A

FIELD SURVEY REPORT

ON

“CONSUMER PERCEPTION TOWARDS DIFFERENT JEWELLERY BRANDS”

TO THE PARTIAL FULLFILLMENT OF REQUIREMENT FOR THE

AWARD OF

POST GRADUATE DIPLOMA IN MANAGEMENT

SUBMITTED TO SUMMITTED BY

MRS POOJA PATHAK AKASH BARANWAL

LECTURER PGDM 2ND SEM

PG/09/01

PREFACE

Basic objective of any business is to maximize profit. Energy, industrial or service oriented operation

runs itself for the accomplishment of smooth return with least expenditure. For this purpose in this

highly competitive world it becomes very important for the product or services to sell it with

fighting the existing conditions.

Today companies work in a war zone of rapidly changing competition, technological

advancements and other policies which keeps on changing by the regulatory authorities, so to

run business successfully and profitably it is essential that company must keep re-examining

their strategies through continuous market studies.

A questionnaire was carefully prepared and thereafter an extensive survey was

conducted indifferent parts of Lucknow. Data and results obtained from this survey have been

carefully analyzed, incorporated in this report and all suggestions are based on this survey.

ACKNOWLEDGEMENT

I take this opportunity to express my profound sense of reverence and gratitude to all those who have helped and encouraged me towards successful completion of this project.

I am grateful to the Institute for giving me an opportunity to conduct a field survey on “consumer perception about different jewellery brands in Lucknow city”.

I would like to convey my special thanks to my guide & mentor Mrs. POOJA PATHAK Lecturer, SMS Lucknow. I am also thankful to all my batch mates and other faculty members for their valuable suggestions.

I am indebted to my parents and my friends who gave me moral support in the course of completion of my project.

Akash Baranwal

PGDM 2nd Sem

DECLARATION

I hereby declare that the information presented in this survey report is correct to the best of my knowledge. This project report has not been published anywhere else.

Akash Baranwal

CERTIFICATE

It is Certified that this Field Survey Report entitled “………………

…………………………………………………………………” has been

prepared by Mr. /Ms. …………………………………………. of PGDM

Semester-II class during the session ………………………….. under my

supervision.

The Field Survey Report is up to the standard and I forward it to the

Director, S.M.S. for getting it evaluated as per the ordinances

governing the PGDM course.

…………………………

(Signature of the supervisor)

Date: ………………. ………………………....

TABLE OF CONTENTS

CONTENTS

1. INTRODUCTION 1-12

2. OBJECTIVE OF THE PROJECT 14

3. RESEARCH METHDOLOGY 16

4. DATA ANALYSIS & INTERPRETATION 28-42

5. FINDINGS 43

6. SUGGESTION 45

7. CONCLUSION 47

8. LIMITATIONS 49

9. BIBLIOGRAPHY 51

10.ANNEXURE 53

INTRODUCTION

INTRODUCTION

“Gold jewellery is often envisioned as a symbol of wealth and status. Interestingly, buying gold jewellery is also one of the best ways to invest hard earned money. Vibrant looks, exquisite design and the impeccable style, innate to well crafted gold jewellery, make it nothing short of a treasure. Gold jewellry is a striking piece of art and the aptly described as poetry in metal.”

India is the largest consumer of gold in the world. Country’s jewelry market is mostly dominated by the unorganized sector. About 3lakh traditional retail jewelers hold 96per cent of the market share, while large brands or organised retail form only 4 per cent of the overall market.

Among the gold market, gems and jewellery segments shows highest potential of growth the growth of retail business in this area. The Indian gems and jewellery sector contributed to about 15 per cent of India's total merchandise exports during 2005-06. And in 2006-07, it accounted for 13.7 per cent of the country's total merchandise exports. The domestic demand for retail jewelry (both branded and unbranded) was estimated at Rs 490 billion in 2005, with diamond jewelry comprising Rs 80 billion. By 2010, according to a study by McKinsey, the branded jewelry market alone would touch Rs 100 billion mark. The sale of diamond jewelry in India has been increasing at a rapid pace of 25% every year over the last two years. The branded jewelry segment has shown an astonishing trend, increasing by 50% each year.

In the recent years, jewelry market has witnessed tremendous change. Old, traditional ornaments are giving way for branded designs and gold is replaced by diamonds and precious stones. Buying pattern is also changing. People are more and more opting for branded jewelry than buying from a ‘family jeweler’. This change has created ample opportunity for the retailers. Multi-national jewellery brands such as Tiffany, Cartier, Zales and Harry Winston, all are showing interest in setting up their shops in India. Government’s decision to allow 51per cent FDI in single brand retail store also helped many foreign retailers to enter into India.

Damas Jewelry, one of the world’s leading jewelry retailer entered India in 2003 with a 50-50 joint venture with Gitanjali Gems Ltd. Damas opened its first retail store in Bangalore in 2005 and it increased its presence by another seven showrooms in short span of 5 months. It intends to open another 30 showrooms by 2006-07.

Generally, Indian consumer looks out for low-cost jewelry for daily wear and prefers to buy from trustworthy jewelers. Diamonds, precious stones which give elegant look not so expensive and changeable after few years of wearing are preferred by the working class women. Some of the prominent brands in the market are Adora, D'Damas, Oysterbay, De Beers and Carbon. There are about 30 major players marketing about 50 brands in India.

Keeping Indian consumers preferences and tastes Arens Gold Souk International Limited has opened a special shopping mall for branded jewelry. The company is planning to open about 100 Gold Souks in India in near future.

Jewelry retailers are exploring the vast India Gold and jewelry market, especially brand jewelry in their own way of branding, suiting to the needs and expectations of the consumer. Among Indian brands, for example, Nakshatra is product specific, Asmi is feeling specific, and Glitterati is star oriented.

For thousands of years, Indian jewellery has remained unchanged with design dictated by regional and religious tradition. Over the last few years, however, it has begun to bubble with change. Economic reform and the impact of television have suddenly opened the doors and latest global trends have found favor. Fashion is now an important new sales driver and jewellery manufacturers are scrambling to adjust their product design to cater to this segment. A host of variables- the buying occasion, the wearing occasion, the economic strata of the target segment and the effect of regional and religious influences on all of them are now being juggled to find the winning mix.

 A recent study of youth in India, a segment consisting of those under 35-constituting a colossal 54 per cent of Indian population with high disposable income and a propensity to spend, showed that young Indians today, despite being a part of the global fraternity, would gladly choose to stay connected with their cultural roots. This study makes it abundantly clear that connecting tradition with trends is one of the keys to success in the Indian market.

 Fashion jewellery integrates many aspects from the tangibles to the intangibles and is evolved of an environment from purpose, material, technique, production, user, economics, to aesthetics, values, perception, and time. No matter where and when, a designer cannot proceed without considering all the aspects involved in turning a concept to an actual product on the counter. Change is an integral part of society and traditions need to be reinterpreted and restated with subtle modifications to suit the changing times.

