02.11.09 / Opinions, Watch Industry News / Author: admin / Comments: (0)
Tags: Bubble Tag, Fake watches, Parmigiani Fleurier
According to the latest issue of Haute Horlogerie Magazine, Parmigiani Fleurier have introduced a new authentication system to generate a unique number for each of its new watch, so customers can verify if their watches are genuine.
With more and more advanced watchmaking technology mastered by Chinese watch manufacturers, fake watches feature better and better quality and can nearly pass for an authentic ones sometimes. The Swiss watchmakers are feeling the pressure to fight back to such replica watches.
Parmigiani, a Swiss watchmaker with annual production of around 5,000 units and half its revenues generated by watches retailing at more than CHF 100,000, came up with an idea to partnership with French secutiry solution provider Prooftag to certify the authenticity and origin of its timepieces with Prooftag’s patented Bubble Tag technology.
The Bubble Tag technology uses a physical reaction to generate air bubbles randomly to form a unique 3D pattern, each represeing a fingerpreint code. With 1080 possible combinations, the chances of forming the same pattern twice are next to impossible. So watches with Bubble Tag can be regarded as authentic for sure.
I really doubt this authentication system will have impact on the sales volume of replica watches. As it is well-known that replica watches mainly catered to those with weaker purchase power who cannot afford an authentic Swiss watch. These people, usually ordering the replica watches online, know very well that the watches they are buying are just replicas. It is common sense that it is not possible to get such a authentic watch for so little cost. That is why they buy replica watches. And most honest replica watches sellers will expressly inform their customers that their watches are only replicas. Put simply, most replica watches consumers would not care if their watches have those fancy bubbles.
But these bubbles do have a positive effect to reveal those dishonest watch dealers who sell replica watches to their customers as authentic watches. Since the replica watches can pass for real ones sometimes, some mean dealers try to sell fake watches at the price of the genuine watches and made huge profits. Some dealers may accidently lost the authentic watches and try to fool their customers with replica watches to cover their lost. Now with this new authentication system, those rich customers who intend to buy authentic watches will be better protected.
In most of the times, the replica watch market and authentic watch market do not overlap with each other. The introduction of the new authentication system further diminish those dark areas that were overlapped before. It is good for consumers to know clearly what they are paying for. I wish more and more Swiss watchmaker apply this or similar technology. But as for stopping people from buying replica watches, I think it is just as weak as a bubble.
27.10.09 / Watch Industry News / Author: admin / Comments: (0)
Tags: Panerai watches
Last month, we have discussed the design trend about watch size, and implied that the watch size may be downsizing in the future. Now we have one example since the Italian watchmaker Panerai is going to release a new model of Radiomir watch in reduced size in 2010.
Panerai has a long tradition of making large watches for being the watch suppliers of the Italian Navy and some other Mediterranean Navies. Back to 1938, Panerai’s Radiomir watch already had a large diameter of 47 mm, while most of other men’s watches were only 35-mm wide or even smaller by that time.
However, the Italian watch company announced recently they would introduce a 42-mm wide Radiomir watch in January 2010 (see the left picture).
Radiomir is a time-honored watch line in Panerai’s catalog. The new cushion-shaped watch is in pink gold with a brown dial and a screw crown. It maintains substantially the 
aesthetic characteristics as their predecessors with a perpetually moving small seconds hand in the subdial at 9 o’clock. I think it can be regarded as a simplified and downsized version of the the Radiomir Tourbillon GMT model, which is released this year (see the right picture).
Will this be a signal that the big watchmakers start to reduce the size of their watches? More than 10 years ago, Panerai introduced their 44-mm wide Luminors to market and created the craze of oversized watches. It seems now Panerai is going to take the lead again.
12.09.09 / Watch Industry News / Author: admin / Comments: (0)
Tags: Hong Kong Watch and Clock Fair
The world’s largest watch expo, the 28th Hong Kong Watch and Clock Fair turns out to be a little sluggish as some statistics and interview show.
At the watch fair
The fair closed on September 6th. Despite attracting more than 700 exhibitors from 17 countries and regions, actually the numbers of the exhibitors decreased by 5% compared with last year. The decrease of the exhibitors shows that the watch makers is still worried about the prospect of the market.
For those who took part in the exhibitions as exhibitors, many said their turnover at the fair had fallen by 20 to 30 per cent. According to many exhibitors, buyers became more cautious. “In the past, the buyers usually placed orders quickly soon after they check the watch. But this year, they take several times longer to confirm the orders” One salesman told the reporter.
“People don’t want to spend more on watches these days. But I think luxury brands should have been affected more than the cheaper watches,” said Jitendra Chawla from Sprinto Time, an exhibitor at the fair.
The fair is a weatherglass in the industry. This most important purchasing event in the industry attracts buyers from all over the globe. But exhibitors said many buyers have opted to cautiously window shop this year instead. It seems the sector is still far from recovered, although the global economic crisis has been lasted for almost one year, since the collapse of investment bank Lehman Brothers on Sept. 15, 2008.
