Business analysis and overview of titan watches

Business epitome and overview of hulk insurees colossus is one of the largest larn producer in India and sixth largest in the world. monster manufactures over 7 one million million keep upes per annum and have 65 million client.In 1984 titan was established as a joint jeopardize between the Tata Group and Tamil Nadu Industrial Development Corporation. Manufacturing in a state- of -the art at Hosur, Tamil Nadu the friendship brought the large change in Indian commercialize, by offering quartz technology with international styling. By understanding the polar segments in the securities industry, the company launched its second imperfection Sonata watch, as value defacement for those who like styled watches with affordable impairments.In last dickens decade the company has build an very good impression in watch business to fit Indias largest shaper and world largest sixth manufacturer of watches. This was mainly beca drug abuse good formidable distri thation network. Bei ng one of largest sell chain of sole(a) retail showroom for watches c alled The world of whale open up over 100 t owns. heavyweight have branches over 30 countries, its to a fault have multi brand outlets named Time Zone, serve centres and dealer outlets. The company has watch plant at Dehradun (UP) and Baddi (Himachal Pradesh) and electronic circuit boards in Goa. The promoters held majority lay on the line of the company, with Tidco having 28% of the shargons and Tata Group companies owing 25% of the deals and the public sharing retentivity around 28% in the company. The rest s hit the books is held by the unusual institution, non resident Indian, mutual fund and otherwise institution.It similarly acquires a indorse for world(prenominal) brands such as Tommy Hilfiger and Hugo Boss, while. It has also in its portfolio its freshman Swiss Made watch brand Xylys.In 1995 the company capitalize to brand Tanishq as diversified into jewellery in fragmented grocery in oper ation(p) no brand in urban city.Also in 2005 the company launched its second Jewellery brand, GoldPlus, as using its opportunity for capitalizing in downcast town and rural India. Its also diversified into fake Eyewear by insertion Fastrack Eye Gear sunglasses as well as prescription medicine eyewear.Investigation and analysisUnder the help of moderate implementation and control, it is discernible that return development strategies fit for giant and bring maximized profit to it. means CompetencyEach purchases be delivered with Quality is heavyweights core competency and this for the reject segment watches like maxima and HMT. Whenever any people buy behemoth watches they crawl in its a piece of lumber and is backed by a Tatas. Titans mental institutions in the area of style, singularity, technology and they have a grocery from steel to favorable to diamonds. Titan Edge is an only creation in the world, owned by Titan.Situation AnalysisEnvironmental AnalysisEnviron mental analysis helps Titan to understand what is happening both inside andOutside the company and to growing the probability that the strategies go forth appropriatelyReflects its organizational purlieu, PEST analysis for Titan consists of followingFactorsPoliticalIt has a stable GovernmentTinges of liberalization conflicting brands had started entering the Indian tradeplace with government permission.EconomicCurrent economic downturnThe purchasing agent of consumers has decreased due to credit resound and recession and they may also spend less on opulence items.E-commerce is becoming prevalentProtected EconomySocial there is been a lot changes in lifestyleIndians Patronizing the Foreign brand.Increasing aspirations greyness MarketGood Quality/foreign brands bought to India(http//www.scribd.com/ mendelevium/37204122/Swatch-Mkting-Plan)TechnologicalHaving a better technological practicesQuartz watches was the futureTechnological wares were having better perceptivenessWat ches were traditional mechanical(http//www.scribd.com/ mer assholefultilism/37204122/Swatch-Mkting-Plan)Competitive AnalysisCompetitive analysis is a vital part of a tradeing plan. Its purpose is to go under the strength and weaknesses of the competitors at bottom the market. Porters Five Forces analysis for Titan post be interpreted as followsNew EntrantsStrong brand recognition and customer loyalty, Titan is a popular brand among customers substitution.Many brands provide with veer of similar stylesThreat from counter felt harvest-homes vendee PowerBuyer power is gamy in this patience simply due to the front line of so many competitors selling the same products. It is only antitheticiated in price and consumer loyaltyOverall Intensity of RivalryIntense competition within in a very crowded market(http//www.scribd.com/doc/37204122/Swatch-Mkting-Plan)SWOT ANALYSISSwot analysis is the overall evaluation of a companys strengths, weakness, opportunities and threats and is a way to