Add

Luxury watchmakers’ strategic approach to key markets in 2016

Three luxury watch industry leaders have shared with HH Journal their strategic insights on their key global markets in 2016.

Philippe Léopold-Metzger, CEO Piaget

China

We have two objectives in China: one is to consolidate our network, in particular our retail network, and the other is to significantly develop jewellery sales. We are also working hard to capitalize on spending by mainland Chinese tourists worldwide. This year’s opening of two flagships, one on Rue de la Paix in Paris and one on Via Verri in Milan, is clearly part of this strategy. Beyond China, Asia has other territories with strong potential, such as South Korea, Thailand, and South-East Asia in general.

Middle East

We are increasing investments in the Middle East to regain awareness in what is historically a strong region for Piaget. We hosted a major VIP event last November and are a main sponsor of this month’s Art Dubai.

Russia

Luxury brands do good business in Russia provided prices are right, and like any other brand we have to adjust our prices regularly. Increasingly, Russians are buying locally.

North America/USA

There is real potential to grow our market share in the United States. We have two store openings planned for the next three months, in Toronto and Houston. We’re also developing products that we are confident will appeal to this market.

Europe

A long-term strategy must focus on the “Big Six” of France, Italy, Switzerland, UK, Spain and Germany. Switzerland remains the market where tourists, particularly from Asia, are most inclined to buy Swiss watches.

Marc-Pierre Gaudreault, COO Parmigiani Fleurier

China

We have two objectives in China: one is to consolidate our network, in particular our retail network, and the other is to significantly develop jewellery sales. We are also working hard to capitalize on spending by mainland Chinese tourists worldwide. This year’s opening of two flagships, one on Rue de la Paix in Paris and one on Via Verri in Milan, is clearly part of this strategy. Beyond China, Asia has other territories with strong potential, such as South Korea, Thailand, and South-East Asia in general.

Middle East
We are increasing investments in the Middle East to regain awareness in what is historically a strong region for Piaget. We hosted a major VIP event last November and are a main sponsor of this month’s Art Dubai.

Russia
Luxury brands do good business in Russia provided prices are right, and like any other brand we have to adjust our prices regularly. Increasingly, Russians are buying locally.

North America/USA
There is real potential to grow our market share in the United States. We have two store openings planned for the next three months, in Toronto and Houston. We’re also developing products that we are confident will appeal to this market.

Europe
A long-term strategy must focus on the “Big Six” of France, Italy, Switzerland, UK, Spain and Germany. Switzerland remains the market where tourists, particularly from Asia, are most inclined to buy Swiss watches.

François-Henry Bennahmias, CEO Audemars Piguet

China

Our strategy to spread sales across the different global markets is beginning to bear fruit. Because we’ve been careful not to put all our eggs in one basket, we’re probably less exposed than others to China’s fluctuating market.

Middle East

Last year, Audemars Piguet recorded double-digit growth in the Middle East.

Russia

We’ve adapted to fluctuating exchange rates. Russian customers are increasingly inclined to buy locally.

North America/USA

For the past fifteen years, the US has been one of our two biggest markets. We’ve built our success on a simple, effective strategy of one customer at a time, one watch at a time.

Europe

Germany and the United Kingdom both have significant potential and opening stores there is a major part of our development strategy, which doesn’t mean we’re turning our back on the other European countries. Switzerland, France, Italy and Spain all have an important role to play.

 

Piaget Emperador 700P

Adapted from HH Journal

CPP-LUXURY iOS App