Monday, October 27, 2014

Chapter 14: Marketing Channels and retailing




    Cartier is a name synonymous with extravagance.  The maison prides itself on being an ultra- luxury, high end jewelry company that can only be bought through authorized Cartier dealers, Cartier boutiques, or from Cartier's website which is assessable from all over the world. The company uses exclusive distribution in order to maintain their image of high luxury and exclusivity. Cartier boutiques are specialty chain stores that are owned by Cartier SA  and are operate in over 125 countries. These boutiques offer a high level of service and customer assistance to assure the best possible in store experience, with employees who are trained to answer any client questions that may arise. Cartier boutiques around the world aren't standardized in terms of the collections that they have available in stores. However, the flagship locations, such as the one located on 653 5th ave in New York,  and on 13 Rue de la Paix in Paris, offer a wide assortment of jewelry pieces from all Cartier collections.
Interior design of the Cartier boutique located at the iconic location of 13 Rue de la Paix


   Cartier boutiques can be found in the world's most luxurious and elite neighborhoods such as Fifth Avenue in Manhattan, which is known as the avenue of designer, ultra-luxurious shopping, and  Paris' Rue de la Paix, which was considered the most expensive street in Paris and the heart of Parisian elegance, dating back to the late 1890s. Cartier can also be found in the heart of Monaco, which is home to the richest people in the world thanks to the tax less nature of the country, with property averaging at 23,500 euros per square meter, as well as inside the Paradise Island Resort in Bahamas, among many other locations with a concentrated amount of capitalistic and upper middle class population.


Cartier boutique in Monaco
Cartier boutique in Atlantis resort on Paradise Island
Cartier boutique on 5th Ave in Manhattan

     The elegant boutiques are strategically located in areas that are known for elegance, luxury, and extravagance. Cartier boutiques have a lavish and sophisticated setting, whether outside or inside of the boutique. Upon entering a Cartier boutique, the customer is enchanted by the royal treatment that they are greeted with. The atmosphere inside Cartier boutiques portrays a sense of timeless elegance, grace, and sophistication. Although the interior design slightly varies from location to location, the general atmosphere is the same in every Cartier boutique. Cartier boutiques have an elegant modern decor, with organized, neat, and near sterile display cases and employees that look well groomed,neat, and friendly, dressed in business casual attire. The employees at Cartier are truly able to answer almost any question the customer may have ranging from questions about the significance of the collection to those about what clarity each stone is without hesitation in a polite and friendly manner.
Interior of Cartier boutique in Cancun
Cartier interior in Singapore 
Cartier boutique interior in Lucerne, Switzerland

      Upon visiting Cartier's flagship store  located on Fifth Avenue in NYC,  the customer will have an unforgettable experience. The boutique is located in the heart of the luxurious shopping district on 52St and 5th Ave, close to the famous Rockefeller Center where the customers are greeted by a well dressed doorman who opens the door for them upon their arrival and departure from the boutique. The boutique itself is a large, well organized area that has beautiful furniture and displays with a modern and elegant touch.  The exterior of the store features displays of some of their most famous jewelry pieces, and in the winter time , The exterior of the store is decorated with huge red boxes, an exaggeration of those that the customer receives with the jewelry once purchased as well as a big red ribbon with a bow going across the building of the boutique. Cartier employees greet customers with a warm welcome and immediately offer to assist them. When taking jewelry pieces out of the display, Cartier employees pick up the jewelry wearing a glove, not their bare hands.  After showing the customer the piece they asked about, the employee  suggests items that would compliment the piece(s), without sounding pushy or forceful. The employees ask the customers what their budget is in order to help them find items that fit their budget needs. Due to that fact that this location is indeed a flagship boutique, it is better equipped with a full staff that can handle very high volumes of customers simultaneously then a smaller boutique would. During the holiday season, Cartier employs more people in order to meet the demand of the holiday season. The overall experience in this boutique leaves the customer feeling like they experience a piece of the the royal life, enchanting them and captivating their heart with the timeless elegance and extravagance that is Cartier.
Cartier's exterior design around Christmas (Old Bond Street)



Cartier's exterior design around Christmas time(5th Ave location)


