Watchmakers from renowned brands such as Bulgari and Breitling have come together in Geneva this week for a one-of-a-kind industry exhibition known as “Geneva Watch Days”. This event has been put together in light of the cancellations of the traditional Swiss watch fairs in Basel and Geneva earlier this year due to the COVID-19 pandemic.
The primary goal of “Geneva Watch Days” is to reinvigorate the demand for luxury watches in the midst of the ongoing global crisis. Unlike the typical large-scale exhibitions, this event is taking place in various luxurious hotels across Geneva. Jean-Christophe Babin, the CEO of Bulgari, introduced this new format as a means to reconnect with customers while strictly adhering to hygiene protocols.
Babin emphasized the significance of face-to-face interactions with customers, expressing optimism that the event will not only help their brand gain market share but also send a strong message of their commitment to growth amidst adversity. The event is expected to draw around 60 retailers, as well as 100 journalists, bloggers, and influencers.
The luxury watch industry has experienced a notable decrease in demand during the pandemic, especially from Chinese consumers who play a substantial role in the market. While some recovery has been observed in markets like South Korea and mainland China, global demand has yet to return to pre-pandemic levels. Georges Kern, the CEO of Breitling, noted that certain markets were displaying signs of transitioning to a “new normal” with a gradual rebound in sales.
Despite the industry challenges, some brands like H.Moser & Cie have managed to report only a minor 2% decline in sales thus far this year, offering hopeful indicators of a demand upswing. However, concerns regarding supplier stability have been raised, with the possibility of some suppliers facing closure due to major brands reducing their orders.
To counter these difficulties, companies such as Bulgari are contemplating strategic investments in key suppliers, particularly within the jewelry segment. The ever-changing quarantine regulations in Europe have also impacted the event, resulting in last-minute cancellations from visitors traveling from countries with new quarantine mandates.
In light of the uncertainties and obstacles confronting the luxury watch industry, the “Geneva Watch Days” event stands as a testament to the resilience and determination of watchmakers and industry leaders to adapt and thrive in a swiftly evolving environment. These watchmakers are charting new courses to engage with customers and foster recovery amidst unparalleled circumstances.
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