The largest luxury watch fair in Switzerland opens April 9 — just as the Swiss watch industry appears to be entering a slowdown.
More than 45,000 visitors are expected to visit Watches and Wonders Geneva and its 54 exhibiting watch brands before the show closes April 15, just weeks after the Federation of the Swiss Watch Industry announced that watch export values had fallen for the first time in two years, following a period of record revenues.
Exhibitors said the show’s timing couldn’t be better.
“In the market context, which is not as positive as last year, it’s a good opportunity to relaunch the momentum for some brands,” said Laurent Dordet, chief executive of Hermès’s watchmaking division, which is to exhibit at the show.
Rolf Studer, co-chief executive of Oris watches, another exhibitor, agreed. “We have a lot of challenges in the market and in the world and therefore also in our industry,” he said. “So to meet up and see others in person is very important.”
The federation’s data indicated that exports of Swiss watches in February had declined by 3.8 percent by value and 5.2 percent by volume compared with the same month last year. The fall was accelerated by an underperforming Chinese market, which registered a drop of 25.4 percent in export values year over year. And Hong Kong, which the federation tracks individually, was down 19 percent.
For some, this was a sign the industry needed to rethink its recent strategy of selling fewer watches at higher prices. “Industrialized groups have been painting themselves into a tighter and tighter corner over recent years,” Rob Corder, editor in chief of the industry platform WatchPro, wrote in an email. “With a few notable exceptions, brands have not been attracting new customers. Now we will see if manufacturers have a plan for customer acquisition.”
In the past, Watches and Wonders Geneva has drummed up huge interest in Swiss watchmaking. According to Matthieu Humair, chief executive of the Watches and Wonders Geneva Foundation, the nonprofit organization that stages the show, the 2023 event had a global reach of 700 million people, pushing news about watches made by industry giants such as Rolex, Cartier and Patek Philippe into homes all over the world.
Research produced by the Geneva-based consultancy Digital Luxury Group indicated that Google searches for the event have surged in recent years, totaling 429,000 in March and April 2023, a 192 percent increase over levels in 2021, when the event was solely online because of the pandemic.
That growth has prompted eight brands to exhibit at the show for the first time, including H. Moser & Cie, Bremont and Nomos Glashütte. “The watch fair in Geneva is the biggest fair in the world,” Ben Küffer, chief executive of Norqain, an independent brand founded six years ago and exhibiting in Geneva for the first time, said in a WhatsApp voice mail, “and for us to be there as the youngest brand to showcase our products is a huge opportunity.”
The show, which opened to the public for the first time last year, has added a third day to the schedule this year.
“Opening to the public was a good and important move for the industry,” Mr. Humair said, noting that 25 percent of the 12,000 public visitors last year were less than 25 years old. “The foundation’s goal is to promote the watchmaking industry around the world through this major event, and to promote vocations to the young generation.” (The industry has been concerned that a lack of skilled workers may stall future growth.)
A day pass, Mr. Humair said, will range from 50 Swiss francs (about $55) to 70 francs for adults and include special access to some brand booths and the ability to register for guided tours of the show.
And as for new watches, what should visitors look out for?
“I expect a safety-first Watches and Wonders,” Mr. Corder wrote. “Expect little more than line extensions for best-selling collections in on-trend colors such as pink and green, new materials,” popular models in titanium, “and fashionably smaller cases.”
The foundation also is continuing efforts started last year to push the show out of its Palexpo confines and into the community, this year scheduling a series of events called In The City that includes children’s workshops and a street party with live music on April 11.
Exhibitors said they supported the fair’s expanded programming. “It is very nice to see,” wrote Thierry Stern, president of Patek Philippe, which is represented on the foundation’s board. “And it’s reassuring for the future and also a source of pride for all working in our industry.”
Mr. Dordet of Hermès said: “Everything that makes the industry less elitist and more accessible is a good thing.”
Mr. Studer, who said Oris, like other exhibitors, would hold special activities at its booth for the public days, said they added a valuable dynamic. “On the weekend, you get the unfiltered feedback of the people who actually put money on the table,” he said. “It’s a moment of truth. It’s good to have that reality check.”
Many major brands continue to stay away from the fair, however, citing the expense as well as the perception that a high-end trade show separates brands from consumers.
Swatch Group has not exhibited since it pulled its watch brands, including Omega and Longines, from the 2019 iteration of the Baselworld show, now defunct. And neither Audemars Piguet nor Richard Mille nor Breitling will be exhibiting — which means five of the 10 largest Swiss watch brands by estimated sales will not be in Geneva.
“Since we left Baselworld, we’ve had more funds and resources available to do local events,” said Adrian Bosshard, chief executive of Rado, which is owned by Swatch Group. “This way we can bring the brand closer to end consumers.”
Some brands that have exhibited at past watch fairs have been showing signs of softening their stance. Last year, for example, Breitling negotiated terms with the Watches and Wonders Geneva Foundation, but later withdrew its application.
While the LVMH Moët Hennessy Louis Vuitton watch brands TAG Heuer, Hublot and Zenith will be at Watches and Wonders Geneva, Bulgari, a sibling brand, has rented two floors at the Hotel President Wilson to capitalize on the presence of industry figures and watch buyers. But it might yet return to the show in the future. “It’s an ongoing discussion,” said Antoine Pin, managing director of Bulgari’s watch division. “We’re not in a rush to get in. But I’m not saying we won’t be there.”
Exhibitors, however, maintained that a presence at Watches and Wonders Geneva was worth the investment. “Fairs remain a source of motivation and positive energy for all, and also a source of pride,” Mr. Stern wrote.