Home » UK Business News » Goldsmiths boss on how luxury watch sales are still booming despite the cost of living crisis

Goldsmiths boss on how luxury watch sales are still booming despite the cost of living crisis

By Nagasunder in UK Business News, posted November 12, 2022

The Watches of Switzerland Group reported that sales have remained strong despite the cost of living crisis, as the company gains a larger market share.

The group, which also includes Goldsmiths and Mappin and Webb, said it was raising its forecast because of strong demand and a weaker pound, which increased the value of its US sales.

The Leicestershire-based company reported global sales of £765 million in the six months since May, a third higher than the previous year.

Luxury watches sales, which included brands like Rolex, TUDOR, OMEGA, and Tag Heuer, accounted for 87percent of total revenue and benefited from higher selling prices.

Posh jewellery sales increased by nearly 40 percent to £56 million.

A push to capture a larger share of the US market appears to be paying off, with sales in the first six months totalling £311 million, up from £167 million the previous year.

The group's overall online sales increased by seven percent.

Chief executive Brian Duffy said: “We are pleased to report another quarter of strong trading driven by broad based sales growth across our portfolio of world leading partner brands. Demand remained strong through the quarter and continues to exceed supply, with client registration lists extending as consumers respond to innovative new products, impactful marketing and elevated client service.

“The first half of the year has been a busy period of new showroom openings – including five showrooms at the iconic Battersea Power Station in London and additional mono-brand boutiques across the UK, US and now Europe – together with showroom refurbishments as we continue to invest to elevate the luxury experience for our clients.

“Our strong H1 performance underpins our full-year guidance, which we have upgraded to reflect the benefit of foreign exchange movements. Looking ahead, we remain confident in our Long Range Plan objectives, supported by a strong pipeline of expansionary projects as we continue with our strategy of investing for growth."

In the last few months, the company has opened nine new UK showrooms, as well as five in the United States and three in Europe.

The recently opened Watches of Switzerland showroom in the Battersea Power Station complex includes dedicated Rolex and Cartier areas, as well as OMEGA, Breitling, TAG Heuer, and TUDOR boutiques.

The Goldsmiths Luxury concept has seen the reopening of its flagship store in Meadowhall, Sheffield, with Rolex and Cartier rooms.

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Two single-brand boutiques have also opened in London's Canary Wharf, and the first TUDOR store in Scotland has opened.

Worldwide the group now has 188 showrooms including 74 devoted single-brand boutiques.

It has a big incidence at Heathrow Airport in addition to seven online sites and endures to be the biggest UK retailer for Rolex, OMEGA, Cartier, TAG Heuer and Breitling watches.

Source: Business Live

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