Brand Study & Advertising Plan for Titan Watches

IMC ADVERTISING PLAN & BRAND STUDY FOR TITAN WATCHESGroup 9 ARCHANA M JAIKESH K JAISHANKAR K KAMALA PRIYADARSINI S VIVEDHINI J B Page |1 TABLE OF CONTENTS EXECUTIVE SUMMARY ......................................................................................................... 1 CHAPTER – 1 ........................................................................................................................ 3 COMPANY PROFILE .............................................................................................................. 3 Watches & Accessories .............................................................................................................. 3 Titans History ........................................................................................................................... 4 About Titan Watch Industry & Products ...................................................................................... 5 SWOT Analysis.......................................................................................................................... 5 CHAPTER – 2 ........................................................................................................................ 7 SITUATIONAL ANALYSIS ..................................................................................................... 7 HISTORICAL CONTEXT.............................................................................................................. 7 TITAN AD CAMPAIGN #1: JOY OF GIFTING................................................................................ 7 Back in 2013: Re-discover the joy of giving .............................................................................. 14 CHAPTER – 3 ...................................................................................................................... 15 HOW THE BRAND EVOLED FROM 1987 .............................................................................. 15 TITAN AD CAMPAIGN #2(1990’S) ............................................................................................ 16 TITAN AD CAMPAIGN #3 ........................................................................................................ 16 TITAN AD CAMPAIGN #4 ........................................................................................................ 17 TITAN AD CAMPAIGN #5 – RAGA ............................................................................................ 18 TAKEAWAYS FROM BRAND STUDY .................................................................................... 22 CHAPTER – 4 ...................................................................................................................... 24 INDUSTRY ANALYSIS ......................................................................................................... 24 MARKET ANALYSIS ................................................................................................................. 26 CHAPTER – 5 ...................................................................................................................... 34 COMPETITOR ANALYSIS .................................................................................................... 34 CHAPTER – 6 ...................................................................................................................... 37 OBJECTIVES OF ADVERTISING CAMPAIGN ....................................................................... 37 TO CHECK THIS AD WORKS OR NOT?...................................................................................... 37 BUDGETING ........................................................................................................................ 37 CHAPTER – 7 ...................................................................................................................... 39 STRATEGY .......................................................................................................................... 39 EXECUTION ........................................................................................................................ 39 CREATIVE BRIEF..................................................................................................................... 39 MEDIA PLAN ........................................................................................................................... 39 EVALUATION ...................................................................................................................... 39 CONCLUSION...................................................................................................................... 40 REFERENCES ...................................................................................................................... 