Tanishq currently draws over 20% of its sales from the wedding jewellery segment
The move comes at an opportune time with April and May being popular for auspicious wedding dates
Tanishq’s sub-brand Rivaah—that focuses largely on the wedding jewellery market in the country--said it is now launching region-specific collections to boost market share in the wedding jewellery category.
Tanishq, the flagship jewellery brand of Titan Company Limited currently draws over 20% of its sales from the wedding jewellery segment. The company has been making efforts to expand its share in the organized wedding jewellery market that accounts for over 50% of all jewellery sales in India.
“Our headroom (in the wedding jewellery market) is huge. We may be catering to only about 20%-23% of the business for the wedding segment. But the opportunity is huge because from what we understand, at least close to 50% of jewellery in India is bought for the wedding occasions. So given the strategic importance of this segment we have identified it as a growth engine for the last few years, and we have made tremendous progress and inroads," said Ajoy Chawla, CEO, Titan jewellery division.
To support the collection, Tanishq has released an ad campaign conceptualized by Lowe Lintas, featuring brides from six communities -- Punjabi, Bihari, Marathi, Bengali, Telugu and Tamil -- that shows the new range with jewellery pieces popular in these regions.
The move comes at an opportune time with April and May being popular for auspicious wedding dates. Besides, weddings scheduled last year were also deferred to this year. But Tanishq's plans also co-incide with the country’s retail market being hit by a fresh round of closures and curfews owing to spike in covid 19 cases.
Yet the company is hopeful of a strong demand this quarter.
“The wedding season is going pretty strong and there are a lot of dates, we have already seen a lot of purchasing commence in the last quarter, and continuing as we speak. Maharashtra has kind of announced a mini lockdown with the retail stores being shut so to that extent it has been affected, but the rest of the country is kind of progressing well," said Chawla.
He said the company is in a wait and watch mode. "But we are very hopeful and confident that the wedding season will bring a lot of customers, it's already bringing in, and I'm sure it will continue," he said.
Maharashtra, for instance said marriages will be allowed with maximum of 50 people present.
Titan Company Ltd reported 60% revenue growth in the fourth quarter helped by a low base in the same quarter in the year ago period, improved momentum in the market and a dip in gold prices, the jewellery and watch retailer said in an update on the March quarter performance on Wednesday. The jewellery division it said continued to see the strong sales momentum in the fourth quarter, reflecting the strong market share gains.
"Sharp decline in gold prices during the quarter also gave impetus to the consumer demand for the industry. Q4 also had a large B2B order in the quarter, contributing to about 10% of the quarter's growth. The retail and reported revenue (excluding B2B sale) growth for the first two months was 32%. Reported revenue growth for the quarter was 70% due to the low base of March month in the previous year," it said in an update to the exchanges this week.
Jewellery sales fell significantly last year as India moved to a strict lockdown in 2020. In the first quarter of FY21—revenue for the division declined by 71%, according to the company's investor presentation.
Tanishq retail chain currently spreads across 350 exclusive boutiques in more than 200 cities.
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