The UAE, and more specifically Dubai, has been named a leading market for luxury watches by the Federation of the Swiss Watch Industry, and ranked as the eighth most important country.
The federation said more than $2.2 billion worth of Swiss watch products were exported to the Middle East region, with almost half directed to the UAE.
Although the country noted a 50 per cent drop in sales amid the pandemic in 2020, its rebound in 2021 exceeded sales in 2019.
While the post-pandemic luxury watch retail scene has seen the volume of watches exported to the country decline, turnover is high. Retailers are noting demand for good quality, high-priced pieces.
The success of the local luxury watch market was reflected at Dubai Watch Week, an event bringing together executives of leading brands.
The event recorded 16,000 visitors, an 81 per cent increase in visitors since its last edition held in-person in 2019, prior to the pandemic.
“The success of Dubai Watch Week 2021 is a testament to the importance of such an event in the UAE,” said Hind Seddiqi, director general of the event.
“We witnessed a rising interest among watch enthusiasts, collectors and the general public, who are looking for a community-driven platform that focuses on education.”
Brand executives also commented that interest among local consumers is growing.
“Dubai is the place to be for the watch industry,” said Antonio Calce, CEO of watch brand Greubel Forsey.
“Lots of collectors and connoisseurs – this city is an absolute flagship for the region. The official numbers are 10 per cent of the export market, but for many brands the amount is much higher.”
Max Büsser, founder of watch brand Maximilian Büsser and Friends, said: “The hub for high-end independent watchmaking used to be Singapore – but now it is here in Dubai.”
Luxury watch brands have responded to the rise in local consumers’ demand with regional expansion plans.
Swiss luxury watch designer RADO opened its sixth boutique earlier this year in Meena Bazaar, an area frequented by residents and tourists to target both consumer groups.
Adrian Bosshard, CEO of RADO, spoke of the boutique’s strategic placement.
“In Dubai we have a very different segregation of customers. Of course, one part is the locals and the expats that reside here,” Mr Bosshard told Khaleej Times.
“We are doing a little bit more than one-third of the business in Asia, around 28 per cent, in the Middle East and one-quarter of the business in Europe and Russia. We are also doing a fair amount of business in the US. We have a presence globally. That means we are also converting tourists. That is also a key segment of the population we target here.”
Similarly, Indian-based watch brand Titan Company, is expanding operations into the country after recording a 90 per cent retail recovery since lockdown.
The company opened 13 outlets in 2021, 10 of which are exclusive watch outlets.
In an effort to appeal to tourists in the country, the brand displayed products at Dubai’s Expo 2020.
“As a proud Indian brand who have a rich history in the region, what better place to connect with the Indian diaspora and also introduce our brand to international visitors, and get their constructive feedback about our offering,” said Kuruvilla Markose, CEO of Titan Company Limited’s International Business division.
Dubai Watch Week revealed that locally inspired editions are favoured by UAE consumers, with 1,500 pieces of limited editions influenced by the Golden Jubilee of the UAE were largely sold out.
