Mark in Paris[Purist]
10488
I'm not sure about which accurate conclusion to choose...
Jan 12, 2015,14:45 PM
First, the independent watchmakers are a very heterogeneous world: from 10 watches (RogerSmith), Voutilainen (around 40), DeBethune or MB&F (from 150 to 350 ?), FPJ (below 1000) to 3000 watches a year (RichardMille) ?....
And hence very mixed Ebit figures etc ....
Greubel Forsey is flying at a very very high price level, a level which can't be compared to any other brand (starting at around T€.300 with 20% VAT for instance in France).
At each level of price there are several types of (more or less) wealthy collectors, especially as we don't get to look for independent watches very easily (i.e. after only having traveling for a while into the watchmaking world).
It is not because there is a recession or a slow down in developped countries that this specific market suffers as the "T€.1 to T€.20" market does. The change rate in Russia can be widely compensated by the USD strenghening too.
I wonder what is the customer statistical panel for each indepenent watchmaker considering purchase power, but I think they are still ok even during these curbing periods.
I don't say I'm sure about what to think (who really has the right figures about brands' true health) but I think the conclusion may be less obvious than what it looks like fromwhat we know of more standard luxury products.
Cheers, Mark
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Times are not easy...
By: DonCorson : January 8th, 2015-13:15
Times are not easy for anyone without a big name and a big marketing budget... i.e. all the independents. Whereby G&F is not one of the companies without a solid financial foundation being a part of Richement as they are. But maybe they have pushed th...
Cut backs from the Chinese
By: tom2517 : January 9th, 2015-08:21
probably made a huge difference. My dealer in Taiwan told me last year was very tough, the swarm of Chinese buyers has died out dramatically due to China's cracking down on corruption.
Maybe.....
By: nwk00 : January 10th, 2015-06:45
Maybe they should expand their target market like making smaller watches? please please please please please
A problem compounded
By: chintu : January 11th, 2015-11:13
Multiple Factors have compounded the problem 1. Oil prices have hit disastrous levels. Liquidity strains are evident and curtailed spending on the luxury items is inevitable . 2. China is spending lesser and importing less oil + Chinese austerity measures...
I'm not sure about which accurate conclusion to choose...
By: Mark in Paris : January 12th, 2015-14:45
First, the independent watchmakers are a very heterogeneous world: from 10 watches (RogerSmith), Voutilainen (around 40), DeBethune or MB&F (from 150 to 350 ?), FPJ (below 1000) to 3000 watches a year (RichardMille) ?.... And hence very mixed Ebit fig...
I am not sure what is the actual problem.
By: lhk1 : January 13th, 2015-04:12
But one thing I am very sure is that the customers are buying much less watches now. The situation can only be worsen. Watch retailers are complaining of low sale in my region. I believe the honeymoon period has ended for watch industry and the nightmare ...
just wondering ....
By: bobi22 : January 15th, 2015-07:02
what will happen to the watch industry in 2015 as the Swiss National Bank has removed the peg to the Euro. Small companies will be in big difficulty going forward I guess.