41 Page |1 EXECUTIVE SUMMARY Titan watches, India’s largest organised watch retailer, controls 55% of Rs. 5,000 Crore organised Watch market as per data posted in Business standard on August 20131. Growth of Indian watch industry is expected to be around 20-25% in terms of Value. For the last quarter-ended December 2013, Titan Watch segment’s value saw a growth of 7.5% year-on-year whereas volumes declined by 10%. The Market share of Titan Watches has been around 70% in 20122. In 2012-13, Titan Watches grew by 9.6% to Rs. 1,675.87 Crores. Reason for decline in growth is attributed to Less Wedding dates compared to 2011-12. Malls and Department stores also witnessed lower walk-ins. The brand continued its strong presence on the social media network through innovative digital campaigns, which led to increase in its fan base on Facebook to 5.9 million3. Titan Watches Segment and Target focused Market Targeted Premium Middle-End Mass Market Brands Xylys Titan, Zoop, Fastrack Sonata Our main study is focused on “Titan” (Middle-End). In Titan, Raga was the sub-brand which contributes more to the total turnover during 2005 and it was increasing till 2007. Still major promotions were focused on Raga, where Katrina Kaif has been hired as Brand Ambassador. Previously it was done Rani Mukerjee. During 2005, Titan used Raga as the key driver for the entire brand. Women's watches contribute 34% to the total turnover. Of these, watches priced Rs.1,500 and above were branded Raga and accounted for 24%.4 As of now there are 11 sub-brands under Titan Brand alone apart from Fastrack, Zoop, Xylys, and Sonata. Under this brand there are some sub-brands and they are, 1 http://www.business-standard.com/article/management/titan-readies-own-brand-in-premiumisationbid-113081301080_1.html 2 http://archive.indianexpress.com/news/titan-claims-70--market-share/969828/ 3 Titan Industries Limited Annual Report 2013 4 http://www.thehindubusinessline.in/2005/11/03/stories/2005110301990800.htm Page |2 Titan Tagged (2013) Titan Octane Titan Purple (2011) Titan Raga (1992) Titan Steel (2001) Titan Orion Titan HTSE (2011) Titan Edge (2002) Titan Automatic (2009) Titan Regalia (2001) Titan Bandhan (2003) Titan was launched as a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation in 1984. The main players during that period were HMT and Allwyn. Their first commercial Ad was launched in 1987 which was still known for its Music. Chosen by Xerxes Desai, founder of Titan Industries in 1984 and the creative head of O & M in 1987 for its class and western vibes, the segment from Mozart's 25th Symphony has arguably become Indian Advertising's most memorable track. Starting in 1987 in its pure classical versions, this music has been rendered in countless innovative versions over the years. In this report we have studied the brand for past 25 years and we have done an advertising plan based on it. Titan’s classic is “Joy of gifting” and our proposed plan is to extend to “Joy of gifting through Gratefulness”. Page |3 CHAPTER – 1 COMPANY PROFILE Titan Company becomes a boon to the Indian watch market when it introduced its quartz technology. With India's two most recognized and loved brands Titan and Tanishq to its credit, Titan Company is the fifth largest integrated own brand watch manufacturer in the world. Titan is a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation. Watches & Accessories After Sonata, a value brand of functionally styled watches at affordable prices, Titan Company targeted the youth segment with Fastrack which is trendy Titan Company brought international brands into the Indian market. Tommy Hilfiger, FCUK, Timberland & Police as well as the Swiss made watch – Xylys In addition the company retails personal accessories such as bags, belts, wallets and most recently perfumes under Skinn Brand. Titan Company has India’s largest retail network spanning over 218 towns and 367 exclusive ‘World of Titan' showrooms Titan Company continues to grow and set new standards for innovation and quality. Page |4 Titans History Titan now is the world's largest integrated own brand manufacturer of watches. A major brand player, Titan stakes claim to 60% of the organized watch market, with over 150 million pieces sold across 32 countries collectively. Page |5 About Titan Watch Industry & Products Being the world's fifth largest integrated own brand watch manufacturer, Titan Company has manufactured and sold more than a 150 million pieces the world over. The Titan portfolio owns over 60% of the domestic market share in the organized watch market. The new brand philosophy of Titan, encapsulated in the catchphrase 'Be More', touches this as well as all other aspects of the brand. The Titan brand architecture comprises several collections and sub-brands, each of which is a leader in own space. Notable among them are: Titan Edge - world's slimmest watch based on the philosophy 'less is more’, Titan Raga - feminine and sensuous accessory for today's woman, Nebula - crafted with solid 18k gold and precious stones. Several other popular collections