Jewellery industry hasn’t yet got around to really understanding the consumer. The concept of design is still new to India, and it is not quite sure if serious, systematic efforts are put in by Indian designers and companies to understand what the Indian jewellery market is about, who the Indian consumer is and what she really wants in a piece of jewellery. The jewellery institutes hold design workshops for companies and they are often a complete revelation to most of the older generation who attend them. One can understand trends and design, but you cannot simply put the two together. A design is created keeping in mind ones production base, corporate identity marketing and packaging efforts, branding and the like.

 Change in Perception:

In the globalized era, jewellery in India, like many other traditional product segments, is undergoing an astounding change of perception. While it continues to enjoy the position of being an enhancer of beauty and means of security, the new-age consumer perceives jewellery as a personal accessory that manifests the wearer’s attitude, personality and lifestyle. It is imperative for jewellery manufacturers to recognize this shift and adopt new, innovative approaches in the creation of jewellery. This is what will enable them to establish an edge over their competitors. On the other hand, a glaring reality is that the traditional jewellery sector constitutes a significant chunk of the jewellery market. This jewellery in most instances is handcrafted and bought from the family jeweler. This segment has a strong socio-cultural bias, as the jewellery is bought for auspicious occasions like weddings, engagements, and rituals. The decision to buy a piece of jewellery is more often a family decision than an individual choice. Jewellery in this segment is also a means of investment

and future security traditionally constituting the wealth that a bride takes with her to her new home.

This offers the biggest opportunities to designers they need to understand that traditional jewellery emphasizes a deep zymology and meaning socio-cultural, religious and psychological- that places it way beyond its sole function of adornment. There is an unimaginably vast opportunity for us to leverage this by packaging the context of tradition and culture in designs that are universal and contemporary in their aesthetic appeal. This blending results in a product that stand out in today’s world where globalization has resulted in products being massively homogenized and consequently losing their individual, cultural and regional identity.

A lot of companies are already experimenting with this blending concept, but it is important that the resulting jewellery, while keeping in mind traditional reverence and meaning, should not look very ethnic. Here branding and packaging play an important role in linking a new-look piece to its traditional inspiration. The successful Nakshatra brand that launched by De Beers. Floral designs have always existed in Indian culture with different communities interpreting them in a myriad different ways. But the traditional jewellery was heavy and worn only at weddings or for religious ceremonies. Most of the time it stayed in safety deposit lockers. Nakshatra successfully reintroduced it by modifying it into light, everyday-wear designs. Any sensitive designer today is trying hard to establish a balance between tradition and trend. The interplay of traditional technique and international design trend is apparent in today’s Kundan (traditional 24-karat gem-set) jewellery.

Some designers have already incorporated the linear earring design, which is a global trend today, into their kundan-studded earrings. A classic example of mangal sutra, the traditional beaded necklace worn by women to signify their married status, a social symbol that has remained unchanged in design for millennia. The basic concept of black and gold beads with a pendant the centre remains the same, but one can now have interplay of black, white and gold beads. As for the pendant, the beads were first replaced by diamonds but have now made a comeback. The variations in design are actually asked for today by young brides of traditional and modern tastes. There exists a traditional Indian woman within every modern woman and jewellery has to appeal to both.

Apart from the subtle changes in the traditional jewellery market, most designers observe that more and more people today are interested in horoscopes, chanting mantras, yoga and alternative therapies.Today’s consumers have a strong interest in birthstones and the beneficial properties of gems. Consequently, spiritual and auspicious motifs have seen a great comeback in fashion, including the jewellery segment. Thus the Rudraksha, Ganesha and religious swastika motifs, the traditional nine-gem or Navratna combinations and many other auspicious concepts have become very popular in the Indian jewellery market over the last couple of years. Indian designers incorporate these motifs into current fashion so harmoniously that they are as current as the latest trends.

The Indian USP Unlike many other fashion markets in the world, which are more homogeneous in character, the Indian market demonstrates a great element of duality, particularly in traditional product segments like jewellery. Indian consumers operate with two contradictory mindsets when deciding to buy a piece of jewellery. At heart, we remain quite rooted in culture and tradition and continue to revere and value jewellery as a time-honored possession. On the other hand, the same consumers exhibit contemporary urban traits and see

trendy jewellery as an extension of their personality and lifestyles. They opt for brands, thereby emphasizing their perceived worth accorded to a piece of jewellery. The jewellery buying pattern in the Indian market is also changing. For instance, the Indian woman today is economically independent and does not seek approval from her father or husband to buy jewellery as was the case earlier. Indian fashion does not surrender to the burdens of fall-winter or spring- summer influences. In India people stick to their personal tastes and do not kowtow to the imposed opinion. It could also be because most of them cannot afford the routine makeover of the wardrobe another interesting feature is that the Indian consumer looks for the longevity in a product. Hence the product supersedes the season. Also, Indians might see tough competition from other luxury items like high-end mobile phones, travel, and the like, Indians have a rich culture and heritage, which continue to respect and follow despite changing modern attitudes. Jewellery is far too integrated into lifestyles to get affected in one generation. This could all change some two generations down. The good part is that they still have the luxury of time to work on it, unlike the west.

It is felt during a recession; jewellery comes in last and goes out first. While buying, jewellery is last on the list. Although mobile phones are a luxury item, they have become a necessity. Nonetheless, the Indian market is getting stronger by the day; it will see a big change in the tastes of the Indian consumer within three or four years. And while many point to the growing use of diamonds in Indian jewellery, complete makeover is still a way off. Rural India still has a mindset for plain gold jewellery, as it is easily traded as compared to diamonds (meaning investment is still a big jewellery purchase driver). And rural India accounts for a major chunk of jewellery consumption. There are several trends running parallel in the Indian market as far as the design life cycle goes. While in the traditional jewellery market, change is gradual, spread over years, in the urban segment, it is quick and ongoing. Moreover, in precious jewellery, the evolution is much slower and most often, jewellery in the high-end segment tends to have a long-term appeal. However in the fashion segment, it is very important to tie it to trends, as the price points for these are much more affordable, and this is where the consumer is able to experiment.

The product life cycle in India is much longer because of the high value costs involved. Other lifestyle products undergo four fashion cycles a year, but jewellery cannot follow this pattern. Only between one and three per cent can afford to buy so frequently. Trends in jewellery change at much lower rate as compared to the rest of the luxury market due to the high costs involved.

 Designing To Follow Fashion:

With so much change and so many variables to consider, most jewellery designers agree that it is vital to understand the holistic lifestyle practices of the customer, visit jewellery stores across the country, national and international fairs, fashion weeks and travel to observe what people wear in terms of their garments and accessories. All these provide valuable inputs to a designer. It’s important to watch the fashion segment for the colors, styling and detailing on

the garments. One need to study the necklines that are in vogue to decide the profiles of the neck- wear that you are going to design. A good example of fashion trends affecting jewellery design was the layered look. A few seasons back, all the big design houses were suddenly wrapping up their models in many layers of different materials. This concept took off in the jewellery industry like a rage with designs featuring many different beaded necklaces and bangles at the same time.

