Europa Star - USA & CANADA 4/14

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watch aficionado

Jaeger-Lecoultre When “excess” is in fact a matter of due measure

Mechanical: BACK TO SIMPLICITY

www.watch-aficionado.com Watch business paper – USA & Canada – VOL.50 N°4 august / september 2014 with index of all in-depth articles published online

editorial

www.watch-aficionado.com

Mechanical intelligence uPierre M. Maillard Editor-in-chief Europa Star

An interesting article that appeared recently in The Economist (“The high-tech world of oldworld watches”) offered a different take on the implications of the approaching tidal wave of smart watches. The premise of the article is that there is a great deal more innovation in the art of mechanical watchmaking than in supposedly “smart” watches.

According to The Economist, smart watches are no more than a new way of presenting and adapting existing functions and applications in “a mash-up of phone, activitytracker and music-player.” And despite the fact that almost two million were sold last year, Endeavour Partners in the USA found that one-third of buyers tire of them rapidly, and simply stop wearing them within six months.

The Economist takes the contrary view that true innovation is to be found in good oldfashioned mechanical watchmaking, stimulated by the “vast profits still made in and around Switzerland’s ‘watch valley’,” and by the “unexpected uses of untraditional materials, that may in time transform the industry.”

In support of its thesis, The Economist frequently points to Swatch’s Sistem51 as representing a major breakthrough (see our discussion of mechanical simplification in this issue). Above all, however, it enthuses about the revolutionary use of silicon, citing Girard-Perregaux’ constant force escapement as an example.

That must all be very reassuring to our watchmakers, surely?

Not really. The new Messiah whose coming is most anxiously awaited bears the name of Apple. Will the California-based giant be content only to address the many loyal

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HYBRIS MECHANICA 11 – Master Ultra Thin Minute Repeater Flying Tourbillon by Jaeger-LeCoultre A 41 mm white gold watch with a thickness of 7.9 mm equipped with a Calibre 362 automatic movement with a power reserve of 45 hours. Hours, minutes, minute repeater and tourbillon functions, silver grained dial, alligator leather strap, water-resistant to 30 metres. www.jaeger-lecoultre.com

EDITORIAL Mechanical Intelligence COVER STORY Jaeger-LeCoultre – When “excess” is in fact a matter of due measure MECHANICAL Simplicity is a complex business!

Simply Talking Complications with Ludwig Oechslin Simply Talking Complications with Stephen Forsey Movements: Who will succeed ETA? Are In-House movements Important?

Unlocking Alternative Escapements Entry-Level Mechanicals WORLDWATCHWEB What is driving Online Interest for the Luxury Watch Industry’s “High Range” Brands?

BRANDS A Courageous Trio Straight talk with Gucci’s Patrizio Di Marco LETTER FROM CHINA 25th Shenzen watch and clock fair – Je t’aime, moi non plus LETTER FROM USA The recovery is coming, but it’s not here yet RETAILER PROFILE Tourneau – Ira Melnitsky SERVICE PLEASE Service Experiences: Where the rubber meets the road at the retail level – Part 2 LAKIN@LARGE Quelle surprise: a freebie!

SPOTLIGHT The World’s first hybrid time-keeping system by Casio

Read all articles on www.watch-aficionado.com

converts it already has, all those ultra-connected acolytes who will no doubt bow to its greatness and immediately clasp one of its bruited bracelets around their wrists? Or will it also target the disciples of Haute Horlogerie – a wealthier, more cultivated audience more sensitive to traditional luxury?

Although some watchmakers dismiss out of hand any risk of being swallowed up by the technology monster, and others already fear for their lives, the true outcome will probably lie somewhere between the two. Just as the invention of photography did not kill painting, but transformed it utterly by liberating it from the shackles of realistic reproduction, so the arrival of the smart watch, whatever happens, will undoubtedly transform the art and technique of watchmaking.

