Dylan Coelho 11

Dhrumil Jadia
Dhruv Shah
Bhavin Parikh
Harsh Pandav
Aparna Yelve 31

12
18
25
26

PERFORMANCE
PROGRESS

PERFECTION
PRESTIGE

PASSION

PRECISION

PRECISION

INTRODUCTION
Founded in Saint-Imier in 1860 by Edouard Heuer, Heuer has
marked the history of luxury watch making, especially in the fields
of chronographs and ultimate precision.
Tag Heuer is an internationally renowned luxury watchmaker that
is best known for its sports watches, chronographs and luxury
status .
Currently it is a division of the luxury goods conglomerate Louis
Vuitton Mot Hennessey (LVMH) which employs 60,000 people.

Christian Dior, the luxury goods group, is the main holding

company of LVMH, owning 42.36%

MILESTONES

1860 : Founded in 1860 by Edourd Heuer in St-Imier, Switzerland .

1882 : Heuer patents his first chronograph inventions.
1975 : Heuer launches the CHRONOSPLIT, the world's first quartz wristchronograph.
1985 : Heuer joins the TAG (Techniques d'Avant-Garde) group. Birth of TAG
Heuer.
1989 : TAG Heuer is appointed Official Timekeeper for the International Ski
Federation World Cup races.
1992 : From 1992 to 2004(12 years), TAG Heuer was the Official Timekeeper of the
FIA Formula One World Championship.
1999 :TAG Heuer joins the LVMH group (Louis Vuitton Moet Hennessy), the
world's leading luxury product group.
2010 : The 'Pendulm Concept, the first magnetic oscillator without hairspring
yet capable of providing restoring torque comparable to that of hairspring.
2012 : World's fastest chronograph, the Mikrogirder, 1/2000th accuracy.
2013 : TAG Heuer celebrated the 50th anniversary of the Carrera, the racinginspired Chronograph that forms a key part of the TAG Heuer.

PRODUCT RANGE

Formula One

Monaco

Aquaracer

Carrera

LINK

Grand Carrera

PRODUCT DIFFERENTIATION
Extreme TEMPERATURE Resistance.
WATER- Resistance - 500m
TRACTION, VIBRATION & FRICTION Resistance.
Analysis of Materials & Metal plating.

Unidirectional turning bezel.

Screw-in crown.
Scratch-resistant sapphire crystal.
Double safety clasp.
Luminescent hands and hour-markers.

1st Swiss watch in Space

INTERNATIONAL POSITIONING
Pure design, prestigious, powerful materials,
ultimate precisionThe Professional Sports Watches embody all of the
brand values and enshrine the quintessence of the
TAG Heuer spirit of sport

Attributes of a potential
Tag owner :

Attributes of a Tag :

-Rich

-Ruggedness

- Opinion Leader

-Pure performance
-Integrity
-Competitive drive.

- Sport Enthusiast

INTERNATIONAL PROMOTIONS -

THE INDIAN WRIST WATCH

INDUSTRY
The market is divided into two categories

Organized
sector

Unorganized
sector

Watches smuggled from Assembled watches

abroad

Continued
The Indian market is estimated at 25 million watches a year, 30%
being sold by the organized sector.
Indias luxury watch market is growing at a robust 25-30 percent
every year.
Quartz watches account for 75% of the market, the rest being
mechanical watches.
Organized sector is expected to grow steadily due to falling excise
levels.
Cut throat competition
Presence of multiple brands
Major players : TITAN TIMEX HMT

REASONS FOR ENTRY IN INDIAN

WATCH INDUSTRY
In 2003 it was launched in India

The growing income levels have resulted in an increase in purchasing

power and lifestyles are also changing

Customer for luxury products can be

divided into four categories:

Connoisseur Enthusiast of watches

Status seeker - Who is on a social climb and wants be
seen/associated with a luxury brand

Young and fashionable - who are looking for something

different
Functionalist - who is the realist looking for a lasting/durable
product.

COMPETITION IN INDIA
There are no Indian brands in the segment that TAG has
entered

However, international brands that are available in India

may be considered as competition

Rado

Technomarine

Omega

Raymond Weil

Longines

Tissot

Jaeger LeCoultre

Corum

Baume & Mercier Cartier

SEGMENTING
Demographics
Age (years): under 16, 16-25, 25-45, 45 and
above. 74% above age of 40 years.
Gender: 84% Male, 16%

Female

Income: under Rs.50,000, Rs.50000-5,00,000,

Rs.5,00,000-15,00,000 and Rs.15,00,00+
Psychographics
Social class: working class, middle class, upper
middle, lower upper, upper upper
Lifestyle: lovers of sports, glamour oriented,
culture oriented, Outdoor oriented

CONTINUED
Behavioral
Occasion: special and regular
Benefits: quality, service, convenience, economy
Based on the price the Indian market can be divided
into mass (Rs. 350-600), popular (Rs. 600-900),
premium (Rs. 900-1500), super-premium (Rs. 15008000) and connoisseur (above Rs.8000) segment

TARGETING
The target Market is the Luxury Market.
The target Audience is Youth, Adventurous people,
Entrepreneurs, Sports oriented, glamour oriented and seeks
superior quality and apt service.
A person who wears a Tag Heuer is a male or a female
between 25+ years having an income of above Rs. 10,00,000
p.a.
The person is also independent, savvy and
has an obsession for perfection, precision and
punctuality.

