SEGMENTATION, TARGETING And POSITIONING OF TITAN

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. TITAN Titan had traditionally focused on premium segment , in the late 90s Titan segmented the market in to different groups based on different parameters. 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.
2

TITAN PERSPECTIVE Titan markets its products for all following age groups: Less than 12 : Dash, Zoop. Between 12-20 : Dash, Fast Track, Sonata, WWF. Between 18-30 : Fast Track, Flora, Sonata, Raga, Edge, Bandhan, WWF, Nebula, Octane, Technology, Spectra, Between 30-55 : Edge, Nebula, Raga, Steel, Xylus, Regalia, Automatic,Heritage, Bandhan, Orion, Exacta, Royale, Insignia. Above 55 : Regalia, Classique, Sonata. Gender : Gender segmentation has been applied to clothing, hairstyling cosmetics, wrist watches, magazines etc. There are certain brands, which are positioned exclusively for a specific gender. TITAN PERSPECTIVE Titan markets its product across: Gents : Automatic, Octane, Orion, Ladies Nebula, Heritage, : Raga, Raga Diva, Flora,
3

 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 segmenting them.

TITAN PERSPECTIVE Titan offers its products with a price range to suit the different income groups such as: Low ( 1 lakh) : Sonata, Lower Middle (1 to 2.5 lakhs) : Fast track, Regalia, Middle(2.5 lakhs to 4 lakhs ) : Steel, Fast track Ladies, Raga Upper Middle( 4 to 6 lakhs) : Nebula, Edge, Steel. High ( Above 7 lakhs) : Nebula, Xylus, Bandhan, Insigna 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
4

Titan has many products to satisfy all the generations. And through constant innovation Titan developed many products for new generations too. New Generation Technology, Flip Old Generation : : Fast Track,

Sonata

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. First segment: Fashion statement: These products have specialties like European leather, sapphire crystal, scratch resistant, crafted with 18 ct. solid gold & inlaid with precious stones. Example : Fast Track, Royale, Aurum, Nebula Second Segment: For this segment also, watch is all about fashion but price does matter to them.
5

These products have digital technology & of trendy shapes. Always splash oomph on to your ward robes and smear danger on your look. In this range, Titan has : Technology, Fast Track etc. Raga,

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 Sonata, Karishma. Psychographic: 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 its 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
6

the mass section, it has Sonata, 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 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
7

are in to. So, the segmentation is also related to that.

VALS NETWORK

INNOVATORS Insignalia, Automatic

IDEALS

ACHIEVEMENT

SELF- EXPRESSION

THINKERS

ACHIVERS

Steel Orion

Xylus Edge Bandhan

EXPERIENCER

Fast track Octane WWF

BELIEVERS

STRIVERS

Raga Heritage

Nebula

MAKERS

Sonata, Dash, Zoop Royale

The four groups with higher resources are: 1. Innovator Insignalia, Automatic People who are sophisticated, have niche oriented products, and are very high on self esteem, desires for these kinds of watches. These watches are inspired by architecture and engineered in steel, this is a watch crafted for take charge people. 2. Thinkers Steel, Orion. Under this category people are matured enough and try to find out the functionality in the goods. These products are known for their durability, Functionality and Value in products. 3. Achievers Xylus, Edge, Bandhan. In this category titan has tried to fulfil the desires of those people who are focused on family and career. All these three models come under this category to satisfy the requirement of a premium product. 4. Experiences Fast track, Octane, WWF ` This group consist of mostly youngsters. These watches are created to

enthusiastic attract the

10

trendy users today. These are really tempting the youth as well as others. These people are always searching for variety and like to experience the new trends. The four in the lower resource are: 1. Believers Raga,Herritage All those who have a very conservative kind of thinking process people fall into this group. These people are traditional and conventional , so they dont want to experiment more and are sticking to the traditional things. 2. Strivers Nebula Titan has designed this product for those who are trendy and fun loving and resource constrained . Here the nebula is made up of 18k gold and precious stones.