Monday, October 20, 2014

Chapter 6: Consumer Decision Making

    Cartier is a high luxury company that generously allocates their resources to promote their company image,  product exclusivity, and increase their marketing efficiency.  The marketers at Cartier spend a great deal of time trying to properly understand the needs of their target market,  the capitalistic and upper middle class throughout the world. To understand the needs of the consumer, the marketer must first ask "What is the desired outcome of the consumer after purchasing our product?". In the case of the consumers of Cartier, one major driving factor influencing them to desire Cartier jewelry is to reinforce their social status amongst their peers. Throughout it's history, Cartier was a company known for elegance, luxury, and the highest standard of quality and customer service. The maison's rich history and prestigious reputation is what draws consumers to their jewelry, acting as an external stimulus on the consumers' decision.  

     To promote their company image and influence consumers to desire their jewelry, Cartier creates luxurious ads that appeal to the senses of consumers and strategically places them where there the  target consumer is likely to reach it, such as in the pages of the Wall Street Journal, Playbills for opening nights at The Metropolitan Opera, and even television commercials. Cartier's ads are dynamic, eye-catching, and extravagant creations designed to entice the viewer and captivate their heart, seducing them to enter the world of Cartier jewelry. These ads are designed to appeal to esteem needs, portraying a life of full of passion, elegance, luxury, success, and glamour making the viewer believe that is the lifestyle that comes with Carter.

This extravagant commercial for Cartier, made for the winter holidays, makes the viewer feel as if they are in a fairy tale filled with magic, suggesting the idea that Cartier jewelry is the source of holiday magic. 
This Cartier ad encourages feelings of romance and passionate love, choosing the romantic setting of Paris, overlooking the Eiffel Tower in the background 
This ad appeals to Russians as it incorporates the Russian winter and captures the beauty of it, making it highlight the luxurious Cartier pieces, resembling those adored by the Russian aristocracy making the viewer of this ad feel as if Cartier jewelry is what compliments the beauty of nature. However, this ad can also appeal to consumers worldwide that are celebrating the beauty of winter.



      Cartier loans exquisite jewelry pieces to celebrities that serve as aspirational references for the general public as well as for the upper class elites, to wear at Red Carpet events which further develops Cartier's image as a leading luxury jeweler and develops their idea of product exclusivity. Cartier's rich history of high profile clientele,their widely known reputation of excellence, and their satisfaction guarantee policy encourages buying confidence to consumers with feelings of dissonance. Cartier offers a lifetime policy on all of their jewelry as well as documentation to prove the authenticity of their products. 

Chinese model and actress Fan Bing Bing wearing Cartier at the closing ceremony of the 2010 Cannes Film Festival 


    As the spending power of the emerging upper middle class in various parts of the world such as China and India grows, so does their desire for a lavish, luxurious lifestyle and items of the highest quality. This growing want-got gap is encouraged by marketers through grand events such as the exhibition that took place in May 2004 in the Shanghai  Museum and grand opening events of new boutique locations. What draws many Chinese and Indian consumers to Cartier is the incorporation of their cultures into some of Cartier's jewelry pieces, such as the Tutti Frutti collection inspired by Indian culture and the Chinese Chimera jewelry inspired by Chinese culture, which dates back to the 1920s

Ad for a Cartier exhibition that took place in China, highlighting the companies ties to the Chinese culture

Monday, October 13, 2014

Chapter 5- Developing a Global Vision



  Cartier was founded in Paris, the heart of France, in 1847 by Louis-François Cartier. The jeweler quickly gained recognition due to his captivating ability to create unique, highly skillful, and extravagant jewelry pieces. Before long, Cartier entered the world arena, enticing the world's royalty and elite.The company has a long history of serving royalty, as well as stars and celebrities. Cartier SA, the originally family owned company, is now an enormous multinational organization headquartered in Paris which owns and operates more than 200 stores in 125 countries, with five flagship stores world-wide, in Paris on 13, Rue de la Paix, London on 175-177 New Bond Street, New York on 653 Fifth Avenue, Tokyo in Minami Aoyama, and Shanghai on Bund 18, 1st East ZhongShan Road.

