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Introduction
The gems and jewellery industry has an important role in the Indian economy. While a predominant portion of gold jewellery manufactured in India is for domestic consumption, a predominant portion of rough, uncut diamonds processed in the form of either polished diamonds or finished diamond jewellery is exported. With an estimated consumption of 722 tonnes during calendar year or CY2005 (including jewellery consumption of 587 tonnes), India is the largest consumer of gold in the world. Recent times have seen larger brands witnessing an upward swing mainly due to factors such as increasing consumer sophistication, diminishing investmentdriven purchases, alternative retail channels and competition from other luxury products. Responding to the changing trends, India's small, independent jewelers are starting to organize themselves into groups of four to five players to share a common brand identity and marketing strategy. In order to gain market share, branded players will have to come up with designs that customers want and win the trust and confidence of consumers by hallmarking and demonstrating the purity of the gold used by them. To compete with traditional players, branded players must also find some way to differentiate themselves. While the success of a particular brand will depend on differentiation, affordability and quality will be a key element in sustaining a brand. In addition, branded players require focused advertising and astute salesmanship to compete with traditional jewelers.

Branded jewellery in India

As India makes rapid progress in the retail arena, the jewellery market is undergoing a gradual metamorphosis from a 'storehouse of value' to a fashion accessory bazaar. Plain gold has now given way to diamonds, platinum and colored gemstones. Growth in the diamond industry has been remarkable. According to industry estimates, the gem industry is growing at 20 per cent annually and currently stands at US$ 3.6 billion. India is also a big export hub for processing diamonds and other precious stones. The two major segments of the sector in India are gold jewellery and diamonds. India is the worlds largest gold jewellery market by volume accounting for around 590 tonnes of consumption demand in 2005. Traditionally gold is 22
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carat. Gold jewellery forms around 80 per cent of the Indian jewellery market, with the balance comprising fabricated studded jewellery that includes diamond as well as gemstone studded jewellery. Gold jewellery and colored gem segments account for about 15 per cent and 5 per cent, respectively of India's gems and jewellery export in value terms. The largest cutting and polishing centre of diamonds in the world both in terms of quantity and value, the Indian gems and jewellery sector contributed to about 15 per cent of India's total merchandise exports during 2005-06. And in 200607, it accounted for 13.7 per cent of the country's total merchandise exports. In terms of carat, India's share in this sector is about 80 per cent of the world market. India produces 60 per cent of the world's polished diamond market by value, 82 per cent by carats and 95 per cent by number of pieces. According to the Gems and Jewellery Export Promotion Council (GJEPC), the total exports of the industry for the fiscal year 2006-07 were US$ 17,101.77 million as against US$16,646.04 million in 2005-06, showing a growth rate of 2.74 per cent over the previous fiscal year. The current fiscal witnessed an impressive growth of 10.86 per cent. India's 300,000 traditional jewellers commonly referred to as the unorganized sector dominate the country's jewellery retail landscape with a 96 per cent market-share, while large brands or organized retail form only 4 per cent of the overall market. But in recent times larger brands have been witnessing an upward swing mainly due to factors such as increasing consumer sophistication, diminishing investment-driven purchases, alternative retail channels and competition from other luxury products. Responding to the changing trends, India's small, independent jewelers are starting to organize themselves into groups of four to five players to share a common brand identity and marketing strategy.

Major Players in the market

Major players for branded jewellery in the market are ASMI, EROS, TANISHQ, SOLITIARE, SIGNATURE, GILI, AGNI, KIAH etc. Of late, some of the world's biggest names in the jewellery and luxury items such as watches and cuff-links are making inquiries to set up shop in India. Multi-national jewellery brands such as Tiffany, Cartier, Zales and Harry Winston are all said to be interested in coming here following the Government's decision to allow
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foreign direct investment of up to 51 per cent in single brand retail stores. Most of these stores have been sourcing cut and polished diamond and gold items from Indian firms. Now they are making inquiries for possible tie-ups in India.