3. Makers Sonata,Dash, Zoop, Royle ,

11

These models suits those who are humble and down to earth kind of people. They are not too much bothered about the fashion and other aspects of the watch, but he functionality of the watch. 4. Survivors Steel, Flora Lastly in this category those people who are elderly and who are loyal to their favourite brand are included. This catered to all kind of people but always been the favourite of the elderly people and those who dont want to change their preferences. Behavioral 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
12

Titan also offers occasion specific products like Formal (Nebulla, Steel, Raga, Gold & Steel), Dress wear (Regalia, Raga, Gold & Steel, Royale), Fashion (Technology, Gold & Steel, Steel, Raga, Fast Track) 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 Gold & Steel TITAN PERSPECTIVE Titan product has benefits like: It provides theTITAN WORLD SERVICE CENTRE in 174 towns. It provides a huge product range to choose from. Its products have good life cycle.

FAST TRACK Based on price

13

 Mass (Rs.350-800) - Essentials, Bikers, Fall Popular (Rs.800-1200), - Bikers, Summer 08 Premium (Rs.1200-1800), - Bikers Reloaded, Summer 07, Sports, Campus, Super-premium (Rs.1800-2500) - Army, Sport Gender : Though we can classify the products according to gender, most of the fast track glass brands are having both varieties of men as well as women. And there are glasses which fit for both men and women which comes under the category Unisex. For example under the brand Sports it has all the varieties include Guys, Girls and Unisex. So we cannot say this brand segmenting this gender. The below classification is based on general basis. TITAN PERSPECTIVE Titan markets its product across: Gents : Army, Bikers, Bikers Reloaded, Fall Ladies : Essentials, Fall Unisex : Sports, Summer 07, Summer 08, Campus,

14

TARGETING It is the second stage of the Segment Target Position (STP) process. After the most attractive segments are selected, a company should not directly start targeting all these segments. The attractiveness of the segments is also depending on other important factors. In the main activity of defining a target market, four sub activities are given which are the bases for deciding on which segments will actually be targeted. The four sub activities within targeting are: 1. Defining the abilities of the company and resources needed to enter a market 2. Analyzing competitors on their resources and skills 3. Considering the companys abilities compared to the competitors 4. Deciding on the actual target markets.

15

After the market has been separated into its segments, the marketer will select a segment or series of segment and target it/them. Resources and efforts will be targeted at the:

A) The first is the single segment with a single product. In other word, the marketer targets a single product offering at a single segment in a market with many segments. For example, Titans sub brand, Raga is targeting the upwardly mobile ladies in the upper premium segment.

16

B) Secondly, the marketer could ignore the differences in the segments, and choose to aim a single product at all segments i.e. the whole market. For example, Sonata and Fast track brands of Titan are targeting mass and mid premium segment

SONATA

FAST TRACK

Finally, there is a multi-segment approach. Here a marketer will target a variety of different segments with
17

a series of differentiated products. For example, Titan itself provides with the number of different brands/products which are targeting different segments in the market.After the market has been separated into its segments, the marketer will select a segment or series of segment and target it/them. Resources and efforts will be targeted at the: Titan A. The first is the single segment with a single product. In other word, the marketer targets a single product offering at a single segment in a market with many segments. For example, Titans sub brand, Raga is targeting the upwardly mobile ladies in the upper premium segment.

B. Secondly, the marketer could ignore the differences in the segments, and choose to aim a single product at all segments i.e. the whole market. For example, Sonata and Fast track brands of Titan are targeting mass and mid premium segment. Example : Sonata, as it caters to all segmentation.

C. Finally, there is a multi-segment approach. Here a marketer will target a variety of

18

different segments with a series of differentiated products. For example, Titan itself provides with the number of different brands/products which are targeting different segments in the market. Following is the table which represents the various sub brands and their targeted segments of TITAN .