   The maison began gaining global recognition in Paris around 1855 when the countess of Nieuwerkerke made her first purchase from Cartier. Due to the fact that her husband, the Count of Nieuwerkerke, had connections with Princess Mathilde, he became an intermediary between the Princess and Cartier. Before long, Cartier became a favorite of Princess Mathilde, the cousin of Napoleon III, whose patronage opened the door to Parisian society. 

The Count of Nieuwerkerke
Princess Mathilde Bonaparte wearing Cartier(left) and her Vanderbilt Rose Brooch(right)


   By 1874  Alfred Cartier took over the company from his father Louis Francois. His son Alfred Cartier and grandsons LouisPierre and Jacques, had great hopes and ambitions for Cartier. In 1899, Cartier opened its doors at 13 Rue de Paix, one of the most expensive streets in Paris which was considered the heart of Parisian elegance and luxury, which offered everything an elegant wealthy woman may wish to purchase. This location attracted famous figures from all over the world. Although Cartier started acquiring attention all over the world, LouisPierre and Jacques were the ones responsible for establishing the brand name worldwide. 
The three brother had a global vision for Cartier, setting out to build an empire based in Paris, with customers worldwide. 
Alfred, Louis, Pierre, and Jacques Cartier


     As the maison became more popular, Cartier expanded their empire and entered the global market by means of direct investment, opening a London branch in 1902, New York branch in 1909, and a branch in St.Petersburg by 1908. Alfred Cartier entrusted his three sons to manage the Maison de Cartier. The eldest son Louis directed the shop in Paris while Alfred Cartier’s younger sons Pierre and Jacque left on voyages to explore the world. They later established themselves in other areas, Pierre in New York, and Jacques in London. The Cartier boutiques attracted the richest elites as well as celebrities and royalty, establishing a name for the maison in the global arena.


    In 1904 Pierre Cartier made his first trip to Russia. While Cartier’s first contacts with imperial Russia can be traced back to 1860, the jeweller only won over the country’s aristocracy after Pierre’s first visits to Moscow and St Petersburg in 1904 and 1905. Prince Saltikov, Cartier’s first Russian customer, purchased an emerald bracelet mounted on black-enamelled gold in 1886. Won over by Cartier, he established the jeweller’s reputation in the imperial court. Amongst Cartier's biggest admirers were Maria Feodorovna and Maria Pavlovna  who had the power to make or break someone's reputation. In 1907 Maria Feodorovna visited Rue de la Paix to see Cartier's most beautiful creations as well as to express her desire to see a branch opened in St. Petersburg. In 1907, Tsar Nicolas appointed Cartier as an official supplier to the Imperial court, and in 1908, Cartier opened a salesroom in St Petersburg.Pierre Cartier travelled to Russia several times and created ties with artisans from Saint Petersburg who became Cartier suppliers. 
Pierre Cartier in a carriage during one of this first trips to Russia
Maria Feodorovna wearing a Cartier tiara/necklace(above) around her neck

Grand Duchess Maria Pavlovna wearing a Cartier tiara




Before long Cartier's extravagance and dedication to excellence also got them the royal patronage of the courts of England, Greece, Spain, Portugal and Siam  Cartier became the British Royal Family’s jeweller and provided 27 crowns for coronations gaining the reputation as the “King of Jewellery” from King Edward VII.  Among Cartier's biggest clients were the Duke and Duchess of Windsor who ordered extravagant and lavishing pieces from the maison. 
For over 150 years the crowned heads of Europe and the elite around the world have adored the Cartier family’s creations. (Video montage of some of Cartier's most famous creations)
The Duchess of Windsor(left) and a Cartier brooch she owned(right) until it was auctioned off

The scroll tiara commisioned from Catier by King George the VI, 3 weeks before the coronation of Queen Elizabeth I in 1936. The tiara was then passed to their daughter Queen Elizabeth II who never wore it in public, but loaned it to sister Princess Margaret,(upper right picture). She also loaned it to her only daughter Anne (lower left)in her young married years. Queen ELizabeth II most recently loaned this tiara to Catherine Middleton for her wedding to her Grandson Prince William 


     Because of their huge economical potential, India and China are of growing interest to many multinational corporations with the highest growth rates and two of the world's largest populations. However Cartier's ties to China and India date back to the early 1900s. 
Chinese and Indian art were equally influential on Cartier artworks from the beginning of the 1910s. 


