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Titan watches to open small-format stores in tier-II & III towns

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BS Reporter Mumbai/ Ahmedabad
Last Updated : Feb 18 2013 | 9:05 PM IST
The World of Titan, India's largest watch retail chain, is eying to expand presence in the tier II & III towns with small format stores, that would not only boost the company's retail sales but also its brand presence.

"There are around 400 towns with the population range of 100,000 to one million people. We are planning to come up with smaller format stores, around 400 square feet in size, in these towns. By the end of this year, we would open such stores in 40 new towns, and over the next two to three years we plan to be present in around 200 to 300 such small towns across the country," said Ajoy Chawla, vice president, global business head, Titan & Retail, Titan Industries Ltd.

In the coming years, these small-format stores would contribute around 3-5 per cent of 'World of Titan' turnover. In 2011-12 it posted a turnover of around Rs 780 crore.

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Calling it the 'middle India' Chawla added that the company already had presence in these towns through multi-brand outlets, but in order to strengthen the brand presence and create a brand aspiration amongst customers, the company is planning to come up with stand-alone stores.

"There are buyers for premium segment watches (those above Rs 10,000) in these small towns. While the number is still less compared to metros, it is definitely growing," he said. Titan has 357 World of Titan retail stores across the country.

While the mid-segment watches between (Rs 5,000-10,000) is clocking a 20 per cent compounded annual growth rate (CAGR), the premium range (Rs 10,000-20,000) is growing at 25 per cent and the luxury segment (Rs 20,000 and above) is growing at 20-25 per cent, informed K S Ghai, business head, west, Titan Industries Ltd.

The company, which enjoys a 60 per cent market share in the organised watch market (approximately Rs 4,000 crore), plans to launch sub-segments at regular intervals.

It launched the Spring Summer Collection 2013 in the Octane range of sporty styled watches for men here on Monday.

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First Published: Feb 18 2013 | 8:36 PM IST

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