A designer has to also keep in mind the wear ability of the piece while being conscious of trends. Indians have traditionally preferred emeralds and rubies for the color in their jewellery but that of late, a variety of colors and types are in vogue.

Today Indians want topaz, tourmaline and even synthetics if they give them the look they want. But even after factoring all the variables, most designers will tell you that there is no such thing as a single, homogenous Indian jewellery market. Geographic location and ethnic differences break it up into distinctly different markets with differing tastes. When one designs for the Indian market, one has to definitely keep these aspects in mind. But, the contemporary jewellery segment responds closely to the changes in the global market and the consumer base is not wholly segmented by geographic location or ethnic groupings. Internationally, companies and marketers are segmenting consumers in the context of their attitudes and values, tastes and preferences, lifestyles and living patterns. However, there is a specific, identifiable customer base in cities like Delhi, Mumbai, Hyderabad and Bangalore, that is more willing to experiment with new designs and concepts.

Delhi definitely is very quick to catch on to trends which are bold and visible. Bombay is more style oriented where people are more aware of what works for them individually and whether it suits their personalities. The south tends to stay with a more classic approach. In Chennai, gems are a no-no. Though jewellery is forever evolving, the underlying essence of a particular region is always visible in it. Look at a bride from any particular region of India. Even the most modern north Indian bride will shun international brands on her big day and opt for culturally and traditionally rich embellishments like Kundan jewellery, while a south Indian bride would go for temple jewellery. Indians attach a considerable amount of emotional value to jewellery though this does not affect the design concepts of fashion jewellery. There is a very small segment emerging of highly fashion- conscious individuals who are ready to experiment with tradition. There is also another segment of people who are artistically inclined, and prefer handcrafted or artistically appealing jewellery. And then there are collectors who go for customized pieces that are unique in design, material, craftsmanship or technique. Fashion designers empathize with

this drift and thus are exploring more and more possibilities in terms of integrating regional tastes with the fashion dictates of today. Hot, Evolving Market India is hot today, and tastes are moving from local to global. The market for designed goods is fast evolving. From the fashion weeks becoming popular in India, to Indian design stores and Indian designer labels becoming fashion icons globally, India on the path to becoming a design centre for the world.

Five or ten years ago, one could clearly distinguish between a western and an Indian design. But today, the distinction is blurring. Plus, the idea of fusion has brought the two worlds together. Indian designs are readily accepted in the west and vice versa.

Designers and consumers both are more open to experimentation and there are a lot of new exciting materials being used today. Italian rubber, amalgamation of precious and non-precious, leather, wood, suede, fabric, plastics and other unusual combinations are commonly seen. The characteristics of costume jewellery have penetrated the mainstream precious jewellery market and in the large cities, the jeweler does not now hesitate to display these as his unique sales proposition. Also, value addition is achieved with new stone settings and cuts, surface finishes and textures on metals and cross cultural forms. In about five to ten years, the Indian market will have an identity of its own especially because of globalization.

The last two years have shown a shift from a preference for diamonds to colored stones, while white gold is being accepted by middle and higher-end consumers.

Electronic Influences:

A major influence on design and style in India today is television, which brings alien ideas, attitudes and styles right into all of Indians homes. TV has been a major driver of change. Television fashion trends get replicated particularly in middle class or small town homes. While TV as a medium may cut across consumer groups internationally-travelled, well-exposed, elite class is less likely to be driven by its impact, as this class is in-sync with international fashion trends and global signer brands. There has been a noticeable increase in demand for diamond mangalsutra pendants after the leading ladies of some of the most popular serials started wearing them.

Magazines dictate fashion trends more than television magazine like Cosmopolitan, Femina, Woman’s Era, and you’ll find jewellery designs, advertisements even articles about them. About 10 years back, no fashion magazine featured jewellery, but that is not the case today. The internet too has contributed t the changes in Indian jewellery tastes. Information is just few clicks away and one wants to emulate the styles seen on the ramps of Paris. Minds and pockets have opened up and the consumer wants global and local to go hand-in-hand. So far Indians were intrigued by the advent of westernization in the east. Now it’s the turn ofeasternization in the west! To sum it all up, today’s jewellery designer for the Indian market needs to be aware of factors like the shift in the mind- set from investment to style statement the longing for a balance between tradition and trend, the need to understand the emotional connection, the need to exude confidence and to stand apart, the balance between economic criteria ant aesthetics as well as a constant hunger for innovation. The Indian jewellery market has meta- morphosed in the last decade. Consumer perception is evolving with so many brands and jewelers to choose from. It is an exciting period of transition for everybody in an industry that was somnolent for millennia.

SOME FACTS ABOUT GEMS AND JEWELLERY

When Britain's Prince Charles returned home after his recent trip to India, he carried with him a glittering Nakshatra pendant presented by the Diamond Trading Company (DTC). A gift fit for a prince, and fitting gift for him to receive in a country where the rock is fast becoming the ultimate style statement.

From Sushmita Sen flashing an eleven-carat stone on her finger, to elegant dewdrops for boardroom belles and nine-to-five fashion for working women, Indian women have taken Mae West's wise words to heart: "No gold-digging for me, I take diamonds! We may be off the gold standard someday!"

Diamonds are not restricted to the celeb set anymore, nor are they a once-in-a-lifetime indulgence. Whether dazzling white or sparkling champagne, they are the stone for all occasions—from office parties to page three dos. Competition is intensifying in the $70-billion global diamond jewellery market, as rising wealth in Asia buoys demand. And India will easily top that growth, because jewellery has always avowedly been a part of the country's tradition and lifestyle.

This year, demand for diamond jewellery in India will have grown 40 per cent, on the back of a 30 per cent growth in 2005. Diamonds account for nearly 70 per cent of the Rs 60,000-crore gem and jewellery industry, in value terms the highest share in any country. Over a million people are employed in this business across Gujarat and Maharashtra. Exports went up 15 per cent last year.

These are facts that allow DTC, the marketing arm of the De Beers group, which supplies half of the rough diamonds sold worldwide as well as half of all diamonds sold in India, to set its sights and hopes even higher. In volume terms, India is now DTC's third largest market, accounting for seven per cent of total business after the US (50 per cent) and Japan (13 per cent). But in terms of growth, India heads the DTC chart.

So what's making diamonds overtake gold as the Indian woman's best friend? Compared to mass-produced gold jewellery, each stone can be unique, depending upon the cutting. What lends a special touch to the uniqueness is that every stone is between a billion and three billion years old. Bet you didn't know that!

As a result, the industry is witnessing a surge in marketing and branding. Gitanjali Gems, for instance, which recently mopped up Rs 300 crore-odd through a public issue, has 85 per cent of sales revenues coming from diamonds, compared to 15 per cent from gold jewellery. That is getting increasingly visible in the profitline too—more than 55 per cent of its profits come from diamonds.

