Wednesday, May 5, 2010

Perfection Has Its Price

Blink:
What time is it? I just take out my BlackBerry for the answer. Some people look at their Rolex watches.
Perfection Has Its Price.

Read On:
Disclaimer: I am not a watch person.

According to Business Week, Rolex is one of the world’s most valuable brands. Since the Swiss company’s conception in the early 20th century, they have been renowned for manufacturing precision wrist watches – their
brand's stamp. Over time they tapped into the luxury market of watches. Their product line is exclusive, synonymous with the timepiece of choice for the wealthy, status-conscious and celebrities. A quick search on the Internet revealed a Presidential line for both men and women timepieces ranging from seven to thirteen thousand dollars. With another pixel, I located on Amazon.com the Rolex Oyster Special Edition Cosmograph Daytona Leopard Men’s Watch for $51,600. I wonder if the owners of these watches are any more punctual than Timex owners.

FYI: Roger Federer is a spokesperson for Rolex. Enough said. Perfection Has Its Price.

4 comments:

  1. Jim,

    While this branding may apply to objects, I am not sure it extends to people or firms.

    Goldman Sach's brand and recent issues is Example A.

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  2. Interestingly, statistics have shown that all but the high end watch companies are struggling. Most people have gotten used to using their cell phones to check the time. High end watches are jewelry that happens to give the time. Just like a large cut diamond ring, or platinum cuff-links, a Rolex, Breitling, or Paiget communicates something about the wearer. So does NOT wearing such bling. Good for Rolex. Them that has can get.

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  3. I have a Tag Heuer watch that I never wear, relying on my cell phone instead. I like the watch a lot, but just found it to be bulky with all the work I do on computers.

    By the way Jim, you should read "The Commodity Trap". Good discussions of price/benefit line (or VEL as I called it in my blog post).

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  4. That it does Jimmy. My $600 Burberry watch looks very nice and I'll bet it keeps track of time just as well as the Rolex Oyster Special Edition Cosmograph Daytona Leopard Men’s Watch.

    Best,

    @RyanTaft (Twitter)
    http://www.CatalystMarketers.com

    ReplyDelete