Rolex is known for its high quality watches. It has defined quality through rigorous testing at every stage of production. Rolex has a long history dating back to 1905 and is known for innovations like the waterproof Oyster case and self-winding movement. It maintains a strong brand image through exclusive distribution, high prices, and associations with athletes and explorers. Opportunities for Rolex include introducing new designs, targeting women customers, combating counterfeits online, and communicating the long-term value of its watches.

1. Rolex Brand Audit
“The name of –Rolex is synonymous with quality. Rolex-
with its rigorous series of tests that intervene at every stage-has
defined the meaning of quality.”
-Rolex.com
1.1

2. Contents
 Brand Inventory
 Brand Exploration
 Recommendations
1.2

3. Section 1
BRAND INVENTORY
1.3

4. Brand Inventory
 History
 Private Ownership
 Product-related attributes
 Rolex Brand Portfolio
 Tudor
 Communications, Pricing and Distribution
1.4

5. History
 1905: Found in London by Hans
Wilsdorf (German) and William
Davis.
 1908: Registered Rolex brand in
Switzerland
 1910: created a timepiece that
was small enough to be worn on
the wrist.
 1914: Obtained the first Kew
“A” certificate after passing the
world’s toughest timing test. 1.5

6. History
 1926: Developed and patented
Oyster waterproof case and
screw crown against water,
dust and dirt (the first time in
the industry)
 October 7, 1927: Mercedes
Gleitzer swam the English
channel wearing an Oyster
which functioned perfectly
after emerging 15 hours in
water.
 1931: Created the Perpetual
self-winding rotor mechanism
eliminating the need to wind
the watch
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7. Private Ownership
 Privately owned company and controlled by
only three people in its 100-year history.
 Enabled the company to maintain a consistent
focus on its core business.
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8. Product Attributes
“10 Golden Rules”
 Waterproof case
 Perpetual rotor
 The case back
 The Oyster case
 The winding crown
 The finest and purest materials
 Quality control
 Rolex self-winding movement
 Testing from the independent
Controle Officials Suisse des
Chronometres
 Rolex Testing
1.8

9. Rolex Brand Portfolio
Oyster Perpetual Oyster Professional Cellini
• Air-King • Explorer • Cellinium
• Perpetual • Gmt Master II Quartz
Date Submariner • Cellissima
Datejust Submariner Date Classic
Datejust Turn O- Sea Dweller 4000 Danaos
graph Yatch-Master Cestello
Day-Date Cosmograph Daytona Orchid
Lady Datejust 2005 Prince
Lady Datejust
Pearlmaster
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10. Tudor As Fighting Brand
 Created in 1946 as a
“fighting brand” to stave
off competition from
mid-range watches such
as Tag Heuer, Citizen,
and Rado.
 Tudor has a range of
family brands, namely
Price, Princess, Monarch,
and Sport.
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11. Communications
 Brand Image:
 Product’s high quality
 Its associations with top
artists, athletes, and
explorers.
 Enhanced by its exclusivity,
with premium prices and
limited distribution
 Advertisements: mainly
print ads
 Sports and events
sponsorship
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12. Pricing
 Around $2,500 for the basic Oyster Perpetual
and can reach as high as $200,000.
 For each style, prices can vary by $2,000 -
$12,000 depending on materials used.
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13. Distribution
 Not selling online
 Only through
approximately 60,000
“Official Rolex Dealers”
worldwide.
1.13

14. Section 1
BRAND EXPLORATION
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15. Contents
 Customer knowledge
 Sources of Brand equity
 Ambassadors
 Sports and culture
 Philanthropy
 The Customer Base Brand equity Pyramid
(CBBE)
 Counterfeiting: threat to Equity
1.15