Targeting of Titan Watches FAST TRACK A collection of watches will contemporary styles that are young and distinctive. Designs that go from the relaxed and informal to the definitely sporty. The womans collection presents the all new international `Frosted look, which is trendy and chic. The Fastrack collection has elements like cool mesh straps and features that include EL back-light and dual time. Also presenting a range of fashion digitals in contemporary wrist hugging cases with oversized displays and features that include countdown timers, chronographs lap timers, hourly chime, alarm and Hi-light glow. Price : Category Aimed at Rs.550-1,430 : Urban youth
19

 EXACTA A perfect combination of dateless styling and design simplicity, Exacta is the all-steel look in Titan. Everyday watches for those who value fundamental principles of durability, reliability and affordability. Price : Category Aimed at (Office Wear) Rs.595-1,140 : Lower Middle Class

SPECTRA A truly unique collection of watches that combines the sturdiness of steel with the richness of gold. International in styling the `Spectra collection is designed for those who look beyond the ordinary. Price : Category Aimed at Rs.650-1830 : Common Class

ROYALE A stunning collection of alluring gold-plated cases matched with exquisite gold-plated straps, the `Royale collection has designs that suit everyday wear.
20

Price : Category Aimed at

Rs.960-2,830 : Upper Middle Class

RAGA Exclusive watches for women. The Raga and Silver Raga collection is elegant, delicate and feminine with each piece being truly unique. An existing collection that includes decorative motifs, `kadas, studded bracelets and a first of its kind three-in-one watch. The designs are inspired by traditional Indian as well as contemporary motifs and are expressed in ropes, `kadas and ornamental bracelets. Crafted exclusively for the sophisticated woman, who wears silver jewellery with lan, the Silver Raga makes a perfect accessory that completes a womans wardrobe. Price: Rs : Category Aimed at 1,420-4,000 : Upper Class

BANDHAN Watches for him and her. The pair watches of the `Bandhan range are Titans tribute to the everlasting quality of a bond between a man and woman The Bandhan Collection is available in
21

both leather straps and gold bracelets and its presented in uniquely designed packaging. Price : Category Aimed at Rs.1,675-8,085. : Couples

REGALIA Magic in gold and unique futuristic material. Finely crafted sleek cases and patterned dials with special appliqu flowing into intricately designed bracelets. A unique combination of an all-gold and bicolor look, the `Regalia range represents the essence of dress-wear. Price : Category Aimed at Upper Class Rs.1725-7770 : Upper Middle Class

EDGE The Titan EDGE is the Slimmest Watch in the Universe; a mere 3.5 millimeter thick, the watch is practically invisible. Delicately crafted with precision, it has an incredibly Slim Movement of 1.15 millimetes. Furthermore, the Titan Edge is Water Resistant to a depth of 30 meters, an attribute rarely ever seen in slim watches. Titans
22

Edge comes with an elemental One-Piece case made from Non-Allergic Stainless Steel, and a Sapphire Crystal that market it Scratch Resistant. Price : Category Aimed at Rs. 4,500-5,200 : Business Class

NEBULA Nebula, a range of watches crafted from solid gold embellished with precious stones, available with both leather straps and intricately designed bracelets. With Nebula, Titan turns watches into precious jewellery. The finishing touch to this exquisite collection is the sapphire crystal that crowns each of the watches. Price : Category Aimed at 20,000-85,000 : Upper Class

23

POSITIONING
Introduction:
The importance of an image has become an emotional part of everyone. A brand name represents the image, character and personality of a brand. A brand name should be clear, lucid, easy to remember, distinct from the competition and should not be generic to the category. It should become customer's Top of the mind brand (TOMB). Most successful brand names would satisfy these criterions to quite an extent. Brand loyalty is one thing which has made the branding more popular. As someone rightly said "Brand loyalty is not dead, it's just more like loyalty to a girl/boyfriend than loyalty to a husband/wife". Vast flow of names today makes a brand harder to differentiate them unless they come out with their own uniqueness. This way, they could come to their special position in everyday life. The image following a particular name is also determined by the role of communication it undergoes; of which the followings are included: its manner, personality, behavior, ethics, values, etc. The importance of brands depends on the true ambitions of the company.

