and product options. The 'up to 25 per cent' off offer by Tanishq is a unique opportunity. Lightweights.This collection is crafted using a special process called electro-forming. Pricing Tanishq range of products start at an accessible low of Rs. the Middle East. The new collection starts from a price range of Rs6. 600 and the range .000 onwards and available at all Tanishq boutiques across the country. The Tanishq retail chain currently includes 112 exclusive boutiques in 75 cities. It moves jewellery beyond investment to the fashion and adornment sector.500/. Diva. western and fusion designs. The collection combines traditional motifs in sleek contemporary lines with slight touches of black rhodium.000 onwards. Tanishq also has been positioned as a branded jewellery of luxury rather than commodity. Colours . Tanishq offers gold and gem-set jewellery in over 6000 traditional. which starts at an affordable Rs. Aria.960. The Tanishq Valentine’s Day collection includes pendants. Affordably priced from Rs 2. This is testimony to the brand's ability to craft products that meet the requirements of varied cultures and sensibilities.

Tanishq positioned itself as an international brand for the Indian elite. Keralite designs in Tamil Nadu and typical designs from Tamil Nadu in Bombay in order to appeal to a variety of people. a 9-to-5 jewellery for the working women. Geographical Segmentation Titan realized that.Segmentation Niche Marketing After its inception in 1995 focus on exports. The brand was targeted at a niche market (However they later on 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. Titan also decided to transpose designs by stocking Bengali designs in Delhi. Tanishq's designs had been conceptualized for the Western markets and were introduced in India without any alterations. . it would have to satisfy the tastes of all regions. given the diverse nature of Indian ethnicity. So. the designs became more ethnic.


Set in an international format. it earned the prestigious distinction of being voted as the “BEST JEWELLERY RETAIL CHAIN OF THE YEAR” and in 2008 its design was chosen as “THE MOST INNOVATIVE DESIGN OF THE YEAR” From adorning the likes of Julianne Moore at Oscars 2008 and Nicole Kidman and Joan Rivers in the past to providing exquisite jewellery for Mallika Sherawat at Cannes film festival. The company started as a small Mumbai workshop. ORRA is a part of the world’s largest diamond manufacturing company with a presence across 15 countries headquartered in Antwerp. ORRA has always been the exclusive choice for creating the most stunning pieces of jewellery and works of art. but soon became a network of specialist businesses. Define a diamond's size. These boutiques have become the ultimate destination for the choicest diamonds in the country. A legacy that has spanned centuries. shape or colour and ORRA will make your dream come true .Orra Executive Summary The Rosy Blue Group was founded in 1960 by Arunkumar Mehta and Bhanuchandra Bhansali . Launched in 2004. overwhelming the world with its brilliance can be summed up in one word.000 people ORRA – The Diamond Destination is India’s largest and only exclusive diamond jewellery retail chain. ORRA. ORRA has spread its glow across the length and breadth of India with 31 exclusive high street boutiques in 21 cities. This eventually formed the platform for a global company which provides employment to over 10. It also created a stunning Million Dollar Bustier in honour of Prince and Princess of Belgium. In 2007. each able to successfully fulfill client needs. ORRA has been at the forefront of design leadership and product innovation. ORRA is renowned for its exquisitely crafted Belgian Solitaires. Rocks are crafted into beautiful diamonds by descendants of the legendary 14th century Belgian inventors of diamond sculpting. ORRA has been associated with the crème la de crème of society. Belgium.

the aim is to entice consumers through product offerings tailor-made to their requirements. state the color and ORRA will have a diamond to make your dream come true. With the launch of ORRA. Set in the international store format. At ORRA. ORRA has 33 exclusive diamond boutiques across India. overwhelming the world with its brilliance can be summed up as ORRA. the focus on building inheritance revolved around our international lineage and centuries of presence. These were made relevant to the consumer by stressing on their ramification in terms of product focus. her grace and the invisible glow that surrounds her. diamonds are sculpted to be as special as the person who buys it. define a shape. Whilst the overall positioning is of a serious diamond player. The company has come a long way from sculpting diamonds to crafting the finest diamond jewelry. A word that epitomizes the person it was created for her spirit. A legacy that has spanned centuries.Product Profile Name a size. We have attempted to differentiate our product offerings and create new product concepts. Examples of these innovative and differentiated products • • • • • • Bridal Collection Solitaire Collection Platinum Couples Collection Mughal Collection Spiritual Collection Career Carats . The ORRA color logo draws strengths from our foundation.

