A PROJECT REPORT ON

MARKETING STRATEGY OF TITAN

SUBMITTED TO

ATHARVA INSTITUTE OF MANAGEMENT STUDIES

In partial fulfillment of the requirements for the degree of

MASTER OF MANAGEMENT STUDIES

SUBMITTED BY

NADAR LIVIN RAJ ANTHONY

2017-2019

Project Guide
PROF. GANESH APTE

ATHARVA INSTITUTE OF MANAGEMENT STUDIES

Malad-Marve Road, Charkop Naka,
Malad (West), Mumbai 400 095

1
 A PROJECT REPORT ON

MARKETING STRATEGY OF TITAN

SUBMITTED TO

ATHARVA INSTITUTE OF MANAGEMENT STUDIES

In partial fulfillment of the requirements for the degree of

MASTER OF MANAGEMENT STUDIES

SUBMITTED BY

NADAR LIVIN RAJ ANTHONY

2017-2019

Project Guide
PROF. GANESH APTE

ATHARVA INSTITUTE OF MANAGEMENT STUDIES

Malad-Marve Road, Charkop Naka,
Malad (West), Mumbai 400 095

2
 DECLARATION

I hereby declare that the project entitled “MARKETING STRATEGY

OF TITAN” submitted as a part of the study of M.M.S. Degree is my original

work and the Project has not formed the basis for the award of any other degree,

associateship, fellowship or any other similar titles.

Place: MUMBAI Signature of the Student

Date: (Nadar Livin Raj. A)

3
 CERTIFICATE

This is to certify that the project entitled “MARKETING STRATEGY

OF TITAN” is the bonafied work carried out by NADAR LIVIN RAJ

ANTHONY student of M.M.S., Atharva Institute of Management Studies, during

the year 2017-2019 in the partial fulfillment of the requirements for the Degree

of Master of Management Studies and that the project has not formed the basis

for the award of any other degree, associateship, fellowship or any other similar

titles.

Place: MUMBAI

Date:

Signature of the Guide Signature of Director

4
 ACKNOWLEDGEMENT

I take this opportunity to thank all the people who have helped me through the
course of my journey towards completing this project report. To begin with I
would like to sincerely thank my mentor Ganesh Apte for the guidance, help
and motivation. I would also like to thank Dr. Sujatha Pandey, Director
AIMS, MUMBAI. Special thanks to my parents, for their love, support, trust
and blessings which enabled me to complete this Project work.I perceive this
opportunity as a big milestone in my career development. I will strive to use
gained skills and knowledge in the best possible way, and will continue to work
on its improvement, in order to attain desired career objectives. At last I bow my
heads before Almighty for his blessings.

Place: MUMBAI

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 TABLE OF CONTENTS

SR. No. PARTICULARS PAGE

No.
1 Executive Summary 7
2 Introduction 9
3 Industrial Review 15
4 Brand Positioning Strategies 20
5 Brand Re Positioning Strategies of Titan 22
6 Other Strategies 29
7 Marketing Mix Of Titan 38
8 Consumer buying behavior of Titan 42
9 Need Analysis of Titan 44
10 STP Analysis of Titan 45
11 Market Segmentation Procedure of Titan 48
12 Conclusion 57
13 Bibliography 58

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 EXECUTIVE SUMMARY

Today, a wristwatch is considered as much of a status symbol as a device to tell time. In an age
when cell phones and digital pagers display tiny quartz clocks, the mechanical wristwatch has
slowly become less of an object of function and more a piece of modern culture. The Indian watch
industry began in the year 1961 with the commissioning of the watch division of HMT. 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 Tata‟s formed Titan Watches in association with Tamil Nadu Industrial
Development Corporation in the year 1987. Titan was the first company to launch quartz watches
in India. The Indian watch market is today of 40 million units, out of which 60% is in the
unorganized sector in which the maximum number of watches are sold are below Rs.300. Quartz
watches form two third of the organized sector and the rest is split between mechanical and digital
watches. Even in the organized sector, three fourth of the sales by volume comes from watches that
are priced below Rs.1000.

Watch is one of the consumer durables whose replacement rate is very high. The replacement
rate of watch is 33.8 %( Source: India market demographics report, 1998). This is also due to
the fact that the estimated scrap rate of wrist watches is 7.8%, which is applicable after 6 years
(Source: India market demographics report, 1998). So, due to high scrap rate, outdated models,
and the shift from the mechanical watches to the quartz watches it is causing a very high
replacement demand for watches. This along with the low penetration level represents the
untapped market potential for watches in India.

After liberalization of Indian economy in 1992 many international players have entered the
Indian Watch market posing as competitive threat to the Indian companies.

Lately Titan has tried to reposition its Brand to capture more segments of the watch market
retaining the already served market segment. The strategy has been studied in deep during the
project. Many brands and companies are constantly reinvigorating their businesses and
positioning them for growth. There is a constant need to innovate, reinvigorate, update,
recalibrate, or just simply fend off the competition in an effort to better explain "why buy me."

Brand positioning creates a specific place in the market for the brand and product offerings. It
reaches a certain type of consumers and delivers benefits that meet the needs of several key
target groups and user.

The actual approach of a company or brand's positioning in the marketplace depends on how it
communicates the benefits and product attributes to consumers and users. As a result, the brand
positioning of a company and/or product seeks to further distance itself from competitors based
7
on a host of items, but most notably on five key issues: Price, Quality, Product Attributes,
Distribution, and Usage Occasions.

In recent times, consumerism has undergone a sea change. Consumers today are well informed
about the products, as compared to earlier times. Hence, the marketplace has become customer
centric. Recognizing the importance of the customers in the business structure, companies have
started effecting brand repositioning exercises on a regular basis.

In the recent times, a major brand repositioning exercise has been planned by Titan Industries
Ltd. in order to provide more to its customers. The company has first gone for change in logo
and tagline. Then the communication strategy has been revamped to convey its new position.
The present study consists of reviewing the positioning strategies of Titan watches. An analysis
of repositioning strategies of Titan also forms part of the study. The main objective of the study
is to find out whether the loyal consumers of titan watches are aware of the new positioning
strategies of the company and how they perceive them.

Primary and secondary sources of data have been made use of in the study. The first part of the
project, i.e., analysis of brand repositioning strategies of Titan Company has been completed
on the basis of secondary data. For this purpose, internet, journals, books, magazines and so on
have been made use of. The second part of the project comprises of conducting a survey with
the help of questionnaire. The survey is proposed to be conducted on a sample of 50 consumers
who are loyal to Titan Company, selected through convenience sampling technique. The
questionnaire consists of appropriate mix of open ended and closed ended questions. The data
is presented using pie charts and bar diagrams. The conclusion part of the report would provide
an insight of consumer awareness regarding brand repositioning strategies and their
effectiveness in revamping the brand, Titan

8
 INTRODUCTION

THEORY & CONCEPT:

"A business has two - and only two - basic functions: marketing and innovation."
- Peter Drunker

The rapid pace of change and intense competitive pressure in today's marketplace demand that
brands continuously innovate and reinvent themselves to maintain their relevance and market
position. In this context, brand repositioning and other revitalization strategies have become a
business imperative for battling brand erosion. The appeal of brand repositioning is further
heightened by the rising costs and high risk associated with launching a new brand.