Both style and quality are important when selecting a diamond. Contrary to perception, it's the young girls spending their parents' money who go for complete sets, while women buyers prefer individual pieces. The largest volume of purchase occurs in the Rs 1-3 lakh range.

   

Compared to mass-produced gold jewellery, each diamond can be unique and a billion years old.

   

Gitanjali, one of DTC's sightholders (experts who select and purchase rough diamonds), owns reputed brands like Asmi, Gili, Sangini, and D'damas, apart from the new, very premium Victoria's Desire. DTC is also developing the Nakshatra brand, worth Rs 100 crore as the umbrella brand, along with Orra and Arisia. Cherie Tandon Saldanha, the company's marketing director for India, believes that with increasing disposable income, and a growing trend away from unbranded, heavy jewellery towards modern, light yet expensive stuff, sky is the limit for the industry. DTC spends about Rs 30 crore a year on brand promotion. The idea is to create a high aspirational image, where it has been largely successful.

Says Mehul Choksi, chairman, Gitanjali group: "The runaway demand for diamonds is a result of three factors: strong communications, fashion appeal and confidence in their value. " And this has happened despite diamond prices rising by around 15 to 20 per cent every year. Affordability, rather than price, is a factor. And diamonds have become more affordable than before, thanks mainly to a revolution in designing, branding and marketing. With gold prices zooming for the past one year, diamond jewellery has become Value For Money!

As in international markets, where 90 per cent of the jewellery is sold as a fashion accessory for everyday wear, and not as an investment, branded jewellery is now being positioned in India as a lifestyle and personality statement. Branding also attaches faith to the product. All branded jewellery comes with certification, which is useful if you're buying it as an investment or are interested in reselling or exchanging it at a later stage.

The increasing market presence of diamond companies is mirrored in their stock prices as well as the commodity markets. The rising number of millionaires in India and the surge in consumption of luxury items will only make these rocks shine brighter than ever.

India and diamonds are the best known combination throughout the diamond industry. Though India was known to have diamond mines many centuries ago - the fabulous Kohinoor is an Indian diamond - it has virtually no mines today. However, India has continued to maintain its tradition of diamond cutting and thousands of people are involved in this skilled occupation.

Today, with its cut and polished diamonds, colored gemstones, gold jewellery, pearls, non-gold jewellery and fashion jewellery, India accounts for almost 50% of the international market. The gems and jewellery sector contributes nearly 55% of the world’s net exports of cut and polished diamonds in value, 90% in terms of pieces and 80% in terms of carats. Every 11 of 12 diamonds sold around the globe are processed in India, irrespective of where these are mined. With the right policy and regulatory framework, India could establish itself as a brand in the international Gems & Jewellery market, increase employment and create new breed of entrepreneurship.

Apart from being the world’s largest diamond processing (cutting and polishing) country with an 80 per cent share in world market India’s favorable trade policies have made India the hub for gems and jewellery. The burgeoning retail industry in India is instrumental in innovatively marketing and branding diamonds and traditional jewellery, making inroads in this sector and contributing to the nation’s economy.

The Indian consumer has lately become the focus of every retailer's eye, proof being the international brands flocking in to set up franchises in India. Economic boom coupled with

retail sales explosion has made a smooth pathway for all those who understand the art of retail in India. Due to the Economic boom in the country, India is emerging as a very big Consumer Market for jewellery and other luxury products and offering a very lucrative opportunity for major brands to establish presence in the Indian market. The booming domestic market along with export advantage of the industry and the Government's decision to allow foreign direct investment of up to 51 per cent in single brand retail stores has attracted a large number of players to the sector.

Players like Reliance, pantaloons, Wal-Mart, etc have already set up shops in India. The Reliance group plans to spend $5 billion in new retail formats including malls and combined service and retail formats along the evolving Indian highway system. Global behemoth Wal-Mart has also officially entered India with a strategic tie-up with the Bharti group. Wal-Mart will provide the back-end services such as sourcing and supply-chain management for the Bharti group’s planned retail formats across the country as well as an initiative to supply the countless small, convenience stores that dot the countryside all across India- reaching out directly to the consumer.

Branded jewellery is the new mantra in the market, having rapidly acquired a niche over the past few years. Increasing purchasing power and disposable incomes of India’s middle class has resulted in consumption growth of this industry by about 11 per cent in the five-year period preceding 2006-07. Add to that the insatiable Indian craving for gems and jewellery, and the demand will skyrocket to US$ 20 billion by 2010 and US$ 30 billion in 2015, according to industry experts. Focused marketing creating awareness and demand for the products, innovative product range creating excitement and expanding the category as well as transparency and adherence to best practices will help build consumer confidence.

The surprising thing about retail investment is that about 20 per cent of retail effort – in a planned manner – is targeted at rural areas, which is defined as towns with a population of less than a million. India has seen a significant growth in disposable incomes as a result of the economic growth that it has been enjoying. This income is spread in the rural areas also. According to the Tata Statistical Outline of India – 2005-06, around 60 per cent of the rural income is from north and east. Depending on the size of the market, retailers work with multiple formats – currently they are partnering with local jewellers and these jewellers retail their brands, commonly known as the ‘shop in shop’. These stores would carry a merchandise mix and are in the range from 600- to 1,000 square feet.

Retailers are also looking at mobile store concepts and thinking of innovative ways to connect to the consumer. Brand building, and creating brand identity is the focus of every retailer in India at present. Indian retailers see a huge jewellery consumer market in India but there is a slight speculation that they might soon face stiff competition from within as well as from international brands who are rapidly setting up chain stores.

India consumes nearly 800 tonnes of gold accounting for about 20 per cent of the world gold consumption. Out of which nearly 600 tonnes goes into making jewellery. According to The World Gold Council (WGC) total gold supply in the second quarter this year stood (Q2FY08) at 840 tonnes, whereas the demand was 944 tonnes. A study by KPMG reveals the Indian jewellery market to be US$ 13.5 billion in fiscal 2006-07, accounting for 8.3 per cent of world jewellery sales. However the export of diamond-studded jewellery from India is merely 4 per cent of the total export of gems and jewellery worth US$ 18.06 billion. Since the demand of diamond-studded jewellery among Indian consumers has risen sharply, the

industry should focus on the domestic market. Diamantaires, in Surat's US$ 11.29 billion diamond industry, are eyeing jewellery manufacturing in a major way, after DTC has decided to prune supply of rough diamonds to India. If India becomes a manufacturing hub for jewellery as well as a consumption market it will just prove India’s strength in both sectors.

The government has offered some concession to the industry by lowering import duty on platinum from US$ 13.82 per 10 gms to US$ 5.03 – exempting rough coloured precious gems stones from customs duty at the first stage itself, instead of claiming reimbursements later. Rough, semi-precious stones are already exempt, a move aimed at further promoting the exports of studded jewellery and platinum jewellery. Duty-free import of consumable metals other than gold and platinum up to 2 per cent of f.o.b. value of exports and duty-free import entitlement for rejected jewellery up to 2 per cent of f.o.b. value of exports. There is increased duty-free import of commercial samples of jewellery to US$ 2.50 and import of gold of 18 carat and above under the replenishment scheme.