“I try to get the cheaper version to accommodate my clients’ budget and all that,” commented one buyer, who was at the fair.
Despite the current sluggish business, many believed that the worst time has passed. Some expect the business could turn around in the middle of 2010.
New Watch Design Trends
Where is the way out for the watch industries? What’s the watch design trends in the future?
Elise Tsui, Director of Commerce and Trade Division with the Federation of Hong Kong Watch Trades & Industries, recently talked about her opinions in an intervew. She said, watches has been evoled from sheer timing tools into personalized accessories. More and more people are demanding an individualized watch. So watches with strong style will be more and more popular. The popular watch will features precious stones and many decorative elements.
Some Hong Kong watch designers pointed out that there is not much changes in recent watch designs, but they will continue to combine the current manufacture techniques with different materials to creat brand new products.
Consumers will become more demanding and rational, Tsui said, so watch makers should concentrate more on building the watch function, brand value and brand culture.
I think this is also ture for replica watch makers. The global economic crisis really gives replica watch a great development opportunities. Replica watch maker should keep up with the development of new techniques and keep on improving their product quality. Only if they can create high quality replica watches with exactly the same look as the original watches, will people be willing to buy replica watches.
Related Post: World’s Largest Watch and Clock Expo Opened in Hong Kong
11.09.09 / Watch Industry News / Author: admin / Comments: (2)
Tags: Baume Mercier watches, Bvlgari watches, Hublot watches, Piaget watches, Vacheron Constanin watches
Things change. Enterprises should adapt to the changing environment to survive. So do the high-end watch makers.
Although the Swiss watch industry does see some recovering sign recently that the watch exports is slowly recovering, no one can tell if they can survive when this unprecedented global economic crisis finally ends. Obviously the luxury watchmakers are suffering hunger.
How will they survive? Some luxury watchmakers show their answers by offering a few entry level watches this season.
Baume & Mercier
The Swiss watch company Baume & Mercier was founded in 1830, their watches are marked by personality, elegance and constant renewal in its heritage. A Baume & Mercier watch typically sells around $3,100, but both the Hampton Classic 8810 and 8812 with scrach resistant sapphire crystal and quartz movement are sold at $1,390, which is less than the half of the average price.
Bvlgari
The Italian jeweler and luxury goods retailer Bvlgari has a long history dates back to 1884. Bulgari watches combine timeless beauty of Roman and Greek art while showing a distinctive contemporary touch. Usually Bvlgari watches retail from $3250 to $150,000. But their Carbon Gold 125th Anniversary Watch with 18kt white gold and carbon case are only priced at $1450.
Hublot
Hublot is a young Swiss watch brand created in 1980. But their watches are highly sought-after soon after its foundation for their sobriety, comfort and the characteristic shape. Hublot watches generally range between $10,000 to $20,000. Some even over million dollars. But the Hublot Big Bang Classic Zirconium with a face with interior anti-reflection treatment retails for only $8,000.
Vacheron Constantin
Vacheron Constantin is considered to be the oldest watchmaker in the world. Most of Vacheron Constantin watches are sold between $20,000 and $30,000. But the Vacheron Constantin Overseas Automactic with Titanium Bezel is priced at only $9,800. And it’s water resistant up to 150 meters.
Piaget
The Swiss watch brand Piaget has been cultivating the spirit of luxury by cultivating creativity, attention to detail, as well as totally integrated watchmaking and jewellery know-how. Piaget watches typically sells from $20,000 and up, but the Piaget Polo FortyFive Standard Automatic retails for only $11,900. It’s the first Piaget watch made from titanium and it operates at 21,600 vibrations per hours, which is a feature usually found in much more expensive watches.
Whether these entry level watches will be popular are still not known. But in my opinion, the rich won’t be interested in such watches. For most of the people with average salary, the prices of these so called entry level watches are still quite high and unattractive. For them, replica watches are better alternatives if they want to wear brand name watches. So it appears that the prospect of these entry level watches are not looking good. We’ll see it.
05.09.09 / Watch Industry News / Author: admin / Comments: (0)
Tags: Movado watches
The high-end watch maker Movado Group Inc.’s (MOV) unexpectedly stayed in the black in its fiscal second-quarter, though profit plunged 94%, as it cut operating expenses by 31% in the most recent period.
For the second quarter, Movado earned $528,000, or 2 cents a share, compared with $8.1 million, or 32 cents, a year ago. Last year, the company’s revenue tanked 31% to $89.7 million from $129.7 million. Despite of facing a very weak market as affluent customers pull back on luxury spending, Movado maintained its full-year outlook of about 50 cents a share.
Chief Operating Officer Rick Cote said cost cuts remain on track for annualized savings between $50 million and $60 million, adding the company will continue to reduce inventory.
Last month Movado’s rival Fossil also announced lower second-quarter profit, but beat Wall Street’s forecast and raised its full-year guidance.
In addition to Movado, the Movado Group, Inc. also markets other watch brands such as Concord, Coach, Ebel, Hugo Boss, Tommy Hilfiger, Juicy Couture, Lacoste Watches and RALCO.