Brand repositioning has received little attention in the marketing literature and has mostly
been treated as a variation of brand positioning. Biel, for example, has defined brand
positioning as "building (or rebuilding) an image for a brand". The goal of positioning and
repositioning strategies relates to the management of consumers' perceptions. However,
positioning focuses on the creation of brand associations - consumers' perceptions of the
attributes that differentiate the brand from competitive offers – while repositioning also
implies managing existing brand associations. The unique challenge of a repositioning
Strategy, thus, lies in rejuvenating the brand image to make it relevant in an evolving
environment, while honoring the brand equity heritage.

Repositioning can be required as the market changes and new opportunities occur. Through
repositioning the company can reach customers they not intended to reach in the first place. If
a brand has been established at the market for some time and wish to change their image they
can consider repositioning, although one of the hardest actions in marketing is to reposition a
familiar brand.

According to Solomon, position strategy is an essential part in the marketing efforts because
companies have to use the elements in the marketing mix to influence the customers
understanding of the position. During the movement from something less attractive and relevant
towards a more attractive and relevant position several of strategic choices has to be made. The
ones responsible for the repositioning have to evaluate why a reposition is necessary, and if the
offer is the one who will change or just the brand name. There are several risk factors that have to
be taken into consideration when preparation for a repositioning of the offering or the brand. During

9
repositioning, the risk of losing the credibility and reliability is high and the need for a thorough
strategy is therefore necessary to avoid this occurrence.

Some analyst argue that to successfully reposition a establish brand name is almost impossible
because repositioning of a brand can make the most loyal customer to switch brand. But, in
some circumstances a repositioning is necessary to gain credibility if the brand is eroded.
Whenever a reposition is in question it has to be of relevance from a customer perspective, is
this achievable? Some brands will on no account be thought on as a luxury brand and therefore
an attempt to reposition will only damage the brand image or the actual company.

Numerous failed attempts at brand repositioning testify to the difficulty of developing and
implementing such a tactic. For example, while the soft drink brand, Mountain Dew has
remained relevant to the youth market through continuous repositioning in its thirty years of
existence, Levis' Jeans has been losing market share to newcomers such as The Gap, despite
numerous campaigns designed to reposition the brand as trendy.

The strategic importance of brand repositioning in preserving and enhancing brand equity,
coupled with the mixed results of repositioning attempts, underscores the need to develop a
better understanding of the dynamics of brand repositioning. Specifically, questions of
whether, when and how brands should be repositioned need to be addressed.

Research into brand repositioning is relevant not only to the development of brand management
theory, but also extends to corporate strategy through an examination of corporate brands.

10
 LITERATURE REVIEW:

The repositioning strategy is rolled out in three stages: introductory, elaboration and
fortification stages. This involves the introduction of a new or a repositioned brand, seeking to
underline the brand‟s value over others, and to broaden the brand proposition. It is truly tough
to change the customer‟s perceived attitude towards a brand, and therefore the risk is great that
the attempt to repositioning might be unsuccessful.

After rolling out the strategy, it is time to modify the proposition through update of the
personality and through repositioning. There are benefits and risks with both of this segments
and it is of great significance that they are truly evaluated when deciding the next step in the
process.

Selecting
Establishing the
Appropriate
Brand Proposition
Marketing Mix

- Updating the Personality - Rolling Out the Strategy

- Modifying the - Introductory Stage
Proposition - Elaboration Stage
- Repositioning - Fortification Stage

The implication with the term” repositioning” is that a company modifies something that is
already present in the market and in the consumer’s mind. The definition of repositioning
changes different individuals and professions.

To view the different definitions and perceive a greater understanding about this concept, three
examples of repositioning given by individuals in different professions is stated below:
“Repositioning is a change, principally about trigging the vision, mission and value in a new
direction that is more suited for the brand in the future”.
-Brand manager consultant

“Principally, reposition concerns change the consumer‟s perception of the brand”

-PR- consultant

11
“Repositioning is built upon the change unique and differentiated associations with the brand
in some kind of direction, it is about having a balance between the category party and
differentiation when using reposition strategies”
-Leading brand strategist

From these definitions, it is obvious that reposition is about moving something to a

newer and hopefully to a more attractive and relevant position. The purpose of the movement
differs with regards to what the company wants to achieve. A company might want to reach
out to a larger target group, or be involved in several different positions at the market. There is
also a visible relation between price and quantity aspects. When a company perceives the
market as a demand curve, the purpose is to down stretch or up stretch in this curve. When
moving down it is often spoken of as an expansion down wards, and when moving up and there
is a need for reaching the premium segment and expand up wards.

The principle of repositioning:

When striving towards a new position in the market, it is important to understand that
consumer’s minds are limited. People‟s minds select what to remember and it is therefore
significant to convince the consumers with great argument. The market demand changes
rapidly and therefore reposition can be necessary to meet these demands, newer and stronger
arguments have to be established to convince them to stay as loyal customers.

As stated in the literature, repositioning is a very complicated matter and therefore there are no
detailed theories or models. The aim with repositioning differ from person to person, and the
only connection between all the different theories is that repositioning is moving something
from somewhere towards a greater position at the market.

Corstjens and Doyle (1989) identified three types of repositioning strategies:

(1) Zero repositioning, which is not a repositioning at all since the firm maintains its initial
Strategy in the face of a changing environment;
(2) Gradual repositioning, where the firm performs incremental, continuous adjustments to its
positioning strategy to reflect the evolution of its environment; and
(3) Radical repositioning that corresponds to a discontinuous shift towards a new target
market and/or a new competitive advantage.

12
 After examining the repositioning of several brands from the Indian market, the
following types of repositioning have been identified. These are:

1. Increasing relevance to the consumer

2. Increasing occasions for use

3. Making the brand serious

4. Falling sales

5. Bringing in new customers

6. Making the brand contemporary

7. Differentiate from other brands

8. Changed marketing conditions

It is not always that these nine categories are mutually exclusive. Often one reason leads to
the other and a brand is repositioned sometimes for a multiplicity of reasons.

A four-phased brand repositioning approach can be followed to achieve the

Intended benefits:

Phase I. Determining the Current Status of the Brand

Phase II. What Does the Brand Stand for Today?