Simultaneously, domestic players are also drawing aggressive plans

Shrenuj & Company Ltd has acquired 84.6 per cent stake in the US-based jewellery distributor Simon Golub & Sons Inc for US$ 22.7 million. Kerala-based jeweller Malabar Gold will spend US$ 48 million over the next year in order to expand its presence in southern India as well as abroad. Gitanjali Gems Ltd, a Mumbai-based jeweller, has incorporated a whollyowned subsidiary in Dubai, Gitanjali Ventures DMCC, whose main activity is trading in diamonds, precious stones, diamond jewellery and pearls. Also, the Gitanjali Group has announced its foray into the luxury retail market through a new entity Luxury Connexions'. The company will invest US$ 24.5 million over three years to set up luxury malls in eight leading cities across the country. Two new special economic zones (SEZs) for gems and jewellery are to come up at Goregaon and Dhulia, both in Maharashtra. Also, the state-run Minerals and Metals Trading Corp. (MMTC), plans to establish a gems and jewellery special economic zone (SEZ) in partnership with a private company.

Key factors influencing the jewellery retail scenario in India.

Diamond jewellery now is not restricted to just occasions like marriage but extends to all modern day occasions like Valentines day, Mothers day, Fathers day, Karva Chauth etc. All brands are targeting on the emotional bonds of human relationships and promoting the same accordingly, thus giving retailing jewellery in India a major boost.
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There is a marked shift in the consumers preferences and aspirations from goldjewellery to diamond jewellery which is fuelled by media hype and exposure to lifestyle and luxury products. With more women working in todays scenario the positioning of diamond jewellery as 9 to 5 wearable jewellery has increased emphasis on this segment. This is further fueled by the fact that with the number of double income households increasing this has resulted in more disposable incomes being available. With more and more players being introduced in the branded jewellery segment there is an onslaught of schemes and promotions on diamond jewellery round the year, which gives retail a great push. Each brand offers value added services like certification of gold and diamonds, life time return /buy back schemes, zero interest installments schemes which have made the diamond jewellery more affordable than its perceived traditional image of being expensive, thereby increasing consumption. To further strengthen the retail segment, most brands are getting into departmentalstores, hypermarkets, supermarkets and specialty stores. Western style malls have begun appearing in metros and smaller cities alike, introducing the Indian consumer to a shopping experience like never before. Besides the franchise route the counters in most malls is another route that most of the brands are getting into which helps create a better reach of the product. The opening of a number of exclusive franchise outlets, not only can provide the entire range of jewellery under one roof but create an ambience to give consumers a total shopping experience. Consumers are moving slowly away from contemporary jewelry to designer wear. They have also become very quality conscious. The Indian consumer is well traveled, and is exposed to the international shopping experience, and not only commands the same, but receives it too in India. Jewellery buying is no longer confined to seasonal cycles of marriages, and Diwali and Christmas: anytime is a fine time, and jewellery can be bought as much to express an emotion, as to proclaim the financial status of the wearer.

