Marketing Presentation

Roll-601 Batch 2014

Introduction
Name of the Brand: Fastrack Name of the Parent Company: Titan Year of Establishment: 1998

Industry Preview
Market Worth : Rs 5,00,000

Growth Rate: 15 % 20%

Market Penetration: 37% Students constitute the largest segment: 30% of the total sales Organized Players control 40% the market. Unorganized Players constitute the rest of the 60% of the market

Porters Five Forces

Supplier Power
Buyer Power

Barriers to Entry Degree of Rivalry Threat of Substitutes

Porters Forces (Contd)

Supplier Power:
No strong suppliers Lack of bargaining power Rise for China, Taiwan as low cost suppliers

Buyer Power:
Price Sensitivity Buyers Preference

Porters Forces (Contd)

Degree of Rivalry:
Increased number of firms Low switching cost Strategic stakes are high

Degree of Rivalry:
Cluttered market Lack of Differentiation

Threat of Substitutes:
No close substitute

Company Name: Titan

Company Overview SWOT Analysis Brand Portfolio

Company Overview

Launched on 1984 A joint venture between Tata Group and Tamil Nadu Industrial Development Corporation Indias largest watch brand with 65% of the organized watch market Worlds Fifth largest integrated watch manufacturer. Awarded No:1 Brand in the Consumer Durables category in the Brand Equity Survey by The Economic Times
Turnover for year 2010-2011: 6520.89 Crore

SWOT Analysis - Titan

Strength
Large network of exclusive stores and service centres High Top of the mind recall, especially for the Mid market segment Different sub-brands under the brand Titan have been successful in their positioning based on Demographic segmentation One of the worlds top five and Indias biggest watch manufacturer Titan watches are exported in over 40 countries

Weakness
Premium category Titan brands like Xylys have been camouflaged by the Titan Brand Image of being a mid-market player Havent penetrated the global market as some other international watch makers

Opportunity
India is an under penetrated market for watches Global expansion and tie-ups with global watch and Jewellery brands

Threats
Broad Target segment may lead to lack of focus in Brand strategy Stiff Competition faced by foreign brands, particularly in the premium segment

Brand Portfolio
Name of Brand Titan Segment Premium Average Price Rs 1100(approx) Target Audience
Upper Middle Class

Sonata
Fastrack Xylys

Mass Market
Youth Ultra Premium

Rs 550(approx)
Rs 850(approx) Rs 15,000(approx)

Lower Middle Class

Teenagers and College Students Upwardly Mobile Professionals

Brand: Fastrack
Product Range SWOT Analysis Competitor Analysis Strategies

Brand Fastrack
Launched in 1998 as a sub-brand for watches in the

youth segment when Timex broke off Titan as an

independent company Spun off as an independent brand since 2005 under

the flagship of Titan

Contributes the largest share of profit to titan i.e 30-40%

Has evolved into a fashion accessory brand with

entry into product segments like sunglasses, bags, belts etc.

Product Range

Current Watches Bags Sunglasses Belts Wallets

Proposed Motorcycle Helmets Bicycles

SWOT Analysis: Fastrack

Strength
Good Distribution Network over 100 Fast track stores across 50 towns with Titan Service Centres across India High youth connect Positioning as a youth stylish brand

Fast changing designs to keep up with latest trends

One of the most trusted brands in India Excellent advertising and brand visibility connecting with the youth

Has a diverse portfolio of watches, sunglasses, bags, wallets etc

Weakness
Products have a short life due to changing trends Adds to the cost of production

Limited global reach despite being a popular brand

Opportunity
Fast growing youth segment presents growth opportunities Global penetration would help brand grow and target youth worldwide Tie-ups with fashion houses and special schemes for youth

Threats
Youth segment is price sensitive Entry of foreign players has led to tough competition With lots of options available, brand switching is quite high

Competitor Analysis

Major Players in Market Other than Titan/Fastrack

General
Indian HMT Timex Maxima Foreign Cartier Omega Piaget Gucci Casio Citizen Tag Heuer Espirit

Competitors of Fastrack

Timex Casio Swatch

Competitor 1: Timex
Largest selling brand in USA and Canada Lowest cost watch manufacturer of the world Entered India in collaboration with Titan, broke away in 1998 Has launched a new brand named Helix targeting the demographic segment of 1824 year old

Competitor 2: Casio
Japan based company Products include calculators and musical instruments Market leader in calculators with 90% market share, strong presence in digital watch market Recent positioning focuses on low end watches

Competitor 3: Swatch
Swiss brand launched in 1983 High brand equity because of the Swiss heritage High tech, highly accurate and a high prestige value attached to the brand Official time-keepers for many high profile events including Olympics Recently started focusing on the upwardly mobile youth segment.

PoD(Points of Disparity) & PoP (Points of Parity)

Price and Placement

Fastrack and Timex focus on the middle segment is mid-price ranged watches while Timex focuses heavily on the low end watches and swatch targets primarily the high end models
Fastrack targets the urban spectrum of college and high school going population as Helix from Timex aims to do while Casio is targeting the tier II and tier III cities.

PoD(Points of Disparity) & PoP (Points of Parity)

(contd)

Communication and Brand Image

Fastrack has already established itself as a cool brand and associated the brand with the young and free spirit. Helix plans to tap into the same market and has launched 360* communication campaign promoting its image as adventurous.
Both Casio and Swatch lack a good media presence but Swatch has a certain snob value attached to itself whereas Casio is simply invisible

Strategies
Product Strategy Pricing Strategy Distribution Strategy Promotion Strategy

Product Strategy
USP : Youth Appeal Positioned as Casual Wear Seen by the audience as Fashionable and Trendy Product uses Funky, Adventurous and Cool Colors Out-of-the box designs

Examples of Fastrack Watches

Pricing Strategy
Midlevel Pricing for Urban Audience in Tier I and II cities Products range from Rs 650/- to Rs 3995/ Prices targeted towards the youth and towards the image of fashion accessory rather than just a timekeeping machine

Distribution Strategy
11000 Titan Dealers spread across 2500 towns 55 Exclusive Fastrack Stores/Kiosks in 22 towns 745 Service Centers in 345 Towns

Promotional Strategy
Terms associated with Brand Fastrack:

Trendy Adventurous Hip

Colorful Provocative Cool Funky Fast

StreetSmart

Promotional Campaigns
How Many Do You Have?
Traditionally seen as an one time investment Fastrack surprised the market by a promotional strategy promoting multiple buying. Attractive pricing and a persuasive campaign actually changed the general market perception Now watches are seen more in terms of a fashion accessory than timekeepers

 Move On The second and current campaign targets the fast moving and always restless youth Ads are provocative, bold and have high appeal among the college going population

Brand Ambassadors

Genelia DSouza

Virat Kohli

The Brand Ambassadors represent the brand image of Fastrack i.e Bold, Adventurous and Raring to Go
They also have a mass following and immediate connect with the Indian Youth

Future Plans
Titan targeting three-fold growth in revenue in 5 years to Rs. 14,000 crore making us a 3 billion dollar company. Fastrack is an important part of the expansion plans, targetting 880 Cr turnover for the fiscal year 2012-13 Plans to add 200 more exclusive Fastrack showrooms Tapping into the huge International Markets opportunity in

Conclusion
Titan is the market leader in the Wrist Watch Market, India Fastrack one of its most successful and profitable brand Even after the entry of other players, Fastrack in its segment remains largely un-threatened and expansion of its product line shall ensure that it remains a strong player in the coming decades

Thank You