Kolkata-based Senco Gold & Diamonds, a leading manufacturer and retailer of handcrafted gold and diamond jewellery has substantial retail presence in West Bengal, Assam, Madhya Pradesh and cities like Delhi, Bhubaneswar, Patna, Dhanbad, Mumbai etc. The year 2019 has been very fruitful for the brand as it continues to grow and expand the brand’s portfolio by adding more stores in form of EBOs and franchising model.
As far as the key success factors are concerned, the brand believes in creating original designed jewellery with the best of craftsmanship. It encompasses on creating an entire gamut of new designs, by understanding the present trends and adding unique factor into it time and again.As a result, the product is well appreciated by the patrons and the brand is a popular name in the region.
“The year 2019 has indeed been a very exiting journey, while performing a balancing act between cautious spent due to subdued market sentiment and creating that extra brand buzz to be reckoned as growing and a happening brand. We have crossed 100+ stores including premium showrooms – D’signia in Kolkata and Delhi. We launched our Men’s jewellery collection with Saurav Ganguly and Vivaha collection with Miss India winners. These campaigns received positive responses and create a good buzz among the shoppers. We also increased our association with IPL franchisee, mainly KKR and Delhi Capitals and were the proud associate of the recently concluded historic ‘First-Ever Pink Ball Cricket Test Match between India and Bangladesh’. We do have a bucket list to fulfill by next 2-3 months,” says Suvankar Sen, Executive Director, Senco Gold & Diamonds.
Revenue and Growth
The festival period was a good bonanza for the brand. Senco witnessed a reasonable growth and sales in both gold and diamonds categories. “In spite of the consumer’s skepticism on the gold price rise, the Dhanteras period sales were very promising. The acceptance of higher gold rates seems to be finally settling and being accepted by the consumers. Moreover, the festival sales being an auspicious time, precious jewellery purchases have become a strong ritual and custom. In spite of the overall general dip of approximately 20 percent sales till Sept’19, October sales were marginally in excess on YOY basis. The momentum has been picking up since and it will reach higher with approaching wedding season,” explained Sen.
Senco’s marketing strategy is simple and focused on the local nuances, nature and characters. It is more or less same keeping the taste and culture of the region in mind. There is no one rule for all the regions and cities. The strategy is more or less glocal, which works everywhere.
“As far as the digital platforms are concerned, we have been focusing a lot on the social media as well. There’s no doubt that social media has played a key role for brand building particularly on Facebook, Instagram, Twitter and YouTube.
We make sure that we get to know our customers well as it is not just about selling products only. We aim to build a relationship with our customers, launch products based on their suggestions. We have a good presence in the social media and are doing heavy promotions across all channels,” added Sen.
Senco’s tech innovations are focused on creating a platform which is more convenient and provides better customer experience relationship and engagement with the regular and loyal patrons. There are many initiatives which are under progress and the brand will be revealing them only after their completion.
Platinum Jewellery: A Potential Threat
“Platinum jewellery has opened up a completely new vista in the fi ne jewellery segment as they are growing at the rate of 45 percent CAGR year upon year. Platinum has the durability and strength as a precious metal and compliments very well with precious gemstones. In comparison to gold, it’s affordable and furthermore has a great investment value too. The ever-growing modern generation is strongly projecting their style statement by owing this metal, be it rings, earrings, pendant, necklace or bracelets. This segment shall definitely open up a new business avenue and opportunities,” explains Sen.
Industry Challenges and Expansion Plans
Like every other regional market, the eastern Indian market has its own differentiators.
“Jewellery in this region is majorly embedded with its rich cultural heritage and is also valued as a better investment proposition. The product line is more intricate with unique designs created in filigree & nakashi work. Yellow gold jewellery is preferred by the consumers in this region. Again, wearing of bangles known as Shakha, Pola, Noa are a must for every married woman. Gradually the fusion and antique jewellery is picking up its trend along with diamond and platinum. The eastern region consumes almost 15 percent of the total Indian gold consumption and has a promising future growth. Despite the challenges, traditional jewellery is here to stay forever and hence certain negative indicators are not a deterring factor for us. We aim to consolidate our existing stores and plan expansion based on the market stability,” concludes Sen.