Swatch Watch Phase 2 :

E-learning Dokeos
group 5
Swatch Watch
E-TEAM MARKETING PROJECT 2010
Sofie Vandoninck
Cescia Vanhout
Tinne Oostvogels
Loic Mouget
Amaury Leclerc
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Swatch Watch
Table of contents
Introduction……………………………………………………………………………………………………………………………………….3
Phase 1: TARGET A BRAND/PRODUCT………………………………………………………………………………………………..3
Phase 2: IDENTIFY MAIN SELLING POINTS and MARKETING STRATEGY……………………………………………….3
2.1 Appeal of the product……………………………………………………………………………………………………..…3
2.2 Popularity…………………………………………………………………………………………………………………………..4
2.3 Popularity in France and Belgium………………………………………………………………………………………5
2.4 Advertising…………………………………………………………………………………………………………………………5
Phase 3: DESIGN A NEW PRODUCT………………………………………………………………………………………………..…..9
3.1 The product’s characteristics………………………………………………………………………………………..……9
3.2 Brand name…………………………………………………………………………………………………………….………11
3.3 Slogan & Logo…………………………………………………………………………………………………………….……11
Phase 4: MARKETING CAMPAIGN…………………………………………………………………………………………………….12
Phase 5: ADVERTISEMENT ………………………………………………..……………………………………………………………..13
5.1 Advertisement ……………………………………………………………………………………………………………….13
Phase 6: PRESENTATION…………………………………………………………………………………………………………………….?
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Swatch Watch
Introduction
We started this project with a group of 5 people. Three Belgian students and two French students.
From the beginning, there were some troubles with the communication between the two groups of
students. The French students responded really late (Thursday) to our e-mails and our ideas. Because
of this it was very hard for us, the Belgian students, to make a good project. When the French
students didn’t respond in time, we started to complete a new phase on our own. In Phase 3 there
was some disagreement between the two teams and eventually we decided together that it was best
to go our separate ways from then on. All text written in red is the contribution to the project from
the French students. We hope you enjoy the outcome of our project and enjoy reading it!
Swatch Watch Phase 1 :
TARGET A BRAND/PRODUCT
We have chosen the brand ‘Swatch Watch’ as the subject of our E-team marketing project.
The Swatch Watches seemed very interesting to us because watches are something that almost
everyone wears. You can get very creative with it. Make something unique of them.
Swatch Watch Phase 2 :
IDENTIFY MAIN SELLING POINTS and MARKETING STRATEGY
2.1 Appeal of the product
The most important features of the Swatch watches are that they have a high quality and a very
affordable price. The company came up with some smart moves to ensure this combination of high
quality standards and low prices. For most of their watches they would use few components to
produce the watches at a low price. Their next move was to produce Swatch watches using cheap
materials (plastic) in cheap manufacturing plants. Now, Swatch has watches of all prices and styles,
but still allowing people to wear fashion watches at a much lower price than the designer watches.
The average cost of Swatch watches online is between £37.00 to £150.95. It’s simple, everybody
understands how you use the watch, it doesn’t have many buttons, functions, you can easily use it.
Most watches could be bought in almost every jeweler. So it is easy to buy a Swatch watch.
In time, these watches became a collector’s item because of their variety of design. Swatch always
comes up with new ideas and creates all kind of watches for different celebrations: Valentine’s Day,
Mother’s Day, celebrating the Chinese year of the Dog, 100 years of cinema,…They used to have all
kind of designs both cheap and expensive ones as you can see below. In the nineties, sales fell and
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Swatch Watch
that’s why they reverted to simple designs with a touch of luxury. These watches gave all kinds of
new and exciting ways to express your personality.
These days Swatch produces such an overwhelming range of designs and functions. But whatever the
design of functions may be, Swatch will always stick to their high quality standards.
1986
The four
Swatch Art
Specials
designed by
Keith Haring are sold in the USA
1995
"100 years of
cinema" are
celebrated with the
Swatches "Eiga Shi"
by Akira Kurosowa,
"time to reflect" by Robert
Altman and "Despiste" by Pedro
Almodovar
1990
Xmas
Special
"Hollywood
Dream"
1998
Mother’s
Day
Special
"The
Rose" and
Mother in Law´s Day Special
"Piquant"
1995
The "Perfect
Timing", a Swatch
Chronometer
tested by the COSC,
shows the countdown to Atlanta
2002
Stephen Dean
designs the
Swatch Art
Special "Coor
on things"
Figure 1: Swatch watches through the years.