One positive from The Economist’s article is that it shows that in the coming hi-tech battle Swiss watchmaking is not without weapons, and possesses the financial, human and technical resources to meet the new challenges. But in order to meet them in the best and smartest way possible, it must avoid seeking refuge in denial, as it did during the famous quartz crisis, which came close to sinking the entire industry. Arrogance is a poor counsellor. Nevertheless, the idea that everyone and everything should be constantly connected (because in addition to smart watches we should expect to see smart refrigerators, smart cars, smart baby’s bottles, etc.) will eventually be undone by its own ubiquity. Not everyone wants to be permanently plugged in, and the number who do is probably diminishing. One of the virtues of traditional watchmaking is the mechanical poetry that connects us not to the internet but to the cosmos, to the mysteries of time and beauty. And therein perhaps lies its greatest strength. p

COVER STORY

Jaeger-LeCoultre – When “excess” is in fact a matter of due measure Hybris Mechanica 11 – Master Ultra Thin Minute Repeater Flying Tourbillon

For the Ancient Greeks, hybris (also referred to as hubris) was a flaw. It was a sign of immoderation, of excess, of the pride of Man in defying the Gods. By regrouping its most striking mechanical accomplishments under the provocative name of Hybris Mechanica, is Jaeger-LeCoultre displaying immoderation, excess and pride?

While one might be tempted to suspect as much, the Master Ultra Thin Minute Repeater Flying Tourbillon, the 11th creation to take its place in this highly exclusive family of Hybris Mechanica is there to prove the exact opposite.

Because sometimes “excess” is in fact an absolute quest for “due measure”. Such is indeed the case here, as we will attempt to demonstrate.

Everything about this exceptional timepiece converges towards a central goal: that of expressing outstanding mechanical complexity in a supremely simple, pared-down and slender form – the aim being to open up a new era for Grande Complication models: one of exceptional slimness and finesse. Beneath the pure, uncluttered face of the Master Ultra Thin Minute Repeater Flying Tourbillon, and between its taut, slim shapes, beats a masterful automatic movement measuring just 4.8 mm thick and which fully lives up to its ultra-thin epithet and combines a flying tourbillon with a minute repeater. With a total thickness of just 7.9 mm including the watch glass, the Ultra Thin Minute Repeater Flying Tourbillon is indeed the thinnest minute repeater in its category.

However, accomplishing this, heralding a new chapter in the grand saga of mechanical horology – the era of ultra-thin Grande Complication models – and achieving such excellent “due measure” called for the hybris of an extremely long history. A history marked by the progressive accumulation of skills and knowledge through a steady stream of inventions and innovations. The objective of slenderness, espe-

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cially for a Grande Complication watch, implies overcoming a whole series of obstacles relating both to technical horological factors and to the art of creating a perfect exterior. One hundred years of practice in the field of ultrathin watches are none too many to succeed in overcoming all the difficulties implied in such a process.

The longstanding quest for slenderness The story of this quest for slenderness began in Paris in 1907. Two men – Edmond Jaeger, a Parisian entrepreneur; and Jacques-David LeCoultre, a watchmaker from the Vallée de Joux – had just created a “knife-shaped” pocket watch housing LeCoultre Calibre 135 measuring just 1.38 mm thin. This absolute record in its era was Jacques-David LeCoultre’s horological response to the challenge set by Edmond Jaeger four years earlier: to create the thinnest and most reliable possible watch – in fact the

thinnest in the world. This was to be the starting point in the epic pursuit of slenderness; the first in a long series of ultra-thin movements that would make their mark on the history of Jaeger-LeCoultre and that of the watch industry as a whole. It is well worth highlighting the very first movements that began this proud lineage: LeCoultre Calibre 136 with minute repeater (1907); Lecoultre Calibre 6EB, the first ultra-thin rectangular movement; as well as LeCoultre Calibre 11CCVEP, an astonishing ultra-thin chronograph (1908).

Throughout its history, the Manufacture JaegerLeCoultre has relentlessly pursued this horological quest that is undoubtedly one of the most fundamental in this discipline – since anyone dealing with thinness must also address another vital horological principle: that of reliability. Case and movement, functions and functionality, construction and the watch exterior thereby all stem from the same construction intent.