24

The increasing spread and domination of international brands has seemed inevitable for at least the last 30 years. All around the world we have witnessed the disappearance of local brands and local variants. But despite this trend, local and regional brands still remain strong. In India, for example, protected for many years by government policy from the invasion of foreign brands, homegrown brands dominate many sectors - Tata automobiles and Titan watches, to name but a few. In the end people want both global and local brands - brands that make them feel part of wider international community and brands that root them in their home culture. Why are brands so important? Strong brands help a company to maintain market share in the face of a changing competitive environment and it has been shown that a strong market share is associated with aboveaverage profits. Brands have become assets in their own right. In addition, they represent low-risk opportunities for the manufacturer or service provider and they also represent reduced risk for the consumer. What is meant by brand positioning? Positioning is statement that shows how you are different, better or more special than your competition. Position is that one thing that one descriptive sentence or slogan the company is known for that one specific idea that first comes to mind about the product. It is that one characteristic that sets the service apart from competitors. For Volvo that one thing is Safety. McDonalds is A fun place for kids. In Jakarta, Indonesia, Bluebird is The safest way to travel by taxi. Why brand positioning is important? We need to be clear about why it is important to position a brand-and exactly what a brand is. As consumers, we are all influenced by the effects of a powerful brand positioning"brainwashed," so to speak-to have preference for one versus another. But today there are so many choices for consumers that this term has a secondary derivation-"whitewashing." That is, the brand choices are so varied and the differentiation so minimal in terms of product functionality that we're faced with a sea of indiscernible offerings. This is why it is critical for a brand to be well positioned and uniquely differentiated. What does the result of brand positioning research show? The market position of a brand shows where a specific brand is located. It also shows the relationship to competitive brands. We can determine the market position of a brand on the basis of the answers to the following four questions:

25

1. 2. 3. 4.

Why (which benefits and advantages does the new brand bring to the consumer) When (determining the opportunities for which the brand is most suitable) For whom (it is about the determination of the consumer of a brand or target group) Against whom (determining the main competitive brands)

TITAN PERSPECTIVE Titan initially pioneered the concept of "Gifting watches". The ads captured the essence of gifting and along with the trendy music, easily caught the imagination of the market. Customers who were fed up with ugly time machines welcomed the brand and Titan had a dream run for many years. Titan then moved away from gifting. Titan was positioning itself as a fashion accessory rather than a time keeping device. Titan also found its persona in Mr. Aamir khan which provided the much needed edge to the brand. Titan was careful in keeping the brand above the celebrity. The ads were fresh and neatly executed. The idea was to make watches that would be seen as style and fashion accessories rather than just utilitarian devices. The company decided to use Aamir in brand and product communication on television and in the print and outdoor media. Though, the vast distribution and service network of TIL had served as an effective entry barrier in the 1990s, foreign brands were becoming increasingly popular in the early 2000s, thanks to the paradigm

26

shifts in the retail scenario and the growing affluence of the Indian consumers. And TIL found that it was not safe even at the bottom of the pyramid. The grey market with cheap Chinese imports and the unorganized sector had cornered a sizable chunk of the low-end market. The appointment of Aamir Khan as brand ambassador for the Titan brand was seen as an attempt to broad base the appeal of the Titan brand. Titan also was pushing another strategy. Watches were perceived as a onetime buy and consumers seldom owned multiple watches. So Titan pushed the concept of "Matching Watches to Clothes" in the recent commercials. Since men are becoming more serious customers of fashion accessories, this is strategy that is worth trying out. For Titan, even if the concept fails, It has created the much needed freshness in the brand. Earlier Fastrack was targeted at 20-25 year olds and positioned along the line "Cool watches from Titan". Then the company found out that the youth in the age group of 11-20 years account for 42% of watch buying in India. Based on this insight, the company relaunched the brand lowering the target segment to 18-30 year olds with the baseline How many you have?". Again the strategy aimed at promoting the multiple watch owning concepts.
27

Fastrack also launched a range of fashion accessories like Sunglasses trying to be a lifestyle brand.

