Rolex Brand Re-positioning

Running Head: ROLEX BRAND RE-POSITIONING
ROLEX BRAND RE-POSITIONING
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1ROLEX BRAND RE-POSITIONING
Table of Contents
Introduction......................................................................................................................................2
Organisation background.................................................................................................................2
Positioning of Rolex........................................................................................................................3
Current trends in Watch industry.....................................................................................................4
Issues in Rolex.................................................................................................................................5
Recommendations............................................................................................................................5
Identifying new goals and objectives......................................................................................5
Identifying the direct competitors............................................................................................6
Evaluating the R&D abilities...................................................................................................6
Implementing value based positioning....................................................................................7
Setting brand positioning strategy...........................................................................................7
Limitations...................................................................................................................................8
Conclusion.......................................................................................................................................8
Reference.......................................................................................................................................10
Appendices....................................................................................................................................12
Appendix 1.................................................................................................................................12
Appendix 2.................................................................................................................................12

2ROLEX BRAND RE-POSITIONING
Introduction
Rolex is considered to be one of the renowned and popular watch brand across the world
popularised with its premium products with high range. The company is categorised with the
luxury watch manufacturing with a close focus on the innovation and the quality of its watches.
The royal beauty with exotic looks make Rolex to get a distinguished position in the
international market. Sponsorship in different important sports events like the international tennis
event, it becomes one of the important watch manufacturer across the world. Based on the
popularity and its successful business orientation, Rolex ranked world’s 71st most valuable brand
in the year 2018 (rolex.com, 2019). The Rolex Daytona is considered to be the second most
expensive watch ever sold in an auction with a worth of US$17.75 million in New York in 2017
(fhs.swiss, 2018). Therefore, it can be claimed that the company has a great deal of market
capitalisation as a premium and world class wristwatch manufacturers.
Based on this understanding, this report is going to find out the existing trends in the
watch manufacturing market and the issues that Rolex is either facing or can be faced in near
future due to its current brand positioning. Moreover, a recommendation part is also discussed in
reference to the issues of Rolex and a mitigation strategy that the organisation should follow in
order to resolve the issues efficiently.
Organisation background
Rolex is a Swiss luxury watchmaker based in Switzerland. The company was founded in
London in 1905with the name of Wilsdorf and Davis. However, in 1905 the company was
registered with the name of Rolex in 1908 (rolex.com, 2019). As far as the motto of Rolex, the

3ROLEX BRAND RE-POSITIONING
organisation is entitled to offer exotic and premium watches to rich customer. The organisation
follows the marketing strategy of putting high interests on the rich customers with variety of
product range for men and women. The annual revenue of the organisation in 2016 was
estimated $4.6 billion so that it proves the magnanimity of the organisation (rolex.com, 2019).
Therefore, the expansion and the dynamics of the organisation highlights its range of customers
and the pricing strategy that it associated with high creativity and innovation.
Positioning of Rolex
Brand positioning of Rolex is no longer into a traditional way of attaching the analogue
watches only. It is important for the organisation to deal with the practice of delivering products
in a unique and creative manner that will blend fashion with the watch making. There are
certainly a number of innovative ideas that the Rolex management and R&D team have been
incorporated in course of the business (Westjohn et al., 2016). For an example, waterproof case,
perpetual rotor, Oyster case, purest and finest materials and the quality control. The price of the
Rolex watches are highly innovative that the company is trying to maintain by introducing
different technologies like the self-winding movement, independent control over the Suisse des
Chronometers and the testing (rolex.com, 2019). Those initiatives and innovativeness are highly
and intricately associated with the brand value and image of Rolex as a classic, royal and retro
getup.
However, the brand positioning of Rolex is not up to the mark as it is expected to get
adequately marketization. One of the major factor is its pricing strategy that only enables the rich
people to buy Rolex watches. On the other hand, the transformation of watches and upgrade it