WatchPro – August 2019

8

FRONT / NEWS REVIEW

WATCHPRO / AUGUST 2019 / watchpro.com

U

ncompromising

action against

gray market

dealers, especially

in Europe, the Middle East,

Eastern Europe and South

America has impacted sales

JOUIFlSTUIBMGPGUIFZFBSGPS

Swatch Group but is expected

to lead to improved growth

in its biggest markets, the

company said in a trading

update in July.

Sales dipped by 3.7% to

CHF 4.1 billion at constant

exchange rates (4.4% adjusted

GPSDVSSFODZWBSJBODF

XIJMF

OFUQSPlUGFMMUP$)'

million.

However, shares rose by

POUIFEBZBTJOWFTUPST

UPPLFODPVSBHFNFOUGSPN

UIFFGGPSUTUPDVSCHSFZ

market activity. The group has

been taking a zero tolerance

approach with authorized

dealers dumping unsold

inventory that then appears at

considerable discounts on the

secondary market.

It has chosen to restrict

supply or close accounts as

its major weapon against gray

marketeers. Faced with the

TBNFJTTVFBGFXZFBSTBHP



Richemont instead chose to

buy back unsold stock to the

UVOFPGBCPVUIBMGBCJMMJPO

euros.

Future growth is expected

BT4XBUDI(SPVQTCFTU

BVUIPSJ[FEEFBMFSTUBLFIFBSUJG

price erosion on the secondary

market can be tamed.

Protests in Hong Kong, the

largest market in the world

"DSPXEGVOEJOH

DBNQBJHOGPS4XJTT'SFODI

watch company Klokers

SBJTFEÌ

GPSJUT,MPL

1 travel time watch. Three

years later, the business was

CBDLPOUIFQMBUGPSNMPPLJOH

GPSBEWBODFEPSEFSTBOE

JOWFTUNFOUGPSJUT,MPL



EFTDSJCFEBTBTJOTQJSFE

customisable watch. This

UJNFUIFGPVOEFSTSBJTFEPWFS

€463,000.

5IFTFSFNBJOUXPPGUIF

NPTUTVDDFTTGVMDSPXEGVOEJOH

THIS MONTH IN THE WATCH INDUSTRY...

SWATCH GROUP RESULTS

RICHARD MILLE STORE OPENING

CHRONO24 BUYS PRE-OWNED EXPERT

WHAT MAKES WOMEN TICK?

08

09

10

11

SWATCH GROUP PURGE OF GRAY MARKET

TRADERS WELCOMED BY STAKEHOLDERS

QSPKFDUTPGBMMUJNFGPSBXBUDI

company, but that has not

been enough to save the

CROWDFUNDED KLOKERS CLOSES DOORS FOR GOOD

company, which stopped

USBEJOHBUUIFTUBSUPG+VMZ

“We are sincerely sorry to

JOGPSNZPVBCPVUUIFDFBTJOH

PGUIFBDUJWJUZBTPG+VMZOE



2019,” the company replied to

BOZFNBJMXFTFOUUPJU

Klokers managed to open

POMZBGFXBDDPVOUT

NBJOMZ

XJUISFUBJMFSTGPDVTFEPOOJDIF



creative, brands including the

.VTFVNPG.PEFSO"SUJO/FX

York.

There appears to be no

TVQQPSUJOQMBDFGPS,MPLFST

customers, merely a link to

BVTFSHVJEFh*GZPVBSFUIF

PXOFSPGBLMPLFSTBOEOFFE

JOGPSNBUJPOBCPVUZPVS,-0,



,-0,PS,-0,



QMFBTFSFGFSUPPVSJOTUSVDUJPOT

on https://klokers.cloud/

'JDIJFSTLMPLFST@HVJEFQEG

vUIF

company says.

“We would like to thank you

XBSNMZGPSZPVSTVQQPSUPWFS

UIFQBTUZFBSTBOEXJTIZPV

will enjoy wearing your watch

throughout many years,” it

TJHOTPGG

GPS4XJTTXBUDIFT

IBWFIJU

TBMFTGPSBMMUIFNBKPSHSPVQT

According to the Federation

PGUIF4XJTT8BUDI*OEVTUSZ



exports to Hong Kong

TMVNQFECZJO+VOF5IBU

made the United States the

biggest market in the world

GPSUIFlSTUUJNFBTFYQPSUTUP

UIBUUFSSJUPSZSPTFCZh4BMFT

in Hong Kong, an important

sales market with attractive

NBSHJOT

TVGGFSFEGSPNQPMJUJDBM

turbulence,” the Swatch Group

TBJEh5IJTSFTVMUFEJOBEPVCMF

digit decline in sales.”