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Company Profile Tanishq

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The Tanishq saga began in the early 1990s, primarily fuelled by the fabled Tata entrepreneurial spirit and partly forced by circumstance. The splendid Titan watches success story was already up and running, and happened to need more foreign exchange to purchase the imported components and machines required to keep up with the burgeoning watch production. But with India going through a foreign exchange crisis, there was no help coming in, forcing Titan to search for a business that would earn them the required foreign currency. The first precision engineered watch, Tanishq created with 103 diamonds and pure 18 carat gold. Indian-made jewellery was already a big foreign currency earner and being strongly supported by the central government, and also happened to be a very good fit with the watch business as articles of adornment.The best known brand names in both Europe and America had watches and jewellery together, offering further proof that the two industries are intrinsically linked. It was a business with a huge wealth potential and it added a very feminine offering to Tatas long line of products that appealed mostly to the opposite gender. It also called for an organization that inspired trust and had high order design, manufacturing, marketing and retailing skills, and Tata fit the bill on all accounts. A revolution in Gold Purity Standards across the country. Tanishq was coined from a combination of Tata/Tamil Nadu and Nishq (meaning a necklace of gold coins) and, again, from Tan, meaning body and Ishq, meaning love. It was launched in 1994 as a range of jewellery and jewellery watches meant for the European & American markets. But things began to change globally around this time, and the West entered a protracted period of slow economic growth followed by recession. Supplying jewellery to the Americans & Europeans suddenly no longer seemed an attractive proposition. Initially, the criticism for Titans foray into jewellery was loud and often bitter. Eventually, however, the critics were silenced. Tanishq, today, is perhaps the only major Tata brand with a strong appeal for women. Very importantly, Tanishq has brought to the market a whole new standard of business ethics and
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product reliability, in the process bringing about a transformation in the manner in which jewellery is bought and sold in India. It has created a revolution in the Indian jewellery trade and in jewellery buying behaviour, and continues to set new parameters of excellence for others to follow. The recent, 22000 sqft showroom at Usman Road, Chennai. The Indian market, on the other hand, opened its doors to the world, and was now flooded with foreign currency. By the time Tanishq established its manufacturing facility and entered the market, the premises on which the project was based had altered substantially. Foreign currency was no longer an issue, import licences were easy to obtain and the global demand-supply equation for jewellery had shifted in favour of buyers. Tanishq, therefore, switched tracks and shifted its focus to the Indian market and develop a somewhat grandiose vision of the brand as a composite avatar of Cartier, Tiffany, Esprit, and Ernest Jones all rolled in one. Tanishq, India's largest, most trusted and fastest growing jewellery brand, offers traditional as well as trendy designs in gold, diamond and platinum. With retail sales of over Rs. 3000 cr last financial year, Tanishq has delivered value to its customers and shareholders. Backed by in-depth research in the jewellery space, the production and sourcing units of Tanishq create exquisite designs with faultless finish. Located at Hosur (Tamil Nadu) and Dehradun (Uttarakhand)) the 1,35,000 sq. ft. manufacturing unit is equipped with the latest and most up-to-date technology and tools. The unit also complies with the labour and environmental standards. Stringent quality standards ensure that every product at Tanishq is crafted to perfection with unmatched finish. With innovations like the karatmeter - the only non-destructive means to check the purity of gold - Tanishq introduced technology-backed challenge in the category completely governed by individual trust. The brand propagates ethical practices and provides the customer a certification of purity of material and reselling policies. Following the line of ethical practice further, adequate policies are in place for the artisans who create the jewelry.

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Tanishq has a Golden Harvest savings scheme which is a unique Jewellery purchase scheme, leading to an easy purchase of Tanishq jewellery of your choice. With this scheme you can buy for more than what you save because Tanishq will add a special bonus at the end of the scheme. Tanishq introduced specialized retailing in the fragmented jewellery market of India. Today, with over 118 opulent stores in 76 Indian cities, Tanishq continues to rule the jewellery space.

Image
Tanishq is a very interesting brand. Interesting because it is a brand that is trying to change the rules of an industry which is very fragmented. Tanishq is one of the first brands to create a national brand in the Rs 40,000 crore Indian Jewelery market. The Indian jewelery market is huge and India is the second largest consumer of gold trailing behind USA. But the jewelery market is highly fragmented. The branded jewelery segment is hardly 5% of the total market. Tanishq was launched in 1995. Since then , the brand has grown to a Rs 1200 crore brand even overtaking Titan watches interms of the turnover.

Awareness
Tanishq is a retail brand. It is the chain of jewelery shops set up by Titan across the country. According to the company website, Tanishq has more than 104 stores across 71 cities. The chain is operating through a franchise system. Titan has also another brand of retail outlets which is known as Gold Plus which is targeting the urban/semiurban consumers and small towns. Gold Plus has presence in more than 20 towns and Titan is planning a major expansion of these stores. Titan planned to venture into gold business way back in late 1980's. During that period of foreign exchange crisis, a good way to earn the valuable foreign exchange was through gold business. But by the time the company figured out the business, the foreign exchange problem was over. Although the jewelery market is large, doing business in this segment is not a cake walk. The market is complex and highly unorganized. The consumer
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behavior is also different compared to what we see in other products and categories. One of the major hurdles that the brand faced was the brand recognition during its initial stages. People did not know about the Tanishq brand . Since gold is a high value- high involvement purchase, consumers were risk averse in trying out a new retail format like Tanishq. The consumers were also less responsive to the premium that Tanishq jewelery commanded.

