The largest Swiss watch manufacturer, Swatch, is well on its way to achieving a new record turnover this year – at least in local currencies. Swatch boss Nicolas Hayek told “Sonntags-Blick” whether it will really be possible to achieve the 9 billion mark set at the beginning of the year depends on the Swiss franc.
“In local currencies we could achieve record sales,” says Hayek. He referred to the increase in sales in local currencies in the first half of the year: While sales in Swiss francs rose by a good 11 percent to 4.02 billion Swiss francs (around 4.16 billion euros), the increase in local currencies was 18 percent.
In August, the currency impact was around 70 million francs on sales of 700 million francs, Hayek continued. “But the negative currency situation doesn’t change the huge potential that we have with our brands in the world.”
The Swatch boss also points to the group’s good performance compared to the industry: “The Swiss watch industry increased export figures by 10 percent by the end of July 2023, the Swatch Group by 19 percent.”
Hayek also doesn’t want to accept the accusation that Swatch missed its focus on the luxury segment. “On the contrary. The other manufacturers have missed the fact that there are other segments besides the luxury segment.”
He points to what he sees as the “phenomenal success” of ‘Moonswatch’ and ‘Scuba Fifty Fathoms’. The Swiss watch industry made the mistake in the 1970s of only focusing on the more expensive, high-priced segments and got into a “major crisis”.
At that time, Swatch brought about a turning point for the entire industry. “A few luxury brands, no matter how big they may be, do not yet make the Swiss watch industry,” continued the now 68-year-old Swatch boss. “We shouldn’t just produce products for an elite, but for everyone.” (dpa)