Phase III. Developing the Brand Positioning Platforms

Phase IV. Refining the Brand Positioning and Management Presentation

The benefits that can be derived from brand repositioning exercises can be summarized as:

Value over others

Updated personality

Relevant position

“Up to date” image

13
The risks associated with such strategies are:

Loss of focus

Neglecting original customers

Losing credibility for the brand

Confusing the brand

Therefore, brand repositioning is more difficult than initially positioning a brand because one
must first help the customer “unlearn” the current brand positioning (easier said than done).
Three actions can aid in this process:

(1) Carefully crafted communication,

(2) New products, packaging, etc. that emphasize the new positioning and
(3) Associations with other brands

Co-branding, Co-marketing, Ingredient branding, Strategic alliances, etc. Those reinforce the
new brand positioning.

This exercise is so critical to an organization‟s success that the organization‟s leadership team
and its marketing/brand management leaders should develop it, preferably with the help and
facilitation of an outside brand-positioning expert.

14
 INDUSTRY OVERVIEW

History of the Watch Market:

The Indian watch industry began in the year 1961 with the commissioning of the watch division
of HMT. 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 Tata‟s formed Titan Watches in association
with Tamil Nadu Industrial Development Corporation in the year 1987. They took a major
strategy decision, which later changed the face of the Indian watch market- to manufacture only
quartz watches. Liberalization in 1992 and the removal of quantitative restrictions due to WTO
has opened the doors for many foreign brands in the Indian market viz. Tissot, Swatch, Omega,
Rado, TAG Heuer, Rolex and many others. The import duties on watches are falling which
makes the Indian market look attractive for the global majors like Casio, Swatch and Citizen.

15
Indian Watch industry:
Figure 2. Porter‟s five forces model
SUPPLIER POWER

No strong suppliers Lack bargaining

power Rise of China, Taiwan as low cost
suppliers.

DEGREE OF RIVALRY
BARRIERS TO
THREAT OF
ENTRY Increased number of firms
SUBSTITUTES
Cluttered Market Lack Low switching costs
No close substitutes
of Differentiation
Strategic stakes are high

BUYER POWER

Price sensitivity , Buyers‟ Preferences

1. Supplier Power:
HMT has its own fully integrated operation for production of its watches. Titan has its own
production facilities for which it has invested roughly 120 crore rupees over the years, the
manufacturing capacity of which is 6 million units. Also there has been a rise of low cost
producers in China & Taiwan which has provided an opportunity for watch makers to outsource
watches at low cost, just as Titan has done to outsource the components for Dash. Due to the
large supply of watch movements available, there is little supplier power in the watch market.

2. Buyer Power:
The Indian watch buyers are very price sensitive, especially in the lower end of the market.
There is still a huge untapped market in India with market penetration of only 20 units per
thousand people while the world average is more than 100. At the same time there are a segment
of people who are willing to pay a premium for watches with good performance and with a
recognized brand name. So understanding the buyers‟ preferences is very crucial in this
industry in order to gain a substantial market share.

3. Entry Barriers:
16
The Indian watch market in the recent years has shown a dramatic increase in the number of
brands available in the market due to removal of quantitative restrictions. So the new entrant
has to have an offering, which can be positioned and differentiated from the other players in
the market. This could be either price or functional or emotional appeal. So the prime barrier
for entry, in the current context, for a new entrant is to build a brand image and price
competitively.

4. Threat of Substitutes:
There are no such substitutes to watch as a product. However, in terms of the companies
offering various variations for watches such as pendant watches and jewellery watches, some
sort of substitution has developed. Rich consumers prefer to purchase watches more as a
fashion accessory rather than simply for its typical use.

5. Degree of Rivalry:
There are many companies in the Indian watch market; however, the product ranges offered by
them are manifold. This makes the competition very stiff. Also at the lower end of the market
it is basically the Value for Money, which differentiates the players. The strategic stakes for
the producers are very high. Titan Ltd., the largest company in terms of market share in the
organized sector has faced losses in the quarter ended June 2001 despite increase in the market
share due to macroeconomic situation. HMT faced a similar situation when Titan was
introduced in the 1980s leading to a sharp fall in its market share.

17
Present Situation Of The Indian Watch Market:

The Indian watch market is today of 40 million units, out which 60% is in the unorganized
sector in which the maximum number of watches are sold are below Rs.300. Quartz watches
form two thirds of the organized sector and the rest is split between mechanical and digital
watches. Even in the organized sector, three fourth of the sales by volume comes from watches
that are priced below Rs.1000.

Plastic as such is not acceptable to average Indian consumers, especially those from the small
towns and rural areas who regard it as cheap and flimsy. They want toughness-which translates
into a good quality metal model at a reasonable price.

Watch is one of the consumer durables whose replacement rate is very high. The replacement
rate of watch is 33.8 % (Source: India market demographics report, 1998). This is also due to
the fact that the estimated scrap rate of wrist watches is 7.8%, which is applicable after 6 years
(Source: India market demographics report, 1998). So due to high scrap rate, outdated models,
and the shift from the mechanical watches to the quartz watches is causing a very high
replacement demand for watches. These along with the low penetration levels represent the
untapped market potential for watches in India.

Major Brands In Indian Watch Market:

The major players in the Indian watch market include HMT, Titan and Timex. The other players
include Westar, Shivaki, Maxima, and SITCO. Foreign brands such as Cartier, Piaget, Omega,
Tiffany‟s and Corrum, Gucci, Longines, Casio, Citizen, Tag Heuer and Espirit are also making
an inroad into the Indian market.

Titan has been consolidating its market share over the past decade. Timex watches, which
entered in India with collaboration with Titan, now independently has also gained substantial
market share.

18
 Segmentation of Indian Watch Industry:

Based on price
1. Mass (Rs.350-600)

2. Popular (Rs.600-900),

3. Premium (Rs.900-1500),

4. Super-premium (Rs.1500-8000)

5. Connoisseur segments (above Rs.8000)

Based on user category

1. Men’s watches

2. Women’s watches

3. Youth watches

4. Kids watches

5. Sports watches

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TITAN WATCHES: BRAND POSITIONING STRATEGIES

Overall strategies:

Since its introduction, Titan has been positioned as a premium brand, providing high quality
products. With its numerous sub-brands catering to different segments, the challenge that Titan
faces is to create a strong brand image. It follows different positioning strategies; these
strategies can also be analyzed as given below:

Attribute Positioning Strategies:

When the company launched its products, it was the first to bring quartz watches to the Indian
market. The company successfully leveraged this to penetrate the market and gain 13.a market
share. Raga, Classique and Regalia come under this strategy. Classique has been positioned as
elegant corporate wear that leaves a quiet, but definite impression and fusion of function and
sophistication. Power dressing now has a new weapon! As Magic in gold and bicolour look,
the 'Regalia' range represents the essence of dress-wear. Raga has been differentiated and
positioned as exclusive watches for women. The Raga and Silver Raga collection is elegant,
delicate and feminine with each piece being truly unique.

