'Our target group in India is same as global'

IN CONVERSATION/ Jean-Christophe Babin, president & CEO, Tag Heuer

With Indian consumers' growing purchasing power and appetence to sport the latest fashion accessory on their wrist, it comes as no surprise that a range of international luxury watch makers are making a beeline for the country.

Swiss luxury watch maker Tag Heuer, in its attempt to gain on the competition has launched a new timepiece, Calibre S, from its globally successful Link collection.

In a chat with Suvi Dogra, Jean-Christophe Babin, president and chief executive officer, Tag Heuer, speaks about the brand's experience in India and explains the reasons for its rapid growth in the country and the way ahead.

Tag Heuer is entering the sixth year since it was first launched in the Indian market. How has the journey been?

We have beaten our own expectations. We are way ahead of our long-term targets in India. We are not the leaders yet but we are already the number four luxury watch brand in India. I would say this is indeed an achievement for us at a time when many of our competitors had been in India for quite a while.

In India, we have achieved a growth rate of 60-70 per cent as against our global growth of 20-25 per cent. In a short span of five years, we have been quick in acquiring a good reputation with the Indian consumer.

And this relates to the commitment we made to India when we started in 2002 "" the same quality, the same pricing and the same service worldwide. The consumer, I think, is now rewarding us for our committment and consistent.

What will you define as the target group?

The target group in India is no different to our target audience worldwide. We are looking at the educated upscale business community, both men and women, in the age group right from mid-20s upto 50s.

People who have been to universities and are into interesting jobs, are open to the outside world and are receptive to a true innovative Swiss brand. And they see us as a brand combining both tradition and modernity.

We know that the Indian consumer pays attention to detail and refinement and at the end of the day values these qualities in a product and this is what we offer to the consumer.

Has the brand positioning altered the consumer outlook in India?

The positioning of the brand as sports and glamour aspect, which is well embodied in our brand ambassadors right from Sharukh Khan and Priyanka Chopra to Tiger Woods and Uma Thurman, is speaking to the Indian target consumer.

The fact that from Tag, you can get a product that is not only sophisticated, but also sporty and glamorous, is something that consumer is attracted to.

How do you intend to enhance the brand's presence in India?

We hope to expand the existing seven brand boutiques to 23 by the next year. By 2010, we will have 40-50 stand-alone boutiques and about 100 points of sale. It is very important to combine both the strategies.

The brand will also be made available in an additional six cities by next year, taking the total number to 20. With so many new malls coming up in all major cities, the name of the game is to identify the right partners to tie up with over the next year.

Tag Heuer has been associated with Formula One racing world over. With India scheduled to host its very own grand prix, what opportunity do you see from the event?

It is my dream that the first Indian Grand Prix is won by a driver wearing a Tag Heuer. So that when the trophy is awarded it can be said that it is the first tag Heuer watch to win the first Indian formula one race. We already have the top divers like Kimi Raikkonen and Lewis Hamilton racing for us, who can make this dream come true.

In terms of opportunity , the event can provide us a great opportunity in terms of branding and showcasing our products. In the past we have focused more on showcasing our sports-oriented brands like Carrera and Monaco at Formula One events world wide. It is also a good opportunity for our retailers to establish contacts with the customer.

The ladies luxury watch segment is growing at a fast pace. How is the distribultion for Tag Heuer?

All our men's ranges are extended to the women's wear segment as well. The designing of course varies to suit the wrist of a lady. 30 per cent of our assortment is dedicated to women.

In India, 25 per cent of our business is from the women's wear. While designing watches, we keep in mind a watch catering to the modern woman who has the dual roles of a working professional and a homemaker. And the watch should be a reflection of the true woman.