Swatch

1. Problem Statement After tremendous success during the second half(prenominal) of the 80s and the first half of the 90s, Swatch has direct reached the maturity stage of the cheaper watch merchandise range. Swatch has seen our gross revenue subside by 30% year-on-year worldwide, hence reduced our profits by 40% to 265million euros. Due to a significant increase in competition and changes in consumer preference of watches, it is now time to criticism the node segments and positioning of our product offerings. To move a product out of the maturity stage, Swatch could explore the option to offer appurtenant benefits or to focus on retaining customers who exited the tar define segment. 2. Situation Analysis In order to select the most successful marketing strategy, a situational digest was conducted (See Annex A for details). From the analysis, we conclude that Swatch offers a undeviating and affordable product, through very diverse channels. However, the company has woolly our attractiveness despite its intention to promote itself as stylish, newfound and provocative. Through our positioning map and customer profile analysis we have detected that Swatch can take advantage of our grueling brand recognition to take risks in innovating our products.

However, we must pass on in mind that the customer gap is increasing and new competitors are arising, hence a repositioning strategy and ameliorate branding campaign would be necessary to improve our sales and profitability performance. 3. Alternatives We can adopt the mass marketing attack which will be targeted at Swatchs Star customer segment of 15-30 year-old fashion addicts. This will play to our companys key strengths of having an established and highly recognized Swatch brand that mass-produces dashing and durable watch designs. This will also be a key competitive advantage against other low-priced only when less-durable competitors such as Timex and Casio, so that we convert the advantage to change magnitude market share in the low-priced watch... If you want to get a full essay, order it on our website: Ordercustompaper.com

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