16. Customer Knowledge
 The most powerful and recognized watchmaker in
the world.
 Typical consumer brand associations:
 Sophisticated
 Prestigious
 Exclusive
 Powerful
 Elegant
 Snobby
 Flashy
 High quality
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17. Rolex Mental Map
• Successful
• Watches Image • Luxury
• Expensive • Classic
• Precise
Performance
• Gold/Platinum
• Crown Logo
• Exceptional • Wimbledon
customer • Golf
Sports • Sailing
service
• Championship
athletes
• Older
• Top Athletes
People
• High-class
• Counterfeited and sold on
• Masculine
the street
Negative
• Frivolous purchases
• Flashy and pretentious
Rolex Brand Mantra
Classic Designs, Timeless Status 1.17

18. Sources Of Equity
 Brand Awareness:
 One of the most recognized luxury brands in the world.
 Its crown logo
 Brand Image:
 Functional benefits: quality, craftsmanship, innovation
 Emotional benefits: Exclusive status symbol, self-
expressive to the user.
 Others: Ambassadors, Sports & Culture, and
Philanthropy,..
1.18

19. ROLEX CBBE PYRAMID Ultimate Social
Status
• Extremely loyal customer,
high repeat purchase rate.
• Much affiliation &
attachment
Resonance
• Part of elite society
Extremely Quality Exclusive & Self-
• The best watches in the rewarding
world Judgments Feelings • Feelings of success and
• Maximum quality, high social status
innovation and design • Special approval and
self-respect
Luxury Product Classic &
• Handcrafted timepiece of Achievement Image
premium materials Performance Imagery • Elite luxury image
• Perpetual self-winding through sports & cultural
technology ambassadors
• Official Crown logo • Status symbol
• Exceptional customer • Classic heritage
service
• Holds value well
Brand Salience
HIGH AWARENESS
• Most commonly recalled luxury watch in the world
• More depth and breath

20. Counterfeiting: Threat To Equity
 Counterfeiting Rolex watches has become a
sophisticated industry with sales exceeding $1.8
billion per year.
 Counterfeiting damage the company’s brand
equity and present a huge risk to the brand.
 Rolex sponsors the International Anti-
Counterfeiting Coalition and suing companies
that allow the sale of counterfeiting Rolexes.
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21. Section 3
RECOMMENDATIONS
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22. Five Main Areas Of
Opportunities
 Introduce new designs
 Connect with the female consumer
 Attack the online counterfeiting industry
 Understand how younger consumers relate to
luxury
 Communicate long-term value
1.22

23. Introduce New Designs
 Research shows a trend toward more jeweled
watches
 Only 7 of Rolex’s sub-brands feature diamond
watches => Rolex can increase the ratio of
jeweled watches.
 Consider partnering with well-known designers
with limited edition watch that freshens the
brand and creates a buzz.
1.23

24. Connect With Female Customer
 Women make the majority of
jewelry and watch purchases ><
Rolex’s image campaign mainly
emphasizes males.
 Rolex should consider more
female ambassadors of elite
status, sponsor female-attended
sport events increase the ratio
of jeweled watches (ice-skiing,
equestrian, golf, etc.)
 Only 6 of Rolex’s 22 sub-brands
geared specifically for women
=> Rolex can increase the ratio
of female-only watches
1.24

25. Attack The Online Counterfeit
Industry
 Due to spread of Internet, the problems of
counterfeiting is a bigger threat than ever before.
 Rolex may consider building an exclusive online
store or an exclusive distribution site.
1.25

26. Understand How Younger
Consumers Relate To Luxury
 How will prestige be
defined in the 21st century?
 Will the same formula
“work” for the millennial
generation as they age and
move into the Rolex target
market?
 The current tastes of many
younger consumers who
are already in the market
for Rolex watches?
1.26

27. Communicate Long-term Value
 Rolex is an excellent
representation of the ultimate
social status.
 Rolex watches more durable,
resale value and timeless than
other luxury items such as
handbags, clothes, shoes.
 Communicate “heirloom”
quality
1.27

28. To summarize
Points of Parity Points of Difference
 Swiss watch maker  History and heritage
 Durable  Crown
 Fine materials  Exclusive Imagery
 Quality craftsmanship  Premium price
 Accurate  Innovation
 Attractive  Distribution
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29. THE END
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