A vital aspect of a successful business is marketing. A watch supplier, among others, could end up losing money in capital and taxes without a sound marketing plan. Because it aids in creating a relationship between a brand and its target audience, marketing is crucial for any kind of business.
A strong affinity between a brand and its target results in increased sales and profit. To generate feedback is a further argument for having a foolproof marketing strategy. The target market is responsible for a business’s revenue generation. So it makes sense that a business would pay attention to them.
For instance, it’s acceptable to assume that manufacturing a product should be a top priority if customers have positive reviews of it. However, for a product affordable luxury watch brands with a negative outlook, this feedback will create a strong case for terminating production rather than going into mass production and suffering significant losses. the reduction of losses. This is why you need to carefully consider your marketing strategy. increasing potential and limiting losses.
Global Luxury Watch Market Trends and Growths:
The worldwide luxury watch market will expand at a compound annual growth rate (CAGR) of 4.10%, predicts Mordor Intelligence. Throughout the projected era (2020–2025).
- Value watch brands are a common fashion choice among people in the region due to their price. The market is starting to take interest in the more cheap and midrange watches. luxury watch brands for Women’s demand for “value-for-product” watches and accessories is increasing, which is why this is the case.
- Young customers have a strong demand for digital watches. They are better knowledgeable about smartphone and mobile technology. However, due to youthful consumers’ lower purchasing power, businesses have started offering digital watches at lower prices.
Key Market Trends – Domination of Asia-Pacific in the Watch Market:
As it provides huge chances for producers of luxury watches to enter and compete, China is one of the most competitive marketplaces in the world. A few of the well-known luxury watchmakers are Rolex, Omega, Patek Philippe, Cartier, and Longines.
The Federation of the Swiss Watch Industry says that China is currently the third-largest export market. witnessing an increase of 11.7% from 2016. Additionally, the number of Japanese watches exported climbed by 5% in 2019 to 58 million units. Compared to the prior year, it climbed in value by 18%, totaling CNY 163.7 billion. The Indian watch market also catered to men luxury watch brands. But when more women entered the workforce, there was a greater demand for both women’s and luxury watch brands for men’s.
Strong Brand Concept in Luxury Watch Market:
By today’s standards, brands that were developed in the past and enjoyed a strong run are still regarded as marketable. To continue drawing in millions of buyers, Rolex is maintaining its strong brand concept.
Early in the 1900s, Hans Wilsdorf, the company’s creator, founded Rolex. Hans Wilsdorf realized his vision in 1914 via perseverance and faith in his concept. His watches received class A certifications, which served as the foundation for a strong watch concept. Since the brand’s inception, Rolex has come to represent elegance and luxury. Even now, when it comes to luxury watches, the firm continues to be the most well-known brand.
Digital Marketing Approach:
Because of how quickly the world is changing, not adopting technology would be a big mistake. Even if they are thousands of miles distant, Digital Marketing enables businesses to connect with their target market.
Establishing a relationship with the brand and audience is one of the objectives of an effective marketing plan. Digital marketing is a strategy that will undoubtedly produce quick outcomes. Nowadays, a large number of people spend a lot of time online. As a result, ranking of luxury watch brands manufacturers like Panerai are doing the right thing by going online. Here are some successful watch brands’ digital marketing examples.
Examples of Digital Marketing From Successful Luxury Watch Brands:
Top luxury watch brands is Blow.
1. Audemars Piguet
Since its founding in 1875, Audemars Piguet has been creating stunning and lasting watches. With the debut of the AP Royal Oak series, which combined the use of non-precious metals and strong design, this brand earned its reputation as an innovator.
The business opened the first pop-out store on WeChat as a Swiss watchmaker in 2018. The brand was able to take advantage of the luxury watch market’s enormous potential in China because of this marketing strategy.
2019 saw the debut of a new watch line from Audemars Piguet named “Code 11.59” one year later. A younger, better-connected generation that was more proficient with technology was its target audience.
2. Vacheron Constantin
Vacheron Constantin, known as the oldest Swiss watchmaker, has been in business since 1775. For many generations, this brand has specialized in producing watches that are individually designed. The majority of watches are incredibly beautiful and the pinnacle of perfection.
As you can see from this article, Vacheron Constantin’s brand strategy places a strong emphasis on integrating their timeless heritage with their forward-thinking nature.
Their Chief Marketing Officer, Laurent Perves, goes on to say that their strategy has remained mostly unchanged since the brand’s foundation. They remain true to their roots because they are aware of how significant their past is. The business has also concluded that innovation ought to come first.
The major objective of Vacheron Constantin is to remain exclusive while also making as many people as possible who can appreciate what they produce. This may sound contradictory, but to further demonstrate, while only a small number of individuals may like their watches, many people might appreciate their branding and messaging.
3. Rolex
Rolex is the brand most people are aware of from this list of the top 10 luxury watch companies. The strong resale value of Rolex is reflected in its $7.9 billion total brand value. This indicates that the watches they create are excellent investments since they are valued with time
Rolex is the pinnacle of the most famous luxury watch brand, having been established in 1926 by Hans Wilsdorf. It is regarded as a premium brand all over the world. The concept that the business doesn’t need to run any particular marketing initiatives to raise brand awareness may result from this.
The highest production quality is something the Rolex brand takes great pride in. Their primary marketing tactic is to draw attention to the process they use to make their watches. To raise the worth of their watches, the company has mastered the production of watch mechanisms and added unique stones and metals.
Rolex makes use of contemporary social media platforms including YouTube, Instagram, Twitter, and Facebook. This expands their audience and helps them to connect with those who are not physically close to their brick-and-mortar establishments.
