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Sujata Agrawal
Remember when the only Indian wristwatch
brand you could buy came in a clutch of clunky models, one
more ordinary than the other, when the craze for an ‘imported
watch’ never seemed to wane? That was before the time of Titan,
a name which changed forever the way watches made in this
country were seen by Indians and the world.
Launched in 1987, Titan is credited
with transforming the face of India’s watch industry. By offering
consumers quality products that blended classy designs with
superior technology, Titan became a byword for success stories.
Outstanding service, a wide variety of models, and effective
marketing have helped Titan consolidate its early gains, to
the point where the company is a force to be reckoned with
beyond Indian shores.
Understanding the Indian consumer's
psyche has been vital to Titan reaching its current position
of strength. The company today has a model for every price
segment and every market, urban and rural, regional and international.
Within the Titan mother brand are Nebula, which comes draped
in 18-carat gold; the exclusive Insignia; PSI, for those turned
on by technology; and Raga, which has been designed exclusively
for women.
Titan’s focus has always been on India.
Research reveals some interesting facts and figures about
this heterogeneous market.
- The Indian market is estimated at
25 million watches a year, with 50 per cent being sold by
the organised sector.
- Titan is the runaway market leader,
with domestic sales of 6 million watches a year.
- There are 190 million watch-owning
Indians; between them they own about 210 million watches.
- Urban India accounts for 120 million
of these watches and 90 million are on rural wrists.
- More men than women own watches
in India, and more working women than housewives own watches.
It is the rural segment within this
diverse market that Titan is now looking to tap. "The
key to success," says Bijou Kurien, vice-president (sales
and marketing), "is getting into the rural market on
a larger scale." The company’s Sonata range is targeted
at rural customers, and is part of a strategy where the alignment
of price and reliability are crucial. The range costs between
Rs 495 and Rs 1,200, has showrooms exclusively for it, and
is sold mainly in small-town India.
Fast Track is a different kettle of
fish. This range is broadly aimed at young Indians looking
for watches that are fashionable and stylish. Then there’s
Dash, a range that Titan launched for children. Introduced
in early 2000, Dash is priced low, but it hasn’t sold too
well. The company plans to change that with enhanced advertising
and a different marketing strategy.
 Titan’s
retail operations are a mix of company-owned and franchisee
outlets, with the idea being to ensure a dominant presence
in all market areas through different kinds of stores, and
to assure the availability of every Titan product. Says Mr
Kurien: "We have concentrated on customer perspective,
and we have engineered the entire chain to suit different
customers."
Manoj Chakravarti, general manager
(retailing), has more to say on the customer theme. "Earlier
there was no attempt in the retailing sector to entice customers
to buy a watch," he says. "We have tried to bring
the brand to the customer in an appropriate setting."
The company does this through its ‘World of Titan’ showrooms.
The franchisee is a critical cog in
Titan’s retail matrix. The company organises various programmes
for franchisees, their managers and customer relationship
officers. These include training workshops and seminars on
market trends, visual merchandising, store operations and
maintenance, and customer service initiatives.
According to Ajay Chawla, senior manager
(retailing and supply chain), the real challenge in retailing
is managing the franchisee network through processes and systems
that ensure a superior brand experience for every customer.
"Franchisee relationship management is important because
of increasing competition, not only from the watch business
but also from other businesses in the retail industry,"
he says. "The market is opening up and the franchisee
is, after all, looking for what is most profitable."
Besides the franchisees and its own
showrooms, Titan sells its products through other outlets
as well. Among them are the Time Zone stores, which stock
all the leading brands, and the Value Mart outlets, which
operate in Bangalore and Chennai and sell surplus-to-export
watches at a discount.
For its many customers Titan has Tata
Signet, a 1,36,000-member club that looks to build relationships
through rewards, regular discounts and special offers. Customers
can also count on a service-centre network that’s 550-strong
and spread over 30-odd cities and towns across the country.
The service centres have been deliberately kept apart from
Titan’s showrooms. "The business is different and the
customer is in two different moods at the two places,"
says Mr Kurien.
Titan’s blueprint for the future includes
making watches for international heavyweights such as YSL,
Christian Dior and Gucci. Mr Kurien believes there is huge
potential at the designer end of the market. The marketing
investment is lower because "the brand is doing the marketing
for you". Also on the anvil are speciality stores for
niche customers, and an expansion into product categories
like sunglasses and leather goods.
However, it is staying ahead of the
competition that is the overall priority. Says Mr Chakravarti:
"We have to ensure that Titan has the best wristwatch
store in any given city or town." You don’t really have
to watch this space for confirmation on that count.
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