In the late 1990s, the focus seemed to have shifted from content to design in the Indian jewellery market.

Branded players entered the market:

▪Tanishq

▪Oyzterbay

▪Gili

▪CarbonTraditional jewellers also began to bring out lightweight

jewellery.But the share of branded jewellery in the total jewellery

market was still small in 2002.

The abolition of the Gold Control Act in 1992, allowed large export houses to import gold freely.

In 1993, gold and diamond mining were opened up for private investors

foreign investors were allowed to own half the equity in mining ventures

In 1997, overseas banks and bullion suppliers were also allowed to import gold into India

This allowed the entry of foreign players like DeBeers,Tiffany and Cartiers into the Indian market.

In 2001, India had the highest demand for gold in the worldJewellery was fabricated mainly in 18, 22 and 24-carat gold.

KARAT CALCULATION

Source: ICFAI Center for Management Research

24 Carat 100 percent pure gold 22 Carat 91.66 percent pure gold 20 Carat 83.33 percent pure gold 18 Carat 75 percent pure gold 2 Carat 8.33 percent pure gold 1 Carat 4.166 percent pure gold

The late 1990s saw a number of branded jewellery players entering the Indian market

BRAND NAME

•Titan Tanishq

•Gitanjali Jewels Gili

•Beautiful Tiffany

•Peacock Carbon

•Others Oyzterbay, Tribhovandas Bhimji Zaveri (TBZ)

GILI:

In 1994, Gili Jewellery was established as a distinct brand by Gitanjali Jewels

Offered a wide range of 18-carat plain gold and diamond-studded jewellery

With sales of Rs.0.14 billion for the year 2007-08, Gili had a 0.03 percent share of the 400 billion jewellery market in India and a 1.4 percent share of the branded jewellery market.

TANISHQ: In 1995, Titan changed its name from 'Titan Watches

Ltd.' to 'Titan Industries Ltd.‘In the same year, it also started its jewellery division

under the Tanishq brand.Tanishq is considered to be a trendsetter. Tanishq began with 18-carat jewellery.It expanded to include 22 and 24-carat ornaments as well1998, Tanishq decided to set up its own chain of retail

showroomsBy 2002, Tanishq retailed its jewellery through 53

exclusive stores across 41 citiesTanishq had a 0.66 percent share of the total jewellery

market in 2007-08 and a 27 percent share of the branded jewellery market

CARBON:

In 1996, within the Peakok fold a new brand of 18-carat gold-based jewellery called Carbon was launched.

In 2002-03, with sales of Rs. 0.14 billion, carbon had a 0.03 percent share of the jewellery market and a 1.4 percent share of the branded jewellery market.

It started exporting in the year 2008.The brand is available in 23 cities countrywide.

OYZTERBAY:

Founded by Vasant Nangia and his team in July 2000

Oyzterbay seeks to build a national brand in the jewellery industry in India

With sales of Rs. 0.17 billion in 2003-0, Oyzterbay had a 0.04 percent share of the Rs.400 billion jewellery market and a 1.7 percent share of the branded jewellery market.

Source: ICFAI Centre for Management Research

Brand Market share

(2004-05) in % Tanishq 27.0

Oyzterbay 1.7 Gili 1.4

Carbon 1.4

The Indian market was witnessing an accelerated shift from viewing jewellery as an investment to regarding it as aesthetically appealing ornaments. The focus had shifted from content to design.

The younger generation was looking at trendy, contemporary jewellery and clearly avoiding heavy, traditional gold jewellery.

The consumer wanted a wider selection at a single convenient location and expected an international shopping experience.

The Indian consumer was willing to experiment with new designs.

TANISHQ:Tanishq worked hard on a two-pronged brand-building

strategy:▪ cultivate trust by educating customers about the

unethical practices in the business and ▪ change the perception of jewellery as a high-priced

purchaseTo increase its marketshare, Tanishq formulated a

strategy for luring people:▪ provide a point of differentiation in a highly

commoditized category▪ project Tanishq as an unimpeachable mark of trust

TANISHQ contd…One way to create differentiation was through designTanishq set up a seven member in-house design

team Tanishq decided to focus on quality control:

▪ it introduced caratmeters which showed the purity of gold

In November 2002, Tanishq introduced a new collection of jewellery called 'Lightweights.

It also focused on small town markets

CARBON:

Always focused on moving jewellery from the vault to the dressing table

It sold its products as gift items over the internetLike Tanishq it also laid emphasis on designIn 2002, Carbon launched its 'Sun Sign' collection,

based on the symbols of the Zodiac

OYZTERBAY: Jewellery for the Living:

The initial focus - to give a lifestyle value to jewellery instead of the traditional investment value

Emphasized on marketing and advertising strategies to give the necessary thrust for growth

Oyzterbay launched media campaignsThe new campaign focused on positioning Oyzterbay as

jewellery for office wear, evening wear or even a fitness session

They offered exclusive products to clients by refurbishing its collection every few months, keeping in mind international trends

GILI:The company's products were made available

through a mail-order catalogueAll Gili products came with a guarantee of

diamond and gold quality.In 2000, Gili launched its 'diamond heart

collection' targeted at teenagers and priced between Rs 500 and Rs.2500

The collection was promoted at college campuses Special packaging, catchy advertising and

extensive press coverage contributed to the success of the collection

Branded jewellery players will continue to face lot of competition from local jewellers.

Besides the major brands several regional players have opened branches to leverage the trust and reputation that they have built up over the years

Most of the branded jewellery players in India focused on yellow gold

Few of them experimented with the pink and white forms of gold.

Some of the players also used diamonds and platinum, which appear to have a good future in the Indian jewellery market.

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