{"id":6376,"date":"2019-01-16T01:28:09","date_gmt":"2019-01-16T01:28:09","guid":{"rendered":"http:\/\/www.styledeals.co.uk\/blog\/smartwatches-switzerlands-friend-of-foe\/"},"modified":"2019-01-16T01:28:09","modified_gmt":"2019-01-16T01:28:09","slug":"smartwatches-switzerlands-friend-of-foe","status":"publish","type":"post","link":"https:\/\/www.styledeals.co.uk\/blog\/smartwatches-switzerlands-friend-of-foe\/","title":{"rendered":"Smartwatches: Switzerland&#8217;s friend of foe?"},"content":{"rendered":"\n<div property=\"articleBody\">\n<figure class=\"media-landscape has-caption full-width lead\"><span class=\"image-and-copyright-container\"><\/p>\n<p>                <img loading=\"lazy\" decoding=\"async\" class=\"js-image-replace\" alt=\"Tony Fadell\" src=\"https:\/\/ichef.bbci.co.uk\/news\/320\/cpsprodpb\/EA6A\/production\/_89001006_48f21599-756e-4f2d-ad10-d899ca159259.jpg\" width=\"976\" height=\"549\"\/><span class=\"off-screen\">Image copyright<\/span><br \/>\n                 <span class=\"story-image-copyright\">Getty Images<\/span><\/p>\n<p>            <\/span><figcaption class=\"media-caption\"><span class=\"off-screen\">Image caption<\/span><br \/>\n                <span class=\"media-caption__text\"><br \/>\n                    Former Apple executive Tony Fadell says the Swiss watch industry must adapt to a digital world.<br \/>\n                <\/span><br \/>\n            <\/figcaption><\/figure>\n<p class=\"story-body__introduction\">There are people at Geneva&#8217;s annual watch show who would probably prefer to have an arm lopped off than wrap a smartwatch on their wrist.<\/p>\n<p>The Salon International de la Haute Horlogerie is where the fine art of Swiss watchmaking presents itself to the world; where hand-crafted timepieces sell for hundreds of thousands of pounds.<\/p>\n<p>Not for them the soulless black Apple watch. Yet even in the heart of watch making there are signs that the digital world is encroaching. <\/p>\n<p>For a start, former Apple engineer Tony Fadell is at the show. He&#8217;s credited as being one of the fathers of the iPod, and went on to found Nest Labs, bought by Google in 2014 for $3.5bn.<\/p>\n<p>&#8220;The thing about the digital revolution is that it is touching everything, so to say it won&#8217;t touch this [Swiss watch] world doesn&#8217;t make sense,&#8221; he says.<\/p>\n<p>Several mechanical watch manufacturers are, in fact, experimenting with smart features in mechanical watches.<\/p>\n<p>Tag Heuer created an Android hybrid watch, and put about $190,000 worth of diamonds on it. <\/p>\n<p>Montblanc and Frederique Constant developed e-straps, putting digital functionality on the somewhat chunky buckle of the strap so that the watch itself keeps traditional looks.<\/p>\n<p>Frederique Constant also has a self-winding watch with bluetooth tech and a rechargeable battery. But at \u00a33,000, it&#8217;s still very much a luxury watch rather than a smartwatch. <\/p>\n<p>Ressence, a Belgium company that manufactures its watches in Switzerland, has developed the E-Crown. A couple of taps on the watch glass and the bluetooth connectivity links with the company&#8217;s iPhone app.<\/p>\n<p>The creation may have been complicated. The watch is powered by tiny solar panels. But the functionality is limited to such basic things as changing the time and timezones. It&#8217;s a long way off being able to track fitness or act as a payment platform.<\/p>\n<figure class=\"media-landscape has-caption full-width\"><span class=\"image-and-copyright-container\"><\/p>\n<p>                 <span class=\"off-screen\">Image copyright<\/span><br \/>\n                 <span class=\"story-image-copyright\">Maarten Slaets<\/span><\/p>\n<p>            <\/span><figcaption class=\"media-caption\"><span class=\"off-screen\">Image caption<\/span><br \/>\n                <span class=\"media-caption__text\"><br \/>\n                    Ressence&#8217;s solar-powered hybrid watch has smart tech but sells for a luxury price &#8211; $40,000-plus<br \/>\n                <\/span><br \/>\n            <\/figcaption><\/figure>\n<p>Still, as Ressence founder Benoit Mintiens is quick to point out: &#8220;It&#8217;s a first generation model and there will be a further merging of analogue and digital functions.