Louis Vuitton 2007 Annual Report Download - page 45

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In 2007, for the fourth consecutive year, the
dynamic performance of the LVMH watch and
jewelry brands surpassed that of competing
companies. The organic revenue growth of 19%
recorded by the business group was higher than
that of the Swiss watch market and higher than
the published average increase of the princi-
pal players in the jewelry segment.
While each brand focused its investments on
the most profitable and growing markets,
overall growth remained balanced among the
principal geographic regions and between
mature and emerging markets. Thus, in 2007,
ambitious objectives were achieved in China,
India, the Middle East and Russia, while
market share was gained in Europe, the United
States and Japan.
In a context of unfavorable currency condi-
tions, special attention was given to price
increases and the global harmonization of
prices, to targeting and to the effectiveness of
advertising investments, and to productivity,
both in the companies and in the distribution
subsidiaries. This rigorous management, orches-
trated by experienced and motivated teams,
generated 76% growth in profit from recurring
operations, even though it had already nearly
quadrupled in 2006.
TAG Heuer accelerates
its profitable growth
2007 was another record year for TAG Heuer,
which continued its strategy of up market
positioning and recorded strong, double-digit
growth in all its markets.
The star brand, a dynamic leader in the pres-
tige watch and sports chronograph segment,
expanded its icon lines Aquaracer, Link and
Carrera with models for both men and
Thurman, Kimi Raïkkönen, the new world
Formula 1 racing champion, Lewis Hamilton,
a young F1 rising star, and Shah Rukh Khan,
the most famous Indian actor.
The brand modernized the architectural
concept of its boutiques and worked to expand
its network. In 2007, new franchised stores
were also opened in Hong Kong, China, Viet-
nam, Malaysia, Singapore, Bahrain and South
Africa. In other markets, TAG Heuer expan-
ded its presence in the major department stores
and with the leading multi-brand retailers.
women, and launched two new watch inno-
vations: the calibre S, an electromechanical
movement now present on certain models in
the Link and Aquaracer lines, and Grand
Carrera, a new line of exclusively automatic
watches and chronographs.
The TAG Heuer communications campaign is
supported by a team that is unique in the
world, composed of ambassadors distinguished
by their outstanding performance and extra-
ordinary personalities. They include Tiger
Woods, Maria Sharapova, Brad Pitt, Uma
A world
champion
ambassador
Kimi Raïkkönen, who captured second place
in 2003 and 2005, offered us in 2007
the most gripping and heart-stopping F1
championship in decades. From Melbourne,
"Ice Man" never shifted his route to Brazil,
where he was not one of the favorites,
and won the championship on the last lap
of the season! A TAG Heuer ambassador
since 2002, he sports the new TAG Heuer
Formula1 chronograph in 2007.
Future
watch icon
With sleek and sporty shapes,
the original design of the Grand Carrera
collection is inspired directly from
the world of auto racing so dear
to TAG Heuer. Its technical innovations
especially include the unusual display
mode for secondary functions, which
offers optimum readability.
2007 LVMH
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