For certain brands, growth isn't about selling more but selling better. Audemars Piguet was first to put a limit on production, successfully so. Now Roger Dubuis and Panerai are following suit.
Articles on the subject: Economy
Bucherer's newly-opened Gallery in Geneva is entirely focused on pre-owned watches. As well as buying and selling, this lounge space will host events aimed at renewing the purchasing experience for a new generation of watch enthusiasts, through a concept Bucherer plans to roll out to other locations.
A recovery had been expected in the fourth quarter, but watch industry exports in fact reported their steepest fall of the year in October. Their value was 16.4% lower against October 2015 at 1.7 billion francs. The variation over ten months now stands at -11.0%.
Executives from Cartier, Audemars Piguet and MB&F came to the 8th Forum de la Haute Horlogerie to explain their business model in what is currently a hostile environment for watchmakers. While each has distinct characteristics, they all share the virtue of keeping their brands in the black.
Sales and profits for the six-month period ended 30 September 2016 were significantly below the prior year’s level, reflecting the difficult global environment, the exceptional inventory buybacks and challenging comparative figures in the first half of the previous financial year.
The Nominations Committee and Board of Compagnie Financière Richemont SA met yesterday and, inter alia, considered succession planning issues. The Board considered the impact on the Group’s management structure of the impending retirement of key executives. It also considered the composition of the Board itself, recognising that rapidly changing technologies bring significant challenges to traditional business models.
According to the latest Bain & Co report, watches are the personal luxury goods that will most suffer this year. The segment is forecast to lose 8% compared with a 1% drop overall for a category worth a total €249 billion in 2016.