&#8221;<\/p>\n<p>Ressence sells only about 300 watches a year, but it has some high-profile supporters. <\/p>\n<p>The chief executive of Uber, Dara Khosrowshahi is a fan, Mr Mintiens says, as is the designer Philippe Starck. &#8220;They are genuine admirers. We are a small company and cannot pay for brand ambassadors,&#8221; says Mr Mintiens.<\/p>\n<ul class=\"story-body__unordered-list\">\n<li class=\"story-body__list-item\"><a href=\"http:\/\/www.bbc.co.uk\/news\/business-46783394\" class=\"story-body__link\">A Briton at the heart of a Swiss tradition<\/a><\/li>\n<li class=\"story-body__list-item\"><a href=\"http:\/\/www.bbc.co.uk\/news\/business-46822929\" class=\"story-body__link\">Watch industry&#8217;s times are changing<\/a><\/li>\n<\/ul>\n<p>Mr Fadell is working with Ressence, and although he won&#8217;t discuss any business or investment plans he&#8217;s clearly interested in the market potential of hybrid watches. The future of smartwatches is as stand-alone devices, rather than tied to smartphones, he believes.<\/p>\n<p>&#8220;It&#8217;s really interesting to think about how these worlds might collide. There are the digital and code craftsmen that I&#8217;m used to, and mechanical craftsmen here in the watch industry. Both, in their areas, want to push the edges of what can be achieved,&#8221; says Mr Fadell.<\/p>\n<p>&#8220;You need people who are shaking things up, like Ressence. It doesn&#8217;t matter if people are polarised by it. You just need to generate interest, and that leads to change.&#8221;<\/p>\n<p>The Swiss watch industry, still the country&#8217;s third biggest export sector, had a near-death experience in the 1970s when the Japanese launched quartz watches.<\/p>\n<p>Mr Fadell thinks there are lessons to be learned if the Swiss industry is not to be swept away by another tech revolution. For a start, he believes its approach to start-ups is wrong.<\/p>\n<p>&#8220;The digital world understands that there are lots of start-ups with the potential for break-out products, so they support them a lot.<\/p>\n<p>&#8220;Here it&#8217;s: &#8216;Prove to me why I should be selling you something. I don&#8217;t want to waste my time with you&#8217;.&#8221;<\/p>\n<figure class=\"media-landscape has-caption full-width\"><span class=\"image-and-copyright-container\"><\/p>\n<p>                 <span class=\"off-screen\">Image copyright<\/span><br \/>\n                 <span class=\"story-image-copyright\">Johann Sauty<\/span><\/p>\n<p>            <\/span><figcaption class=\"media-caption\"><span class=\"off-screen\">Image caption<\/span><br \/>\n                <span class=\"media-caption__text\"><br \/>\n                    Patrick Pruniaux worked on the Apple watch launch but is now back at a Swiss mechanical watchmaker<br \/>\n                <\/span><br \/>\n            <\/figcaption><\/figure>\n<p>In a report last month, investment bank Morgan Stanley warned that Switzerland&#8217;s two biggest watch firms, Swatch Group and Richemont, face a significant smartwatch threat. <\/p>\n<p>It&#8217;s unlikely to affect their many high-end brands, such as Cartier, Breguet, and Blancpain. But with the Apple watch priced at about 450 Swiss francs (\u00a3356), the low end products are vulnerable.<\/p>\n<p>Indeed, there are signs of this in the latest figures from the Swiss industry&#8217;s trade body. Exports of watches with a factory gate price of below 500 francs (\u00a3400) fell 15% in the 11 months to the end of November. <\/p>\n<p>However, exports of watches above 3,000 francs were up 11% &#8211; a rise that has given comfort to the many premium brands.