Properties looking for new potential partners should consider the luxury watch category. Why? January sales of Swiss luxury watches in the United States were up 11% from a year earlier. The global watches market is expected to exceed $31.6 BN by 2009, growing at a compounded annual rate of 4% from 2001-10. The United States is the largest watch market in the world (with sales expected to reach $8.6 BN by 2010).
Despite an increase in consumer demand for electronic gadgets like the iPod, cell phones, and mp3 players, the luxury watch category has been able to maintain positive levels of growth due to consumers attributing luxurious watch brands as symbols of success.
Should collegiate rightsholders consider this category as well? The answer is Yes. Rolex recently made a $1MM pledge to Oklahoma State University at Okmulgee for scholarships and equipment. The catch is that Oklahoma State-Okmulgee is one (1) of ten (10) in the nation that offer a two-year watchmaking program, but that shouldn't stop you from being able to sell access to your institution's elite alumni base.
Who are the key luxury watch makers that you should consider targeting?
- Timex Corporation
- Tag Heuer International
- Seiko Holdings Corporation
- The Swatch Group
- Hermes International
- Gucci Group
- Patek Philippe SA