“A Crown for Every Achievement” is the primary Rolex catchphrase, which is also represented by their crown emblem. The power of displaying having a Rolex and using this luxury watch as a symbol of achievement and success is the key takeaway from this phrase. In the end, Rolex is a lifestyle as much as a brand.
4. Jaeger-LeCoultre
The Swiss Jura Mountains were the site of the founding of Jaeger-LeCoultre in 1833. This company is regarded as one of the most creative in the entire world and is a highly trusted brand.
The fact that this company produces its movements distinguishes it and helps to establish it as a leading Swiss watchmaker. The Reverso, a square watch that can be turned over to protect the face, was made by Jaeger-LeCoultre.
A warranty program called “Jaeger-Lecoultre Care Programme” was introduced by the business online in 2019. This implies that precise information about their clients is gathered if they choose to participate in this program. This relates to the business attempting to understand who its luxury clients are and developing a closer relationship with them.
5. Patek Philippe
Patek Philippe is renowned for its incredibly complex and elaborate designs. Patek Philippe has been around for a very long time and is also known as the creator of the first wristwatch. It continues to be among the top 10 luxury watch brands right now.
In 1996, Patek Philippe launched its Generations campaign, which promoted their clocks as heirlooms that could be passed down from one generation to the next. “Begin your tradition” is the tagline used to showcase the timepieces as a part of a family’s history and legacy.
6. Blancpain
Blancpain was founded in 1735 and is well known for producing diving watches. Since then, it has advanced watchmaking processes. The flying tourbillon, designed by Blancpain, has the complication of a cage with a ball bearing.
Due to the introduction of more affordable and precise quartz versions by the Japanese in the 1980s, the Swiss luxury watch industry experienced a crisis. Blancpain was a struggling brand in 1981 when Jean-Claude Biver purchased the rights to the company. After ten years, Biver was successful in renewing the ailing Swiss watch brand before selling it to The Swatch Group for about $80 million. Blancpain’s dedication to the technical aspects of watchmaking and ongoing innovation is considered to be the secret to its success.
7. Chopard
In Sonvillier, Switzerland, Louise-Ulysse Chopard established the L.U.C firm, which is now known as Chopard. As timepiece sales spread throughout Europe, Chopard finally started supplying Tsar Nicholas II of Russia.
The new slogan “The Artisan of Emotions since 1860” marked a change in Chopard’s brand strategy in 2018. This demonstrates the company’s dedication to its lengthy and interesting past while also underlining the idea that its watches were created and motivated by emotion.
Being one of the few family-owned businesses, Chopard stands apart from the competition. This is significant since their brand strategy develops from their past and natural expansion.
To appeal to a younger population, the brand debuted Happy Hearts in 2015. With a combination of diamonds and hearts in turquoise, onyx, and mother of pearl, the pieces in this collection have a much younger aesthetic.
Chopard was able to reach a wider audience because of its US e-commerce success. It’s interesting to note that the corporation sells more jewelry than watches through its US online presence.
8. Omega
Omega, a luxury watch brand with strong name recognition all over the world, was founded in 1903 by Louis Brandt. The luxury brand of the Swatch Group is called Omega. James Bond’s official watch, Omega, has appeared in every James Bond film. Buzz Aldrin wore it as he took his first steps on the moon, making it the first watch to reach space.
When it comes to market share, Omega consistently ranks in second place to Rolex. In the global market, Rolex has a 24.9% market share while Omega has an 8.8% market share.
Because their watches come in a variety of pricing ranges, this brand can appeal to a wider audience. Both inexpensive entry-level watches and watches that cost more than $100,000 are available.
Omega began promoting their watches on Instagram in 2017 with the #SpeedyTuesday design. The company has now been able to connect with a different demographic than they were previously.
Omega is particularly active on Instagram, where it posts pictures, holds contests, and runs influencer marketing campaigns. Omega was able to communicate its message by using targeted marketing and paying respect to client input on social media to create marketing campaigns that can attract more customers.
9. Ulysse Nardin
When Ulysse Nardin started his watch company, he was just 23 years old. His father, who was also a watchmaker, served as an inspiration to him. Marine chronometers are the primary component of the company’s watches.
This brand stands out because it can produce both contemporary collections and minimalist watch designs. This enables them to serve a wider range of clients with diverse design preferences. Most of their advertising uses underwater images of scuba divers because their watches are more on the nautical side.
One of their 2018 advertising ads featured sharks in Shanghai and New York City as an image of the powerful animals being removed from their natural environment. This also implies that sharks are constantly on the move and looking for change. Sharks are seen to be strong creatures that can command success in business and finance.
10. Piaget
Piaget, which was established in 1874 by Georges Edouard Piaget, is known for producing extremely thin watches and frequently breaks world records in this category.
Quentin Herbert, who was appointed Head of Watch Marketing for this prominent brand in 2019, made some adjustments to the well-liked company. The 12 collections were reduced to 4. The various price points that the watches come under are represented by these four collections.
Brighter colors were also established, which was another significant enhancement Herbert made. Traditionally, Piaget was created in black or blue, but they now use brighter colors like yellow, which is more calming and beautifully pleasant.
Conclusions:
Brands like Breitling, Panerai, and OMEGA all had unique starts in the past. But with the right marketing approach, these businesses went on to become major players in the market for luxury watches as we know them today.
In conclusion, a few steps that budding business owners could take are recognizing the value of digital marketing, developing a strong concept, finding the proper market, and working on strength.