like Purple, Orion, Automatic, Bandhan, Octane, Obaku, HTSE and Zoop also form a part of the Titan portfolio. SWOT Analysis Strength One of the world’s top five and India’s biggest watch manufacturer Different sub-brands under the brand Titan have been successful in their positioning based on Demographic segmentation The quality of watches is impressive. Innovation is core to its strategy. Visual Merchandizing has been Titan’s strength ever since its inception. Good retail network by “WORLD OF TITAN” International tie-ups with Hugo Boss and Tommy Hilfiger. Titan watches are exported in over 40 countries Weakness Rural India does not form a substantial part of customer base. Kids are fascinated with mobile phones rather than watches and incidentally, they show the time. Page |6 High cost operation due to high labour costs is major factor in sales turnover also. Opportunities India is an under penetrated market for watches Global expansion and tie-ups with global watch and Jewellery brand. It also viewed as an individual’s taste and style than a mere timekeeping device. With a changing consumer attitude, people like to possess multiple watches for different occasions and events. Threats From competitors: o Japanese- Citizen, Casio o Swiss- Rolex, Omega, Rado, Tissot, Tag Heur, etc. o Chinese watches Mobile phones and wall clocks are a substitute to watches. The fashion trend keeps on changing Keeping the same trend over long period of time could saturate customers. Hence, resulting in weaker product life cycle. Page |7 CHAPTER – 2 SITUATIONAL ANALYSIS HISTORICAL CONTEXT TITAN AD CAMPAIGN #1: JOY OF GIFTING In 1990’s Titan had a sub-brand “Quartz” and they launched a series of Adcampaigns. Theme of that campaign is “Re-discover the Joy of gifting”. OBJECTIVE OF THE CAMPAIGN In India watch markets were dominated by HMT during 1980’s and perception of watches was different. Titan created a series of ads to make this brand more attached to the heart of person. Because when you gift, the person feels great. So when you want to gift someone, then Watches should come to the mind. 1. Watches should be considered as an essential thing when the concept of gifting comes to the mind. 2. This ad would be suited for all products but need to convince customers to buy “Titan Watches”. 3. This ad focused on National level and it can be identified for all cultural kinds of people. 4. Primary focus was on Emotional Benefit of Product. METHODS Titan made sure that they had more creative ads for this campaign and the strategy they used here is 1. Repetition of ads (more than 12 creatives) 2. Slogan: Re-discover the joy of giving 3. Jingle: Famous Mozart's 25th symphony. All the ads have a same idea and in each one the person gifts, jingle starts, unwraps the gift paper, looks at watch, watch shown in close-up, and finally ends with a slogan “Re-discover the joy of giving”, followed by “Titan”. In each creative, the lead actors demographics varies. Demographics that are focused in the creatives are, Young couples walking leisurely – gifting between couple Upper class couples in a 5-star hotel – gifting between couple Middle class family – gifting focused on family (anniversary) Middle class family – Husband gifting to wife Middle class family – Father gifting her daughter for Diwali Upper middle class – Father gifting her daughter for her Wedding Page |8 College couples – Just to attract fellow classmate Old student presenting gift to her teacher on Birthday Husband gifting her wife gift during their Honeymoon JOY OF GIFTING #1 A couple walking on a park leisurely. Actor hides something in his pocket. Jingle starts !! Next Sequence, actress tries to pull that out and was surprised to see it as a gift. Jingle continues !! Unwraps the cover and was surprised to see the gift in it. The advertisement ends with a quote saying “Rediscover the joy of giving”. Many creative were done for promoting the same Theme. Page |9 JOY OF GIFTING #2 A couple were in a restaurant. Actor keeps a gift in front of her and jingle starts beautifully once again. She unwraps the gift, there is a watch inside in it and she was so pleased to have one like that and jingle still continues. The jingle and ad ends as shown in right side. JOY OF GIFTING #3 In the above commercial ad, a daughter returns back home for vacation. She enters her home silently and she wants to give a surprise. After making a surprise, she gifted something for their parent’s anniversary and its watches. Jingle continues and ends with a quote. P a g e | 10 JOY OF GIFTING #4 In this commercial ad, it was a Festive occasion; the husband enters the room silently and keeps something on the bed. Wife accidently noted that and she founds that to be a gift. She opens find a watch and she looks at mirror by wearing it. Jingle continues and in the end commercial ends without wordings. JOY OF GIFTING #5 P a g e | 11 Festive occasion! Daughter gifts a shirt to his father but it