In a recent survey, the Dynalux Consulting published a detail study on the consequences of COVID-19 crisis on the watch industry in the Gulf region. This in-depth survey throws a spotlight on the very essence of the watch retail business model and reveals its current structure and future directions and opportunities.
According to the Federation of the Swiss Watch Industry (FSWI), in 2019, the Swiss Watch industry generated a revenue of approximately CHF 22 Billion with the top 30 importing nations. According to industry experts, 78% of this amount was generated with watches that have a recommended retail price of CHF 4,500/- or above, commonly referred to as “Luxury watches”. In terms of quantity, the Swiss Watch Industry has produced approximately 24 million units in that year. This next table can help to understand the weight of each large region in the world when it comes to the consumption of Swiss-made timepieces. The last column on the right of the table shows us the average spent per capita in each region to finance the import of swiss watches. The FSWI has calculated that 92% of the total Swiss Watch Industry exports are made by 30 countries. For the sake of clarity and for the purpose of the present report, here-after the list of countries that are part of these regions:
Europe: Austria, Belgium, France, Germany, Greece, Italy, Netherlands, Portugal, Russia, Spain, Sweden, Turkey, and the United Kingdom.
Greater China: China, Hong Kong, and Taiwan.
Japan: Only Japan.
Other Asia: Australia, India, Singapore, South Korea, and Thailand.
Middle East: Bahrain, Kuwait, Qatar, Saudi Arabia, and the United Arab Emirates.
North America: Canada, Mexico, and the United States.