Swatch Group to raise U.K. prices by 5 Percent
International Swiss watchmaking giant Swatch Group has confirmed that prices for at least six of its brands will increase by 5% in the UK according to a recent WatchPro news report. The price adjustment is due to take place starting March 1st, 2017, and follows the pound’s recent 15% loss in value against the Swiss franc. This is the first price increase we’ve seen since the Brexit decision in June of last year and it presents yet another unexpected economic development for an industry that seems to be increasingly fragile.
Swatch Group’s headquarters confirmed that “Omega, Longines, Rado, Tissot, Hamilton, and Certina will increase their prices by around 5% from March 1st.” While price hikes are typical for this industry, Swatch has managed to hold out a bit longer than its competitors. Just recently companies like Rolex along with LVMH and Richemont brands increased their own prices in response to the recent economic shift.
It’s true that, at face value, a 5% increase limited to a specific territory might not seem like something to be too concerned about. However, Swatch has made it clear that these adjustments are becoming necessary and their recent announcements last fall referencing price hikes for ETA movements serve as clear evidence that these adjustments may be coming more frequently.