The Indian retail scene is set to flourish and there is no looking back for those who know how to sell jewellery to an Indian woman, since jewellery is a part of Indian tradition and customs.

Gold Information

Gold is a highly sought-after precious metal in the world. One of the oldest precious metal in the history of mankind, it had been used as money, as a store of value, in jewellery, in sculpture, in medicine, in electronics and for ornamentation. Gold does not tarnish, rust or corrode. Due to its wonderful qualities and its magnificent luster, gold is considered the most important metal in jewellery making.The purity of gold is measured in terms of karats. Pure gold is designated as 24 karat. A karat is the percent of pure gold in the alloy. One can determine the percentage of pure gold in any gold piece by dividing the karat by 24 (e.g., 18 karat gold: 18/24 = 0.750 = 75% pure gold).As pure gold is soft, it is frequently mixed or alloyed with other metals in order to make the gold harder to be used for jewellery. Also mixing of gold with other metals affects the colour. For example, gold must be alloyed with different metals such as silver, nickel, palladium, copper, bronze, aluminium in order to get different shades of gold i.e. yellow gold, white gold, green gold. The karat scale is used for measuring the proportion of gold in jewellery. Accordingly, 24karat denotes pure gold. 18 karat gold is 75 % gold and 25 % alloy, and so forth.

Karat Percentage Pure Gold Fineness (European Marking) 24 100 999 22 91.67 917 18 75.00 750 14 58.30 583 10 41.67 417 9 37.50 375

In India, 18 karat and 22 karat are the most popular forms of gold jewellery. The 18 karat is popular because of its rich colour and durability.

Gold alloys can also affect the colour of gold. The following list includes the most common colours of gold alloys and the metals used for producing them:

Color of Gold Additional Metals Used

Yellow Gold Copper, Silver

White Gold Nickel, Zinc, Copper

Green Gold Silver, Zinc, Copper

Rose Gold Copper, Silver

OBJECTIVE

OBJECTIVE OF THE PROJECT

To find consumer perception towards jewellery from various brands available in the market.

To find dominating player of this industry and rivals. To find existing competition between local brands and different branded firms. Comparison between local and branded jwellery regarding their market share,

acceptability and popularity.

RESEARCH METHODOLOGY

METHODOLOGY

Research can be defined as a scientific and systematic search for pertinent information on a specific topic.

Types Of Research:- Exploratory Report Types Of Data To Be Collected:- Primary Data & Secondary data Primary Data Collection Method:- Survey Primary Data Collection Techniques:- Personal Interview, Questionnaire Sample Unit:- Gomti Nagar, Lucknow Sample size:- 70 Sampling Techniques:- Simple Random Sampling

COLLECTION OF SECONDARY DATA:

Branded Gold Jewellery Market in India: The Gold RushIn the late 1990s, the Indian jewellery market witnessed a shift in consumer perceptions of jewellery. Instead of being regarded as only an investment option, jewellery was being prized for its aesthetic appeal. In other words, the focus seemed to have shifted from content to design. Trendy, affordable and lightweight jewellery soon gained familiarity. Branded jewellery also gained acceptance forcing traditional jewellers to go in for branding.

Given the opportunities the branded jewellery market offered; the number of gold retailers in the country increased sharply. Branded players such as Tanishq, Oyzterbay, Gili and Carbon opened outlets in various parts of the country. Traditional jewellers also began to bring out lightweight jewellery, and some of them even launched their in-house brands.

However, the share of branded jewellery in the total jewellery market was still small (about Rs. 10 billion of the Rs. 400 billion per annum jewellery market in 2002), though growing at a pace of 20 to 30 percent annually.

The branded jewellery segment occupied only a small share of the total jewellery market because of the mindset of the average Indian buyer who still regarded jewellery as an investment. Moreover, consumers trusted only their family jewellers when buying jewellery. Consequently, the branded jewellery players tried to change the mindset of the people and woo customers with attractive designs at affordable prices.

Gold Jewellery Market in India

Before the liberalization of the Indian economy in 1991, only the Minerals and Metals Trading Corporation of India (MMTC) and the State Bank of India (SBI) were allowed to import gold. The abolition of the Gold Control Act in 1992, allowed large export houses to import gold freely.Exporters in export processing zones were allowed to sell 10 percent of their produce in the domestic market. In 1993, gold and diamond mining were opened up for private investors and foreign investors were allowed to own half

the equity in mining ventures. In 1997, overseas banks and bullion suppliers were also allowed to import gold into India. These measures led to the entry of foreign players like DeBeers, Tiffany and Cartiers into the Indian market.

In the 1990s, the number of retail jewellery outlets in India increased greatly due to the abolition of the Gold Control Act. This led to a highly fragmented and unorganized jewellery market with an estimated 100,000 workshops supplying over 350,000 retailers, mostly

family-owned, single shop operations. In 2001, India had the highest demand for gold in the world; 855 tons were consumed a year, 95% of which was used for jewellery. The bulk of the jewellery purchased in India was designed in the traditional Indian style.

Jewellery was fabricated mainly in 18, 22 and 24 carat Gold as Hallmarking was not very common in India under caratege was prevalent. According to a survey done by a Bureau of Indian Standard (BIS), most Gold jewellery advertised in India as 22- carat was of a lesser quality. Over 80% of the jewelers sold Gold jewellery ranging from 13.5 carat to 18- carats as 22- carat Gold jewellery.

24 Carat 100 percent pure gold

22 Carat 91.66 percent pure gold

20 Carat 83.33 percent pure gold

18 Carat 75 percent pure gold

2 Carat 8.33 percent pure gold

1 Carat 4.166 percent pure gold

The late 1990s saw a number of branded jewellery players entering the Indian market. Titan

sold Gold jewellery under the brand name Tanishq, while Gitanjali jewels, a Mumbai based

jewellery exporter, sold 18- carat Gold jewellery under the brand Gili. Gitanjali jewels also

started selling 24- carat Gold jewellery in association with a Thai company, Pranda. Su- Raj

(India) Ltd. launched its collection of Diamond and 22- carat Gold jewellery in 1997.

The Mumbai based group, Beautiful, which marketed Tiffany range of products in India,

launched its own range of studded 18- carat jewellery, Dagina. Cartiers entered India in 1997

in a franchise agreement with Ravissant. Other players who entered the Indian branded Gold

jewellery market during the 1990s and 2000-01 included Intergold Gem Ltd. Oyzterbay,

Carbon and Tribhovandas Bhimji Zaveri (TBZ).

