We're getting a 'good supply' of Rolex, says Swiss watches executive
biz.crast.net
by Shawn Johnson
June 23, 2022
While fears of a halt in the global economy weighed on mainstream retail spending, the high-end watch industry is holding up.
The latest data from Switzerland shows that despite a sharp drop in the Chinese market, total Swiss watch exports climbed 14% to $2.1 billion in May, driven by strong growth in the US and Europe.
This sentiment is echoed by UK-based watch and jewelry retailer Watches of Switzerland (WSOG.L), which has recently been expanding into the US market. Watches from Switzerland is an authorized retailer for major watch brands such as Rolex, Omega, Cartier and TAG Heuer.
“We had a great end to our fiscal year … we were up 40% for the year,” the company’s CEO, David Hurley, said in an interview with Yahoo Finance. “In our last quarter, which ended at the end of April, we were up 48%; we have carried on that strong momentum in the current fiscal year.”
Watches from Switzerland Soho Showroom(Credit: Switzerland Group of Watches)
Hurley, who headed the retailer’s US business, says the biggest growth opportunity lies outside the state.
“When we compare [the U.S.] For other luxury groups or luxury products, we look for luxury leather goods [segment]The market in the US is about six times the size of the UK, [and] Luxury jewelry, almost five times. And luxury timepieces, about 2.9 times that,” Hurley says. “We still feel there is a lot of work to be done.”
Fortunately for watches from Switzerland, Hurley says the retailer is operating in a situation where demand exceeds supply for many goods. Hurley says this gives it some visibility into forecasting future performance, because it knows what the supply will be for the year, and will likely sell most of it.
Rolex Debate
LONDON, ENGLAND – MARCH 19: A tray of Rolex watches is seen on the dealer’s stand at the London Watch Show on March 19, 2022 in London, England. Billed as London’s largest watch show to date, the London Watch Show 2022 features display stands for luxury watch dealers, manufacturers and watch-lover lifestyle products. The event runs from March 18-20 at the Grosvenor House Hotel in Park Lane, London. (Photo by Leon Neal/Getty Images)
One watchmaker that dominates any discussion in the industry is Rolex. The giant in the Swiss watch world has been accused of withholding supply to drive demand, and the opaque nature of its dealer network has caused some frustration among watch collectors.
Rolex told Yahoo Finance in a statement last year that the company does not withdraw supplies and that maintaining quality was the main concern. Rolex said at the time, “Our current production cannot fully meet current demand, at least not without reducing the quality of our watches.”
Hurley echoed that sentiment from the dealer’s perspective. Of the Rolex craze, Hurley says, “For many years, it hasn’t been a post-COVID event, demand for Rolex has exceeded supply.” While this means a shortage in supply for dealers, Hurley of Watches in Switzerland states that they “continue to have a good supply of Rolex watches.”
The supplies are coming, though Hurley says its customers will still have to wait a bit and be patient. At the very least, they’ll at least be able to try on the performance model, he says.
And while the wait has disappointed some customers, Hurley is confident that the final payment will bring them back. ,[The display models] are great because it allows people to try on these timepieces; [and] We want to keep that dream alive so that people can have the watch they want,” Hurley says. “We’re in a very fortunate position that we get to make so many people very happy on a daily basis.” “
What Rolex fans are saying online, they’ve generally been waiting long enough to hear back from authorized dealers.
Watches from Switzerland is completing its fiscal first quarter at the end of the month. Shares of Watches of Switzerland Group (WSOG.L) in London are down nearly 45% to date.
biz.crast.net
by Shawn Johnson
June 23, 2022
The latest data from Switzerland shows that despite a sharp drop in the Chinese market, total Swiss watch exports climbed 14% to $2.1 billion in May, driven by strong growth in the US and Europe.
This sentiment is echoed by UK-based watch and jewelry retailer Watches of Switzerland (WSOG.L), which has recently been expanding into the US market. Watches from Switzerland is an authorized retailer for major watch brands such as Rolex, Omega, Cartier and TAG Heuer.
“We had a great end to our fiscal year … we were up 40% for the year,” the company’s CEO, David Hurley, said in an interview with Yahoo Finance. “In our last quarter, which ended at the end of April, we were up 48%; we have carried on that strong momentum in the current fiscal year.”
Watches from Switzerland Soho Showroom(Credit: Switzerland Group of Watches)
Hurley, who headed the retailer’s US business, says the biggest growth opportunity lies outside the state.
“When we compare [the U.S.] For other luxury groups or luxury products, we look for luxury leather goods [segment]The market in the US is about six times the size of the UK, [and] Luxury jewelry, almost five times. And luxury timepieces, about 2.9 times that,” Hurley says. “We still feel there is a lot of work to be done.”
Fortunately for watches from Switzerland, Hurley says the retailer is operating in a situation where demand exceeds supply for many goods. Hurley says this gives it some visibility into forecasting future performance, because it knows what the supply will be for the year, and will likely sell most of it.
Rolex Debate
LONDON, ENGLAND – MARCH 19: A tray of Rolex watches is seen on the dealer’s stand at the London Watch Show on March 19, 2022 in London, England. Billed as London’s largest watch show to date, the London Watch Show 2022 features display stands for luxury watch dealers, manufacturers and watch-lover lifestyle products. The event runs from March 18-20 at the Grosvenor House Hotel in Park Lane, London. (Photo by Leon Neal/Getty Images)
One watchmaker that dominates any discussion in the industry is Rolex. The giant in the Swiss watch world has been accused of withholding supply to drive demand, and the opaque nature of its dealer network has caused some frustration among watch collectors.
Rolex told Yahoo Finance in a statement last year that the company does not withdraw supplies and that maintaining quality was the main concern. Rolex said at the time, “Our current production cannot fully meet current demand, at least not without reducing the quality of our watches.”
Hurley echoed that sentiment from the dealer’s perspective. Of the Rolex craze, Hurley says, “For many years, it hasn’t been a post-COVID event, demand for Rolex has exceeded supply.” While this means a shortage in supply for dealers, Hurley of Watches in Switzerland states that they “continue to have a good supply of Rolex watches.”
The supplies are coming, though Hurley says its customers will still have to wait a bit and be patient. At the very least, they’ll at least be able to try on the performance model, he says.
And while the wait has disappointed some customers, Hurley is confident that the final payment will bring them back. ,[The display models] are great because it allows people to try on these timepieces; [and] We want to keep that dream alive so that people can have the watch they want,” Hurley says. “We’re in a very fortunate position that we get to make so many people very happy on a daily basis.” “
What Rolex fans are saying online, they’ve generally been waiting long enough to hear back from authorized dealers.
Watches from Switzerland is completing its fiscal first quarter at the end of the month. Shares of Watches of Switzerland Group (WSOG.L) in London are down nearly 45% to date.
