The Marketing of Swatch free essay sample

Swatch Group Marketing This paper will discuss the commercial marketing strategy of The Swatch Group, a maker of Swiss watches and jewelry. This paper will dive into the differentiation from competitors, the target market segment and universal appeal of the advertisement. Background Information The Swatch Group is a manufacturer and distributor of watches and other products. The Swatch Group also manufactures mechanical and quartz movements, and is very active in the design, production and marketing of various electronic components.The Swatch Group’s headquarters is located in Biel, Switzerland. The name Swatch was derived from the words ‘Swiss Watch’ (David Michael 1997); it was a catchy phrase that aimed to reinforce the continued accuracy and quality of the Swiss watchmakers. The mission of the company was to bring the Swiss industry of the clocks back to a leader in the watch making market. Swatch was launched in 1983 as a direct response to the Japanese and Hong Kong watch industry which had almost eliminated the Swiss presence with high volume and relatively low market price. We will write a custom essay sample on The Marketing of Swatch or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The timing for such a product was right – the 1980’s were a time when images changed and new fashion accessories went to make up a new image at an affordable price. Swatch’s target customers were young teens to young adults with a target range of 15-29 years of age. That target strategy is still current and in place today as will be discussed more in depth in coming paragraphs. Advertisement The advertisement in hand is called ‘Colour Codes’ and can be found on you tube.The advertisement was released in 2010 and has a target market of young males and females with an age range of 15-29 years of age. It is geared more toward the trendy side of the market and this is shown by the showing of young adults wearing trendy, colorful and stylish clothing. The advertisement also shows many colorful watches to connect with any outfit and makes it as though owning many of the watch would be the ‘IN† thing which could count towards a lower price point for marketing.Advertisement Analysis The advertisement reaches its target audience directly. By making a lower price point product The Swatch Group is aiming directly at the trendy, party, socially engaging youth. The watches are affordable, trendy, and colorful. The age range of 15-29 can be considered the party type, the socially engaging type and the trendy type. They usually don’t have extra expendable income and are always looking to save money, but be fashionable, at any time.Another point to be made is that although Swatch is known for reliability, these color coded watches are made to seem as though they are durable but if one was to break it, it could easily be replaced since they are so affordable. This is again, a good selling point for the targeted age range. Conclusion The ‘Colour Codes’ advertisement reaches its target audience on more than one note. It shows the watch as being trendy, stylish and affordable. It uses the youth that it is trying to target in the advertisement itself and does it is a way that can be deemed as memorable.