BRANDED JEWELLERY FIRMS

BRANDED JEWELLERY FIRMS:

TANISHQ:

Tanishq is India's largest, most desirable and fastest growing jewelry brand in India. Started in 1995, Tanishq is the jewelry business group of Titan Industries Ltd - promoted by the TATA group, India's most respected and widely diversified business conglomerate. This year marks a decade of successful innings for Tanishq. With retail sales of 1200 crore last year and gunning for 2000 crores this year, Tanishq has arrived in the Indian jewelry market. It is a story of a successful Indian enterprise, which has delivered value to its customers and shareholders in a complex category, marked by its completely localized front end as well as back end. Tanishq has set up production and sourcing bases with through research of the jewelry crafts of India. jewellery at Tanishq is crafted in one of the world's most modern factories. The factory complies with all labour and environmental standards. Located at Hosur, Tamil Nadu, the 1, 35,000 sq. ft. factory is equipped with the latest and most modern machinery and equipment. Every product at Tanishq is painstakingly crafted to perfection. Diligent care and quality processes ensure that the Tanishq finish is unmatched by any other jeweller in the country. Tanishq challenged the age-old jeweller's word with TATA's guaranteed purity. It exploded the market with facts about rampant impurity across India. It introduced technology-backed challenge in a category completely governed by individual trust. Tanishq introduced innovations like Karatmeter, the only non destructive means to check the purity of gold. Tanishq also introduced professional retailing in the dis-organised Indian jewelry bazaar, where women can shop with comfort and peace, without worrying about the purity of the jewelry they are buying, as well as, select from the best jewelry collections available in the Indian market. Tanishq today is India's most aspirational fine jewelry brand with 91 stores in 64 cities, with an exquisite range of gold jewelry studded with diamonds or coloured gems and a wide range of equally spectacular jewelry in 22Kt pure gold. Exquisite platinum jewelry is also part of the product range.

Among the branded jewellery players in the Indian market, Tanishq is considered to be a trendsetter. When it was launched in 1995, Tanishq began with 18-carat jewellery. Realizing that such jewellery did not sell well in the domestic market, the 18-carat jewellery range was expanded to include 22 and 24-carat ornaments as well. When Tanishq was launched, it sold most of its products through multibrand stores. In 1998, Tanishq decided to set up its own chain of retail showrooms to create a distinctive brand image.

By 2002, Tanishq retailed its jewellery through 53 exclusive stores across 41 cities. To meet increasing demand, Tanishq planned to open 70 stores by the end of 2003 and offer a range of 'wearable' products with prices starting at Rs. 400. With sales of Rs. 2.66 billion in 2000-01, Tanishq had a 0.66 percent share of the total jewellery market and a 27 percent share of the branded jewellery market.

GITANJALI:

Gitanjali Group a 5000 crores company, strategically positioning itself as the leading diamond studded jewellery-manufacturing company, today has one of the largest fully integrated diamond and jewellery manufacturing plants in the country. The Group, which has been a pioneer in the branded jewellery industry, has always been at the threshold of boosting the production of quality jewellery, which has obliquely proved to be an excellent, branding and marketing strategy backed by a formidable retailing network - all ensuring the group an enviable advantage in the jewellery arena. The Gitanjali Group is engaged in the business of sourcing rough diamonds, its manufacture, import and export of diamonds, manufacture of plain and diamond studded gold and platinum jewellery and its marketing and domestic retailing. As Jewellery exports form one of the largest contributors to the foreign exchequers, the jewellery major Gitanjali, is one of India’s high-end contributors to the foreign exchequer as well as a major player in the domestic market.

Gitanjali has four decades of experience, being one of the earliest diamond houses in India. Having received over 50 National and Council awards from the Ministry of Commerce for outstanding exports, it is today one of the largest diamond exporting companies in India. Presently the Gitanjali Group has highly modernized diamond cutting and polishing facilities at 5 locations in India and globally diversified manufacturing operations in Bangkok, Vietnam and China and a marketing network spread across Europe, Hong Kong, USA and Japan. The very basis of their existence is to successfully develop, produce and sell high-quality jewellery brands worldwide & helps the customers in getting the maximum Value for Money in the process.

In 1994, Gili Jewellery was established as a distinct brand by Gitanjali Jewels, soon after the abolition of the Gold Control Act by the Indian government. Gili offered a wide range of 18-carat plain gold and diamond-studded jewellery, designed for the contemporary Indian woman. The designs combined both the Indian and western styles and motifs. With sales of Rs.0.14 billion for the year 2000-01, Gili had a 0.03 percent share of the 400 billion jewellery market in India and a 1.4 percent share of the branded jewellery market.

Gili distributed its jewellery priced between Rs. 500 and Rs. 40,000 through lifestyle and department stores across the country to increase accessibility among its target segment, the 15 to 30 age group. The company's products were also made available through a mail-order catalogue. In 1997, Gili launched a collection of traditional Indian ornaments made of 18-carat gold. In 1999, the Gili Gold range was introduced. This range included rings, pendants, earrings, necklaces and bangles made of 24-carat gold. All Gili products came with a guarantee of diamond and gold quality. When research conducted in February 2000 showed that there was a big gap between the Rs. 1000 and Rs. 10000 price segment and keeping in view the teenage population, and the kind of pocket money they had, Gili brought out a collection targeting teens.

In 2000, Gili launched its 'diamond heart collection' targeted at teenagers and priced between Rs 500 and Rs.2500. The collection was promoted at college campuses with banners, pamphlets and a few advertisements targeted at teens. Gili soon realized that just pushing its product was not enough; it also had to customize its products for special occasions. Following this, it launched a Diamond Heart Collection specially designed for Valentine's Day. This collection consisting of tiny, heart-shaped diamond jewellery was well received by teens (Refer Exhibit VI). Special packaging, catchy advertising and extensive press coverage

contributed to the success of the collection. Gili also made special promotional offers during festive seasons like Christmas and Diwali.

Having captured the low price point market of Rs.2000 to Rs.10, 000, in 2000, the company focused on penetrating the premium market of customized jewellery. For this, Gitanjali jewels opened a jewellery salon, Gianti, to provide customized jewellery to clients in India.

HIGHLIGHTS Q3 FY10:

Jewellery Sales turnover increased by 60% to 1,098 cr. in Q3 FY10

EBIDTA gone up by 44% to 102 cr. in Q3 FY10

Operating Profit registered a growth of 51%, stood at 91 cr.

PAT of Q3 FY10 stood at 41 cr registering an increase of 39%

Gems and Jewellery Sales volume grown to 1812 cr. reported a growth of 63%

 

      Mumbai, January 30, 2010:

Gitanjali Gems Limited, the flagship company of Gitanjali Group, one of India’s leading integrated diamond and jewellery retailing and manufacturing company, announced its results for the third quarter ended 31 December, 2009 of FY 10.

