AGL 5.78 Increased By ▲ 0.03 (0.52%)
ANL 8.88 Increased By ▲ 0.03 (0.34%)
AVN 78.93 Decreased By ▼ -0.57 (-0.72%)
BOP 5.29 Increased By ▲ 0.12 (2.32%)
CNERGY 4.70 Increased By ▲ 0.01 (0.21%)
EFERT 81.57 Increased By ▲ 0.47 (0.58%)
EPCL 50.96 Decreased By ▼ -0.03 (-0.06%)
FCCL 13.35 Decreased By ▼ -0.14 (-1.04%)
FFL 5.74 Decreased By ▼ -0.07 (-1.2%)
FLYNG 7.15 Decreased By ▼ -0.06 (-0.83%)
FNEL 4.82 Increased By ▲ 0.02 (0.42%)
GGGL 8.87 Increased By ▲ 0.17 (1.95%)
GGL 15.90 Increased By ▲ 0.15 (0.95%)
HUMNL 5.79 Decreased By ▼ -0.06 (-1.03%)
KEL 2.68 Increased By ▲ 0.10 (3.88%)
LOTCHEM 29.06 Decreased By ▼ -0.44 (-1.49%)
MLCF 24.99 Decreased By ▼ -0.31 (-1.23%)
OGDC 72.46 Increased By ▲ 0.01 (0.01%)
PAEL 15.35 Decreased By ▼ -0.05 (-0.32%)
PIBTL 5.06 Decreased By ▼ -0.09 (-1.75%)
PRL 16.31 Increased By ▲ 0.06 (0.37%)
SILK 1.08 Increased By ▲ 0.01 (0.93%)
TELE 9.39 Increased By ▲ 0.09 (0.97%)
TPL 7.34 Decreased By ▼ -0.01 (-0.14%)
TPLP 18.90 Decreased By ▼ -0.26 (-1.36%)
TREET 21.95 Increased By ▲ 0.10 (0.46%)
TRG 140.87 Decreased By ▼ -1.93 (-1.35%)
UNITY 17.01 Decreased By ▼ -0.19 (-1.1%)
WAVES 9.90 Decreased By ▼ -0.13 (-1.3%)
WTL 1.41 Increased By ▲ 0.03 (2.17%)
BR100 4,255 Increased By 7.1 (0.17%)
BR30 15,733 Decreased By -28.8 (-0.18%)
KSE100 42,394 Increased By 44.9 (0.11%)
KSE30 15,664 Increased By 31.9 (0.2%)
Follow us

Luxury watchmakers this year have experienced an unusually high demand for timepieces, leaving them scrambling to ramp up production in order to keep up. As a result, they have had to delay the release of new collections and invest more to increase production capacity. Some brands reported a spike in sales of up to 73%.

Luxury watchmaker Rolex is one such brand experiencing a similar high demand for its products. Notoriously hard to attain within stores and by authorised dealers, the brand produces roughly one million timepieces a year.

Demand for these items exceeds supply especially for their sports models such as the 'submariner' which retails for approximately 8,500 Swiss francs, reported Bloomberg earlier this week.

Luxury watchmakers face soaring demand, but there isn't enough time

Authorised retailers are usually known to direct customers to alternate competing brands and models when faced with such a predicament. At that, the largest Rolex retailer in the UK is now stating how other luxury watch brands are too facing high demand and similar supply issues.

The head of Watches of Switzerland Group Plc, an authorized dealer for Rolex, Cartier and more stated how the company’s 171 stores across the UK and the US cannot keep up with demand for certain models of Cartier, as well as Tudor — considered a sister brand to Rolex.

Chief Excecutive Officer Hugh Brian Duffy in an interview with Bloomberg stated, “We can’t get enough Santos,” he said of the Cartier aviator watch. “We can’t get enough Tudor,” particularly the brand’s chronograph models, he added.

“We more than doubled our increases with them,” Duffy said, citing Cartier, Swatch Group’s Omega, LVMH’s Tag Heuer, Rolex sister brand Tudor and independent Breitling.

Sales of luxury watches jumped during the pandemic as wealthy consumers directed spending towards collecting high-end timepieces, instead of travel and leisure. As a result, retailers benefited with soaring sales both online and in-store.

However, for the watchmakers, scarcity isn’t that easy to combat. Ramping up production in response to demand is not that simple as luxury watches by their very nature are complicated to produce, requiring time and precision in order to maintain the integrity of the brand.

Of the brands, Cartier – the second-biggest producer of Swiss watches – responded to frustrated customers’ request by promising to shift production to meet demand for popular models to just under three months, cutting it down from the nine or 12 month industry average of production lead time.

Cyrille Vigneron, CEO of Cartier, responded by saying how “We have come to be super fast compared to other big competitors.”

Despite the decline in stocks and cryptocurrencies, Duffy said retail demand for Rolex, Patek Philippe and Audemars Piguet watches continues to outstrip supply.

“Demand is just off the scale for those brands. We would love to have more of them,” he added.


Comments are closed.

Pressed for 'time', luxury watchmakers unable to meet demand

Disasters cost $268bn in 2022: Swiss Re

PM for implementation of agreement reached at COP27

Flood relief activities: ‘Pakistan has received $738.53m foreign aid so far’

Jul-Nov trade deficit shrinks 30.14pc to $14.406bn YoY

Deemed income on capital assets: Taxpayers required to file new form separately

Global factory activity shrank last month

LPG price up by Rs11.7/kg for Dec

PRL barred from shutting down this month

No curbs on oil, LNG and POL products’ LCs: SBP

HSD, SKO & LDO: PL increased to generate Rs36.199bn