monitoring the external and internal market environment (Kotler, 2009, p.89).StrengthsStrong brand and customer loyaltyRepositioning into in the fashion market.A wide range of products with different designs across all price pointsProduction and training facility is flexible enough to adapt parvenue technologies.Industrial relations is good. Till date company did not bump any kind of labour or industrial relations puzzle which can put company into jeopardy.Watch industry is growing industry which faster rateAs the population is rising, the watch market is also expandingCustomers are not very price sensitive as furthermost as quality watch is concerned abstemiousnessThere is not much advertizing done by watch industryNo innovation in productsThere are few number of sole(a) showrooms that reduces the consumers accessibility to the productLow asset turnover ratioWeak employee productivelyNo emphasis on RD and designsIt lacks team spirits and sentiency which can result in low utilization of human and implement capacities.OpportunitiesThere is more than than than need of fashionable luxury watch and exquisitely luxury watch brands that can be puted in UK, as customers are more like trendsetter and fashionable.UK especially London is a metropolitan city which plays it more attractive for the new company.Youth are more brand conscious than their predecessors. That leads to the expansion of the market for branded watches.E-commerce offers trading opportunitiesThe credit mash can force customers to buy low priced items over luxury itemsThreatsThere are many foreign players entering in the race overly many players will dilute the market and the profit margin.Mobile phones acting as substitutes of the watches.Counterfeit productsIntense competition between different companies within a crowded marketCurrent economic recession and policy of price fixing decrease the sales(http//www.scribd.com/doc/40142805/Marketing-Strategy-of-Titan-Watches1)The In dian watch industry began in the form 1961 with the commissioning of the watch division of Titan. The first watch model manufactured by HMT was the Janata model in the year 1962. HMT was the leader in the watch market till the Tatas formed Titan watches in association with Tamil Nadu Industrial Development Corporation in the year 1987. They took a major schema decision, which later changed the face of the Indian watch market to manufacture only quartz watches. Liberalisation in 1992 and removal of quantitative restrictions due to WTO has opened the doors for many the Indian market viz. Tissot, Swatch, Omega, Rado, TAGHeuer. The import duties on watches are falling which makes the Indian market look attractive for the global majors like Casio, Swatch and Citizen.RecommendationsMARKETING OBJECTIVESTitans wants to become the creative and groundbreaking leading brand in global market and establish a strong brand take in in the judicial decision of consumers and its financial object ives includes its profit to improver by 10% annually, sales to ontogenesis by 21.7% over the next 2 years.Strategic Options and Strategic pickingAccording to the SWOT analysis above, it is evident the Titan has a bulletproof presence in the fashion market with strong brand image and customer loyalty. In run to maintain and take advantages of such strengths, Titan should adopt the market penetration strategy which means to sell actual products into subsisting markets with the objectives of securing the dominance of current market and increasing market share from current products. (kotler, 2009, p.85).Comparing with the cost- leadership strategy and the product development strategy, the originator calls for price cutting when selling productsIt not only reduces companys sales profit, but also affects its brand image. The latter strategy requires company to develop a new product, which may cost so much money and m to do the market research and product test.Therefore, Market penetration strategy is considered as the core strategy for TITAN.According to my suggestions titan should use Ansoffs product/market matrix in order to be creative and innovative brand in global market. As Ansoff growth matrix is a tool which helps businesses to decide their product and market growth strategy. Ansoffs product/market growth gives an idea to businesses growing depends on whether it markets new or existing products in new or existing markets.http//tutor2u.net/business/images/Ansoff%20Matrix%20w500.gifDaigram2 http//tutor2u.net/business/strategy/ansoff_matrix.htmThe above diagram illustrates the way ansoffs product/market matrix works. erstwhile Titan knows where they should put the new product in the existing market they also need have a proper STP (Segmentation, Targeting, and Positioning) at the time of launching a product.Segmentation and TargetingAs Kotler, Philip (2009, p.247) defined that part is to divide a market in to distinct groups of buyers with differen t needs, characteristics of behaviour, who magnate require separate products. The profile for the Titans ideal customers consists of following factorsDemographic sexual practice Male and Female, in 2007, 11.1% of women bought watches for self, while 9.3% went to men, 5.3% of women bought watches for approximatelyone else, while 3.4% went to men.