User Positioning Strategies:

Titan caters to several user groups- children (the Dash), sportspersons and adventurers
(PSI4000 and Fast track range). The Fast track range is seen as being contemporary, sturdy and
reliable. The advertising, packaging and merchandising of this range is young, vibrant and
„cool‟ (the ad line says “Cool watches by Titan”)

Benefit Positioning Strategies:

The Fast track Digital range offers the customer a functional watch that is also attractive. The
digital watch has a “techno-geek” image, but Titan seeks to differentiate its offering on the
basis of superior style and attractiveness.
Competitor positioning Strategies:

With the entry of several foreign watchmakers into the market, Titan had to counter the threat.
Most of the entrants are catering to the upper end of the market- Omega, Tissot, and Cartier
etc. Titan already had the Tanishq brand in this segment. However, it has tried to reposition
this brand by increasing the price range to encourage more customers.

20
Quality & Price Positioning Strategies:

In the overseas market, especially in Europe where it is competing with Swiss and Japanese
watches, it is positioning itself as „value- for- money‟: reasonably priced (less than Swiss
watches and higher than Japanese), attractively styled and of good quality. In Indian market,
Sonata is a perfect example of Price positioning, titan came up with this segment when it was
facing heavy competition from lower end segment.

21
 TITAN WATCHES: BRAND REPOSITIONING STRATEGIES

New Logo & Tagline – “Be More‟‟

Titan Industries decided to revamp its flagship watch brand, Titan, with the intention of making
it more youthful and relevant to the changing times. The brand, launched more than 24 years
ago, has undergone a major repositioning exercise only once before – five years ago, when
Hindi film actor Aamir Khan was appointed brand ambassador. What followed later was the
„What‟s Your Style?‟ campaign, which tried to increase watch consumption per person, by
suggesting the use of different watches for different occasions.

Beyond Style
Now, Titan wants to move from style statements to personality statements. According to
Harish Bhatt, chief operating officer, watches, Titan Industries, a watch ought to denote the
wearer‟s mood and personality. “With the explosion of options in a person‟s life, our core
consumer is changing. And to keep up with them, Titan has evolved too,” he says. On the
adoption of „Be More‟, Bhatt says that that statement is supposed to denote the aspirations of
consumers to make more of their lives and be whatever they want to be. “The watch allows for
such imaginative travels,” he says.

Titan’s agency, Ogilvy India, has devised a campaign featuring Aamir Khan that encourages
people to find a new strand of their personality every day. It all started with a logo change a
few months ago (the same font in a red and white combination), followed by a campaign rolled
out now.

The ad film opens on a shot of Aamir Khan sitting alone on a roller coaster, stating, „Be born
every day‟. Next, he is seen chasing the shadow of an aircraft on a beach, then, sitting beside
22
a truck driver, in the middle of nowhere, with a trail of chassis trucks behind him. Here, he
asks the viewers to try the adventure of getting off at an unknown station, of exploring unknown
lands.
As he crashes his vehicle while go-karting, Khan waves to the others around him, while
his voiceover explains the importance of making one’s own mistakes. Further on, he talks of
not making your passport photos last longer than three months – you need to constantly
reinvent yourself and adopt a new look every day (cut to shots of Khan’s varied hairstyles and
looks in his movies, shown in an ambient way through posters and T-shirts).

“Shock your reflection!” says Khan, as we see him with funny accessories framing his face.
The next vignette has him practicing meditation while slyly checking out a girl walking past
(„Explore‟). Cut to a shot of children, with Khan explaining how we aspired to be different
people as kids – “let’s revive that aspiration today”. Wearing amour (sword and all), Khan
Reiterates, „Be Born, Every Day. Titan. Be More‟.

Malvika Mehra, group creative director, Ogilvy & Mather Bangalore, says, “„Be More‟ pushes
people to live many lives in one. We want to trigger people into questioning, „Why should we
be single minded and boring? Time to be multi-faceted, just like Titan!”

Khan fit the bill as Ogilvy borrowed from his own life and work and his need to constantly
experiment and reinvent himself. “Be it Mangal Pandey or Lagaan or Dil Chahta Hai, Aamir
always manages to look different in every role,” explains Mehra. “So we showed him doing
things that were spontaneous, such as exploring places or go-karting.” The idea, simply put, is
to live life to the fullest – with Titan being the instrument of such expressive liberation.

23
The Ad Making – Aamir Khan:

The ad was directed by Prasoon Pandey of Corcoise Films; this is Pandey’s third Titan film,
the earlier two involved Khan and his assistant, played by the late Vihang Nayak. The first film
had Khan confused about which watch to match with each outfit he’s packing before a trip,
while the second film showed him delighting a girl in a mall with a watch. “This third film has
a much stronger script than those two,” shrugs Pandey. “It’s about bringing a mindset onto the
screen with a better celeb-brand marriage.”
Shot entirely in Chennai, the film has been shot in a way that suggests that multiple locations
were used for the shoot, as opposed to one city. “We had fast paced shots to spread the look
of the film,” says Pandey. When asked why Chennai, he quips, “Because it was Raining in
Mumbai then!”
Several layers were added to the film. To show the aspirations of children, a young girl was
shown staring at an object and, later in the frame, you see the object is a butterfly – the girl
wants to fly.
“Kids are freer in their thinking than adults and we hope this has been portrayed,” Pandey says.
Even the last frame of the ad, which has Khan dressed as a mock warrior (with an impromptu
utensil serving as his helmet), was made to look like the man had made use of things lying
nearby in a spontaneous way.

24
Titan Raga Signs Katrina Kaif As Brand Ambassador 2012:

September 20th, 2011:

Aiming to widen its appeal amongst Indian women, Titan, India’s most preferred watch brand,
today announced their association with Bollywood’s most beautiful and charming Diva,
Katrina Kaif. Ms. Kaif has been signed as the brand ambassador for their exclusive women’s
watch brand, Titan Raga.

Incepted in the year 1992, Titan Raga has won the hearts of millions. Designed exclusively for
women, these exquisite and elegant timepieces perfectly capture the essence of beauty,
femininity and sensuality. The brand has grown over a period of time in sync with the evolving
tastes of the contemporary Indian woman.

Mr. Ajoy Chawla commenting on the brand said, “Driven by continuous launch of new designs
and collections, Raga has witnessed a 27% CAGR in the last 5 years and will be Rs.400 crore
brands this year! However, the potential in the women’s segment is still huge as watch
penetration even amongst SEC A/B women is still very low. A brand ambassador will help to
make the watch a desirable accessory amongst women.”

Further talking on their association with Katrina, Mr. Chawla said, “Titan Raga stands for
beauty, femininity and sensuous self expression. While embodying these core values, Katrina
also symbolizes the changing face of the successful, graceful and contemporary Indian
woman.”