was oversized. She got upset. Daughter gets her a gift. Same wrap, opens it and was amazed to see a watch. Hugs her father and in the background it ends saying “Joy of giving”. Jingle throughout and same way of positioning the product. No specific functional benefit but stressing emotional benefits throughout the campaign. JOY OF GIFTING #6 It’s wedding for her daughter. Father has kept the gift on the table, she looks at her, opens it, and comes down from upstairs to see her father. She finds him and hugs him. Jingle continues throughout. In the end usually it would be Lead actor and actress image that would be focused and the word Titan would appear. But here they changed. JOY OF GIFTING #7 In this commercial ad, the location is in library. Actor empties a space of books from shelf and keeps on librarian table. Packs a watch and keeps it in the Book shelf. Actress walks-in and the gift wrap caught her eyes. But another friend of her said something. Actor thought it didn’t work. Next shot actress shows her watch to him and they finally move out. The visual ends with Librarian as shown above. Same Jingle from start till end. P a g e | 12 JOY OF GIFTING #8 P a g e | 13 JOY OF GIFTING #9 RESULT OF CAMPAIGN After this campaign along with many other campaigns, Titan pushed out the major Market share holder – HMT and Titan’s market share went up immensely. Titan maintained consistency in all campaigns Jingle which rocked Pleasant looks of different demographics which could be easily attached Made sure that their brand is above all in each creative Used some Movie actors for lead roles, apart from that all the characters appeared where easily attachable to our surroundings Brilliant campaign!! P a g e | 14 Back in 2013: Re-discover the joy of giving Titan launched a campaign in 2013 which was very much the same way it launched during 1990’s and once again the theme of the campaign was “Re-discover the joy of gifting.” The campaign explores deep human emotions associated with gifting. The first in the series is a tribute to the great Indian tradition of ‘guru-shishya’, says Piyush Pandey, Executive Chairman & National Creative Director, Ogilvy.5 5 http://www.exchange4media.mobi/Story.aspx?news_id=53953&section_id=1 P a g e | 15 CHAPTER – 3 HOW THE BRAND EVOLED FROM 1987 After the success of “Joy of Gifting” campaign, they started to focus its attention on Lifestyles of people. Titan created more sub-brands and some may have not succeeded like “TITAN Psi2000” focusing on Sports/adventure. In 1990’s Titan’s major brand was Quartz and they launched a series of creative focusing on, 1. Varieties of Watches 2. Lifestyle and Profession P a g e | 16 TITAN AD CAMPAIGN #2(1990’S) Objective of creative Method : Focus on collection and variety of Titan watches : Same Jingle that has been used for Joy of gifting Specifies that they had 400+ collections of watches and their starting price in this category is around Rs.500+. TITAN AD CAMPAIGN #3 Objective of creative Method : Lifestyle of Professions : Titan Jingle along with display of watches Specifies that watch is of International class and targeted audience were people who seek international style watches with Gold/Silver chain. And they carry forward this idea to Insignia which was focused on Swiss Tradition watches. P a g e | 17 This creative speaks about Lifestyle. Persons who are like Pilots or who works in Aircrafts, then for those people these are the watches to be look forward. Again its focus was on Emotional benefits. TITAN AD CAMPAIGN #4 This ad speaks about, “How Geography has re-shaped History” and it speaks about how Titan watches were made. The focus is to convince people who are more likely to buy grand Swiss watches and they launched TITAN-INSIGNIA, a Swiss Based Tradition watch. P a g e | 18 TITAN AD CAMPAIGN #5 – RAGA Titan Raga’s main focus was on Indian Women and stressed on ethnic aspect which was arising because of Fashion trends. TITAN RAGA CAMPAIGN #1 (1992) Objective Method Target Audience Emotional Benefit : Launch of New Titan Raga Watches : Titan Jingle : Urban Woman who feels freedom : Feel/Hear the angel in yourself Narration of Ad : In this specific commercial, a woman was lying in the forest and she hears a sound. She tries to find where the sound was from and she finds a kind of person near a tree. She goes and finds no-one. She looks at her watch. Then she crosses a lake, where she looks at her reflection. In her reflection she looks herself as an angel. The story ends with saying “Launch of New Raga” from Titan. TITAN RAGA CAMPAIGN #2 (Late 1990’s) Objective Method : To target Woman who were more towards Fashion Lifestyle : Titan Jingle; Display of Watches P a g e | 19 Emotional Benefit : Feel Beautiful TITAN RAGA CAMPAIGN #3 (2005) Raga re-launched in 2005 and this campaign was launched during November 2005(festive season). Titan used Raga as the key driver for the entire brand. Objective : To communicate that Raga