Jewellery and watch maker Titan Co. is increasing its focus on premium watches priced at ₹25,000 or above. The company seeks to cash in on the growing inclination among fashion-savvy consumers to showcase and invest in branded timepieces, said a senior executive of the company.
As India’s largest retailer of watches and jewellery brands, Titan has a network of over 1,000 exclusive watch outlets. Its products are also available at 8,000 multi-brand outlets as well as e-commerce platforms. Titan has established its presence in the high-end watch market with offerings like Titan Edge Ceramic, Nebula, and Xylus. It also serves as a retailer for global brands like Coach and Tommy Hilfiger.
“Premium is a very big market opportunity and we have always been the leaders in the mid-market segment. In the last two years, we found many premium launches doing well. For example, the Titan Edge cluster is doing really well. We launched Titan Edge Ceramic Squircle—priced at ₹42,000—that’s flying off shelves. This has given us a lot of confidence that when we are presenting something very differentiated, consumers are lapping it up,” Suparna Mitra, chief executive, watches and wearables division, Titan Co. Ltd, said in an interview.
Mitra highlighted a ‘newfound’ affinity towards the premium watch market, that is growing at a very fast pace, albeit on a small base.
The company has firmed up an internal plan to develop the premium segment of the watch market. The strategy is well-defined, and the company is ‘putting together’ the framework and the execution plan, Mitra said. “We have a separate chief operating officer overseeing smartwatches. We are now in the process of creating a separate framework for premium (watches) because we see that as a very big opportunity.”
Indians are showing an increased inclination towards acquiring aspirational luxury items, spanning luxury cars, residences, and accessories—a trend that brands are keen to capitalize on.
The expansion of the current portfolio, which contributes in single digits to the overall watch business, could be led by more collaborations with international brands. Mitra said. “It will be led by Titan’s own brands, but for watches priced over ₹1 lakh, clearly, there will be a big play in international. So that is again a work in progress.”
In FY23, Titan’s watches and wearables division reported revenue of ₹3,296 crore up 42.7% from a year ago. The division is led by its flagship brand Titan, apart from Fastrack, Sonata and Raga, among others. It retails watches via its network of stores under Titan World, Helios and Fastrack retail formats.
While the rising popularity of smartwatches and smartphones had threatened the existence of analogue watches, Mitra sees a marked ‘resurgence’ in demand for the category, and premium watches could in fact grow in triple digits.
“One thing is clear. Watch is not about just telling time, as you have mobiles and other devices. It has clearly become a fashion accessory. With the rise of ‘Generation Instagram’ where everybody curates looks from head-to-toe, the watch and what the watch tells about you has become a very interesting part of that conversation.”
Additionally, a growing cohort of watch connoisseurs are influencing consumers by talking about different brands and vintage pieces on social media, giving way to a new-found craze among affluent Indians for luxury handbags, watches, and works of art in 2023, according to a report by real estate consultancy, Knight Frank.
“In fact, consumers have started looking at watches as a sign of their increasing status,” Mitra added.
