Tiffany and Co

Tiffany anc Co.

Brief history of the company

In 1837 New York became the proving ground for 25-year-old Charles Lewis Tiffany and John B. Young, who opened a “stationery and fancy goods” store with a $1,000 advance from Tiffany’s father.

Tiffany first achieved international recognition at the 1867 Paris World’s fair. Tiffany was the first American company to employ the British silver standard (92% pure). Largely through the efforts of Charles Lewis Tiffany, this standard was adopted by the U.S. Government.

The Tiffany & Co. silver studio was the first American school of design. By 1870 Tiffany & Co. had become the America's premier silversmith and purveyor of jewels and timepieces.

In 1878 Tiffany acquired one of the world's largest and finest fancy yellow diamonds from the Kimberley diamond mines in South Africa. Named the Tiffany Diamond, the stone became an exemplar of Tiffany craftsmanship.

Initially published in 1845, the Tiffany Blue Book was the first such catalogue to be distributed in the U.S. Since 1878, the signature Tiffany Blue® color has distinguished the catalogue’s cover, as well as the famous Tiffany Blue Box®, an icon of style and sophistication. In 1886 Tiffany introduced the engagement ring as we know it today.

The company’s exhibit at the 1889 Paris fair was heralded as “the most extraordinary collection of jewels ever produced by an American jewelry house.”

With the death of Charles Lewis Tiffany in 1902, Louis Comfort Tiffany, the founder’s son, became Tiffany’s first art director. Tiffany has created the Super Bowl trophy since 1967.

In 2012 Tiffany marked its 175th anniversary. In honor of this milestone, the Tiffany Diamond was reset in a magnificent necklace of dazzling white diamonds.

(http://www.tiffany.com/WorldOfTiffany/TiffanyStory/Default.aspx )

4 P’s of Marketing

Product: Tiffany & Co.‘s products are sold worldwide and include jewelry and accessories such as: engagement rings, timepieces, sterling silver, china, crystals, stationary, fragrances, personal accessories and leather goods. Tiffany & Co. sells limited edition collections of jewelry for special holidays. For example, they sell Christmas edition jewelry during the holiday season. Tiffany & Co products are differentiated on product design and premium quality.

Place: Tiffany & Co. owns 298 stores worldwide. The stores are always located in luxury urban centers to remain consistent with the luxury brand image. Tiffany & Co. provides consumers with catalogs and also e-commerce where customers can purchase products online.

Promotion: Tiffany & Co. reinvests 6% of total revenues for advertising, marketing and public and media relations ( http://investor.tiffany.com/secfiling.cfm?filingID=98246-15-38 ). Tiffany & Co. participates in many fashion events around the world. It also advertises through digital media, newspaper, magazines. The online catalogue with printed copies is available upon request and approval. It also places its products in movies. The core message around the brand is premium quality and service.

Price: Tiffany & Co. products target the upper middle class and the high class due to high cost of the company’s products. The price is high, there are luxury products ranging from $85 for a simple pen to $ 2.1 million, prices only available upon request from diamond jewelry or engagement rings. Tiffany and Company maintains its luxury prices and offers no discounts. It provides free shipping with any online purchase. Pricing strategy helps Tiffany and Co. to hold a competitive value in the high end jewelry market.