Jacques Cartier with Indian gemstone merchants, 1911
   Cartier's ties with India began with Jacques Cartier, a member of the Cartier family, visiting India in 1911 in pursuit of fine pearls. While embarked on his adventure, he was able to persuade a number of royal families to reset their jewels using Cartier designs. The Maharajahs were amazed by the Parisian jewelry and spent lavishly on Cartier pieces. The royalty also entrusted their stones to the jeweller so that they could be set in contemporary mounts, usually in platinum. The most memorable of the pieces is the enchanting ceremonial necklace created for Maharaja Bhupinder Singh of Patiala in 1928.This contact with India also inspired Cartier to design his magnificent Indian style pieces, incorporating Indian culture into the designs and color arrangements called the the Tutti Frutti style. Cartier also adopted ancient Indian gem-cutting techniques which further advanced the possibilities of the great jeweler. However, Cartier didn't enter the market in India until October 2008, when they opened their first boutique at the Emporio Mall in New Delhi, in partnership with Navratna Bharat Retail. In January of 2008, Patrick Normand gave an interview regarding Cartier's intentions in India, explaining the ties of the maison with the nation as well as explaining the difficulties that Cartier encountered while trying to set up their business in the country.
Cartier pieces part of the Tutti Frutti collection inspired by India
Maharaja Yadavindra Singh of Patiala wearing the world-renown Cartier designed "Patiala Necklace"
The Cartier Patiala Necklace





    Cartier's presence in China significantly exceeds that of India, with their first entrance into the Chinese market in 1992. Cartier became the pioneer in the international jewelry market in China.In 1998, it opened its first exclusive shop in mainland China on Wang Fu Jing Street in Beijing. By 2010, Cartier had 11 watch dealers and 58 exclusive shops in China. Its early entry into the Chinese market and its fast growth gave it a competitive advantage in competing with other international jewelry brands in China. To promote their presence in China, Cartier opened an exhibition of Cartier treasures in The Palace Museum in Beijing, China that went on from September 5 through November 22 of the year 2009. The exhibition showcased some of Cartier's most extravagant pieces, including a few highlighting the maison's connection to Chinese culture. 
Recent opening of Cartier's flagship store in Honk Kong 



Monday, October 6, 2014

Chapter 4- The Marketing Environment

  The constantly changing and evolving marketing environment creates new opportunities for Cartier to be able to market their exquisite jewelry in new innovative ways, targeting a large, and very diverse, demographic, attracting new customers while building upon the relationship with the customers that already exhibit great respect and loyalty to the maison. Cartier is able to attract the wealthiest customers, world-wide to their jewelry, intriguing them with the art of french jewelry making, while incorporating various cultures into their jewelry. Amongst one of the biggest cultural inspirations for the maison is Chinese culture.
Dating back to the early 1900s, the early artists of Cartier were inspired by the art work and rich history of China, Cartier started incorporating Chinese stylistic designs into their jewelry, especially the Chinese dragon which is considered a sign of longevity and success.
''The mythical founder of Chinese civilization and a symbol of longevity and success, the dragon is a chimera, a fantastic amalgam of several animals in one body. Fascinated by their magic and strange beauty, Cartier regularly created Chinese Chimera jewelry from 1920 onwards. He did not copy traditional jewelry and ornaments but immersed himself in the spirit of ancient China to create original pieces, often using coral and precious stones to produce marvelous color combinations.'' (Cartier)
China currently has the largest population in the world, with over 1.34 billion people. Due to the recent boom in the Chinese economy triggered by an industrial boom, the middle and upper class is rapidly expanding, providing them with more resources to spend on leisure items such as jewelry. The Chinese tend to be very tradition and have respect for their culture. With their Chinese inspired collection, Cartier's reaches out to the culturally enriched, wealthy Chinese, enticing them to join the world of Cartier.
"Pasha de Cartier Skeleton Dragon Motif watch, strap set with baguette-cut diamonds; limited edition of 10 watches"(Lancaster)