DISTRIBUTION STRATEGY
A selective and exclusive distribution strategy
Prestige and performance are two factors that should be considered in terms of
distribution.
Only authorized TAG Heuer retailers may oer the TAG Heuer range of Watches &
Chronographs.
This ensures that TAG Heuer controls how and where the watches are sold. It also gives
the customer an assurance of quality and after-sales service and ties in with its positioning
as a luxury brand in a niche market.
At present the TAG Heuer has six boutiques across the country, with two each in Delhi,
Mumbai, and Bangalore.
The groups brands are also sold through more than 80 multibrand retailers across the
country.
LVMH currently stands in third in the Indian market, behind the Swatch and Rolex
brands.
Opening two new boutiques in Chennai next month.

PRICING
The pricing strategy is based upon using prestige pricing.

Price Range
Start at Rs.40,000 and go up to Rs.14,00,000. They also make watches that
cost Rs.25 million (customized)

Formula One 55,000 to 4,00,000

Aquaracer 61,000 to 3,50,000
Carrera - 82,000 to 8,00,000

Monaco 1,00,000 to 5,00,000

LINK - 40,000 to 10,00,000
Grand Carrera 1,55,000 to 14,00,000

MEDIA PLANNING
The advertising and promotions is being handled by Lowe
Lintas, Mumbai

There was a press conference held by LVMH group

announcing the launch of Tag Heuer in India with Mr. Jean
Christophe Babin, President and CEO of Tag Heuer
addressing the media personnel
Tag Heuer also sponsors various golf and polo
tournaments.
Tag Heuers global celebrations of completing 150 years have
come to India in a different style as it marks the beginning of
brands association with the first ever Formula One event in
the country investing an additional 30pc of monies in its
overall marketing.

Its technical specifications promise precision and excellence, reflecting the

achievements of its Brand Ambassadors.

Benefits of Ambassadors

INDIAN BRAND AMBASSADORS

Reasons for selecting Shahrukh Khan & Karun

Chandok as our brand ambassadors
Bollywood & Sports have a great influence on everyone. People try to emote to actors in every
sense. Brand recognition is very important in brand promotion and known faces give your brand
instant recognition.
The decision to sign them is a step towards strengthening Tag Heuers ties with customers here
through `Indianness.
Their personality almost mirrors the brand values such as undying passion, his obsession for
perfection and precision.
The average Indian did not empathies with tiger woods or Brad Pitts persona.

REASON FOR SELECTING SUSHMITA SEN &

PRIYANKA CHOPRA AS A BRAND AMBASSADOR

Women go in for more luxurious

and prestigious goods.
40 % of total sales of Tag heuer is
contributed by women.

S.W.O.T Analysis
Strength
Established brand around the world, high international brand awareness.
Strong positioning as the Pioneer & Prestige.
High brand recall.
High brand loyalty and brand equity.
Weakness
Heavy brand clutter in the sports and entertainment areas.
It mainly targets the upper segment of the Market. Ie.. Hollywood, Bollywood, Renowned sports
persons etc.
Competition from luxury brands means limited market share growth.
They never have any offers or discounts, which is very much essential to survive in the Indian
market.
Opportunity
High growth in the luxury watches segment in emerging economies.
High-End watches are the first luxury pieces that a consumer buys giving a window of
opportunity for the brand to establish itself as the first luxury piece aspired by a consumer.
Threats
Indian consumers display the double aspect of a strong luxury culture and a strong sensitivity to
prices.
Low switching costs for the wealthy.
Threat from cheap and fake imitations.

SALES PROMOTIONS
A golf kit free with every purchase of a tag heuer watch from the
Kirium series. This promotion will be valid for a limited period of
time.
A free make up kit from Christian Dior on the purchase of any
watch from the Alter Ego series. This promotion again will be
valid for a limited period of time.
TAG HEUER & McLAREN: A BIGGER & STRONGER
PARTNERSHIP .
TAG-HEUER spends 25pc of its total sales income for
advertising campaign which uses all media to market the
product-hoardings, press advertisements, television and lm
commercials as well as point-of-sale material.

CONTINUED
There is also a 0% finance scheme.

TAG Heuer is a major sponsor of international sporting events and

has tie-ups with other brands (Mercedes and Porsche).

The brand has penetrated well in the Indian Market and has carved
a niche for itself as the watch sells by its name. The C2C model has
been a major contributor in promoting its sales by word of mouth.

FUTURE PLANS
Line extensions (Lifestyle products )

Expansion plans
Expand its distribution network into smaller cities. by drawing up a
strategy to enter smaller cities as well. The watches are currently
available only in major cities such as Delhi, Mumbai, Chandigarh,
Kolkata. There is awareness about the brand in India. With the
expansion in place, customers would not require to travel to bigger
cities to purchase the watch.

They currently are present in 26 cities and have 75 points of sales

and intend to reach up to 35 cities by the end of this year.
Furthermore, they plan to raise that to 115 in the next two years
time.

Competitors can copy your work but they cannot

copy your passion to perform the best !!!