Identity
Consumers tend to see gold as an investment and indulgence. Most of the individual consumers are loyal to their local jeweler /goldsmith. And for a brand like Tanishq, it had to break this traditional consumer buying process and also make them switch their loyalty from the goldsmith to the retailer. Tanishq started off selling 18 carat gold jewelers. The brand at that time was positioned as a jewelery for daily wear . But the brand ran into difficulties since the consumers were too sticky about 22 carat ornaments. The light weight jewelery was still alien to the consumers. Tanishq was depending heavily on the pull factor. The brand relied on the design ranges, the trust that the Tata brand carries and also the reliability factor. Since the pricing of gold jewelery is tricky and complex, consumers also tended to rely on their traditional store rather than experimenting with new stores.

Personality
The brand also had to fight the perception of being a premium brand. In a classic case of over positioning, the brand had to convince the consumer that Tanishq had jewelery which was affordable. Over positioning is where the brand narrowly positions itself and consumer tend to have a narrow image of the brand. To tide over this issue, Tanishq came out with small priced collections which to an extend corrected the perception problem. Tanishq had a turnover of over Rs 1200 crores. The brand is very active across the media. Tanishq have a two prong branding strategy. The company have the main brand Tanishq and lot of sub brands for
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its different collections. Some of these brands are Solo, Aria, Diva , Collection G etc. Tanishq recently roped in the new Bollywood diva Asin to endorse a collection.To tide over the issue of low margins, Tanishq has recently launched the diamond collection which is considered to be a high margin product line. Tanishq has been trying to differentiate on the designs. It had built lot of product lines and has branded these lines. The brand feels that consumers will chose Tanishq for its designs. Jewelers in Kerala have roped in most of the famous models and divas for their campaigns. Even ex-bollywood divas like Sridevi Jayaprada and Hemamalini are endorsing some of the Kerala Jewelers. These jewelery chains then spend heavily on building their brands and luring the consumers . Now the stores are so desperate that they have sales executives who are canvasing the bride's parents. Marriage is the event where maximum gold purchases are done by the consumers. You cannot built volume in gold business by ignoring the marriage segment. And this segment is witnessing a dog-eat-dog competition . Gifts, referrels, discounts rule this segment. I am not sure whether Tanishq is geared up for such a volume business. When Tanishq launched the everyday -wear, it was a concept that was ahead of its time. But I feel that the younger generation is now opening up to the concept of such a collection. The ballooning gold prices are also an opportunity for Tanishq to rejuvenate such a line of jewelery. Tanishq has reached a position from where it can scale up the business to the next level . The brand has to localise its promotional campaigns which will inturn make the brand more visible among the local consumers

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Advertisement campaign of Tanishq 4cs of diamond

The campaign is scheduled to go on air in the midweek on April 2011 Message

Tanishqs new advertising campaign carrying a unique message 1. To educate consumers about how to assess the purity of diamonds through informing about the basic 4Cs of a diamond - cut, clarity, color and carat. 2. Noteworthy as it is being endorsed by Bollywood couple Mr. Amitabh Bachchan and Mrs. Jaya Bachchan. The brand believes its purpose to make consumers more aware stems from the fact that diamonds continue to be the most desired gems and a symbol of commitment. And is also growing as a popular gifting choice. 3. Mr. Sandeep Kulhalli, Vice President, Tanishq said, Understanding the lack of awareness amongst customers in choosing right diamonds, we conceived the idea of educating our consumers through the ad campaign.

Theme
Ad campaign reflect the brand's stature and standing, connect with people across a wide spectrum. They zeroed in on Mr. and Mrs Bachchan for this ad, whose combined fan following varies across 6 to 60 yrs of age, and will be desired personalities to reach out to the people easily spreading awareness on this precious jewel.

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Helped customers discover the finer details on buying diamonds besides giving me an opportunity to create awareness on this rarest and most beautiful form of the precious stone. To know that the genuinity of a diamond depends on the cut, clarity and carat of the diamond, irrespective of the size.

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Conclusion
Tanishq has brilliantly conveyed this message through the ad campaign. Many netizens have taken it to task on public forums for its tone and message. Brand seems to be taking a very condescending view of its role and importance in the life of the consumer. While I agree that jewellery plays a very important role in the life of a woman, even in the life of a modern woman; but for it to make a woman reconsider her priorities in life seems a bit over the top. I feels that after seeing the communication, women with a modern outlook would feel that their life decisions are being trivialized; while conservative women might feel that the brand is being patronising, by objectifying them as being fickle and prone to temptation. It has also change the view point from a mere occasion wear to also can be used as a Gift

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