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Brands discover the “hidden face” of the...
Economy

Brands discover the “hidden face” of the Internet

Monday, 17 March 2008
By Flavia Giovannelli
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Flavia Giovannelli

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6 min read

Things change fast between watches and the Web. Only a few months ago, brands were still slightly suspicious of the Internet. Today, they are stepping up their online initiative…

More and more consenting “prey” are becoming entangled in the world wide web, including the generally conservative audience of watch brands. What made them finally decide to take the leap? Having again erred on the side of caution last year, it could be that reality has forced them to reconsider their view. At the last Davos forum, Chuck Brymer, President and CEO of DDB Worldwide (the world’s number-two communications group) voiced his idea on the subject. This Mr Marketing had attendees sit up and listen with his new Swarm Theory which he sums up in one word: influence. Online communities, it seems, have an increasingly important role to play in creating added value.

By opening wide their virtual doors, they are in a position to better understand their customers.
The Web isn't all bad

So where do watch brands come in? They are finally starting to realise that the Web isn’t just a danger zone of fakes and uncontrolled distribution. On the contrary. It seems the most forward-looking players have taken full measure of the Internet deal. They are the ones adding new interactive features to their websites, the ones we can see on Second Life, or the ones with their own online TV. By opening wide their virtual doors, they are in a position to better understand their customers, who band together around shared interests: music, hobbies, work or… watches.

This then makes it easier to put them into segments based on age, income, political leanings, where they live, where they spend their free time, etc. A dream for marketeers who can fine-tune their offer to presumed demand. For the web-users who come under the microscope, the advantages aren’t negligible either. Granted, they agree to be part of this categorisation process but they can still remain anonymous. They can find information about products without committing themselves to buying. Better still, they can use their avatar to live out their fantasies and adhere to their dream brand…

Current trends

So is it all happiness and joy out there in cyberspace? If Chuck Brymer can be believed, there are still three essential qualities on the road to success: conviction, collaboration and creativity. First of all, a brand must have a personal vision and stand for something. Secondly, it must give the “swarm” a chance to have its say. For watches, this can be a blog where users recommend this or that model, or suggest ways to improve a product. Thirdly, like magazines, TV or a show, the Internet has to seduce potential customers and hold their attention.

Is this something watchmakers have understood? Are they applying the main principles? To answer, here is a brief look at recent trends and some noteworthy initiatives:

Websites
Vacheron Constantin (1) , generally considered a traditional brand, won a Davey Award for its website in January, ahead of 4,000 other companies from all horizons. The brand’s site was singled out for constantly incorporating new content and for one new feature above all: “The Hour Lounge”, where watch lovers can chat about watches in general and the brand in particular.

Second Life and interactivity
Hublot (2) once again led the field when in 2006 it became the first watch brand to host its own online TV channel. While it may not have the pretension to be CNN – not yet anyway! – Hublot TV aims to attract web-users who are likely to be drawn into the brand’s world. “We certainly don’t intend sticking our products under their nose straight away!” declared Jean-Claude Biver, six months after the launch. With 9,000 visitors a day, the idea seems to have hit the spot…
However, last September Hublot was beaten to the punch on Second Life by Raymond Weil. The brand’s dynamic young marketing director Elie Bernheim, son of Olivier Bernheim, wanted to try out a new idea by creating the Nabucco virtual world, named after the brand’s new collection, launched last year and already a success. A link on the brand’s website takes aficionados directly to Second Life where a Raymond Weil avatar is waiting to guide them.

Online sales
The real “mini” revolution came from Boucheron (3) whose e-commerce site, launched on September 17th 2007, created quite a stir. Its entire jewellery, watch and fragrance collections, some 1,500 references with prices, are now available online. Definitely food for thought, as until now it seemed sales were a bastion of the bricks-and-mortar world. Indeed, many brands fear losing control of their distribution channels, not to mention the potential for conflict with resellers. Obviously this is a much easier step to take when a brand is already at the head of a solid own-name network. True as this may be, no brand can deny that e-commerce moves a little further ahead every day. Proof? Sales of fine jewellery and diamonds doubled on Amazon in January while Blue Nile, the world leader in online jewellery sales, reported close to 25% growth. Crisis? Clearly not online…

Celebrity.com
If there is one initiative with which brands are now perfectly comfortable, it’s showing off their celebrity “ambassadors.” Why indeed would a brand sink huge amounts of cash to secure itself the services of Brad Pitt or Nicole Kidman if it can’t show them, preferably live and wearing its creations? According to a recent survey, some 60% of watch websites feature these famous faces and almost a quarter even manage to use their image in a creative way. The TAG Heuer website, for example, keeps us up to date with its headliners’ latest achievements, from Maria Sharapova’s victory at the Australian Open in January to recent film releases such as Good Luck Chuck, The Brave One or The Bourne Ultimatum. Over at Piaget (4), the Spirit Awards Red Carpet, from the independent film festival held on February 23rd, was webcast live on the brand’s site.

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