Future of Watchmaking: Predictions by LVMH CEO Jean‑Christophe Babin
Swiss watchmaking faces growing competition from Chinese brands that are moving beyond inexpensive copies to create distinct designs with Japanese movements, while traditional Japanese manufacturers focus heavily on function. To stay ahead, storytelling is essential; iconic models like Rolex’s Daytona and Cartier’s Ballon Bleu succeed because of strong brand narratives, and newer collections such as Bulgari’s Finissimo and Serpenti illustrate how historical references can enhance appeal. Events like Geneva Watch Days, founded by Babin, showcase this narrative‑driven approach by bringing brands together for public exposure. Babin warns that the mid‑range volume market (approximately €2,000–€8,000) will become tougher as start‑ups offer comparable, affordable options, and even major brands hold modest market shares. He advocates for bolder, design‑focused strategies, citing Tag Heuer’s success with luxury connected watches, and urges brands to prioritize desirability so purchases become more frequent. Embracing ambitious design and compelling stories is presented as the path for the Swiss industry to remain profitable and resilient amid economic crises and evolving consumer preferences.
Buying Time Analysis: The story underscores the crucial shift in Swiss watchmaking toward storytelling, bold design, and innovation to stay competitive against rising Chinese brands and market pressures, making it vital for the industry's future.
