Monday, April 29th 05:11 PM IST

Senco Gold's pan-India strategy with focus on franchising, hand-crafted jewellery

# Senco Gold Ltd  # gold  # karigars  # handcrafted jewellery  

Senco Gold has the advantage over the new players since it is not only a heritage company, but also a modern contemporary organisation with the use of latest technology and infrastructure. We believe in following modern ideas to be with time in terms of designs for customers and back end infrastructure.

Suvankar Sen, Senior Executive Director of Senco Gold Ltd, a major jewellery player with over seven decades in East India. The company is planning to expand its operations across India

Traditional goldsmiths may have withered with the onslaught of new jewellery designers and machine cut pieces but there could be connoisseurs of precious metals who still want the handcrafted jewellery. This has been handed down from generations and maintain their antique value and charm.

Senco Gold Ltd, which has a huge presence in East, North East  India with 47 stores in West Bengal, Orissa, Assam, Jharkhand and Delhi with a customer base of more than 100,000 plans to extend their reach across the countr. 
They are now providing work to Karigars who have been traditionally involved in making handcrafted jewellery. Senco Gold will sell their products to protect the antique art and creativity and establish a market for such products as it would become a rarity ten years from now.

Mr. Suvanker Sen, Senior Executive Director of Senco Gold Ltd shares the expansion strategy of the company in an interview with Bullion Street.

Senco Gold has been in the jewellery business for over seven decades now. How do you assess the changes that have taken place in this business over the years and how effectively are you able to withstand competition from new players?

Senco Gold has the advantage over the new players since it is not only a heritage company, but also a modern contemporary organisation with the use of latest technology and infrastructure. We believe in following modern ideas to be with time in terms of designs for customers and back end infrastructure.

Senco Gold has taken a noble initiative to ensure survival of karigars who are experts in handcrafted jewelry. Could you elaborate on how this is being done. Will you be able to attract premium prices for the handcrafted jewellery?

Today, we see that new generation karigars are not being created in the market. Though the world is moving towards mechanized jewellery which are produced in bulk, we are constantly focussing on producing our jewellery by hand , by the elite set of karigars in Kolkata and motivate them financially and morally to continue to be in the jewellery manufacturing and bring in new talent. It is an art of Kolkata and must be survived.

Are you planning any all-India ad campaign for handcrafted jewellery?
We are planning our all india expnasion and along with that we will promote the all India ad campaign.

How effective is the franchisee model in jewellery business? Is it a win-win situation for Senco Gold and the franchisee, what is your experience so far?

Franchisee is all about relationships. Like a family, it has to be a win-win situation orelse it will not last. With the grace of God, till now we have had a good experience with majority of the franchisee and it has been an effective tool for growth. There are always cases of bad apples in a basket, but that is life.

Could you elaborate on the new buying patterns among Indian youth-- are they more inclined towards diamonds and platinum?
Young Indians are inclined towards Diamond and platinum and the craze is increasing. However, gold is seen as an investment.

Could you tell us which are your best selling designs across gold, platinum, astral gems and its unique features?
As per the market style, trends keep changing but gold remains the favorite. Because of the fact Indians believes that gold as an asset is beneficial as an investment. Also person buying gold is speculating that the price of the gold will rise in the future and he will be able to sell it at a higher profit. 

Is online retailing of jewellery showing growth in India, how is Senco Gold viewing this market?
It is a growing segment and we see that there has to be greater focus in the segment.

Now because of the competition between jewellers each claiming their gold is 100% pure and guaranteed, buyers may be confused. What are the precautions to be taken by consumers who want to buy gold, silver, platinum and diamond jewellery?
With hallmarking, all jewellers should try to keep gold which is 22ct or 24ct as according to design. Customers must look for hallmark or the goodwill of the store.

Do you think investors should allocate more money for investment in gold, silver coins rather than jewellery in view of the lower making charges?
Jewellery has its own use- it is an investment and adornment. Also, karigars get productive work. Coins are just pure investment.

 

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