25
Talking about her association with the brand Katrina Kaif said, “(Smiles) Titan needs no
introduction, this vibrant and „up-to-the-minute‟ brand has been touching our daily lives in the
most beautiful way possible. It gives me immense pleasure and satisfaction to be associated
with the most popular and only women’s watch brand in the country. Besides being a
timekeeper that helps me keep up with my busy schedules, it also adds to my style quotient. I
feel watch designs from Titan Raga are truly exclusive and contemporary. I am really looking
forward to the exciting days ahead with the iconic brand “Raga”, which embodies beauty,
sensuality and femininity with great creativity.”

As a brand ambassador of Titan Raga, the renowned actress will play a key role in shaping
brand communication on television, print, outdoor and other media.

New Collections and Designs:

1. Sonata’s sub-brand:
Sonata has launched the Yuva 2008 collection, a series of colourful watches. They are available
in both casual and formal styles to complement the young, new look for college or office wear.
The collection has watches for both men and women at price s starting at Rs 645. They are
available in both gold and steel looks, with both metal and leather straps. Sonata, the watch
brand from the Tata’s, launched the Super Fiber, targeted at the sub-Rs 500 market in urban,
semi-urban and rural India.
The watches have been designed primarily for youth in the 16-30 age group, and will be
available in a price range of Rs 275 to Rs 550. The tag line for this sub-brand is „Super Strong,
Super Style.”

26
The company announced 360-degree marketing campaign for the new offerings. It also
unveiled its TV commercial featuring Indian player Mahendra Singh Dhoni, “in a brand new
avatar”.

2. Titan Raga – Hazel Collection

Titan Raga has launched the Hazel collection, inspired by the hues of nature. Priced between
Rs.2195 and Rs.4000, this range comprises five styles with versions in gold, steel and bi-metal
finish. They are available as bracelets and kadas with textured or patterned look and mother-
of-pearl dials.

3. Octane
Titan has launched the Octane collection of chronograph, multifunction and retrograde watches
for the urban man. The range is described as blending style and technology. The collection has
over 35 styles and is priced between Rs. 5,000 and Rs 7,500.

4. Nebula Celeste
It is a limited edition collection of jewellery timepieces. They are crafted in 18k white and
yellow gold. Prices range from Rs.6 lakhs to Rs.12 lakhs.

5. Raga Crystals
Titan Industries Ltd has unveiled its new Raga Crystals collection of watches in Kerala. The
two new watches, called Venus and Fairy Dust, are available in yellow metal and bi-metal
versions. Venus is priced at Rs.4450 and Fairy Dust at Rs.4750.

6. Titan Stambha
A new ladies Heritage wrist watch ‘Stambha’ signifying fame, prosperity and good luck was
unveiled as part of Heritage collection. Mr.Vijesh Rajan, Regional Sales Manager (South),
launching the watch collection, said that plans are on the anvil to launch one new collection
every month, reflecting the 3000-year old art and cultural history of the country.

A sale of around 7,500 watches has been fixed as a target for this financial year in the Heritage
collection, he added. The prices in the collection range between Rs.5000 and Rs.10000.

7. Nebula Zeus
27
It is a mechanical automatic watch in solid gold for men. Priced at Rs.1,10,000, the limited
edition watch (500 pieces) harks back to an older era of luxury and romance.

The Nebula Zeus watch has been crafted using Swiss made mechanical automatic movement
with gold finish and a sapphire crystal back cover. Other features include an instant start, a
second hand stop device for accurate time setting; 42 hours reserve powers and auto wind
convenience. The watch collection was launched by singer and actor, Vasundhara Das.

8. Raga Shimmer
It comprises of a collection of exquisitely designed studded watches that complement both
Indian-wear as well as Western-wear. Priced between Rs.2995 and Rs.4495, the new collection
comprises watches in gold, steel and bi-metal finishes.

9. Raga Diva
An exquisite range of watches for women in the Kerala market. Inspired by traditional Kundan
work, this collection has been rendered in a delightfully contemporary form. It is priced
between Rs.4000 and Rs.10000.

10. Titan Nebula – Duet Collection

Titan Nebula, the premium 18K gold watch brand from Titan, today launched the Duet
collection – three pairs of specially crafted gold watches for the wedding season. The most
premium collection for this wedding season was unveiled by popular actor Gul Panag.

28
OTHER STRATEGIES

Titan is also trying to reach new customer segments. They are now trying to target all adults
in socio economic classes A&B.
Titan is also looking at innovative retail strategies and planned to launch ten innovative
product collections soon.

5.5 Market share of the Competitor in Domestic Market:

Competitor in Domestic Market Market Share

HMT 19%
Maxima 13%
Rado 7%
Casio 3%

The strongest selling point of Titan is that it is available and affordable. Titan provides watches
for all segments, like from low-cost Sonata for first time user, Fast-track for the trendy young,
Dash for the kids, and the higher priced Regalia and Nebula to the premium segment customer.

The Indian watch market is estimated at 25 million watches a year, where the domestic sale is
6 million watches per annum. The rural segment is the diverse market in the present scenario.
The key success story of Titan is capturing the rural market on a large scale. The range cost is
between Rs.495 to Rs.1200. And the model is available exclusively in all showrooms and is
sold mainly in small-town in India.

Though, The Company faced enormous challenges from its big list of competitor, the company
still in the number one position in domestic market because of the weakness of the competitor.
The company becomes more reliable and more acceptances to the consumer because of its
marketing mix. The company has adopted the new marketing innovation to improve the feature
of the product by time to time.
Though the current financial environment is not in favor, but the company performing well
and saw an increasing trend in the profit chart.

29
The company trying hard to convert its weakness into strengths and threats into strengths and
threats into opportunities by bring revolution in the product style, model, features, pricing
policy, product quality, etc.

Companies certain initiatives and policy such as new innovative design, guarantee, the research
and development, wide dealer network, committed service team, discount and offers make the
company.

30
TO FIND OUT THE BRAND PREFERENCE FOR WATCHES

Environment Analysis:

A. The Marketing Environment:

Competitive Forces

There are lots of competitor in wrist watch segment which directly or in directly affecting the
titan watches industry. The major players‟ are-
Domestic Level:

· HMT
· Maxima-quartz
· Rado
· Casio
International level:

· Espirt
· Swatch
· Citizen
· Seiko

Fashion Houses:

· Dkny
· Gucci
· Adidas
· Nike

Among all these competitors, Maxima-quartz and HMT are major players. The strength and
weakness of the companies varies from segment to segment

Industry’s Role

As there have many competitor exists in this Industry, the competition is too much. Whenever
any company bring changes in its marketing mix, all the companies also implement changes in
their marketing mix to sustain in the competition. By that the structure of whole industry is
changing and affects the competitive forces in the Industry.

31
Economic forces
Economic landscape:

Indian corporate sector is nervous because of current Inflation. This problem occurred not
only in India, but it affected all the countries due to United State financial crisis.