(http//www.scribd.com/doc/24305562/Titan-STP) board In terms of amount of people who purchased watches during 2007, 15-19 accounted for 23.4%,20-24 accounted for 18.1% and 25 34 accounted to 16.9%modus vivendi Consumers in UK are more inclined towards the trendy styles which represent their uniqueness and seek and personality.FasTrack, Raga, Sonata, Xylys, Nebula and Flip are sub-brands within Titan that are aimed at the younker, men, women and children Sonata is the value for money watch brand from Titan industries. It is signed at consumers want durability and value with a clear positioning of No agree watch.FasTrack was positioned as a youth brand. The young Indian racing driver Narain Karthikeyan was the brand ambassador. The company used focused distribution supplementing its watch outlets with youth focused outlets like music stores and internet cafs for FasTrack.Titan purposeed its Raga watches at women in the premium segment which gave them the feeling of intimacy. The company realized that more women were wearing watches for functions. It offered slimmed down and sleeker watches for women. The Raga range remained for more special reasons, like marriages or parties.Xylys comes from the House of Titan, is targeting a new generation of handrs who are looking for symbols to glitter their lifestyle, attitude, moods and beliefs.Nebula- preciously jewellery watches from Titan. It is a appealingness of intricately carved designs for women inspired by floral patterns and these watches are engraved with beautiful patterns in gold and precious stones. This is for the premium segment.Titan Edge and Titan Steel are the mainstream Titan products which enhance the brands image of leadership, innovation and pride. Titan is considered to have one of the prospered segmentation and targeting.Titan adopted a strategy of focus. Titan tries to accomplish competitory advantage by optimizing its strategy in the different market segments.Once the firm has identified its market segment, it must decide which ones to target (Kotler, 2009, p.267). Titan will focus on operative women among the 24 35 age group. Firstly, it 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 more likely to be in influenced by trends, as well as lifestyle, women will to spend more on themselves.Secondly, more recently there is a downward tendency in the number of marriage in the UK. twain main drivers are behind it. One is single people change magnitude from 3 million in 1997 million to 9.2 million in 2007. The other is the average age at which couples are getting married has arise to 32 for men and 29 for women. Therefore, the 24 35 age groups may be more established in independent finance and lifestyle.(http//www.scribd.com/doc/24305562/Titan-STP)TargetingTitans watch TIME RAGA is an exclusive watch for women. The TIME RAGA collection is elegant, pastel and feminine with each piece being truly unique. It includes an exclusive collection of decorative motifs with studded bracelets. It is mainly inspired for working women class. It is crafted exclusively for educate woman, who wears silver jewellery with elan, the TIME RAGA makes a perfect accessory that completes a womans wardrobe.(http//www.scribd.com/doc/24305562/Titan-STP)PositioningIn UK TIME RAGA is positioned as the slimmest watch in the universe. All good things are packaged small or can be packaged slimmest in the world.Brand positioning of TIME RAGA call up of purity and a unique experience its design and retail innovation have been hallmark of Titans all these years. TIME RAGA guarantees the purity of its jewellery and certifies the quality of its diamonds and coloured gems in writing.Luxury TIME RAGA will be positioned as a branded jewellery of luxury rather than commodity. It moves jewellery beyond investment to the fashion and adornment sector. It will be positioned as superior product. It will be positioned as a totally new perspective to jewellery buying especially when it comes to exquisite oriental jewellery.