Grand Seiko — Ambition and Pride
*Image: © Seiko Corporation
The US dollar continued to wilt this week. It hit a seventh straight record low against the euro today, a 31-year low against the Canadian dollar, and it’s weakening against the Japanese yen. That may be good news for multinational corporations, or for Wall Street-types, but for US consumers the dollar buys less with each passing day. If you live in the States, unless you earn CEO bucks, it’s not the best time to buy that expensive new Grand Seiko from Japan.
US Dollar Verses Euro
But if you live in Zurich or Toronto, or in Tokyo — hey, that’s another story. Knock yourself out!
Retailers in the US are chasing fading greenbacks. In Japan, companies are hunting the “grey yen.” Japanese approaching retirement age, like the businessman in the pinstripe suit pictured above, are flush with cash. Seiko wants them to buy top-tier watches that will last the rest of their lives.
This fall, Seiko launched a new promotion for its top-of-the-line Grand Seiko watches called “Grand Seiko Presents.” Nothing tugs at the heart string like music from our youth. Seiko is sponsoring a series of musical events, aimed at Japanese retirees, it hopes will untie purse strings.
The first will take place next Tuesday, October 4, at Hamari Kyu Asahi Hall in Tokyo. Jazz pianist Norio Maeda will perform music from West Side Story. The musical debuted on Broadway in 1957. Hit songs written by American master composer Leonard Bernstein, such as Maria and America, resonate with Japanese of the generation Grand Seiko ads target.
The show is billed as the first solo performance of the musical, and will not feature dancers or actors.
Maeda played music on a popular television show called Sound In S, from 1974–1981. Also sponsored by Seiko, it aired on one of Japan’s major television networks, the Tokyo Broadcasting System. During Maeda’s performance on Tuesday, he’ll play a square Steinway piano made in 1871. For more information in Japanese, click here.
In its second program in the Grand Seiko Presents series, Seiko will sponsor a radio program on October 7 hosted by musical composer, arranger, and producer Masataka Matsutoya. It will air on Tokyo FM (broadcast from Tokyo Tower) from 9 to 9:55 p.m., and will explore beautiful musical compositions that reflect Grand Seiko’s aesthetic. For more information in Japanese, click here.
Masataka Matsutoya
Among artists Matsutoya produces is his wife, J-Pop idol Yumi Matsutoya. Known to fans as Yuming, she’s released more than 40 albums in a career that spans almost 35 years. Her first single debuted in 1973, so her music is intimate to Japanese approaching retirement age. For information on her, click here.
As you can see by Seiko marketing campaigns, including the ad featuring the older businessman in a pin striped suit; the upcoming concert by Maeda featuring the music from West Side Story, and the radio program hosted by Matsutoya, both sponsored by Grand Seiko — it’s elder Japanese with the powerful grey yen Seiko is after with its Grand Seiko line.
No matter how old you are, if you live in Europe, or work in Japan, with your strong currency in hand it’s a great time to buy your new Grand Seiko. For those of us living in the US — well, at least our stale clams still buy a dependable Seiko 5.
*Editor’s note — the caption in the Grand Seiko ad reads:
Ambitious in your heart
Pride on your wrist
For more on the grey yen, a story by Reuters is available if you click here.
###
September 29th, 2007 at 5:35 pm
Google is still listing a conversion rate of 115 yen to dollar. Is this worse than normal?
September 29th, 2007 at 11:35 pm
Hi OL,
The yen was at 122 to the dollar in July, so the decline in the dollar’s value against the yen is real. The dollar is not at historic lows against the yen — in ‘05 the yen nearly strengthened to 100 to 1; in the late ’90s I remember the yen was, for a short time, under 90 against the dollar! I believe Washington and Tokyo like the exchange rate around 120 to 1, so 115 isn’t too bad. But the trend is downward.
It’s troubling for US consumers to see the greenback weaken against the world’s major currencies. The big fear is this is just the beginning, but nobody knows for sure what’s gonna happen next . . .
You can read more about dollar-yen concerns here.
Regards,
Bryan
September 30th, 2007 at 11:08 am
A bit more on this.
September 30th, 2007 at 12:33 pm
The dollar has not dropped as much against the yen as it has against the euro (or the Swiss franc). Since this forum isn’t called GMT+1, I don’t think those of us holding US dollars have much to be concerned about (yet). 115 yen to the dollar is only 4% lower than 120 yen to the dollar. In terms of a buying decision, this drop increases the cost of a $2400 watch by $100. Not great news, but hardly a big enough drop to put your coveted Grand Seiko out of reach.
September 30th, 2007 at 1:05 pm
Hi riskaverse,
I think there are a couple ways to look at it.
1) On the one hand, I agree with you. Anyone who can afford a Grand Seiko isn’t likely to be too concerned about the watch costing $100 more now than it did a couple months ago.
2) On the other, I’m sure those with substantial holdings of Japanese yen won’t sneeze at that 4% you mentioned. Let’s see what happens when September’s job numbers come out this week.
Actually, I’m more interested in marketing than in markets. Although the theme of this article is the falling dollar and the possibility of a US economic recession, the substance is information about how Grand Seikos are marketed in Japan. Every good story needs a hook, and a historical moment like the dollar’s current woes makes for a topical angle.
Thanks for your comments.
Regards,
Bryan
March 13th, 2008 at 8:49 pm
[…] For more, click here. […]