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COVER STORY

A crowning achievement heralding a new era While the new Master Ultra Thin Minute Repeater Flying Tourbillon is indeed the fruit of this history, it surpasses all that has gone before and represents a crowning accomplishment that is a compendium of avant-garde innovations (protected by eight patents, including six new pending patents). These innovations relate to the precision of the watch, its reliability, the unusual architecture of its flying tourbillon, to the strength and crystal-clear tone of the sound it emits, the striking mechanism activation and winding system, the taut architecture and the finishing of its movement, and naturally also to its intrinsic slenderness.

Let’s begin with the tourbillon. Far from being a classic construction, its highly original architecture not only enables reduced thickness, but also ensures complete visibility of this steadily rotating organ. It is in fact a flying tourbillon featuring a flying-type balance wheel: a world first in itself.

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In a traditional tourbillon, the balance wheel is held inside a carriage supported by an upper bridge; whereas this brand-new flying tourbillon entirely does away with any upper bridge.

The carriage has apparently vanished, reduced to an absolute minimum and positioned at the back of the balance wheel, which therefore appears to by “flying” through space in solitary splendour. This unusual architecture provides a spectacular plunging view into the heart of this system with its steadily beating, magnificently blued balance spring. This entirely handcrafted, high-performance cylindrical balance spring is equipped with two terminal curves ensuring perfect concentric ‘breathing’ and thus extreme precision (patent registered).

The avant-garde nature of this model does not stop there, since accommodating an automatic winding system within an ultra-thin case is a tough challenge that implies entirely rethinking the structure of the movement. The automatic winding system designed to power the Master Ultra Thin Minute Repeater Flying Tourbillon is of the peripheral type. The winding is thus handled by a platinum ring mounted on a “huge” circular ball bearing mechanism that no longer oscillates beneath the movement, but instead around it. This constantly oscillating ring is visible through the openings dotted around the rim of the grained silver-toned dial.

A new winding system This ingenious peripheral oscillating weight system paved the way for another innovation. Minute repeater mechanisms are generally wound via a trigger or slide-piece placed on the side of the case. In this model, the traditional slide-piece is replaced by a retractable single pushbutton measuring just 2 mm thick (registered patent).

This retractable winding pushbutton located at 10 o’clock on the side of the watch is secured by a tiny latch at 8 o’clock. It is discreet, ergonomic, serves to wind the striking mechanism in just one push, guarantees perfect water resistance (3 atm), as well as offering the additional aesthetic advantage of keeping the case entirely smooth, slim and perfectly rounded.

The scientific quest for the best possible sound This retractable pushbutton winds a minute repeater that is also a concentrated blend of innovations relating to the power of the sound emitted, to its quality, a s well as to the rhythmical simplification of the sound sequences.

A traditional minute repeater sounds the hours, quarters and minutes in that order. At 08:17 for example, it will strike the hours gong eight times, the quarters gong once, and the minutes gong twice. However, at 08:12, in the absence of quarters, such a traditional repeater will strike the hours gong eight times, pause to “let the quarter slip by” before striking the minutes gong 12 times. In the new system developed by Jaeger-LeCoultre, this “silent timelapse” between the hours and minutes is simply eliminated, thereby offering the very first uninterrupted and entirely logical auditory time reading. The power and the quality of the sound thus emitted have also been the object of intense acoustic research that the Manufacture has been conducting in a strictly scientific manner for several years already.

Traditionally, the sound is made by a simple hammer striking the gong, off which it rebounds.

