Why are fashion brands so interested in watches? The main safe haven of a huge, durable but very traditionalist market

A few days ago, Gucci announced the launch of a new line of fine watchmaking whose pieces, all produced in Switzerland, will be presented in an ad hoc store that will soon open in Place Vendôme. In the same days both Hermès and Louis Vuitton presented new watch models, respectively a leather-free sports model and a jewel watch with an alligator leather strap named Tambour Carpe Diem. 

Meanwhile, Cartier has launched an online platform called Watchmaking Encounters on which to virtually present its watch collections while, last month, the Swatch Group reported a "very strong" sales growth on the recovering American market and, already in January, LVMH digitally held the second edition of Watch Week 2021 dedicated to the new Bulgari line-ups, Hublot and Zenith. Many of these presentations took place in the context of the Watches & Wonders Geneva 2021 fair, which is held digitally these days – yet they suggest renewed interest from fashion brands in the Swiss watch industry. 

A resistant market

A further challenge will be customer care, so it will be necessary to hire entire teams of watchmakers, and also the retail experience that, as we have seen in the case of the new Cartier e-shop, will have to move through particularly sophisticated e-commerce channels that win the prejudices of a traditionalist clientele and also include the option of reselling, an area that a Deloitte report has defined as the "next big thing". Especially the digital one is a hot topic for a very traditionalist industry but, as the Deloitte Swiss Watch Industry Study 2020 says:

Sales of high-end watches take place primarily in a physical retail location, something that has not been possible during the lockdown and there are still capacity restrictions in a number of countries. Normally seen as traditional, the watch industry must now innovate in the areas of digitalisation, e-commerce and digital engagement along the entire customer journey. This is why over 60% of brands in our survey are prioritising the development and strengthening of their omnichannel strategy.