Market Size Fourth largest consumer market in the world Jewellery Market Size: Rs75,000 crores Diamond jewellery: Rs10,000 crores Largest market in terms of volume of gold India accounts for more than 22% of the total
gold used for jewellery purposes Growth
Gold jewellery Market Growth: 8-10% Diamond jewellery Market:18%-20%
2006 data
The Indian jewellery market is one of
the largest in the world, with a market size
of $13 billion. It is second only to the US market of $ 40 billion and is followed by
China at $11 billion. The gold jewellery market is growing at 15 per cent per
annum and the diamond jewellery market at 27 per cent per annum.
Future of the Indian Jewellery Market: · India’s growing importance in the global jewellery market is only expected to increase in the future with total estimated jewellery sales of US$ 21 billion by 2010 and US$ 37 billion by 2015. · Diamond jewellery consumption in India is also estimated to jump by 78 per cent in 2010. · Branded jewellery is likely to be the fastest-growing segment in domestic sales. The sector is expected to grow at 40 per cent annually to touch US$ 2.2 billion by 2010. · Indian diamond jewellery industry is the third largest consumer of polished diamonds after USA and Japan. Diamond jewellery consumption is likely to jump to nearly 80 per cent in 2010 and over 95 per cent between 2010 and 2015. · Various government incentives coupled with private sector initiatives are projected to drive the sales of Indian gems and jewellery sector at a CAGR of around 14% from 2007-08 to 2010-11. · The organized gems and jewellery sector is anticipated to grow rapidly in
near future, accounting for nearly 8% of the total gems and jewellery market by 2009-10.
Various factors like cheap labor cost, better designs and manufacturing
practices, are making the country an attractive destination for cutting and
polishing of diamonds.
The main occasions to buy are still marriage and festivals Entering to international market is becoming tough. Although guarantee of the retailer is important in
ascertaining quality, hallmarking is gaining acceptance Gold as a share of wallet is decreasing in the younger
generation. Traditional jewellery is still the dominant design pattern while contemporary styles are emerging fast
In the past choice of stores used to be 1-2 stores, but customers now look at 4-5 stores for range and choice of jewellery
Customers in the high value category are becoming more informed because of exposure to media and fashion trends
Entering to international market is becoming tough.
QUESTION AND ANSWERS
Design Differentiation becoming the USP
Traditional industry relied on Karigar skills
Now, More emphasis laid on formal design training in jewelry category especially by the organized players
Design Training in NIFT, SNDT,GIA, JDTI
Players like Tanishq, Ganjam, TBZ have specialized Design Studios which have won laurels at international forums as well
India`s share in diamond jewellery is only 3% The elite segment is more brand conscious. DTC sight holder
Hallmarking - Standardization in Material quality is fast becoming a
pre requisite especially for Gold jewelry In case of diamonds, Increased awareness of diamond quality ( 4
Cs) Special EOU in hubs like Mumbai (SEEPZ) which supply to stores
across the world but face stiff competition from Hong Kong and
China Platinum has few manufacturers in the country in comparison to
Gold and Diamonds
Creating Newer opportunities to buy jewelry Festivals like Akshay Tritiya, Occasions like Mothers Day,
RakshaBandhan, Valentines Day etc Fashion campaigns in vogue. Creating a desire in the International customer to buy jewelry for
its design value/for accesorisation/ to make a statement about her personality.
Retail Seduce the consumer in the retail space as competition is
not only within jewelry category but categories like electronics, wellness services and luxury items
• Evolve a distinct retail identity – in terms of product, store look and customer experience
Trend of the speciality Jewellery markets/ malls Increasing traditional players renovating/refurbishing store
spacesConcept of strong retail brand in jewellery industry gaining strength
Areas Success factors
Marketing
and
Brand building
Capabilities
• Identification of valuable target
segment and effective positioning
• Communication of differentiating factors
• Consistent communication
• Strong customer relationship management
New Product
Development
• Strong design capabilities
• Strong manufacturing support
• Strong product planning process
• Strong IT integration
Areas Success factor
Distribution
Management
• Strong retail management capabilities
• Strong franchisee management capabilities
• New avenues, e-tailing, mail order catalogue
• Strong IT integration
Supply -Chain
Management
• Efficient sourcing and procurement
• Efficient production & inventory management
• Efficient logistics management
Service Quality • Store staff reliability, responsiveness,
assurances, empathy
http://www.everythingmining.com/Platinum%20Jewelry.htm
In India platinum is also known as white gold. As in India consumption of gold is more then platinum.
In India gold is purchased traditionally
In Europe every product is sold. Liquidity of platinum is low. Europe more focuses on modern
product with special design.