<\/p>\n<p>Another man who understands the digital threat is Patrick Pruniaux, but he is far less concerned. <\/p>\n<p>Mr Pruniaux knows Apple from the inside, having left Tag Heuer is 2014 to join the team that launched the tech giant&#8217;s smartwatch.<\/p>\n<p>At the time, his move sparked talk of a Swiss brain drain to Silicon Valley. But Mr Pruniaux is now back, running the luxury watchmakers Girard-Perregaux and Ulysse Nardin.<\/p>\n<p>Would he consider putting smart tech in his mechanical watches? &#8220;I&#8217;d have to start by asking what is in it for our customers.&#8221; The answer is, not much.<\/p>\n<p>He doesn&#8217;t criticise his competitors for experimenting with connectivity. But just as some high-end complex watches are created just for the sake of it, so some hybrid watches are being produced for the same reason.<\/p>\n<figure class=\"media-landscape has-caption full-width\"><span class=\"image-and-copyright-container\"><\/p>\n<p>                 <span class=\"off-screen\">Image copyright<\/span><br \/>\n                 <span class=\"story-image-copyright\">Girard-Perregaux<\/span><\/p>\n<p>            <\/span><figcaption class=\"media-caption\"><span class=\"off-screen\">Image caption<\/span><br \/>\n                <span class=\"media-caption__text\"><br \/>\n                    The smartwatch will never generate the emotion of a mechanical timepiece, says Swiss executives<br \/>\n                <\/span><br \/>\n            <\/figcaption><\/figure>\n<p>&#8220;There&#8217;s no emotion with a smartwatch,&#8221; he says. &#8220;A good watch does not go out of date. People who buy our watches do so for the passion and for the creativity.&#8221; A smartwatch just performs a function.<\/p>\n<p>That said, smartwatches are a big opportunity for the Swiss industry, Mr Pruniaux says. Young people and millennials are now wearing, and talking about, watches again.<\/p>\n<p>&#8220;That gives us a potential new market, to go out and explain ourselves and tell them why we offer a better value proposition,&#8221; he says. He also thinks we may be entering an era where people want to occasionally disconnect from the world. <\/p>\n<p>However, where the Swiss industry must learn the lessons of Silicon Valley is its approach to the customer. <\/p>\n<p>&#8220;I see some [mechanical] watches and wonder if the customer was an after-thought&#8230; For Apple the product is only the tip of the iceberg. They offer a full customer experience,&#8221; he says. <\/p>\n<p>&#8220;If something goes wrong with a \u00a3100,000 mechanical watch it might take months to repair,&#8221; Mr Pruniaux says. That&#8217;s an example where things must change.<\/p>\n<p>To adapt, the Swiss industry should worry less about smart tech, and more about the end-consumer, he says.<\/p>\n<\/p><\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.bbc.co.uk\/news\/business-46881633\">Source<\/a> by <a href=\"\">[author_name]<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Image copyright Getty Images Image caption Former Apple executive Tony Fadell says the Swiss watch industry must adapt to a digital world. There are people at Geneva&#8217;s annual watch show who would probably prefer to have an arm lopped off than wrap a smartwatch on their wrist. The Salon International de la Haute Horlogerie is &hellip; <\/p>\n","protected":false},"author":0,"featured_media":6377,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-6376","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/6376","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=6376"}],"version-history":[{"count":0,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/posts\/6376\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media\/6377"}],"wp:attachment":[{"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=6376"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=6376"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.styledeals.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=6376"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}