Apart from the finest quality of diamonds. ORRA also brings to the forefront. ORRA has presented its collections alongside celebrated international designers like Pierre Gauthier and Ann Demeulemeester from Belgium and Gavin Rajah from South Africa USP • • • • • • • Financial strength and stability ‘Stable’ rough supplies Understanding of market dynamics Pipeline integrity guarantee Strategic downstream partnerships Huge quality and size range from in-house production Global track record in branded and “special cut” programs . the inventors of diamond sculpting. at ORRA. a design skill that has consistently wowed the world.BANKING ON THE RICH DIAMOND HERITAGE ORRA OFFERS THE FINEST DIAMONDS set in artistically inspired designs. ORRA's designers have won several prestigious awards like the De Beers International Award. Antwerp. Discover the luminous drops of mystique all the way from Belgium. Be it a perfectly sculpted solitaire or a classic handcrafted neckpiece. With its design centers spread across the globe in New York. Hong Kong. Define a diamond's size. Tokyo and Mumbai. there is a diamond for every occasion. shape or colour and ORRA will make your dream come true! ORRA diamonds are etched out by artisans who have inherited the 700-year-old legacy of the Belgian Master Craftsmen.

the remaining two businesses fall under Intergold. "Rosy Blue is into diamond polishing.Future Strategies Rosy Blue to set up 40 Orra diamond jewellery showrooms THE Rosy Blue Group. the group also runs one of its five global design centres from the country." STP Analysis for Orra Diamonds • Segmentation – Wedding Segment – Non Bridal Segment – Elite Segment – Corporate Accessory • Targeting – Teenage and youth – Employees of big firms – Addressing Newly Wed – Single & post Marital Acquisition • Positioning – Modern – Special – Young – Ultimate Gift of Love – And Lots of else . exports and retail in India. Apart from its presence in India being marked by two separate ventures. While the polishing business is a separate company. the Chief Executive Officer of Orra. is planning to invest Rs 90 crore in setting up 40 exclusive Orra diamond jewellery showrooms in India over the next three years.

000 at the entry level and up to Rs 10 lakhs for the high-end jewellery. Promotion • • • • Used commercial ads to recapture the brand's heritage since Orra has been around for 116 years and it was essential to portray its rich tradition. Segmentation: due to its premiere pricing it generally aims the elite group.Positioned as an ‘Only Diamonds Store.’ it aims at bringing to the consumers the finest diamond jewellery in a world-class retail setting.Pricing • • • • The Orra range has been priced at Rs 5. USA. Targeting: traditionally like all jewellery brands orra also targeted the female population but above de age group of 20. ORRA has had a long and successful association with the Hollywood and Bollywood. Rosy blue was associated with IIFA 2006. Retail strategy. Place • • • Orra operates in various parts of the world including Asia. They cater to their customers through retail outlets and online transactions. They also have various tie-ups with other jewellery outlets to market their brand . Middle East and Europe. Orra had a scheme to sell gold at a fixed price.

PN Gandgil Haoorilal. Minawala. Mahesh Notandass.Comeptitor Analysis Branded Segment Competes with approx. Anmol. 300. Punjab Jewellery. Joy Alukkas. Notandas.000 traditional jewelers in the domestic market such as TBZ. etc… SOURCE OF DIFFERENCE SALES TURNOVER (in Crores) TARGET CUSTOMER ROSY BLUE GITANJALI TANISHQ JOY ALUKKAS RELIANCE JEWELS 7200 4832 3520 3350 800 Upper Middle & above Middle & above Upper middle & above Customer Schemes Middle & above Theme based advertising Middle & above MARKETING STRATEGY Events Advertising Press releases . Nirvana. GRT-Chennai. Prince Jewellery. CKC – Banglore.

Indian Market for Diamond Jewellery PREMIUM POPULAR MASS .Competition Profile .

