Titan Company (TITAN) Investor Update summary

Strategic rationale and market context

• beYon launched as a lab-grown diamond brand to address evolving consumer needs and expand diamond adoption in India, where diamond penetration remains low at 12%-15% of the jewelry market.

• The lab-grown diamond market is highly commoditized with significant price erosion, prompting a focus on differentiation and consumer value proposition.

• beYon targets a younger, fashion-forward demographic, emphasizing self-expression and accessibility over traditional investment value.

• The brand is positioned as part of a broader portfolio, complementing existing brands like Tanishq, Mia, and CaratLane, each serving distinct consumer segments.

• Initial rollout includes 8-10 stores in Mumbai and Delhi, with plans to expand based on learnings from early operations.

Product, pricing, and differentiation

• beYon offers jewelry primarily in 14- and 18-karat gold, with a small silver collection, and is priced aggressively at INR 23,000-25,000 per carat to attract new customers.

• No exchange value is offered for lab-grown diamonds, but gold components retain exchangeability, aligning with the brand's value proposition.

• Each brand under the House of Titan has a dedicated design team, ensuring distinct design languages and customer experiences.

• Quality standards remain uncompromised regardless of price point, with craftsmanship tailored to the target audience.

• beYon will soon be available online, complementing its retail presence.

Consumer education, adoption, and monitoring

• Consumer education and awareness campaigns are planned as the brand scales, aiming to address confusion and hesitancy around lab-grown diamonds.

• Key metrics tracked include customer profiles, frequency of visits, product preferences, and the ability to attract new and younger buyers.

• The brand aims to increase overall diamond adoption, serving as an entry point for new consumers who may later transition to other brands in the portfolio.

• Ongoing customer outreach leverages a large existing database and partnerships, such as with De Beers, to build trust and awareness.

• Early focus is on learning and refining the offering rather than immediate margin optimization, with a long-term view on business sustainability.