2.2
Popularity
Swatch is the world’s biggest selling watchmaker and it is seeing an excellent increase in orders as
the world economy and demand for luxury watches both improve. The board was very confident of
achieving more sales growth in 2010.
Swatch is world famous for its excellent designs. During the 80’s, if you didn’t wear a Swatch watch
you weren’t good enough to be part of the group. Swatch watches are popular because they’re very
cheap in price. The aim of this watch is to use it, till it’s broken. But you don’t need to repair it,
because it’s cheap. You just buy a new watch. So you can’t get bored, you just buy a new watch.
It’s even more popular because they introduce new models each year. You can buy special
Valentine’s watches or watches that celebrate the year of the tiger (Chinese new year).
You also got the classic models, so you’ve got something for everybody. People like Swatch because
they know its quality and its creativity. They have a wide range of products. This range includes five
families: Swatch Originals, Swatch Irony, Swatch Skin and Swatch Bijoux.
Figure 2: One
of the
bestsellers,
the Swatch
Full Blooded
Gold.
Figure 3: the
Hayek Branded
Swatch with the
head of the
Swatch founder
on the watch
.
Figure 4: The
Club Special
2008 once
again (the
best sold
Swatch of all
times)
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Swatch Watch
The Swatch-group contains a lot of strong brands. The most well-known brands are Flik-flak and
Omega. Flik-Flak are Swatch-watches for children and Omega is a more expensive brand.
2.3
Popularity in France and Belgium
In Belgium the Flik-Flak watches were very popular in the ‘80s and ‘90s. When I was younger I
remember that almost all of my friends wore a Flik-Flak watch.
Turnover of the Swatch watches for the last financial years:
2008/12/31: 9.339.744 EUR
2007/12/31: 8.886.592 EUR
2006/12/31: 7.716.219 EUR
The last few years the turnover of Swatch watch has increased witch 1.623.525 EUR. This indicates
that Swatch watches are becoming more and more popular again in Belgium.
Thanks to proximity between France and Switzerland, Swatch in France enjoys a good reputation,
more the East France supplied the Swiss watch-making pond with workers who so get involved in the
conception and export the image of a prosperous, innovative and modern company
The commercial headlands everywhere in the hexagon are many. For example for the Paris Basin,
more than 18 shops sell the various ranges of the company Swatch in France.
The various sectors use (wear out) the sponsoring to promote the brand all around the world. The
major sponsors are mainly in the event sports and Alpine, so France still shares this with Switzerland
and the increasing notoriety of the brand is not foreign there
2.4
Advertising
In Belgium, Swatch advertises in fashion magazines and on billboards. Swatch never makes television
ads or radio ads. They advertise in Glam*it, Flair , Elle, Marie Claire,.... and other women magazines.
The philosophy of Nick Hayek, Jr President of Swatch, is “Be curious, bold and open to new things.
Make your life exceptional.” With this thought the marketing of Swatch was to become fresh and
upbeat. It must position the Swatch watches as a ‘must have’ accessory. Examples of Swatch’s
innovative marketing are shown below. Besides these campaigns, advertisements, websites and
sponsorship they also build mega stores which have gleaming mosaics, interactive games and
exhibitions. With the development of their products, they gained a reputation for creative and
imaginative marketing, establishing Swatch brand that was different and young, conjuring up visions
of exciting lifestyles.
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Swatch Watch
Examples:
Figure 5: The Swatch Touch
"Bunnysutra"
The launch of the Swatch Touch "Bunnysutra"
(2004) was a large success. This campaign was
very successful because of their funny and
provocative approach.
Figure 6: The 32. beat
Swatches.
Swatch even made watches especially for the
footballfans on het Soccer World Championship
2006 in Germany with a release of 32 .beat Swatches
showing the flags of the participating countries.
Figure 7: Advertisement for the Valentine's
watch.
This is a typical Swatch advertisement, it’s
colorful and playful. They want to attract
young people.
Figure 8: A screenshot of the twitter-page.
Another way to attract young people is the
Swatch-twitter-page. You can follow your
favorite brand on twitter. It’s a new way of
advertisement and it’s getting more and
more popular.
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Swatch Watch
Figure 9: Examples of some pictures of people
wearing a Swatch watch.
