From humble beginnings of a small store in the streets of Madurai, Thangamayil Jewellery, a family run business, has grown over the years to standout in the competitive jewellery retail sector in Tamil Nadu. With the launch of 30 stores across the state in just three years, the brand is determined to reach greater heights.
B ack in 1947, a small store Balu Jewellery was set up in Madurai with the proprietorship in the name of N Balusamy Chettiar. The business was then transferred in hereditary to his sons Balarama Govinda Das, Ba. Ramesh and N.B. Kumar, who have been penned down as the founder members of Thangamayil Jewellery. It was in 1991 that the concept of a brand seeped into Thangamayil Jewellery. With a younger generation at the reins, a stronger business focus and approach came into place. There was exposure to the retail scenario and modernist methods of marketing were employed, while quality was kept on a pedestal. The business has witnessed steady growth and today stands as a 4000 sq ft store.
After acquiring the name Thangamayil, there was no stopping. In the growth chart, if we read between the lines, there’s a willingness to keep up with times and employ strategies which would have the company stand neck to neck with its competitors. The influence of the world outside the streets of Madurai was quite apparent. The jewellery brand’s awareness towards a digital world was seen in 2004 with their first step of employing software to render better POS solutions.
The Celebration: The High Point
In 2009, Thangamayil Jewellery was determined to become a listed company. Their data, the retail scenario and their passion, was all geared up. By 2010 they opened three stores- the pre requisite of becoming a listed company. Come 2011, they were on the list and viola, in 2014 the store count went upto 30 across Tamil Nadu. “We faced government restrictions like the 80-20 policy and customs duty. Otherwise we would have opened 20 more stores by now. But this also gave us time to look back, consolidate and fine tune all parameters and then look at next level,” said Yadeenthranathan SK, Executive Information Officer, Thangamayil Jewellery.
The brand focuses on the C and D section of the society and the business plan is formed accordingly. The Tamil customer is their primary lookout, where a Thangamayil customer prioritises price over anything else. The brand plans to soon open a store in Chennai which would be its first in a Tier-I city but the strategy remains the same as the TG remains the same. A solid target customer focus draws up the repetition module for stores.
For the price conscious customer, the brand has always done all in its power to give the customer low costs. Earlier they used to work with a margin on 6-18%. With technology which can monitor their product inventory, each particular store now has only relevant stocks which brought the margin down to 3-12% offering lower prices to customers. “If you want quality and design, you have to pay a price for it- but in an affordable range,” said Yadeenthranathan. For the sale of gold, customers rely on the trust factor and the brand’s main job is to create a rapport with the customer based on trust and hence quality assurance becomes primary. It is because of trust that the best form of marketing even today is word of mouth.