 

NINE MONTHS FY10   Vs. NINE MONTHS   FY09

Jewellery Sales turnover increased by 43% to Rs. 2703 cr. as compared to Rs. 1892 cr. in nine months period FY09

EBIDTA gone up by 37% to Rs. 307 cr. from Rs.223 cr. in nine months period FY09

PAT of nine months period FY10 stood at Rs. 139 cr. as compared to Rs 120 cr. in nine months period FY09 registering an increase of 16%

Operating Profit of nine months period FY10 stood at Rs.283 cr. as compared to Rs 201 cr. in nine months period FY09, registering an increase of 41%

 

Commenting on the Company’s performance in third quarter of financial year 2010 and business outlook, Mr. Mehul Choksi, Chairman and Managing Director, Gitanjali Group said, “Third quarter results are in-line with our focus on extention in the downstream. Introducing additional and promising jewellery brands and the focus on retail expansion has further helped in gaining market share for the group.”

 

GITANJALI RETAIL BUSINESS

Gitanjali has strong retail presence in the world’s largest markets for jewellery. Retail business is a major Contributor in Gitanjali’s revenue. Gitanjali has over 2000 plus retail outlet across India and in the process of expansion in tier II and III cities to cater to new segment of the customer.

USA is a largest jewellery consuming country and 45% of worldwide diamond jewellery sales are made in the United States. In FY 2007-08, Gitanjali made a strategic acquisition in USA, including Samuels and Rogers, and now has about 137 stores in Centre and across USA, being expanded to 200 stores in the near future.

Samuels and Rogers of Gitanjali are the 8th largest branded jewellery retail chain in US.

Gitanjali’s integrated supply chain business model has given an advantage to survive and post profit despite of US recession.

Gitanjali retail business has spread through all channels and in all geographies, across all the market segments

Net Profit has gone up because of shift in market from wholesale to retail.

 

RETAIL STRATEGY

Gitanjali’s strategy is to increase the market share of various brands and its positioning in the market. Strategy is to generate demand for branded diamond jewellery in the future

Gitanjali has also acquired a 76% stake in Salasar Retail and will roll out multi-format retail stores under the ’Maya’ brand. The Salasar stake gives Gitanjali Lifestyle 10 multi-storey stores with 200,000 square feet of retail space in Northern India.

Flagship product brands of the company are able to convert themselves into retail brands.

The group has introduced many promising brands to its bouquet. The new collection includes World of Solitaire, World of Silver, ME Solitaire, Maya, Gitanjali Menz, Maya Bridal, Bezel and many more.

  INDUSTRY Overall Gold and jewellery industry is estimated to be about USD 35 billion, out of

which 12-15% is constituted by diamond jewellery market. i.e. USD 4 billion, 10% of which is branded jewellery market accounts for USD 500 million

Overall Industry is growing at the rate of 15-18% and where as share of diamond jewellery is growing at 18-20%

Out of 10 leading gems and jewellery brands in India 6 of them are under the Gitanjali umbrella. Share of branded diamond jewellery in India is growing by 25-30% and therefore, share of Gitanjali growing at that pace.

In modern retail, Gitanjali holds 65-70% market share

These industry dynamics has compounding effect on the growth of the Gitanjali Gems.

D’DAMAS:

D'damas is one of the most popular jewellery brands in the country today with a presence in over 159 towns and cities. A joint venture between Gitanjali Gems and the Dubai based Damas Group; D'damas is a sub-brand that combines international quality with Indian values.

D'damas' vast variety of brand allows every customer a choice of jewellery to reflect her personality, tastes and to suit every occasion. It has gold and diamond studded jewellery matching various lifestyle, occasion and price points that cater to diversified customers.

D'damas is committed to the highest levels of customer satisfaction, and every piece of jewellery comes with a special certificate of authenticity assuring of both the diamond and gold content of the piece. D'damas jewellery is accompanied with an IGI certificate & Hallmarking, a world renowned, further certifies the diamonds, which is headquartered in Antwerp.

Each sub-brand under D'damas offers stylized and contemporary designs, conceptualized and created by an in-house team of award winning designs.

Their strength in design has been recognized repeatedly with D'damas designers having won a number of design awards.

UNBRANDED JEWELLERY

UNBRANDED JEWELLERY:

The share of unbranded jewellery market in India is still more than 90% of the total jewellery market branded and unbranded.

There are some specific shops of unbranded jewellery in Lucknow like Khunkhun ji jewelers, Jewar kothi etc. the public trust more on these.

There are some small shops also like Priya jwellers, Alankar abhushan bhandar, the middle class families often purchase from them.

DATA TABULATION, ANALYSIS

&

INTERPRETATION

DATA TABULATION

ANALYSIS AND INTERPRETATIONS:

In this chapter, consumer perception about different jewellery brands, their market shares

among buyers in Gomtinagar area was analyzed. As the first phase of this study, data were

collected from 70 Respondents. In the next phase the information collected from the

Respondents were analyzed regarding the various factors influencing consumer perception

about different jewellery brands like Age, Sex, Occupation, Jewellery segment, Jewellery

type, Retail shops, Trust, Buying decision in the family and their preference.

GENDER WISE CLASSIFICATION OF JWELLERY BUYERS

Table 1:

GENDER NO. OF RESPONDENTS

PERCENTAGE

MALE 36 51.43

FEMALE 34 41.57

Inference:

Out of 70 respondents 36 respondents are male and 34 respondents are female.

Fig. 1

AGE WISE CLASSIFICATION OF JWELLERY BUYERS

Table 2:

Age Limits No. of Respondents

BELOW 20 15

21-30 28

31-40 24

41-50 1

ABOVE 50 2

Inference:

Out of the 70 respondents’ age of 15 respondents are below 20, 28 respondents are 21-30 age group, 24 respondents are 31-40 age group, 1respondent is 41-50 age group, 2 respondents are between the age group of above 50.

Fig. 2

OCCUPATION WISE CLASSIFICATION OF JWELLERY BUYERS

Table 3:

OCCUPATION NO. OF RESPONDENTS

STUDENT 17

BUSINESS 14

SERVICE 18

HOUSEWIFE 21

Inference:

Out of 70 respondents 17 are students, 14 are doing business, 18 are in service, and 21 are housewives.

Fig. 3

SEGMENT WISE JWELLERY BUYERS

Table 4:

SEGMENT NO. OF RESPONDENTS PERCENTAGE

GOLD 40 57.14

SILVER 10 14.30

DIAMOND 15 21.43

PLATINUM 4 5.71

A.D 1 1.43

OTHERS 0 0

Inference:

Out of 70 respondents 40 respondents buy gold, 10 buy silver, 15 buy diamond, 4 buy platinum, 1 respondents buy A.D. and none for others.

Fig. 4

TYPE WISE CLASSIFICATION OF JWELLERY BUYERS

Table 5:

TYPE OF JEWELLERY NO. OF RESPONDENTS

BRANDED 70

UNBRANDED 30

Inference:

Out of 70 respondents, 49 respondents prefer branded and 21 respondents prefer unbranded jewellery.

