Swatch Watch USA: Creative Marketing Strategy
Swiss Watch has always been known for luxury watches and an icon for elegance, poise and luxury. Then the company decided to create a diversification program for their products wherein they changed the name into Swatch (Swiss and Watch combination) and their aim is to become a fashion enterprise. The company’s new life meant a difficult struggle with Asian competitors. And their new market presents a low priced watch as a fashion accessory. They have implemented the production of electronic watches.
Before, Swatch avoided department stores and they only sell their products in jewelry shops. Their styles were no longer in touch with consumer demands therefore, they lost a huge amount of market
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Employing concerts and Music Videos as a part of their advertising mediums are very significant and effective in being able to reach the target market and make them feel that the product is a part of their lives and it symbolizes how fun life can be.
Through this case, I can say that Swatch has a very big chance of becoming a total fashion enterprise. Challenges and obstacles may come handy but I’m sure they would be able to fix it because they know what to do to fix it (just like what they did in overcoming the gray market). What I learned from this case is that when you distribute your product and introduce I to the market you have to limit your supplies so that the hunger of your market for your product won’t run out. Always keep your designs up to date and make your consumers look out for the next designs of your product. Make them curious about what your product would look like on the next term.
De Ramos, Jan Alvene
BSBA – Marketing
This case is all about the success story of Swatch in the watch industry. The company had been able to taste success through being able to diversify their products from a line of exclusively expensive watches that only caters to the upper class market to being able to come up with products that would now cater to a large percentage of market, the lower class market.
They were able to successfully compel with the demands of their new market
To start, “Should Musicians Change Their Tune” I allege that they should allow performer in advertisement because it helps them promote their music. Due to, Jacob Carter author of “The Changing Landscape of the Music Business” quotes “Others
According to Hein, Music is a major influence in marketing today, “ There have been 1,050 references of about 66 different brands in songs ranked in the top 20 through the beginning of October, according to San Francisco- based brand consultancy LucJam”(Hein 346). Keeping up with the techniques of advertisement for marketers will help with the increasing demands of future generations.
Product placement in music videos is quite a fruitful source of money for artists who approve it. The content of many commercial pop songs, the imagery displayed in music videos and the conspicuous consumption apparent in the lifestyles of pop stars all reinforce the idea that mass consumption will lead to happiness.
The amount of recognition you could get from being in an ad with a famous corporation is unbelievable. Bands can become big from being in an ad with a famous corporation, such as, "The Shins, a relatively unknown indie-rock band, grew massively in popularity after getting their single “New Slang” in a McDonald’s commercial, as well as a few other movies and TV shows"(Coates). This proves that if an otherwise unknown band gets a deal to be in an advertisement with a big corporation that they could become very popular. If you were a small band looking to become bigger in popularity, then a deal to be in an advertisement with a big corporation or any at all is huge! There are also bands that use advertisements to make themselves known before thinking about the paycheck, such as, "the Black Eyed Peas, focuses on exposure before a paycheck. For years, they’ve allowed corporations to use their music in advertisements...then, in 2003, when Apple unveiled its iTunes store, the Black Eyed Peas’ song “Hey Mama” was the first of the now-famous ad campaigns for the store"(Coates). This shows that an advertisement can help make a band more recognizable, so that they can become more famous. If you wanted exposure to audiences, then starring in an advertisement exposes you to
The organizational culture of Bremont, is influenced by the communications. Communications in this case, influence Bremont, through the events that have happened in both of the brothers lives, and a love for aviation to inspire the interest of making luxury wrist watches. The brothers since had a career, in restoring vintage aircraft. They were inspired, by their father’s passion of engineering and watches. These things all tied together, and the fact that the wristwatch was invented for pilots, influence the culture and background for Bremont, making wristwatches, also with airplane parts. What could be taken from this is that, aviation had influence the behavior of this business to start making wristwatches, particularly those watches made with certain airplane parts.
One of the primary change in strategies would require pruning Omega’s product lines to make it more coherent and to eliminate any potential intra-firm competition. Typically, the lower end models need to be pruned so that it could be positioned as a more effective Luxurious Brand to compete directly against other Luxury Brand watches. The prevention of any overlapping with sub-brands will ensure that there is no potential risk to the dilution of brand image as well as reduce the risk of cannibalization of the current product lines. This will also help in uplifting the overall brand image of the Omega brand by withdrawing a number of Omega’s low-priced models thereby boosting the band profitability which will ensure that there is enough opportunity for the improvement on brand margins - a key factor in reducing the price differences with Rolex. Another underlying argument is that this process will enable the exclusivity
Target has incorporated three more designers into their merchandise line in the last few months, but at the low cost of what customers expect. More food and grocery are being offered at Target stores annually. Target is not only looking on how to improve the merchandise for the customer but also the
According, to the article ‘’Target Is Trying To Overcome the Problem of Showrooming’’ (Bethel, 2016) Target Corp. is trying hard to overcome ‘’Showrooming”. Showrooming happens when a customer comes to a Target store to purchase a merchandize for himself, but ends up buying it online from a competitor store like Amazon, or ebay at a lower price. Target corp. is tired of being a showroom for its competitors.
One of the issues Target could face if it continues to only focus on private label store brands and do not promote national brands is losing a percentage of its customers. Although Target’s innovative amount of store brands on its aisles has proven successfully for the retailer and consumers have shown a positive reception to the products, there are still a number of customers who are accustomed to
In the 2nd stage of the report the branding strategy of SWATCH & TISSOT watches on the basis of their Store Operations Management have discussed. The store design, display, assortment, ambience etc have discussed.
When a brand is created, many will ask the questions that haunt all of us trying to start a company. Will it work? Should we stay online or launch a brick-and-mortar store? Will I make profit or fail? These questions arise even more when the company is to start only online. Because of this, e-commerce fashion brands must constantly evolve and expand their styles to maintain the interest of their target customers. Fashion Nova is one fashion brand that manages to stay relevant among its consumers because of their edgy style and quality priced clothing. Fashion Nova was first established in 2010. It gained its popularity from celebrities promoting it on their social media platforms and the fact
In essence, branding is all about differentiation and consistency. It always has been able to effectively establish an emotional relationship with customers. They compete with each other with the quality of watches that they make for example; Rolex provides a variety of choice for their customers and provides their wants and desires. This includes; by making their watches handcrafted, and putting diamonds into their watches to make it more luxurious etc. Another way for them competing is level of service provided. If a customer comes to Rolex they will ensure that they provide insurance and great level of customer service. This will increase repeat-purchase and brand loyalty among their customers. Rolex is considered untouchable in its position as the world’s leading luxury watch brand both in terms of industry prestige and its
team designed watches with focused distribution in specialty surf, skate, snow, and fashion stores. It
Middle class is booming worldwide and with prosperity comes consumers ' desire to show that they are doing well, therefore super brands like Danish Pandora and British Signet also called “category killers”, has stormed the global jewellery market where there is money to fight for. Pandora competes in affordable luxury segment, which in 2009 totalled 83 billion USD, equivalent to approx. 57% of the total market for fine jewellery. Affordable luxury still gives consumers the feel of stardust.
Those strategies helped Swatch lead this market in the watch industry, selling 26 million swatches in 1992 and reversing SMH’s fortunes. Despite its success, there are some concerns whether the success of the Swatch would continue. Still, the world watch market was highly fragmented except Citizen, Seiko, and SMH. There were numerous watch competitors in Switzerland, Asia, and Unite states. The market share of Swatch was still relatively low in the single digits due to