There’s also a Swatch watch fan page on
Facebook®. People on Facebook® can
become a fan of this page. You can also
find more information about Swatch
Watch. Right now there’s a competition
going on. People can upload a picture of
how they wear their Swatch Watch. The
winner gets 20 watches, one in each color
from the Swatch Color Codes Collection.
Sponsorship :
The Swatch and the FIVB, the International Volleyball Federation had signing a partnership. Swatch
became the sponsor of the Beach Volleyball World Tour. Swatch participate in all FIVB Beach
Volleyball world tour events through establishing points of sales and organizing side and
merchandising activities. Each seasons Swatch create two watches especially for this events. Swatch,
bring this experience in the field of innovations, who have developed FIVB in many things like timing
and technical innovations, with the electronic scoreboards supply and speed of service
measurements. With this partnership Swatch support the growth of public and media interest.
The Swatch TTR World Snowboard Tour is the most important organization freestyle snowboard
contests around the globe. Swatch try to develop this sports, they give the larger prize purse in the
history of snowboard.
Swatch is the official timekeeper and co-sponsor of the Red Bull X-Fighters. The 2008 title went to
Swatch Pro Team member, Mat Rebeaud, who won 4 of the 6 events. Another Swatch Pro Team
member, Robbie Maddison, obtained 3rd place.
For the first time in 2008 BMX (Bicycle Motocross) figured as a discipline in the Olympic Games in
Beijing. Swatch is the official timekeeper and data handler of the BMX Super cross World Cup and
UCI BMX World Championships.
Swatch O'Neill Big Mountain Pro, a Free ride mobile event taking place in the European Alps, enables
26 best free ride snowboarders and skiers in the world to put their innovation and skill to the test.
After 8 days of competition, the 2008 title was awarded to Jeremy Jones, member of the Swatch Pro
Team.
Swatch is the partner of the O'Neill Highland Open by Swatch. Taking place on the northernmost
coast of Scotland, this competition is the principal and certainly the coldest stages for the surfers in
the ASP World Qualifying Series (WQS)
For several years, Swatch sponsors many athletes in different sports ;
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Swatch Watch
Snowboard; Terje Haakonsen (Norway), David Benedek (Germany), Xavier de le Rue (France),
Geraldine Fasnacht (Switzerland), Christian Haller (Switzerland), Frederik Kalbermatten (Switzerland),
Jan Scherrer (Switzerland), Nicolas Müller (Switzerland), Anne-Flore Marxer (Switzerland), Jeremy
Jones (USA).
Ski Free ride; Thomas Diet (France), Sverre Lillequist (Sweden), Phil Meier (Switzerland), Cody
Townsend (USA), Kaj Zackrisson (Sweden), Richard Permin (France), Seb Michaud (France), Joonas
Karhumaa (Finland), Laura Bohleber (Switzerland), Mirjam Jäger (Switzerland).
Freestyle Motocross (FMX); Mat Rebeaud (Switzerland), Busty Wolter (Germany), Robbie Maddison
(Australia), Lance Coury (USA).
Surf; Bobby Martinez (USA), Sam Lamiroy (UK), Rikki lancaster (Australia).
BMX; Khalen Young (Australia), Robert de Wilde (The Netherlands).
Beach Volleyball; Igor Kolodinsky & Dmitri Barsouk (Russia), Pablo Herrera & Raul Mesa (Spain),
Julius Brink & Christoph Dieckmann (Germany), Clemens Doppler & Peter Gartmayer (Austria),
Martin Laciga & Jan Schnider (Switzerland), Ana Paula Connelly & Shelda Bede (Brazil), Simone Kuhn
& Lea Schwer (Switzerland), Wang Jie & Tian Jia (China).
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Swatch Watch
Swatch Watch Phase 3 :
DESIGN A NEW PRODUCT
3.1
The product’s characteristics
We thought it would be nice to design watches that you can hang onto a necklace.
Nowadays it is very popular to have a bracelet or a necklace with charms.
Our product is based on a simple silver or golden necklace with a watch.
You can collect different charms and hang them onto your necklace.
It’s up to the customer to decide which charms he wants to collect.
We notice that a lot of women don’t like wearing a classical watch. The watch often doesn’t match
with the rest of the clothes and it’s often too big to wear under a narrow sweater.
When you choose our product you can match the basic watch with all sorts of charms in different
colors. Or you can wear the watch separately.
We think that the different charms can be gifted on various occasions, it’s obvious that we will have
valentine’s editions, Christmas editions, summer editions,…
An other target group can be young girls (aged 12-18), they love collecting items and they can make
it personal. Girls love to be different at that age.
