Swatch was originally designed to re-capture entry level market share lost by Swiss manufacturers during the aggressive extension of Japanese companies such as Seiko and Citizen in the 1960s and 1970s and to re-popularize classic watches at a time when digital watches had achieved broad popularity. The launch of the Swatch brand in 1983 marked by bold new styling, design, and marketing.
Conceived at the beginning as a standard timekeeper in plastic, Franz Sprecher, a marketing consultant hired by Thomas to give the project an outsider’s consideration, soon led the project into what it has become: a trendy line of watches with a full brand identity and marketing concept—instead of developing just another watch collection, which could have soon been matched by the competition.
Lebanese entrepreneur, Nicolas G. Hayek, who, with a group of Swiss investors, took over a majority shareholding of Swatch during 1985 in the then, between ASUAG and SSIH, newly consolidated group under the name Societe Suisse de Microelectronique et d’Horlogerie, or SMH, became Chairman of the board of directors and CEO in 1986 (who later significantly changed its name to Swatch Group), further masterminded its development to reach its now major worldwide Swiss watch brand status within the lower end of watch prices.
This combination of marketing and manufacturing expertise restored Switzerland as a major player in the world wristwatch market. Synthetic materials were used for the watch cases as well as a new ultra-sonic welding process and the assembly technology. The number of components was reduced from 91 or more to 51, with no loss of accuracy.
From the original cult plastic watches, Swatch has diversified its offerings considerably, and the company now sells more than a dozen different types of watches, including metal-bodied watches (the Irony series); diving watches (the Scuba series); thin and flat bodied watches (the Skin family); and even an Internet-connected watch that can download stock quotes, news headlines, weather reports, and other data (the Paparazzi series). Swatches have become fashionable objects, generating specialized models (the “Flik-Flak” for children) quartz chronographs, automatic and mechanical chronograph movements, and even some diamond-decorated Swatches. The company also produces watches with seasonal themes.
Swatch’s long-standing commitment to action sports also finds expression in its role as Title Sponsor of the Swatch Freeride World Tour for 2012-2014. The brand’s close association with these thrilling competitions (Freeride Snowboard and Skiing) began with the Verbier Xtreme event in 1996 and evolved into a partnership beginning with the launch of the Freeride World Tour in 2008.
Swatch and Beach Volleyball have a long history together, and the brand has built a worldwide reputation as a staunch supporter of the sport as it spread from its origins on the sandy beaches of Southern California to today’s purpose-built stadiums around the world. Since 2003, Swatch upped its support of the sport to a full-blown partnership with the FIVB, and in 2012 celebrates its tenth year as Title Sponsor of the FIVB Beach Volleyball SWATCH WORLD TOUR.
