The new rich are fueling brand expansion of Titan:
There is a lot of latent demand for luxury items from India and high-class people. Titan gets maximum revenue from its jewellery business, which is about 90% and the remaining 10% from various businesses like watches , eyewear, and perfumes etc. Titan has four jewellery brands under its portfolio. They are: flagship tanishq, working women’s focused mia, online sales portal carat lane, and zoya . This caters to the rich customer base.
Expansion of business:
India anticipates a significant increase in high-end consumers, prompting Tata group’s jewellery unit to triple its zoya-branded stores by 2027.In the next five years, these stores will be expanded to a total of 15.which will cost around 3.64 million per store. Further revenues from the jewellery business could have the benefit of 80-90 basis points because, of that rest, all businesses have performed well.
India is already the world’s second largest market for the consumption of gold. During the COVID period, there was a disruption in the golden harvest related pieces, but now the business is doing very well and going forward. The company has just opened its second new store of fast rack eyewear, especially to address the youth segment, and tanishq has added 78 stores to its retail footprint, bringing the total number of stores to 582. The company’s aim is to take that number to 700 over the next couple of years. Carat Lanes handcrafted silver jewellery brand Shaya opened its first-ever physical stores in Mumbai and Bengaluru.
company has also plans to accelerate its international expansion in Zoya with Tanishq. Further, the CEO of the jewellery division said that they will utilise this experience to plan a global move for Zoya. Zoya has a collaboration with the Indian hotel company, Taj Hotels, Resorts, and Palaces, etc. and bespoke jewellery made with the design team and artisans. It will attract wealthy clients. Company is also aiming to incline up abroad extension in zoya in a offer to build a global luxury brand.