has different collection of watches differing from larger age groups to taste preferences and by enabling users to assemble their own look, from formal to dressy. Method Emotional Benefit : Titan Jingle : Different looks from one watch TITAN RAGA CAMPAIGN #4 (2006-07) Rani Mukerjee was signed as Brand Ambassador to promote the Brand. Objective Method Functional Benefit Emotional Benefit : Re-launch of Titan and stressing on “Watch as an accessory” : Same Jingle and Used Actress Brand Ambassador : Watch as a Jewel : Feel/Look Beautiful P a g e | 20 TITAN RAGA CAMPAIGN #5 (2007-08) Objective Target Audience Methods Emotional Benefit : Launch of Raga Crystals : For Premium end Women; Seeking Accessible luxury : Jingle : Feel Great and easily attracted in any party/occasions TITAN RAGA CAMPAIGN #6 (2009) Objective Method Target Audience : Launch of Raga Flora; : Mild Titan Jingle : Urban, Fashion seeking; Share Love through Raga Flora watch P a g e | 21 TITAN RAGA CAMPAIGN #7 (2013) P a g e | 22 In 2010-13, Titan signed brand ambassadors like Katrina Kaif, Shradda Kapoor for Promotions. Titan also introduced Raga Diva, Raga Pearls, Raga Silver and many more. Raga’s contribution is believed to be highest in Titan Watches, but the exact numbers are yet to be seen. TAKEAWAYS FROM BRAND STUDY From 1987 till 2013, Titan Industries and our focus on Titan Watches have evolved into a huge segment. Huge collection of watches and there was a specific ad which celebrated selling of 50 million watches and as of March 2013, company has sold nearly 150 Million watches all over the country. There was a campaign which focused on International Users P a g e | 23 Titan made a Classic ad, in which, two friends share a beer and two start to argue about the watch that they wore. At the international level they positioned themselves as a “New World Watch”. In 2013-14, Titan acquired Swiss brand “Faver Leuba” So the major takeaways of Titan Brand before creating an ad-plan are Titan Jingle is the heart and soul of this Brand Culture & Lifestyle is stressed a lot in each ad Titan Raga is an altogether different brand and in that sub-brand lot of variants are introduced [4] Titan in old days had a specific format for advertisement. But Titan Raga can be used for different commercials to and it doesn’t get attached to the consumer. Rani Mukerjee ad overlaps the brand and there is a strong chance that people might think it’s for some other product. [5] Raga sub-brand contributes more than ¼ of total turnover. [6] Titan Edge, Purple, Steel, HTSE all sub-brands which has its own style of creative and some don’t use the Traditional Jingle. All sub-brands focuses on different target segments. [7] In December 2013, Titan re-launched “Joy of giving idea” which is the one to be continued. [8] Titan is the leader in this category but its market share is declining and new ad plan should bring back the old enthusiasm and must easily attach to the brand. [9] Right from the launch the pre-dominant focus of ads is on Emotional benefits and mainly focusing on Family relationships. [10] The new ad should focus on bringing back the Tradition of Titan through its Jingle and its emphasis once again on “Joy of Gifting”. [1] [2] [3] P a g e | 24 CHAPTER – 4 INDUSTRY ANALYSIS History of Watch Market Indian watch industry was originated in the year 1961 with 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 watch market till Tata’s formed Titan in association with Tamil Nadu Industrial Development Corporation in the year 1987. Liberalization in 1992 has opened the doors for many foreign brands in the Indian Market like Tissot, Omega, Rolex, Rado, Swatch and others. Also the import duties on watches are falling which makes Indian Market attractive for global majors like Casio, Swatch and Citizen. Present situation of Indian Watch Market: The rapidly growing urban population along with increasing number of millionaires is expected to bring vigorous growth in the premium segment wrist watch category in coming years. The Indian watch industry among the three price segments of mass, mid and premium watches is witnessing highest growth in the premium segment. This is primarily because of the growing size of the urban middle class population in the country which has high spending capacity and which is increasingly becoming more open towards spending on the consumption of the luxury goods. These consumers mainly include young entrepreneurs, sportspersons, corporate executives, celebrities and others who have high disposable incomes and have higher inclination to experience luxury provided by goods of international standard. As a result, the watch market in India has evolved into a competitive market with a large number of market players offering new and innovative products to their consumers in order to capture high shares in the rapidly expanding market. This market has witnessed the influx of a large number of international brands which have