As we came to know from Federation of Indian Chamber of Commerce and Industry

(FICCI) that 64% of the 413 companies are running currently in worst condition from last 6
months.

Consumers view:

As we know that Inflation is in double digit figures, but the people who lives in urban area
or metro city, are having optimistic view towards economy.

People think that the economic condition of our country will be improved in the near future.

Purchasing power of consumers:

Brand Name Purchasing Power(Price) Category

RS.
Fast Track 550-1,430 Youth

Exacta 595-1,430 Lower Middle Class

(Office Wear)
Spectra 650-1,830 Common Class

Royal 960-2,830 Upper Middle Class

Raga 1,420-4,000 Upper Class

Bandhan 1,675-8,085 Couples

Regalia 1,725-7770 Upper Middle Class

Edge 4,500-5,200 Business Class

Nebula 10,000-45,000 Upper Class

32
 The company’s watch sales grew by 18.8 per cent and its income increasing from Rs255.34
crores during the second quarter of last year to Rs303.45 crores during the second quarter of
this year. On the basis of the above table and profit figure we easily understand consumer
buying power in target market.

Spending habit of consumers:

Despite of high inflation, high oil prices and high volatility in gold prices, watch segment of
Titan Industries doing well in the current fiscal. For these, watch segment sales income
increased from Rs.168.83 crore during the first quarter of last year to Rs.171.89 crore during
the corresponding period this year. These data indicate that consumer’s spending pattern is
increasing respective target market.

From the above information we can easily understand that consumers buying more of Titan
wristwatch. There are few reasons behind the growth in sales of Titan.They is as follow.

 Brand name
 Quality of the products
 Features, which differentiate from others
 Attractive models
 New innovation

33
Political Forces:

Political landscape:

In 2004 /05 the new Government came through election in India.

Our new Government took lots of steps to make the global relation as well as some steps to
develop our country GDP, decreasing the rate of Inflation by decreasing rate of Cash Reserve
ratio (CRR) as well as by decreasing the Repo rate. These all steps help the Industries to get
sustain in the market.

As all the steps help the Titan industry to compete in the watch industry. The performance of
this sector for last few years are-

Relation with political officials:

As we all know that TATA group is the one of reputed companies in the world, it really helps
the country development.

Moreover, the companies always want to make good relation with the political parties, because
we know that India is a democratic country which is it- self elected by the people the country.

Legal and regulatory forces

As the titan industries operates their business in the global area, they have to follow lots of
regulatory norms.

The industry can be directly affected by the certain rules such as change in Taxation rate.

34
 Technological Forces:

Impact of Technology:

Changing in technology always play a great role in the target market. Titan decided to
manufacture only QUERTZ (Analog and digital) and not mechanical and they would start plant
to manufacture watches in wide variety in design and prices.

Titan changes the technology in that ways which help in enhance the quality and the features
to increase buyers‟ value. Titan gets advantages in the target market through innovative
technology.

As there is too much competition, if Titan not accept the changes in technology then they can’t
sustain in the market. In premium segment, competitor will capture whole market by improve
technology. And in the mid-price segment, other companies will give a tough competition to
titan.

Technological changes:

The new marketing innovation can bring a drastically changes in the marketing activities of the
company. The new innovations which can differentiate the company from the competitor are


Implementation of Heart-beat checking system in wrist watch.

Implementation of Blood pressure checking system in the wristwatch

Some companies can come with the watches which help in knowing the mood of the person.

35
Socio cultural forces
Tata believes that improve the quality of the life of people and the employee is the primary
purpose of their business. It uses its resources in the best possible way. They also takes some
reasonably steps to improve the quality of life of the people of the areas in which they operates.

Tata adopt the corporate citizenship index, tata business excellence model and tata index for
sustainable development which reflect its commitment to its corporate social responsibility
(CSR). Tata spends 5-7% of its profit after tax on several CSR initiatives

These CSR initiatives are spread across three core areas, such as employee welfare, the
environment and the welfare of the community at large.

36
TARGET MARKET
Identification

The titan industry basically deals in three segments for its watches. They were as follow.

High income/elite consumers

In this segment mainly the consumer who buys a wrist watch as a fashion accessory.

Middle group:

In this segment mainly consumers are like some fashion in their watches. These consumers
would not purchase a watch without comparing various offers in the market.

Lower-income people: this segment mainly consisted of lower- income consumers who want
watch mainly as the time –keeping device and purchase on the basis of price

Media No. Of respondents

TV 46

Magazines 25

Newspapers 36

Hoardings 15

Radio 4

37
 MARKETING MIX:

· PRICE

· PRODUCT

· PROMOTION

· PLACE

1. PRICE:

As achieve our marketing our marketing objectives, we can do some change in the pricing.

The main consideration will be in changing price are followings.

Survival:

In case of some of the watches titan prices them according to the features .The Exacta is a
simple steel watch priced at Rs.600-1,100. As the company also deals with Spectra, Raga
through pricing policy.

Market share:

As we know that 70% of sales in watches come from the lower segment, therefore by pricing
Sonata at 350 onwards with guarantee. Titan prices its world watches which compared equal
to the international players like Calvin Klein where a customer pays 4 times as value of the
world watch, therefore market with low prices to international players to gain market share.

Market Skimming:

In Indian watch industry there is no one offering pure gold watches, watches in pair Jewellery
watches. Here Titan offers their product with the Indian touch in its design, the product, the
love.

38
2. PRODUCT:

Quality and leadership are the two main terms for the Titan. As to achieve the marketing
objectives, these aspects should also be considered.

Product line:

To increase the sales, the differences in the prices of the watches are justified by the features.

Product pyramid:

Portfolio of Titan’s product is of 3 distinct price-range that can be defined in general, as Popular,
Mid, and Premium. At the popular segment, the emphasis is on in volumes but not in margins. At
the premium segment, the emphasis is on profits and image but not in volumes. Obviously,
company giving more emphasis at the top of the pyramid as profits at the top of the pyramid is
very high. This pyramid guided the strategy of Titan.

Product strategy:

Titan was first focused only on the premium segment of the watch market. As per the product
strategy they took, Titan moved in to the mass market for watches. To widen base, Titan created
new segments and increasingly focusing on segments individually. In the past few years Titan has
took a lot of initiatives to focused on specific segments.

Product Quality:

Quality and leadership are synonymous to Titan. It seeks to achieve both through their value for
products compared to their prices.

39
3. PROMOTION:

Promotional pricing:

A. Marketing pricing:

As by opening new shops such as the world of Titan – buy directly from the dealer and hence the
element of middleman is not there.

Here the retailer in this category buys watches for 17-18% lesser than MRP and hence they are
able to get the 17% profit margin on sales.

It is managing to successfully convince to the customer of the perceived value of „WORLD

WATCH‟ using hoarding all around the city, increasing buyer image, trust worthiness, innovation,
differentiation, value for the product.

