What to Watch: Hong Kong Unrest Adds to Watch Sector Challenges

It’s been a rocky ride for the traditional watch sector, which is coping with rising competition from connected timepieces — especially the Apple watch — a fast-moving digital landscape that is upending consumption habits, and new generations of consumers who seem more interested in traveling than acquiring a badge of prestige for the wrist. Add to that the unrest in Hong Kong, one of the sector’s most important markets. The series of street demonstrations that have swept the city since the spring have disrupted retail business — adding to the forces drawing many Chinese, top consumers for the industry, to make their luxury purchases in Mainland China. Growth in exports of Swiss watches — a key industry measure, closely eyed for clues about the overall health of the luxury market, as well as demand for timepieces — has slowed to a rate of 2.7 percent so far this year, compared to 13.4 percent for the same January-to-July period past year, according to figures from the Federation of Swiss Watch Industry. Protesters block downtown avenues in Hong Kong protesting an extradition bill on June 12.  JEROME FAVRE/EPA-EFE/Shutterstock The global slowdown comes amid a slump in the Hong Kong market. The largest for Swiss watch exports, Hong

Follow WWD on Twitter or become a fan on Facebook.

Read More...

from WWDWWD https://ift.tt/2Zvsp3C