entered the country in order to establish their position in the close to INR 60,000.0 million Indian watch industry. According to Ken Research, “Industry Outlook to 2018 - Premium Segment and Online Retail to Lead the Growth”. Today the Indian watch market is characterized by variety of formal watches, designer wrist watches, sports wrist watches, chronographs and other stylish wrist watches. This has ensured steady increase in demand for wrist watches from different sections of the Indian consumers. The number of internet users is expected to increase from the 154 million users in FY’2013 to about 470 million users in FY’2018. This will boost up the sales of the wrist watches through online mode. P a g e | 25 It has been also learnt from the study that the watches within the INR 500 to INR 5000 price range enjoy the maximum sales and are followed by watches priced between INR 5000 and INR 25000. Growth Prospects of Indian watch industry The Assocham study reveals that the market size of the country’s watch industry is expected to touch the INR 15 thousand crore mark by 2020. The major factors behind this rise are increasing levels of consumerism and income. Segmentation of Indian Watch Industry Based on price In India, the mass segment of watches contributes the highest to the market in terms of volume. On the other hand, in terms of value, each of the mass and the mid-price segments contribute about 37%-38% to the total wristwatch market in India. The rest is contributed by the premium segment which constitutes around 25% in India. • • • Mass Mid Premium Based on User Category • • • • • Men’s Watches Women’s watches Youth Watches Kids Watches Sports Watches P a g e | 26 MARKET ANALYSIS Marketing Strategy Titan’s marketing strategy had five main bases • • • • • Product of international quality Indian designs Competitive prices Intensive advertising and promotion Specialized retail shops to control the presentation Market Segmentation of Titan Watches, • • Segment Marketing Niche Marketing Segment Marketing Titan has segmented its market in to 3 categories • • Mass - SONATA Mid premiumTRACK TITAN, FAST Niche Marketing Serving the youth since they form the majority of Customer base • • • Introducing Fast track Affordable Watches with style statements • Luxury – TITAN RAGA, XYLYS P a g e | 27 Media’s used • • • • • TV Magazine Newspaper Radio Hoardings Segmentation based on Users Men’s Watches P a g e | 28 Watches Nebula Marketed as Watch for individual Positioned as discerning Gold jewel Regalia Special watch for special Costly gift occasion International World class watch for International travellers Insignia Women’s Watches P a g e | 29 Watches Nebula Marketed as Positioned as A magic blend of most Objects of Ornamentation coveted of metals and engineering excellence Incredibly eye Essence of dress wear catching...magic in gold Perfect accessory that Ethic Indian styling for the completes the woman sophisticated woman wardrobe Regalia Raga and the Silver Raga P a g e | 30 Youth Watches Gender Men Watches Marketed as Positioned as Women Fast track Cool watches from Free from constraints of Titan formal environment All new international Frosted look Kids Watches P a g e | 31 Watches Dash Marketed as Wow!!! Titan Be cool watches Positioned as from Dash for kids Zoop Be a star Sports Watches Watches PSI2000 Marketed as Competitor Tough, Outdoor, Swatch Irony Adventure brand Criteria for Segmenting Consumer Market Here the markets are segmented based on demographic and Psychographic factors Demographic Segmentation Based on age Age Below 12 12- 20 18-30 30-55 Brands Zoop, Dash Timex, Sonata, Fast track Fast track, Technology, Sonata Nebula, Raga, Regalia, Bandhan etc Gender There are certain watches which are positioned exclusively for particular sex Sex Gents Ladies Married Couples Both Brands Flip Raga Bandhan Regalia, Nebula, Fast track, Sonata, Edge P a g e | 32 Income Titan offers its products with a price range to suit the different income groups Below Rs 500 to above Rs. 50,000 Generation Titan influenced every generation by various kinds of its products and that deeply impacted their product purchase pattern. Psychographic Segmentation Life style According to the Lifestyle of the people Titan has segmented its product to fit to the box. Section Luxury Section Brands NEBULA, AURUM Mid premium section Mass section RAGA, GOLDSTEEL, TECHNOLOGY SONATA, TIMEX, KARISHMA Behavioral Segmentation Titan divided its market based on the behavior that consumer shows towards the usage of products Occasion Formal Dress wear Fashion Target Market It basically deals in three segments for its watches Nebula, Gold & Steel Raga, Regalia Fast track, Raga High Income / Elite Customers Here the consumer buys a wrist watch is a Fashion Statement. E.g. ROYALE, AURUM, NEBULA P a g e | 33 Middle group Also in this segment watch is all about Fashion but price does matter to them. Here they would not purchase a watch