Online focus, festive season makes luxury watch players optimistic about India

The Covid-19 pandemic ruled out many expensive joys for people with means, such as heading off to Paris to get measured up at Charvet for bespoke shirts. But indulgences where they did not have to leave their homes remained available. Luxury wrist watches, for example, could yet be ordered. It prompted many brands, so far physical-stores-only, to swallow their pride and go online.

This trend, coupled with the festive and wedding season coming up in India, has made some luxury watch brands optimistic about business prospects.

Mohit Hemdev, India Manager, Panerai, tells moneycontrol.com, “Would not call it (online focus) a course correction necessarily, but rather an expediated implementation. With the global crisis, online browsing has become an essential part of everyday life and the customers experience, so it was important for us to present carefully crafted stories that resonate with the clients during this time.”

Asked if there was anything that made the brand optimistic about the future in India, Hemdev says, “We have seen a positive upward trend since June once there was phased relaxation in the restriction norms. We are optimistic that with the upcoming festive and wedding season, things will evolve even more positively.”

A Montblanc pen that costs Rs 5 crore, Gucci athleisure with six-figure price tags, bespoke boxers from London’s Hamilton & Hare costing about Rs 8,000 per pair. Outside of cars and private jets, these were among the limitless options available to the wealthy during Covid-19. But few of these items match the universal popularity of a luxury timepiece. Despite several obituaries, the watch remains a staple as a personal reward and as a statement object. It is among the first things most people want to buy when they come into some money. And it is among the first things they want more of when they make more money.

“When a House displays true watchmaking, it’s always a delight for the eyes of collectors from all over the world, notably India, even though it’s done digitally,” says Pascal Raffy, CEO, Bovet. “The pandemic is showing us that human beings are going back to the true values of what watchmaking has to be, meaning craftsmanship, innovation, R&D, human relations, and true experience for the collectors.”

There are mainstream luxury watchmakers and then there are independent luxury brands which are coveted by watch geeks and those who want to break from the herd. Ressence is one such maker. It even calls itself a “horological start-up”, bringing together two words belonging to different generations.  And even in a market like India, where the Patek-Rolex-Omega-Hublot juggernaut is hard to beat, Ressence says its watches, which routinely cost more than Rs 10 lakh, have done well.

“As you know, the lockdown has allowed people to spend more time on areas of personal interest,” says Ressence founder Benoît Mintiens. “Despite the perceived challenges owing to the pandemic, I am pleased to report that we have performed exceptionally well in India during the months of the pandemic, achieving our projected volume set out pre-COVID. The feedback we have from our local partner is that there is increasing awareness and acceptance for independent and unique brands in India.”

Ulysse Nardin, a Swiss brand which built its reputation on accurate nautical watches, and which had a limited edition collection dedicated to Sunil Gavaskar a few years ago, says it registered a strong performance in India online and is also planning a boutique each in Mumbai and Delhi.

“Our sales are very mildly affected (due to the pandemic),” says Teresa Garin Ruiz De Mendarozqueta, General Manager, Middle East and India, Ulysse Nardin. “Even though the Point of Sales were closed, our retail partners have been offering concierge services resulting in Direct sales. The retail partners are reaching out to Indian collectors and watch aficionados by providing watches for selection and purchase from the comfort of the customer's home.”

De Mendarozqueta says that in May, the brand sailed into new waters by selling a collection online for the first time. “The Diver X collection is the very first collection to be sold online by Ulysse Nardin,” she says. “We are very happy with the online sales of Diver X watches and currently, two of the three limited-edition collections are in short supply. We are currently working on two boutique projects, one each in Mumbai and Delhi.”