Obviously when the covid crisis first hit peoples priorities were simply food, medicines and staying home safe. But has this changed? Or have we reached a turning point for the luxury watch market?
Sales plunged as expected during the first months of the lockdown and virus pandemic, but now we see a slight upturn as the market falters back to its feet. Some luxury watch orders have returned, and when asked the customers say they want to treat themselves. Looking for the token feel better and ‘reward’ for themselves for staying home and sitting out the Corona lockdown crisis.
The market has to reset itself and think about what people want, and need. There is little concern for the leading top brands, who are well financed by luxury groups, but some of the independently owned watch makers and parts suppliers are still vulnerable.
The luxury watch shows ground to a halt and some brands, such as Breitling, organised hasty versions online.
Rolex is sticking to its guns and refusing to sell online others like Patek Philippe did for the first time allow their retails partners to sell via e-commerce. A forced digitalisation if you like, and not before time.
The groups behind Cartier, IWC, Paneriai and several others already are masters at online selling, birth trough they owns stores and marketplaces. This gives them a head start perhaps, with the others racing to find a way to deliver and keep up. They never realised for example they would be receiving orders via the likes of instagram, and had neither the way or the capacity to handle it. Now of course, instagram sales are not new, and those sat at home look for a variety of ways to find what they want.
Latest figures from Watches of Switzerland show sales up a fifth in recent weeks. Regional sales now outperforming London, where foot flow is still weak, missing the tourist and airport traffic.
We look forward to a return both to 'normal' and also to moving forward with an increased online and accessible presence from luxury brands.