Fig. 5

RETAIL SHOP WISE CLASSIFICATION OF JWELLERY BUYERS

Table 6:

RETAIL SHOP NO. OF RESPONDENTS %GE

UNBRANDED 17 24.29

BRANDED

TANISHQ 23 32.86

GITANJALI 8 11.43

D'DAMAS 17 24.29

OTHERS 5 7.14

Inference:

Out of 70 respondents 23 respondents used to go Tanishq, 8 go to Gitanjali, 17 prefer to go D’Damas, and 5 respondents used to go other branded shops.

Fig. 6

TRUST OF PEOPLE ON THE TYPE OF PRODUCT

Table 7:

TYPE OF PRODUCT NO. OF RESPONDENTS PERCENTAGE

BRANDED 51 72.85

UNBRANDED 19 27.14

Inference:

Out of 70 respondents, 51 respondents have trust on branded jewellery whether 19 respondents have trust on unbranded jewellery.

Fig. 7

DECISION AFFECTED BY THE RESPONDENTS' FAMILY MEMBER'S FOR BUYING A JWELLERY

Table 8:

MEMBER’S OF FAMILY NO. OF RESPONDENTS

MOTHER 25

FATHER 18

SPOUSE 16

OTHERS 11

Inference:

Out of 70 respondents on their family member decision for buying a jewellery, they are- Mother 25, Father 18, Spouse 16, and others 11.

Fig. 8

SAMPLING:

Total 70 respondents have been interviewed and the data have been collected. The area of

study has been restricted to Gomtinagar area. Total 70 respondents were selected at random

for the purpose of the study.

Universe: Gomtinagar, Lucknow.

Sample: Virat Khand, Vineet Khand

FRAME WORK OF ANALYSIS:

A study of Consumer perception about different jewellery brands, their market shares has

been made through questionnaire method. 70 respondents were selected randomly and asked

to answer the question. Based upon their answers the classification of respondents was done

and was analyzed and interpreted. Percentages and chi-square test was used while analyzing

and interpreting the data.

SOURCES OF DATA:

The study is based on primary data and secondary data. The required information was collected through the questionnaire from the consumers directly by interviewing them.

STATISTICAL TOOLS USED:

A simple statistical tool such as percentage, two-way table and chi-square test was employed for the purpose of analysis of data.

FINDINGS

I. 70 out of 70 respondents admitted that they buy jwellery.

II. 40 respondents buy Gold, 10 respondents buy silver, and 15 for diamond, 4 purchase platinum, and 1respondent buy a.d., none for others.

III. Branded jewellery buyers are 49 whether 21 respondents purchase unbranded jewellery.

IV. In the branded jewellery segment Tanishq is high in demand opted 23 respondents, D’Damas is on no. second chosen by 17 respondents, Gitanjali is on no. third with the support of 8 respondents, and 5 respondents go to others branded jewellery firms.

V. 51 respondents do trust on branded jewellery and 19 respondents have trust on unbranded jewellery.

VI. The purchasing decision of the jewellery in respondents’ family members varies from person to person. 25 respondents’ mothers buy the jewellery, father purchase jewellery of 18 respondents. 16 respondents their spouse purchase jewellery, and at 11 respondents’ home, jewellery purchase by others.

VII. Between “21-30” age group purchase jewellery most.VIII. Housewives are the leading jewellery buyers with 21 out of 70 respondents.

IX. 36 respondents are male and 34 respondents are female.

SUGGESTION

SUGGESTIONS

In the current era all the branded companies are concentrating only on the females but males are also trendy now so, the companies should also promote male gems and jewellery.

As the above concluded that the age group between 21-30 are the high rate of jewellery buyers, and a new jewellery firm can gain more by producing the new age jewellery with keep eyes on the current fashion trend.

A franchise of Tanishq can give more return to a new born jewellery seller. Gold is used most in metals so may make sense to invest in gold.

CONCLUSION

CONCLUSION

40% of the respondents are between 21-30 age group and they purchase the jewellery most.

Housewives are more interested to buying jewellery. Each and every person is willing to buy jewellery. Gold consumers are more rather than other metals. 70% of the respondents purchase jewellery from the various branded shops. 30% of the respondents use unbranded jewellery from the other local shops. Tanishq is highly preferred brand with 32.86% of the respondents. 72.85% of the respondents have trust on the branded jewellery.

LIMITATIONS

LIMITATIONS

1. The all secondary data shown above cannot be exact in figures.2. All of the secondary data are taken by the internet sources and this was not possible to

show current status.

3. Due to short time of period this was not possible to collect more primary data.

4. Because I live at Gomti Nagar area in Lucknow and here is very less number of unbranded shops even not a big one so there is not much information about unbranded jewellery shops.

5. This report is not showing branded vs unbranded or their purity assurance.

BIBLIOGRAPHY

BIBLIOGRAPHY

Books:

1. C.R. KOTHARI: “RESEARCH METHODOLOGY”

2. S.P. GUPTA: “STATISTICAL METHODS”

SULTAN CHAND AND SONS

NEW DELHI

INTERNET SOURCES: WWW.GOOGLE.COM

MAGZINE AND JOURNALS: 1. OUTLOOK INDIA

2. BUSINESS LINE

3. RESEARCH JOURNALS

ANNEXURE

Name : Age :Sex :Occupation : QUESTIONNAIRE

1. Do you buy jewellery? A. Yes B. No

2. Which type of jewellery segment do you mostly prefer?

A. Gold B. Silver C. Diamond

D. Platinum E. A.D F. Others

3. Which type of jewellery you mostly prefer?

A. Branded B. Unbranded

4. Among which of the following retail shops you prefer to buy? A. Unbranded local jewellery shops B. Branded jewellery shops

Tanishq Gitanjali D’Damas Others

5. Do you trust on the purity of the product from the shop you buy? If yes whether it is- A. Branded retail shops B. Unbranded local shops6. Who in your family mostly takes the decision on buying jewellery? A. Mother

B. Father C. Spouse D. Others

SYNOPSIS

“Gold jwellery is often envisioned as a symbol of wealth and status. Interestingly, buying gold jewellery is also one of the best ways to invest hard earned money. Vibrant looks, equisite design and the impeccable style, innate to well crafted gold jewellery, make it nothing short of a treasure. Gold jewellry is a striking piece of art and the aptly described as poetry in metal.”

TOPIC OF THE PROJECT: Consumer perception about different jewellery brands, their market shares.

PROJECT OBJECTIVES: 1. To find consumer scale who are wearing jewels from

the various brands available in market.2. To find dominating player of this industry and

rivals.3. To find market share of local brands and different

branded firms.4. Comparison between local and branded jwellery

regarding their market share, acceptability and popularity.

METHODOLOGY: Types Of Research:- Exploratory Report Types Of Data To Be Collected:- Primary Data Primary Data Collection Method:- Survey Primary Data Collection Techniques:- Personal Interview, Questionnaire Sample Unit:- Lucknow Sampling Techniques:- Simple Random Sampling

RELEVANCE OF THE PROJECT: This project will provide help to an entrepreneur who is going to start his career in jwellery field (especially in Gold) and can evaluate him through the figures.

AKASH BARANWALPGDM II SemRoll No. – PG/09/01