Price discount and allowances: Every year Titan comes with a price discount sale on the MRP of
the watches. The allowance varies from one segment to another.

a) Creative advertising: Titan introduces a contest on cartoon network in india.com

which invites children to use creativity and design watch.

The prize winning design was launched as a new watch in summer 2002 collection.

Type of advertising: Titan believes in making its ads clean, well made, touch on emotional chord.
As the company is using celebrities or superstars that is Amir Khan for the Titan watches.

b) Promotion on occasion: Titan is one of the company which formally believes in the
policy of promotion the product based on the occasions.

40
4. PLACE:

Keeping in mind about the young trendy and fashionable consumers, Titan distribute its product
and set up „world of titan‟ in different region. The consumer‟s life style in India, especially in
urban area (because the turnover in urban area is 210 million, while the turnover in rural area is 90
million) plays a significant role in the success of Titan.

Time Zone:

Titan Industries brings together the country‟s leading watch brands under one roof, providing the
customer with variety in brands, looks and price ranges and also efficient after-sales service. These
1142 Time Zones located across 89 towns which offer its customer the complete watch shopping
experience.

Value Mart:

These outlets sell surplus stocks of Titan watches at reduced prices. By doing these it offering
fabulous value for money with the same warranty as a regular full-priced watch enjoy. However
these shops would not be placed in the main locations and not working as a normal shops. This is
to make the customer go to the shop rather than the shop calling the customer and hence the
locations are not very suitable for shopping.

Sonata Stores:

A Sonata store is also an Authorized Service Centre for Sonata & Titan brands. Sonata store meet
the large scale demand for the watch and also to attract customers in more. These shops had full
stocks of the watch in demand whereas the others could afford to maintain only limited stock.

41
 CONSUMER BUYING BEHAVIOR:

Cultural

Social

Culture Reference group Personal

Subculture Family Age and life-

cycle Psychological
Social Class Roles and statuses stage
Motivation
Occupation
Perception
Economic
Learning
circumstances
Buyer
Beliefs and
Lifestyle
attitudes
Personality and
self-concept

A. Cultural Factors

· Value, perception, and preferences

· Nationalities, religion, race, geographical regions

· Social class

B. Social Factors

Reference Groups Social Class

Roles & Status

C. Personal Factors

42
 · Economics Circumstances

· Occupation

· Age & Life Cycle Stage

· Lifestyle

· Personality and self-concept

D.Psychological Factors

· Motivation

· Perception

· Learning

· Beliefs and attitudes

43
NEED ANALYSIS

Consumers need:

The demand and the need vary one market segment to another segment on the basis of prices &
quality.

The current need can be satisfied by the following ways in the different segment.

High class: Titan offered Aurum and Royale in gold watch range.They were stylish watches in all
gold and precious metals.

The price is between Rs.20, 000 -1, 00,000.

Middle income class: Titan offered the Exacta range in stainless steel. There were 100 different
models in the range. The prices ranges are between Rs.500-700.

Lower-income group: Titan offered the Timex watches and later, when the arrangement with
Timex was terminated, the SONATA range.

The prices ranges were Rs.350-500.There was 200 different models in the ranges.

Current Marketing Objectives and Performance:

Review of Marketing Objectives

Current marketing objectives of TATA are to strengthen India‟s Industrial base through the proper
utilization of resources like employee and materials. Besides, the company seeks to reach the
height of excellence atmosphere which is free from fear and threat.

Performance Analysis

Titan Industries achieved significant growth during the year ended 2007-08. Watch segment sales
also grew by 17.2 per cent to Rs.918.7 crore. All brands of the company have performed well and
new introductions in gents‟ watches, the Raga Crystal for ladies.

44
 STP ANALYSIS
The STP Process:

SEGMENTATION:
Dividing the market by grouping the customer with similar tastes and preferences into one segment
is called is called “segmentation”.

Segmentation help marketers understand the needs of different customers better and serve them
with better value propositions.

A market comprises of different consumers possessing innumerable tastes and

preferences. Depending on their marketing approach and the nature of the products marketers can
adopt different level s of segmentation. The levels of market segmentation are:

· Segment Marketing
· Individual Marketing
· Niche Marketing
· Local Marketing

45
A) SEGMENT MARKETING:

Marketers target more than one segment when it is not economically feasible to design products
and services for individual segments. The focus of segmenting the market will be on providing
enhanced service to the customer by offering customized products that will satisfy the needs and
wants of customer in that particular segment to a large extent. Segmentation is also sometimes
identifying, capturing and retaining potential new markets.

TITAN PERSPECTIVE

Titan has segmented its business into three main categories:

Mass

Mid-premium

luxury

B) INDIVIDUAL MARKETING:

Individual Marketing is the extreme level of segmentation in which marketers focus on

individual customers.

TITAN PERSPECTIVE

Titan has not applied this for its marketing.

C) NICHE MARKETING:
A niche is more narrowly defined group, typically a small market whose needs are not well served.
Marketers usually identify niches by dividing a segment into sub segments or defining a group
seeking a distinctive mix of benefits.

TITAN PRESPECTIVE
In a study conducted to study the customers of watch market, it is revealed that 42% of them are
youth. So, TITAN tried to target this by:
· introducing FAST TRACK
· price offering from Rs.500(affordable)

46
 · watches with style statements

D) LOCAL MARKETING:
Marketing programs being tailored to the needs and wants of local customer groups. The
prominence of local marketing has also become very dominant.

TITAN PERSPECTIVE
All the products of TITAN are addressed to all the customers as a whole. Localized products are
not available. But some products which are available in UK have some pictures of eminent
personalities on their Dial like M.K. Gandhi, Mr. Jawaharlal Nehru, etc. so that the customers can
identify the product with those dignitaries.

47
 CRITERIA FOR SEGMENTING CONSUMER MARKET:

Markets are mostly segmented on the basis of geographic, demographic and psychographic
factors:

Geographic segmentation:

It calls for dividing the market into different geographic units such as nations, states, regions,
countries, and cities.

Demographic segmentation:

In this the market is divided into groups on the basis of variables such as age, family, size, life
cycle, gender, income, occupation, education, religion, race, generation, nationality, social
class. These variables are the most popular basis for distinguishing customer groups. The
following are some of the demographic variables used to segment the market:

· Age and life cycle stage: Consumer wants and preferences change with age.
These tastes and preferences are not constant and change with time.

TITAN PERSPECTIVE

Titan markets its products for all following age groups:

a) For the age group 12-20, brands like TIMEX, Sonata, etc.

b) For the age group 18-30, brands like FAST TRACK, TECHNOLOGY, SONATA, etc.

c) For the age group 30-55, brands like SONATA, NEBULA, RAGA, STEEL, REGALIA,
BANDHAN, etc.