Positioning According to Product WATCHES Raga The slimmest watch in the universe All good things are packaged small. Or we can say they are packaged slim. Titan presents a large range of Titan Edge watches the slimmest in the world. Clean cut, elegant designs that speak of who you are. Go ahead , choose a style that says so much with so little. And you can see it is adding an edge to your persona. Orion A unique range of watches inspired by the astral wonders of the universe. The collection celebrates the intelligence and masculinity of todays men. Octane Be speed, Be more

28

A range of high octane sports watches personifying speed and power with multi-functions, retrograde, analog-digital and chronograph. Nebula Inspired by the noble metal. Titan presents a classic collection of stunning jewelry watches-NEBULA. Crafted superbly from 18 karat solid gold and inlaid with precious stones, each piece comes with a lifetime guarantee. Zoop Titan presents Zoop- timepieces for young stars. Take your pick from floral, butterfly, duckling, and base ball themed watches or go digital with features such as dual time, countdown timer, 50 yr calendar, compass, stopwatch, alarm, EL backlight and more. WWF Titan & WWF have joined hands to celebrate the beauty & behavior of six endangered species with the launch of six new animal themed watches. A part of the proceeds from every watch sale is contributed to WWF towards the preservation of these animal. Raga Unveil the real you, Be more The magic of ornate motifs and blushing enamel
29

casts a spell on you. From intricate dials glowing with inner radiance, to delicate bracelets that flow around you in familiar embrace. The essence of woman, Revealed at last.

FAST TRACK Titan Fast track is positioned as an essential thing for the trendy youth of today. With its special offerings it is really serving the urban youth. Its strongest offerings are availability and affordability. Titan Eye+ of Titan Industries offers sunglasses under its Fastrack brand. Prescription eyewear such as lenses and contact lenses is also part of the range. Titan Eye+ offers frames, sunglasses, and accessories of Titan Industries in-house brands as well as other premium brands. Fast track was spun of as independent brand of watches targeting the urban youth In 2005. Since then it has carved a niche for itself with designs that were refreshingly different and affordable. During that time, Fastrack also extended its footprint into eye gear and in the last 4 years has quickly notched up the title of being the largest sunglass brand in the country.
30

 Fastrack has now chartered into newer categories bags, belts, wallets and wrist bands as part of its vision to become a complete fashion brand for the youth. With enough categories to fill up one cool store, Fastrack has moved on to open its own stores for its young consumers. The store is positioned as a complete accessories destination with all Fastrack gear under one roof. Titan Fast Track provides an impressive range of stylish and contemporary eyewear, through exclusive optical outlets. Currently, Titan Fast Track boasts 70 stores across 41 cities. Titan Fast Track heralded standardisation by benchmarking with the worlds best, in sync with the TATA principles of quality and trust. Sales counters now offer products and services of international quality standards coupled with transparency in pricing, style, and upbeat designs. Aarka: Positioned thanishq as high fashion 22 karrat gold collection Fashion earrings: A collection of studded jewelry , an attempt to move tanishq from being a traditional studded collection.
31

Current Products
Current Market
Sonata, Fast Track Though Sonata is the No 1 selling watch brand in India, still there remains a huge potential market. They can go much deeper into the market

New Products
Orion, Automatic Though Titan has many brands in this segment, titan is keep on bringing new products like Orion and Automatic to bring variety to the market.

New Market

Edge This is one of the best products of Titan, as it holds the world record for the slimmest watch. So this product can be used in other countries to attract the new market.

WWF This new brand is the result of titans diversification strategy. They are trying to tap the new market with this new product.

32