Arouse the battle of the Chinese watch market

Affected by factors such as China's economic slowdown and anti-corruption, the latest results from Swiss luxury watches show that the luxury market in Asia Pacific with China as the core is entering a downturn. In response to this downturn, in addition to lowering prices, the big-name wristwatches will also take the following measures to change the current situation. Can they take such a "road" as a counterattack?

Launches Smart Watch Challenges Apple Watch and Samsung

In April of this year, since the listing of Apple Watch, it has been well received by many users, and its order volume is also showing a blowout phenomenon. The major market research organizations are also very optimistic about their market sales in 2015. However, after a short period of short-term blowouts, it entered a dormant period and its sales were greatly diverted. Despite this, LVMH Group revealed that they are about to launch smart watches to challenge Apple Watch.

Recently, Jean-Claude Biver, president of watch business of LVMH Group, revealed to German Daily Handelsblatt that the group will launch a smart watch that is priced at 1,400 euros (at the current exchange rate of approximately 9,500 yuan). Challenge Apple Watch. Biver also said that LVMH welcomes the launch of Apple Watch, because the Apple brand's market influence will help create a customer base that is passionate about luxury watches.

In addition to the upcoming LVMH Group’s upcoming smartwatches, June Swatch Group CEO Nick Hayek stated at a general meeting that Swatch will first launch itself in Switzerland and “a big country”. Smart watch. The first batch of smart watches will be launched in China, the United States and Switzerland.

Now, according to news reports, “We will launch this smart watch in China, the United States, and Switzerland this summer. We have already produced 20,000 pieces and are very optimistic about this product.” — Hayek. He also said that Swatch will soon announce "large" partners in the payment sector.

Focus on the price of 1400-4500 euros

Jean-Claude Biver, president of watch business unit of LVMH Group, told German Business Daily that he would launch a smart watch with a price of 1,400 euros. He also revealed that LVMH's watch business is focused on gaining market share rather than pursuing sales. With regard to profit targets, the Group will vigorously increase the brand market of Tag Heuer and Hublot in China.
Biver said that the group will transfer Tag Heuer's high pricing strategy (previously priced at 6500 euros), and will focus on the production of watches priced at 1,500-4,500 euros (at the current exchange rate of approximately *** to 10,000). .

Extended watch warranty

Recently, the official Rolex announced that from July 1, 2015, Rolex will increase the warranty period for newly-sold watches from the industry's regular two years to five years, and from July 1, 2013 to June 30, 2015. Rolex purchased, the warranty period will also be unconditional increase of 1 year is 3 years!
Extended warranty is a very cautious job for the watch. Especially in China, watch consumption has entered a mature period, and the watches bought before four or five years will gradually enter the maintenance phase. This will bring great maintenance pressure to the brand, and of course costs. In fact, Omega had extended the warranty period before, such as extended warranty for ordinary watches for 2 years, coaxial movement for 3 years, the movement of silicon hairspring mechanical movement, 9300/9301 movement was extended to 4 years, at that time the consideration was actually because Coaxial movements are fully used in watches, and they are worried that they will have some stability problems.

"This is a very good move for Rolex. It is smart. It can give consumers a sense of security that 'the future will be guaranteed for a long time.'" An industry source said, "Of course, for the industry, it puts pressure on many competitors." That's true, but if other brands want to follow it up, the cost is very high. It also has to require them to put quality first. In short, it is a good thing for consumers."