Case Study on Tiffany & Co: Tiffanys global retail operations once again demonstrated the ability to generate strong operating earnings growth despite weakness in certain individual country markets. Our continued expansion throughout Asia and Europe should contribute to increasingly consistent and resilient long-term earnings growth, says Michael J. Kowalski, the chairman. Tiffany & Co. is a holding company that operates through its subsidiary companies (company). The companys principal subsidiary, Tiffany and Company, is a jeweler and specialty retailer, whose merchandise offerings include an extensive selection of jewelry, as well as timepieces, sterling silverware, china, crystal, stationery, fragrances and accessories. Through Tiffany and Company and other subsidiaries, the company is engaged in product design, manufacturing and retailing activities. Tiffany was founded on September 18, 1837 when Charles Lewis Tiffany opened a stationery and fancy goods emporium at 259 Broadway in New York City. Every article was marketed with a non-negotiable selling price, a revolutionary policy that made headlines. The first days store sales were total five dollars in downtown Manhattan. Soon after the company was founded a distinctive shade of blue was chosen to symbolize the companys renowned reputation for quality and craftsmanship. Tiffany as a Brand: The company adopted the color for its for use of boxes, catalogues, shopping bags, brochures, as well as advertising and for other promotional materials. Over time, this lustrous color became an identify mark for Tiffany & Co., universally recognizable as the Tiffany blue. Tiffany blue boxes and shopping bags evoke images of elegance and exclusivity, as well as lush bounty. The Tiffany blue box was later to become an American icon of style and sophistication. Distribution of Tiffany & Co: The companys channels of distribution are through: U.S. retail (50% of fiscal 2006 sales) consists of retail sales transacted in Tiffany & Co. stores in the United States and sales of Tiffany & Co. products through business to business direct selling operations in the United States; International Retail (38% of fiscal 2006 sales) consists of sales in Tiffany & Co. stores and department store boutiques outside the United States and, to a lesser extent, business- to-business, internet and wholesale sales of Tiffany & Co. products outside the United States. Direct marketing (seven per cent of fiscal 2006 sales) consists of Internet and catalog sales of Tiffany & Co. products in the United States; and others (five per cent of fiscal 2006 sales) consists of worldwide sales of businesses operated under trademarks or trade names other than Tiffany & Co. (i.e., Little Switzerland and Iridesse). Others also include wholesale sales of diamonds obtained through bulk purchases that are subsequently deemed not suitable for Tiffanys needs.The companys key growth strategies are to selectively expand its channels of distribution in important markets around the world without compromising the long-term value of the Tiffany & Co. trademark; to increase sales in existing stores by developing new products; to increase its control over product supply and achieve improved profit margins through direct diamond sourcing and internal jewelry manufacturing; to enhance customer awareness through marketing and public relation programs; and to provide customer service that ensures a superior shopping experience. The companys shares are traded on The New York Stock Exchange with the symbol TIF. Headquartered at 727 Fifth Avenue in New York, Tiffany has more than 8,000 employees around the world. Promotion Strategies Used by Tiffany & Co: The world has been infatuated with the Tiffany style since the early twentieth century. From Hollywood premieres to Centre Court at Wimbledon, celebrities choose Tiffany for its urban sophistication and glamor. Design that is innovative, unique and stunningly beautiful is, by definition, irresistible. For this very reason, Tiffanys timeless jewelry pieces are seen prominently on the worlds most beautiful people. Movie stars, fashion models and women of achievement embrace Tiffanys spectacular beauty and superlative craftsmanship. Tiffany plans to enter into Indian market because of the ideal growth prospects. The Indian jewelry sector, one of strongest retail segments of India, has an estimated total domestic market size of Rs. 52,000 crore. The organized jewelry retail sector accounts for just about three per cent of the total market size at Rs. 1,450 crore. While the overall jewelry retail sector has grown by 9.2% in 2006 over the Rs. 47,600 crore market in 2005, the organized segment has shown a nearly 32% growth in 2006 over the Rs. 1,100 crore organized market in 2005. The share of organized jewelry retail has grown from two per cent in 2004 to nearly three per cent over the two-year period. The Indian jewelry sectors current global standing is estimated at over US $90 billion. According to industry sources, in India 65% of the jewelry is bought during weddings, with gifting contributing around 26%. Global players will look to establishing a foothold in this market in view of the sheer size of the domestic market and because Indias expertise in the trade is well recognized across the globe. Smaller Format: Tiffany & Co. announced plans to open a smaller-format store in Glendale, California, in mid-October 2008. The approximately 2,600 sq. ft. store was to be located in The Americana at Brand, a new 900,000 sq. ft. retail and residential environment developed by Caruso Affiliated Covering 15.5 acres thats beautifully landscaped with fountains, plazas and walkways, the expansive property is designed as an ultimate lifestyle and leisure destination, with shops and boutiques, casual cafes, fine dining, and luxury residences.The stores clean, ultra-modern environment invites relaxed browsing and interaction with contemporary Tiffany & Co. collections, ranging from diamond jewelry in platinum and gold to an array of sterling silver jewelry. Q.1 How Tiffany as brand changed the weaknesses into opportunity? Q.2 What are the Various Promotion and distribution strategies were adopted to promote the store? Q.3 What were the various reasons Tiffany entered in Indian Jewelry market? Q.4 What various promotional strategies you will suggest to Tiffany for Oman Jewelry market Q.5 Explain environment friendly concept of Tiffanys