Tanishq Eyes Double-Digit Growth Amid Surging Gold Prices in 2025
Introduction
In 2025, the global gold market has witnessed unprecedented price surges, with rates crossing ₹1 lakh per 10 grams in India. Amidst this backdrop, Tanishq, a flagship brand of Titan Company under the Tata Group, is charting an ambitious course for double-digit growth. This article delves into Tanishq’s strategic initiatives, market responses, and the broader implications for the Indian jewelry industry.
1. The Gold Market Landscape in 2025
Gold prices have soared by approximately 11% in 2025, driven by geopolitical uncertainties and inflationary pressures. This surge has led to significant shifts in consumer behavior, with buyers seeking value-driven purchases and exploring alternative investment avenues.
“Gold has breached a psychological mark, and that is a reality we will have to adapt to.”
— Ajoy Chawla, CEO, Jewellery Division, Titan Company
2. Tanishq’s Strategic Response
a. Expansion of 18-Carat Gold Offerings
Recognizing the need for affordability, Tanishq has expanded its 18-carat gold jewelry line, particularly targeting the wedding segment. This move caters to budget-conscious consumers without compromising on design and quality.
“As we advance, 18 carat will become a way of life for the industry.”
— Ajoy Chawla
b. Reduction in Making Charges
To enhance value propositions, Tanishq has reduced making charges, making its products more accessible and appealing to a broader customer base.
c. Introduction of Flexible Payment Plans
Tanishq’s Golden Harvest scheme allows customers to invest in gold through monthly installments, offering discounts and easing the purchasing process amidst high gold prices.
3. Leveraging the Gold Exchange Program
Tanishq’s gold exchange initiative enables customers to trade old jewelry for new designs, providing a cost-effective solution and fostering customer loyalty.
“The exchange segment has been one of our strongest engines of growth comprising 40% of our sales in FY23.”
— Ajoy Chawla
4. Market Performance and Growth Metrics
In the quarter ending March 31, 2025, Titan Company reported a 25% year-on-year revenue growth, with plain gold jewelry sales rising by 27% and gold coin sales by 65%.
5. Competitive Landscape
Tanishq’s strategies are set against a competitive backdrop, with brands like Kalyan Jewellers and Malabar Gold & Diamonds also adapting to market changes through installment plans and reduced charges.
6. Consumer Behavior and Preferences
The surge in gold prices has influenced consumer preferences, with a shift towards lighter, more affordable jewelry and increased interest in investment-friendly options like gold coins and SIPs.
7. Future Outlook
Tanishq aims to increase its market share by 1% annually, targeting double-digit figures by 2027. The company’s focus on innovation, customer-centric approaches, and adaptability positions it favorably for sustained growth.
Leave a comment