Rolex and the Power of Story
March 30, 2021 | 3 Minute Read
Does a Rolex tell time better than a Timex?
It’s a question worth considering — for the price tag it would be a reasonable expectation that a Rolex would tell time approximately 250 times as accurately as a Timex. I could go to Target right now, and pick up a Timex watch for around $40. The average Rolex would run me around $10,000. And that’s just the average! And guess what? The truth is, a Timex tells time just as well as a Rolex (but you knew that already). So why would anyone buy a Rolex? Surely it isn’t because they need a device to tell them the time.
In a word? Story. People happily spend 250x more than necessary because of the power of story. The story they are telling themselves, and the story the branding has told about the watch. When you wear a Rolex, you are trying to externally display an internal quality. Be that confidence, attention to precision, ability to make decisions, power, or wealth. We want to be seen differently.
Brands often focus too much on the product or service they are selling, and forget their customer is buying into a story.
Rolex Doesn’t Sell Watches — They Sell Confidence
Rolex isn’t interested in selling you a watch. They are selling you a story you want to buy into. They are selling an idea. The intangible made tangible.
And it works. Rolex accounts for around 25% of the swiss watch market, and their sales in 2020 amounted to $8.5 Billion. Not bad, not bad at all.
When you’re building your brand, it’s essential to think about the story you are inviting your customers into. If it’s a compelling story, customers will pay whatever you ask them to. If you are inviting them into a boring story, you’ll fade into obscurity. Your products and services matter, but almost as much, is the story you are telling.
So, what kind of story are you telling? Is it one your customers want to be invited into?