Time to Roll-ex

 

Mostly, Rolex watches are Switzerland manufactured before they get delivered to the different certified dealers across the globe. Free trade has been encouraged among different countries around the world due to globalization of products. Exemptions in tariff on imports and exports has led to the fall of product’s actual price as all the manufacturers have been located in Switzerland itself.

The brand for rich people, is only available at selected outlets to avoid the chances of imitation watches. Thus, the company has adapted its brand image since it doesn’t endorse sales to low economic locations as well like small shops or even internet. . (“Marketing Mix of Rolex – Rolex Marketing Mix”)

Rolex-Daytona-app-5

Though Rolex doesn’t operate a hefty distribution network but it sustains its exceptional value and a premium channel. Rolex, globally endorses in 100 countries with 4000 watchmakers and 28 affiliates. Its retailers and outlets are found in all the continents of the world. (“Marketing Mix of Rolex – Rolex Marketing Mix”)

However, the company puts every effort into ensuring that they pick the right retailers to sell the watches. The retailers are selected after a great deal of scrutiny. Rolex is a company that expects the retailers to keep up the image of the brand as a high end watch company, which targets buyers that are looking for luxury and distinction. Consequently, these buyers have to be willing to pay the hefty price that a Rolex watch comes with. Similarly, a retailer should have the ability to attract these lucrative customers.

RolexPicForWeb

Wealthy people who look for exclusivity and high quality are the target market of Rolex. The watches end up attracting for those people who like to display off their wealth. Although the brand does not aim for a person to show-off, it has become somewhat of a status symbol given the high price. It usually worn by professionals and executives above 35 years of age. Nonetheless, it is also the watch for sports figures and celebrities. It is typically worn by famous individuals. More than 50% of the Rolex market are people that reside in the countries in Hong Kong, US, China, Singapore and France. (Plopan)

Rolex logistics is a leading logistics services provider among limited liability companies and provides different IOR/EOR, RMA management services to multinational companies and the customers in India since 1994. Geographically, the distribution and warehousing has networked in the planned cities of India to provide an edge over competition by delivering customers, the spare parts on time to ensure customer satisfaction and achieved accuracy with speed. (Plopan)

sbm-03-rolexbrandaudit-17-728

The market for luxury items is expanding each day as they industry now values somewhere around $180 billion. Globalisation has been the catalyst as it has opened up several new wealth-creation opportunities, new market segments, digital communications, international travel and culture convergence. Furthermore, the fact that luxury goods aim for a niche market also enables them to enter new markets without many barriers. Along with this, the client base is constantly growing.  In markets such as these, companies like Rolex are leaders when it comes to expanding to new markets. They are moving operations to huge markets like China and Russia. (Okonkwo, 2009

Nonetheless, marketing in different places does come with its problems. These may include the production outsourcing and counterfeiting. These are issues that a company Rolex wants to avoid. (Okonkwo, 2009)

 

References:

  • Plopan, Jennifer. “Rolex Marketing Plan”. Slideshare.net. N.p., 2013. Web. 16 May 2016.

http://www.slideshare.net/jplopan/rolex-marketing-plan

 

  • Okonkwo, Uché. “The Luxury Brand Strategy Challenge”. J Brand Manag 16.5-6 (2009): 287-289. Web. 16 May 2016.

http://www.palgrave-journals.com/bm/journal/v16/n5/full/bm200853a.html

 

 

 

 

 

 

Okonkwo, Uché. “The Luxury Brand Strategy Challenge”. J Brand Manag 16.5-6 (2009): 287-289. Web. 17 May 2016.

Okonkwo, Uché. “The Luxury Brand Strategy Challenge”. J Brand Manag 16.5-6 (2009): 287-289. Web. 17 May 2016.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s