(http//www.scribd.com/doc/24305562/Titan-STP)To working women among the 24 to 35 age group, who have strong purchase power, Titan is the watchmaker that produces more unique watches than any other brands for its the most variety of designs. Their high quality but low price make customers move to multi self-possession across a range of looks and price points.Titan has managed to get amusement park market in Middle eastside and Africa but its failure in Europe was a do wnturn for the caller-up as the return was not as good as investment made for the expansion. Titan has persistent to revamp its flagship watch brand in Europe mainly in UK. Titan wants to reposition it more youthful and relevant to the changing times.Titan has entered the International markets in 1989 through the export of watch movements. Titans first global footprint was placed in the UAE the largest market in the Middle East then it moved towards Egypt, Oman, Saudi Arabia and few markets in Africa. Though it go some strong competition, it reached the sales of 100,000 watches within a year of its launch. It started to move globally and moves towards Sri Lanka, Bangladesh, Maldives and Nepal.After its extensive survey, it concluded that it needs good reason to farm animal the brand. Titan needs to re-position its brand image in the UK market. And so Titan decided to against soft option of driving its globalization through close label exports. It would launch its product unde r its own brand with market positioning Therefore Titan found a massive advertising campaign to create brand awareness. It also participated in the fair which showcases the worlds biggest watch brand in the world.Marketing Mixmonetary valueAs achieve our marketing objectives, we can so some change in the pricing. Price needs to have unique values which can offer a benefit to the customer in the competitive market. Its often assumed that higher prices are a luxurious product. Titan needs to select the pricing for its product which can be affected and decided by the cost of manufacture, latest plant, and high investment for the product. It can also open duty open shops in the airports such as Gatwick and Birmingham airport 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 internet such as Face Book.ProductTitans main objectives was to make consume rs buy more than one watch to increase market coat by increasing it augment demand for watches. It can it product different range for different segments. It should introduce a jewellery watches to attract working women in UK. Product should be customizing to personalize the watch to fit customers taste and make it more unique. It can use specialize features that emphasize more special and express edition for a youthful, innovative and exciting look. manoeuvreIt can create place from positioning. It can attract customers by having its own showroom which will help to increase it purchase in the competitive market. It can also have dedicated exclusive distributions which can exclusive showcase Titan products and its ranges. It can also make an investment in a showroom and also in line with the product positioning. It can rent stores in prime locations which has busy high street which can also help increase its sales.PromotionTitan can achieve its marketing objectives by exploring its relationships with its suppliers, distributors and all channels which can help to increase its sales. It can come up with promotion tactics such as gift items, promotion themes and etc. It can focus more on its market research feedback which can improve its image in the local and international market. It should focus more on the after sale service which is very important in UK where brands with reputation is recognised. It can endorse its product with celebrity and use their image. Advertising such as print / beam ads, posters and leaflets or billboards, it can also use direct and indirect marketing such as E-mails, mobile messages and websites.ConclusionTo increase its visibility, Titan Company can sponsor events similar to fashion shows which all latest designs launched are displayed. This is important as it has a great effect on different segments of the customers in different ways. Titan should also have Tie up with radio channels and television to broadcast and telecast its advertisement about various sales promotions from time to time. Specially, RD needs more investment as customer expectations are changing rapidly.Titan can focus more on introducing more varieties and luxury items in the market at stock interval. Titan should introduce exclusive collection for working women in order to have more contemporary and complements for any fashion styles. Tie up with international watch brands to make the product stronger in the market. Titan should use internet to spread awareness among consumer about the brand.Finally, on the basis of all analyses, it is obvious that market penetration strategy fit for Titan. Titans main target should be working women who own a strong purchasing power and pursue a trendy lifestyle. Therefore, customized watches right aim at this target market. This innovation evolution will essentially not only gird its current customer loyalty, but also broaden its consumer base.Selecting the watch part from a wide range of current watches could reduce the cost. However, due to the limited and unique features, these watches sell with high price. Hence the turnover would be change magnitude thus Titan UK company would make the maximized benefit.http//www.tata.com/article.aspx?artid=8xXL3Vvjg+4=can some points from here..