Tag Heuer

-Please read the case and analyze it by answering these case analysis questions.
-You may answer each case discussion question in each paragraph and separate different paragraphs for different questions. You don’t have to copy the discussion questions in your answer.
-Although quantity is not quality, however I do not accept 1-2 sentence answers to each question. Please make a thorough case analysis, post 300 to 500 words’ case analysis (roughly 1.5-3 pages double spaced with12-font), and post it in the text entry format online. There is no word limit on your comments to others.

Synopsis:

The case examines the marketing challenge of repositioning Swiss watch brand TAG Heuer in the digital era. It follows the four-year journey, from 2014 to 2017, of Jean-Claude Biver, the newly appointed CEO of the company. TAG Heuer, one of the most historic and recognizable watch brands, is part of the watchmaking division of the Moet Hennessy Louis Vuitton SE (LVMH) – the French-based global luxury goods company.
The case delves into the decisions taken by Biver in his effort to create and execute a new strategy and to position TAG Heuer as an affordable luxury, avant-garde brand that would appeal to both traditional customers and the new generation.

It begins by highlighting recent developments in the Swiss watch industry and then focuses on Biver – a celebrated icon of this industry. It offers a snapshot of Biver’s resume and a glimpse into the marketing principles that he has applied during his remarkably successful career. The case then puts the spotlight on TAG Heuer. It provides an overview of the company’s history up to January 2014, when Biver was appointed at its helm. It then discusses the issues faced by the newly-appointed CEO and the key decisions taken to execute the new brand strategy effectively.

The second part of the case addresses the emergence of a new product category – the digital watch (also called connected watch or smartwatch), which many industry executives considered to be a major threat. TAG Heuer decided to enter the digital space and launched TAG Heuer Connected, in partnership with Intel and Google. Connected (and the series 2 model TAG Heuer Connected Modular 45) turned out to be a key pillar of the company’s new brand strategy. It also acted as a springboard for experimenting with unconventional sales and marketing tactics.

Case Discussion Questions:

1. What is the SWOT of TAG? What does a Swiss luxury watch brand stand for?

2. What was the situation at TAG Heuer when Biver took over as CEO? Which of Biver’s actions do you agree/disagree with? Why?

3. How has Biver been able to turn around so many companies? What does he do for a marketing perspective?

4. Was GAT Heuer right to go after the digital watch market? Why?

Tag Heuer