A Creative Marketing Strategy for Swatch
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 share at the lower end of the market. The merge of Asuag (Longines) and SSIH (Swatch, Omega, Tissot) was the company’s first response to Asian competition. It was a sensible move because Asuag is technologically equipped while SSIH possess better known brand names.
The objective of the diversification program was to sell Swatch all over the world and to recapture the lower end of the market, develop a product that is inexpensive to manufacture, low-priced, durable, technically advance and stylish at the same time.
The marketing strategy of the company is to make watches as a fashion accessory and to target the fashion oriented market of 12 to 24 years old, and to compete on price basis, performance and accessory. The company’s product design is a clear product concept based on: young and trendy; active and sporty; cool and clean high style and; classic. They produce 12-small faced and 12 larger. Product lines are out in the market in a restricted amount of time depending on the design concept. Each line has a distinctive theme wherein new models are introduced in the market four times a year according to seasons and they also produce limited edition line. The concept that they implemented on their product is that: the
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 share at the lower end of the market. The merge of Asuag (Longines) and SSIH (Swatch, Omega, Tissot) was the company’s first response to Asian competition. It was a sensible move because Asuag is technologically equipped while SSIH possess better known brand names.
The objective of the diversification program was to sell Swatch all over the world and to recapture the lower end of the market, develop a product that is inexpensive to manufacture, low-priced, durable, technically advance and stylish at the same time.
The marketing strategy of the company is to make watches as a fashion accessory and to target the fashion oriented market of 12 to 24 years old, and to compete on price basis, performance and accessory. The company’s product design is a clear product concept based on: young and trendy; active and sporty; cool and clean high style and; classic. They produce 12-small faced and 12 larger. Product lines are out in the market in a restricted amount of time depending on the design concept. Each line has a distinctive theme wherein new models are introduced in the market four times a year according to seasons and they also produce limited edition line. The concept that they implemented on their product is that: the