Tanishq sets sights on big, fat Indian weddings1 min read . Updated: 10 Sep 2018, 08:32 PM IST
In its last annual report for FY18, Titan said it aims to grow revenue to 50,000 crore by FY23 with 40,000 crore coming from its jewellery business
New Delhi: More than two decades after Tata group entered the jewellery business, it wants its brand Tanishq to take a big leap, and multiply revenue by more than 2.5 times in five years. The big target comes with a sharp shift in strategy aiming to multiply the ticket size.
Tata group entity Titan Co. Ltd, which has built the Tanishq brand with a pointed focus on progressive and independent (working) Indian women and teenagers since it started business in 1996, will now focus on the big, fat Indian wedding market that accounts for more than 50% of the jewellery market.
“Weddings are big business in India. If you do not have a significant presence in the wedding market, you are not a jeweller," said Sandeep Kulhalli, senior vice-president (retail and marketing), jewellery division, Titan Co.
However, the existing lines and sub-brands that target independent and progressive Indian women will continue, he said.
By FY23, Kulhalli said, wedding as a segment will account for more than 60% of Tanishq business. Titan Co, in its last annual report for FY18, said it aims to grow revenue to ₹ 50,000 crore by FY23 with ₹ 40,000 crore coming from its jewellery business. That means, Titan’s target is to generate at least ₹ 24,000 crore from wedding jewellery by FY23.
That’s a huge jump from around ₹ 1,886 crore, or around 20% of Tanishq’s revenue in FY15. To focus on India’s wedding jewellery market, Titan had in March 2017 launched sub-brand Rivaah and created special wedding zones at each Tanishq store.
“Tanishq has the consumer trust, which has been built over the years. The focus on wedding jewellery, coupled with the marketing campaigns around it, is working really well for us," added Kulhalli.
At present, there are 265 Tanishq outlets and the company will add 30-40 outlets each year under the franchisee route, said Kulhalli. By FY23, the company plans to have 400 outlets across 250 towns, up from 250 across 150 towns in FY18, according to its annual report.
Besides Tanishq, the company will add 25-30 new outlets of Mia, a sub-brand of Tanishq that was created for workwear jewellery in 2011. “We also have our exquisite diamond boutique brand Zoya. We’ll add one more outlet of Zoya this year," said Kulhalli. At present, there are four Zoya outlets.