GENDER:

Gender segmentation has been applied to clothing hairstyling cosmetics, wristwatches, magazines
etc. There are certain brands, which are positioned exclusively for a specific sex.

TITAN PERSPECTIVE

48
Titan markets its product across:

Sex (steel, regalia, nebula, fast track, technology, sonata, edge, flip)

Gents (flip)

Ladies (raga)

Married couples (bandhan)

INCOME:

Marketers tend to segment product and services on the basis of income groups. Nowadays,
companies have recognized the potential of lower end income groups and have started targeting
them.

TITAN PERSPECTIVE

Titan offers its products with a price range to suit the different income groups such as:

- Below Rs.500
- Between Rs.500-1500
- Between Rs.1500-3000
- Between Rs.3000-5000
- Between Rs.5000-10000
- Above Rs.10000

GENERATION

Generation plays a major role in segmenting markets. Every generation is deeply influenced by
various activities. Such influences deeply impact their product purchase pattern.

TITAN PERSPECTIVE

Titan has many products to satisfy all the generations. And through constant innovation Titan
developed many products for new generations like FAST TRACK, TECHNOLOGY, and FLIP
etc.

49
SOCIAL CLASS

Social Class segmentation is influenced by customer choices of automobiles, interior decoration,

clothing preferences etc. The tastes and preferences of the social class also change according to
time.

TITAN PERSPECTIVE

Titan has realized the demand of the society and has marketed its products for each of the following
social strata.

50
First segment:

For this segment, watch is a fashion statement. Titan has ROYALE, AURUM, and NEBULA for
this segment. These products have specialties like European leather, sapphire crystal, scratch
resistant, crafted with 18 ct. solid gold & inlaid with precious stones.

Second Segment:

For this segment also, watch is all about fashion but price does matter to them. In this range, Titan
has RAGA, TECHNOLOGY, and FASTRACK etc. These products have digital technology & of
trendy shapes. Always splash oomph on to your ward robes and smear danger on your look.

Third segment:

For this segment, watch is just an device to show the time. They invest after a lot of thoughts. In
this category, Titan has TIMEX, SONATA, KARISHMA, etc

51
PSYCHOGRAPHIC SEGMENTATION:

Buyers are divided into different groups based on personality, values, belief, lifestyle, motivation,
etc. People within the same demographic group can exhibit very different psychographic profiles.

LIFESTYLE:

People generally exhibit different lifestyle depending upon their income, social group etc. People
usually buy the product which suit their lifestyle

TITAN PERSPECTIVE

According to the life style of people Titan has segmented it‟s product to fit the box. Like in the
luxury section it has NEBULA, AURUM etc. In the mid-premium section RAGA, GOLD-STEEL,
TECHNOLOGY, etc. And in the mass section, it has SONATA, TIMEX and KARISHMA.

PERSONALITY:

Marketers can use personality variables to segment markets. They endow their products with brand
personalities that correspond to consumer personalities.

TITAN PERSPECTIVE

Titan advertises its products by portraying movie stars as user of its products and it offers a lot of
option to its customers.

For example:

In economy category, 60 products

In luxury category, 26 products
In sports & casual category, 76 products
In fashion category, 99 products
In formal category, 14 products

52
VALUES:

Values affect customer behavior in the long run. Marketers can use values and beliefs to segment
the markets.

TITAN PERSPECTIVE

Time has the same value for all irrespective of cast, creed and sex. Still, Titan successfully
segmented its products according to customer values. But it is basically related to type of
generation they are in to. So, the segmentation is also related to that.

53
BEHAVIORAL SEGMENTATION:

Organizations can divide markets on the basis of behavior that consumer shows towards the usage
of the products. Various variables for segmenting market on the basis of purchase behavior of
customers are occasions, benefits, user status, usage rate, loyalty, etc.

OCCASIONS:

Markets can be classified on the basis of various occasions that customers encounter because
people need different products for different occasions.

TITAN PERSPECTIVE

Titan also offers occasion specific products like

Formal-

NEBULLA,
STEEL,
RAGA,
GOLD&STEEL,

Dress wear –
REGALIA,
RAGA,
GOLD&STEEL,
ROYALE.

Fashion-
STEEL,
RAGA,
GOLD&STEEL,
FAST TRACK.

54
BENEFITS:

Market is divided on the basis of the benefits customers seek from the products. Benefit
segmentation can be used to position various brands within the same product category.

TITAN PERSPECTIVE

Titan product has benefits like:

It provides the “TITAN WORLD” SERVICE CENTRE in 174 towns.

It provides a huge product range to choose from.

Its products have good life cycle.

· Usage Rate: The usage rate of a particular product/service can be divided into heavy,
medium and light. Marketers are usually attracted to heavy users than other type of users.

· Loyalty Status: The loyalty status of a particular market can be divided into different
groups, according to the intensity of their loyalty to these brands.

55
MARKET SEGMENTATION PROCEDURE
It is a three step procedure:

1. Service stage:
Here the researcher conducts exploratory interviews and focused groups to gain insights into
consumer motivations attitudes and behaviors.
Then the researcher prepares a questionnaire and collects data on attributes and their importance
ratings, brand awareness and brand ratings, product usage patterns, attitudes towards product
category and demographics, geographic, psychographics and media graphics of the respondents.

2. Analysis Stage:
In this the researcher applies factor analysis to the data to remove highly correlated variables then
apply cluster analysis to create specific number of maximally different segments.

3. Profiling stage:
Here each cluster is profiled according to its distinguishing attitudes, behavior, demographics,
psychographics, and media graphics and media patterns. Each segment is given a name depending
on its dominant characteristics. Market segmentation should be redone periodically because they
change.

56
CONCLUSION

To increase its visibility, Titan Company can sponsor events similar to fashion shows in which all
latest designs launched are displayed. This would have multiplier effect as the latest designs
launched by the company get noticed by different segments of the customers in varied ways.
Tie up with FM radio channels for reminder advertisements and informing customers about various
sales promotion offers from time-to-time.
Invest more in R&D as customer expectations are changing rapidly. Though Titan has got more
product collections, it should focus on introducing more varieties in already existing product
collections. In other words, having a limited but more depth in product collections would be more
advantageous.
Introduce exclusive collection for working women which is more contemporary and complements
both traditional and western wear.
Majority of the population in India live in rural areas. So, showrooms should be set up at places
nearer to them. Introduce cheaper and rough use watches for this segment.
After sales service has to be improved. That is, the process of servicing and repairing of watches
should be made faster. This can be done by ensuring the spare parts availability and training all
sales personnel in Titan showrooms to undertake these tasks.
Tie up with international watch brands and make them available locally.
Make use of internet to spread awareness among consumers about the brand.

57
 BIBLIOGRAPHY

www.titanwold.com

www.tata.com/titan

www.google.com

www.indianfoline.com

www.economictimes.com

58