without comparing the offers in the market. E.g. RAGA, TECHNOLOGY, FAST TRACK Lower- income people Here it consists of only low income people who want watch as the time – keeping device and purchase on the basis of price E.g. TIMEX, SONATA, KARISHMA Distribution • • • Distribution channel handles over 50% of watch business of the company. Main focus of this channel is penetration and coverage. Currently they have 65 distributors handling well over 11,000 dealers across the country. In addition to this they opened hundreds of service centers to repair watches, replace batteries or change straps. The distributor channel operates independent of all other channels and reaches out to its own set of distinct dealers. Titan distributes through an exclusive distributor in each country, who is responsible for indenting, distributing, servicing, assisting and providing marketing support for the brand. Titan’s shops were easily recognizable and located in the most fashionable shopping centers. • • • • Brand positioning strategies Titan makes themselves different, better and more special than their competitors by various strategies like • • • It Initially founded the concept of “Gifting Watches” Then broke the concept of “ Matching Watches to Clothes” And they launched Fast track targeting people with the age group of 20 – 25 along the line “ Cool watches from Titan” Now they re-launched the brand lowering the target segment to 18 – 30 years with the tag line “ How many you have” • P a g e | 34 CHAPTER – 5 COMPETITOR ANALYSIS Titan industries is India’s fifth largest manufacturer of watches in India The Titan portfolio has over 60% market share in the domestic portfolio. They have one of the major share in organized watch markets. Also to ensure dominant presence in the market, the company has showrooms in every corner of the country that caters to the needs of all the segment people. Strategies of Titan over its competitors • • • • • Innovation Quality Creative Advertising Retail stores Cutting edge technology Innovation Titan created an over its competitors by its innovations • • • • Slimmest watch commercially available (thickness of 3.5mm) Intensive R&D unit Product indigenous Received Best Design Award in Lifestyle product category (Source: Business World) Quality • • • • Certified under ISO 9001 in Dec 1994 ISO 14000 certification in 2002 TS16949 certification in Feb 2005 Recently selected for the National Aerospace and Defense Contractors Accreditation program for its non-destructive testing capabilities. (Source: http://titan.co.in/hot-products) Creative Advertising • After introducing Aamir Khan as the brand ambassador the sales expanded exponentially P a g e | 35 • • Use of catalogue advertising to merchandize new models Use of newspaper cuttings Retail Stores It has over 984 retail stores across a area of 1.3 million sq. feet. Titan Company has India’s largest retail network spanning over 218 towns. The company has over 367 exclusive “World of Titan” showrooms and over 147 Fastrack stores. It has a large network of over 748 after sales service centers (Source: http://titan.co.in/company-profile) Cutting Edge Technology • • • Sophisticated Design and Development Centre Has international award winning designs to its credit Recently introduced the new range of watches under the High Tech Self Energized (HTSE) watches have a photovoltaic panel under the watch dial that converts light into electrical energy. (Source: http://www.businessstandard.com/) Major Competitors Among all these competitors HMT and Maxima-Quartz are major players with approximately 19% and 13% share in domestic markets Strengths • • Quality price positioning Watches as fashion accessory P a g e | 36 • • Brand image Market segments with large potential which caters to women, youth, children’s, sportsmen and big spenders Customer service and after sales service in a showroom environment • Weakness • • Lack of low quality watches to cater lower middle class segments Lack of flexible thinking Barriers that hinder the market entrance Building scale in an already crowded market requires huge financial muscle and unrelenting marketing efforts. This might deter a large number of players from venturing into this business. Also, there are restrictions on FDI investments in retail. Titan has travelled a long and successful journey in its effort to build one of the strongest consumer brands in India. It will be an interesting spectacle to see how Titan’s ‘branding to success’ will play out when globalization kicks in at full swing in India. Threat of Substitutes There is very low threat of substitutes because Watches and jewelry have been in usage for decades and we see no scope for substitutes for these products. Window of opportunity to enter the market • Nearly 34 million watches are sold through gray market channels P a g e | 37 CHAPTER – 6 OBJECTIVES OF ADVERTISING CAMPAIGN The main objective of this ad campaign would be to [1] Change consumer’s beliefs in gifting [2] Change the behaviour by inducing Gratefulness [3] To maintain Brand Awareness For this, it would be better if an advertising campaign is launched which focuses Titan’s tradition of “Joy of Gifting”. This new series of ad’s which we as a team would suggest is to run a similar kind of Advertisements like one launched in 2013 between “Teacher and Student”. A similar kind of Ad’s would be between “Employer and Employee” for Best Performance ads. TO CHECK THIS AD WORKS OR NOT? A time frame of 12-months could be fixed in which 3-months could be used for Creative work and next 6-months for launch of the campaign. Final 3-months could be used for effectiveness of the ad. BUDGETING Usually the Budgeting for advertising would be as % of Sales value. Some factors that are to be considered before Budgeting are, [1] Industry spending [2] Market share a. Share your brand possess in the Industry [3] Brand Loyalty a. If the loyalty of Brand is high, then spending could be adjusted. [4] Purchase cycle a. If Purchase cycle is too less, then spending can also be accordingly modified. Based on the above data, cost of ad campaign could be decided and analysis must include, Production costs • The best way to reduce the production cost is to employ normal people rather than leading movie/sports actors. Other promotion/IBP P a g e | 38 • Big Hoardings conveying “Joy of gifting on Forgiving others” message between Employer and Employee Joy of Gifting promotions of Police & Thief; In which thief become good because of that Police • Reach Frequency • • How you want the consumers to see this? More often or Less often. It would be very ideal if it has been launched during October 2014 to Jan 2015 (Festive Period) Time frame • How long it would take to shoot and how long the campaign should be? If a TV commercial is prepared for additional 10 seconds, then Budget plan increases • Media • • What kind of media to adopt – TV, Newspapers, Radio… Newspapers are more important because • • Local emphasis Geographic flexibility • Ethnic Appeal • Magazines • Specific Audience (Femina for Raga) • TV • • • Reach & attachment Frequency Cost efficient P a g e | 39 CHAPTER – 7 STRATEGY Titan Jingle is the heart & soul of its brand. Brand is recognised more often through its Jingle. In this advertisement we would take historical “Joy of gifting” advertisement, a step ahead to “Joy of gifting for Gratefulness”. In this creative idea is to feel the slice of life by feeling great by gifting to others who were pivotal in your changes of life. Following are the scenarios (examples) where the ad could be suited, [1] Teacher who encouraged a dull student [2] Police who stood behind a thief and changed him [3] Employee whose attitude changed because of employer EXECUTION CREATIVE BRIEF IDEA A man presses the calling bell; he looks at the name of the person in front of the house. 20 years back, flash back, where he was a thief who used to steal things because of poverty was arrested and in jail he got transformed because of an Ethical Police person. He got released and he became a successful industrialist and dooropens, flash back ends. He enters the house, takes the gift from his pocket. Uncovers the gift and Titan watches. The story ends “Joy of gifting for Gratefulness”. MEDIA PLAN The time to launch the campaign would be festive period and also along with programs which focuses on success after failures. Magazines which focus on Self-improvement and the ad can be present at thWe back cover. In Newspapers a series of images could be launched during festive periods, which are during October 2014 to January 2015. A series of ads can be made and run in TV during the same mentioned period. EVALUATION Criteria should be after the launch of ad’s and grace period for reaction from customers 4-6 months after campaign. P a g e | 40 To evaluate the advertising plan based on media, • • • Cost per thousand (CPT): Cost of 1 page*1000/Circulation or readership Cost per rating point Cost of a commercial/Rating of that ad CONCLUSION Titan is one of the traditional brands in India. People still remember the Jingle of Titan ads. But in some way or the other because of evolution of more sub-brands, the historical look of branding is getting de-graded. So we propose to bring back the same “Joy of gifting” campaign with some modifications like “Joy of gifting for gratefulness” and launch it during the festive season of the coming year. Hope it would succeed in great run. P a g e | 41 REFERENCES [1] Titan Company, http://titan.co.in/distribution [2] “Consumer Behavior and Brand preference of Titan Watches”, http://www.iosrjournals.org/iosr-jbm/papers/Vol7-issue1/A0710107.pdf [3] Ken Research, “India Watch Industry Outlook to 2018 - Premium Segment and Online Retail to Lead the Growth : Ken Research”, http://www.prweb.com/releases/2013/10/prweb11265130.html [4] https://www.youtube.com/user/boopeshg [5] Business-standard