Swatch Group grew by a further 8.3% last year, generating record sales of US$9.8bn despite what the company refers to in its annual report as an "extremely adverse currency situation". Growth in the watch and jewellery segment was at 8.6%, signifying a relevant increase in market share by the group.
Production capacities expanded further, as the group opened a new watch dial plant in Grenchen and acquired component production facilities in Villeret and Boncourt, accounting for more than 900 new jobs created in Switzerland.
Hong Kong is still the top market for watches accounting for an 18.9% share of all Swiss exports, declining 2% from last year. The US comes second at 10.3%, and China is still third at 6.6%, though export value to the country declined by 12.5%.
With these developments, four trends have emerged. First, the growth of the midrange segment for watches - mainly stainless steel models which now account for more than half of the total number of Swiss watch exports, and 38% of the value.
Second, there has been a revival of classicism in watch design, with simple, well-finished and elegant designs gaining popularity over busy dials and more complex models.
Third, like fashion, more collaborations are being presented, whether it’s for sporting events like the World Cup, or annual races like the Grand Prix Historique de Monaco. And lastly, innovation still has a foothold in the industry with the release of very practical concept watches.
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