Tanishq, the $1-billion revenue jewellery brand and part of Titan Industries Ltd of the Tata group, today announced the opening up of its fourth large format fully-owned showroom in Hyderabad, this being the company’s 130th in its network of stores.
On a rapid store expansion drive, Tanishq expects to close this current financial year with about 150 stores in all including 10 large format stores. The latter will come up in major cities of the country, according to Mr Sandeep Kulhalli, Vice- President-Retail and Marketing, Titan Industries Ltd.
The showroom is spread across 9,000 sq.ft. and provides the customers with a holistic jewellery retail experience. Buyers are beginning to experience the advantage of organised retail wherein they can walk into any store across the country and deal. This is of great advantage to buyers, he felt.
Mr Kulhalli later told Business Line that the volatile price of gold in the last month has been a cause for concern. The prices have fluctuated and customers tend to get cautious. “But we do not see this impacting the overall business during the year,” he emphasised.
“Tanishq reported billion dollar revenues last financial year. Given the current price spiral, we are confident of sustaining the growth. The higher prices alone would be sufficient to boost the overall revenues,” he said.
Consolidation
Referring to the country’s jewellery market, which is estimated at Rs 1,25,000 crore a year, he said modern retail trade is gradually picking up. What is significant is that small and medium stores have begun to feel the heat due to consolidation in the marketplace. More and more buyers may opt for organised play, he felt.
The consolidation has set in and would take sometime to realise its impact. Jewellers are betting big on the festive season, when volumes normally swell. Akshaya Trithiya in April-May and Dhanteras before Diwali in October, these two days help generate big volumes. About 1 per cent business is generated on these days, he explained.