CASE: THE BIRTH OF SWATCH
In the mid-seventies of last century, the Swiss watch industry was plunged into the worst crisis in its history, and in 1983 contributed only 15% of the units sold in the world.
The strategy implemented by Nicolas Hayek, sought to reposition the Swiss watch making, this influenced what was already in the mind of the consumer, as is the notion that Swiss watches are of excellent quality.
The large volume was in watches under $ 100, in which Switzerland had a void and the market was dominated by Japanese and Chinese. Hayek noted in this segment, which created a brand, Swatch, which allowed him to compete in this market, it was an economic but watch out because their production 100% Swiss, and their innovative designs.
The combination of good price, good quality product, completely different from other watches of the time, in full production in Switzerland, all combined with the excellent reputation of the Swiss watchmaking, were allowed to support the successful positioning of the Swatch brand .
Among the elements of the marketing plan that best explains the success of the brand include:
• Appropriate selection of the target segment, to break into the market for watches priced below $ 100, to focus on this, the larger market.
• The variable product is critical to the success of the brand, this represents not only the quality of its manufacture (Swiss), but each design conveys a new style, a message, you watch the rest of the market. The product is conceptualized as emotional and therefore to convey an important message, passionate, distinct and authentic, was well received by consumers, the other brands offered on the contrary simply watches, often with addition ...