The watch itself is the same price as a basic silver/golden watch from Swatch. The prices of the
Swatch watches range from $50 to up to $350. Most watches have an acceptable price of about $100
though. The charms have a standard price like the Thomas Sabo® or Pandora® charms. They start at
a price of €30. The charms aren’t very big, because nobody wants to look like a Christmas-tree.
We are different from Swatch® because our product isn’t a “real” watch, it’s a charm. We want to
create a new fashion-item. I personally was tired of wearing the same watch, I got tired of searching
my cell phone to check the time. This product is fashionable, it’s easy, it looks good and it tells you
what time it is without unloading half your purse.
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Figure 10 : a simple example of a watch
Figure 11 : you can watch the time by opening the striped charm. The other 2 are regular charms.
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Figure 12 : a basic watch
3.2
group 5
Swatch Watch
Figure 13 : example of a charm
Brand name
We have chosen ‘Enchained’ as the name of our new product. This name is a combination of the
words enchanted and chain. Enchanted literally means: to cast a spell over something/someone.
(www.thefreedictionary.com) We want the people to be enchanted witch our product. We want them
to fall in love with it. The other part refers to the fact that our product is a sort of necklace and not a
regular watch.
3.3
Slogan & Logo
For the slogan of the product, we have come up with: ‘Be unique, Be you’. Our product is something
special. Not everyone has it. We want to emphasize the fact that every person is unique. Some
people really want to stand out from the crowd and with our product they can do that.
We have chosen to keep our logo very simple. A little clock in the background and the name of our
product in the foreground. For the color, we have chosen blue because people associate this with
happy feelings and purity.
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Swatch Watch
Swatch Watch Phase 4 :
MARKETING CAMPAIGN
4.1
Main selling points & sales outlets
Our product will of course be sold in all jewelers for example Voeten® and Huybrechts® in Geel.
These jewelers will be our main selling points. Besides these outlets, the ‘Enchained’ watches will
also be sold in Galeria INNO® and accessory stores.
Figure 14: Example of a jeweler.
4.2
Packaging
The watches will be put in nice black stylish boxes. The name of our product will be printed on the lid
of the box in silver ink. We want to keep the boxes plain and simple because we want it to look
stylish and not childish. The picture below shows an example of a plain black box. Our boxes will of
course be different from this one. We will give it a unique view by changing the shape of the box. We
will for example use octagonal boxes instead of square ones.
Figure 15: Example of a plain black box.
The black boxes will be packed separately in little cardboard boxes. The design of these boxes will be
feminine and attractive to the eye.
4.3
Methods of advertising
We will place advertisements of the ‘Enchained’ watches in various magazines such as Flair®, Glam
It®, Elle® and Marie Claire®. The target people of our product are women, that’s why we chose these
women magazines. These magazines focus a lot on the well-being of modern women and fashion.
That’s what makes this communication medium perfect for our marketing campaign.
Besides the adverts in magazines, we will also hang eye-catching posters in the showcase of the
jewelers and on billboards along the side of the road.
The posters and the billboards will show a well-known model wearing the watch alongside the slogan
and the logo of the ‘Enchained’ watches. The design of the posters and billboards will change
regularly so that it does not become boring to our costumers.
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Swatch Watch
Phase 5: Advertisement
5.1 Advertisement
We use a modern way of advertisement. We want to make a “moving” billboard. You will see one of
the posters and they colour of the necklace will change. Of course this isn’t possible on paper.
In magazines you’ll find a poster, the colour of the necklace will change in time.
The rest of the poster is black/grey because we really want to stress the necklace.
We’ve chosen Kate Moss, because she is a natural beauty. She doesn’t need much make-up or fancy
clothes to look good.
She is known all over the world, because of her timeless beauty.
We’ve chosen a dress that shows a little bit of cleavage, because we want to attention to the
necklace.
We want to keep working with Kate Moss, so that our customers easily recognize our campaigns.
It’s expensive to work with her, but she does a great job, she is popular, she is an icon in fashionindustry. We think it’s worth the investment.
We could also give her some of the jewelry and create something special for her so she can wear this
on the red carpet.
The fact that she used cocaine is not a problem, it’s been 2 years and we think the public has forgiven
her when she checked into rehab.
We also love her individual style, that’s what our product stands for. Being yourself and being
individual.
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Swatch Watch
The poster
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Swatch Watch
Different colours
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