Market: The research has been done only on 2 companies i.e. we may think of research objective as falling into a number of following broad groupings:     To gain familiarity with a phenomenon or to achieve new insight into it. which is an offshoot of conclusive research. internet websites) . The researcher has to decide the method to be used that helps him to get a desired direction in a systematic way. Tanishq & Orra Data collection: Source of data for this project was secondary and was collected through secondary sources (published material i. Conclusive research is designed to help executives to choose among various possible alternatives to make a viable business decision. Though each research study has its own specific purpose. journals and magazines. “Accuracy of the study depends on the systematic application of the method”. research survey is being done. newspapers. Further this research was of descriptive type.Research Methodology Research methodology is a strategy that guides a research in providing answers to research questions and for this.The data used was mainly secondary in nature collected from various articles.e. To collect as much information about the jewellery industry as possible To do a comparative analysis of major players in the industry Scope Area: The area aspect was not taken into consideration so much because the research was basicaly based on secondary data. The research approach for this study was conclusive research. To test a hypothesis of a causal relationship between variables. and mainly internet Objective The purpose of research is to discover answers to questions through the application of scientific procedures. The main aim of research is to find out the truth which is hidden and which has not been discovered as yet. The problem for this research was non-operating in nature .Chapter 3.e. as well as from electronic media i. journals.

The objectives from visiting the stores could not be fulfilled as the people were not willing to give much information. • • In the given timeframe only secondary data collection was possible. • \ .Limitations • Since most of the companies undertaken for research were non listed the financials of the companies are not available. Eros being a North Indian company lacked outlets here in Bangalore.

Chapter 4.Comparative Analysis Strengths • Purity (karat meter) • Distribution network and retailing store • Award winning designs • Diversity • Competitive prices in jewellery gold/diamond/platinum Opportunities • Global markets • Low cost jewellery • Customized jewellery designs • Concentrate on Gen-X by having trendy jewellery • Expand retail stores Weaknesses • Escalated gold costs mean lower Threats • Competition • Lack of Skilled workers • margins Gold not seen as a source of investment Tanishq .


is the image perceived by the common people.ORRA Chapter 5. only for the rich. Strengths • Financial strength and stability • ‘Stable’ rough supplies • Understanding of market dynamics • Pipeline integrity guarantee • Strategic downstream partnerships • Huge quality and size range from inhouse production Global track record in branded and “special cut” programs Global presence Weaknesses • Doesn’t cater to the middle and lower strata of the Indian society • Not very well known among common people • High profile. Indians have realized the importance of technology in the diamond trade and have upgraded their facilities to a great extent. extremely expensive. Opportunities • Better strategies • Change image as perceived by common people • Easy and convenient store locations • Cater to all levels of customers advertising and marketing • Increasing Threats competition from retail jewellery houses • Local customers prefer local jewellery houses rather than high end boutique stores. We make use of the latest automated machines. technology and tools.ORRA .Conclusion Today India is the largest manufacturers of diamonds in the world.

The polishing and marketing of diamonds has gained more importance. 80 percent by volume and 90 percent by way of pieces. It will not be difficult for the industry to grow by five to ten percent in terms of value because of our sizes of firms and our labor force. Though the Indian diamond market has a large share when compared to other markets. But a share of larger than seventy five percent will be difficult because of competition from other new markets. India has 55 percent by value. The diamond industry should also look more into fancy and colored diamonds. the mining companies themselves setting up manufacturing and polishing facilities and the rest of the market consists of high quality and colored diamonds. The government will have to take steps in stopping illegal activities and threat of terrorism.There cannot be a control on the amount of rough coming into our country. they will have to work hard for maintaining this position and will have to make continuous changes and innovations. which is the latest trend. They should also look into the new shaped diamonds that have been discovered. . Though this being the current situation. New markets and centers have started emerging and stones similar to small traditional Indian goods types are being polished in China and even in Thailand and Sri Lanka.

erosjewellery.cms Economic Times 2007.www.sheetalgroup. Sreeradha D Basu Tanishq official website .com/ E-bay Shopping website . www. The Hindu Business Line .com Management students forum .com www.kiah.14 Business Standard .net www. _do_your_bridal_shopping/rssarticleshow/msid-2621101.www.cms .27 Jun. Vidyalaxmi & Preeti Kulkarni www. 13th edition Web • • • • • • • • • • • • • • • • • • • • • Case Studies and Management Resources .in Economic Times www.icra. Koshy and www. Pearson Prentice eticsJewellery/Gitanjali_Tanishq_Adora_expect_50_sales_growth/articleshow/3169571.Bibliography Books Marketing Management by Philip Kotler.http://www. Moneycontrol.thehindubusinessline.

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