In this instance, this strike has been optimised by means of duly patented trebuchet hammers, inspired by medieval catapults of which the strength was strongly increased by the mobile section containing the projectile. Due to this system of trebuchet hammers, the strike is clean, without any rebound and with higher energy transmission (80% compared with just 10 to 30% for a classic hammer). Moreover, these hammers strike all-of-a-piece gongs with a square rather than round cross-section, thereby increasing the surface in contact with the hammer and ensuring unprecedented strength of the sound thus emitted. The transmission of this sound is further enhanced by a crystal gong directly welded to the sapphire crystal to which it directly transmits its vibrations – sapphire being an excellent conductor. The result is a sound effect of exceptional quality that truly deserves to be called crystal clear.

The new Master Ultra Thin Minute Repeater Flying Tourbillon surpasses all that has gone before and represents a crowning accomplishment that is a compendium of avant-garde innovations.

A tribute to tradition Crafted, assembled and decorated by hand, the mechanical automatic Jaeger-LeCoultre Calibre 362 powering the Master Ultra Thin Minute Repeater Flying Tourbillon and measuring just 4.8 mm thick, represents a considerable sum of innovations, as well as referring to the longstanding, noble tradition of Jaeger-LeCoultre’s historical pocket watches. The ebauche and the bridges are made of maillechort, a prestigious copper-nickel-zinc alloy distinguished by its propensity to acquire a magnificent patina over time.

Evidenced in the Haute Horlogerie finishes of its parts, the Côtes de Genève decoration of its various bridges, the entirely hand-crafted bevelling (including complex tradition interior angles), the extreme care devoted to the aesthetic appearance of this movement is entirely in tune with the historical traditions of the Manufacture.

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This elegant and majestic ultra-thin movement is housed within an ideally proportioned case measuring 7.9 mm thick and 41 mm in diameter. This case is made of 18-carat extrawhite gold, a choice that is both aesthetic and functional in that white gold is renowned for its excellent acoustic qualities. The bezel, the sides and the streamlined lugs are all entirely polished by hand.

The perfectly classical, understated dial also evokes the historical lineage and the aesthetic similarities with the pocket watches from the Manufacture. The traditionally transferred black minute circle and hour-markers stand out clearly against the silver-toned grained finish of the dial bearing new, subtly longer, delicately crafted, polished and grained Dauphine-type hands.

The ultra-thin flying tourbillon is theatrically

displayed at 6 o’clock, while the rim of the dial is drilled with small regular openings serving to observe the rotations of the circular oscillating weight segment in finely snailed platinum.

Setting the perfect finishing touch, the welded contact point between the gong heel and the sapphire crystal is delicately marked with musical notes.

Available in a 75-piece limited edition, this Hybris Mechanica 11 is fitted with a high-end alligator leather strap secured by a pin buckle.

“Excess” – hybris – is indeed finely concealed beneath an exterior worthy of the most classic forms of due measure. p Discover more on Jaeger-LeCoultre at www.watch-aficionado.com

Back TO SIMPLICITY

Simplicity is a complex business!

In the quest for the truth about what appears to be a mechanical “back to basics” movement, Europa Star asked a number of watchmakers to help navigate the complex route that leads to simplicity.

With the participation of Denis Flageollet (De Bethune), François-Paul Journe (FPJ), Edouard Meylan (H. Moser & Cie), Luc Perramond (La Montre Hermès), Sandro Reginelli (Maurice Lacroix) and Jean-Marc Wiederrecht (Agenhor).

thetic features.” Sandro Reginelli, product and marketing director of Maurice Lacroix, states “The trend is very clear... We have seen it coming for some time, but it is now firmly established.” Jean-Marc Wiedderecht of Agenhor, an independent manufacturer that works for a wide variety of clients and therefore has a very broad view of the market, has a similar take. In his view, “Yes, the number of pieces that are extremely complicated, often without any obvious reason, and that have a

After years of mechanical excess, we appear to be witnessing a return to greater moderation, in both technical and aesthetic terms. The oneupmanship that has prompted designers and watch builders to display the guts of their timepieces, exaggerate their dimensions and pile complication upon complication has clearly abated, as we saw in Basel this year.

Simplicity, purity of line and a restrained choice of materials once again have pride of place for a wide variety of brands and creators in all price brackets.

Is this the objective reality as others see it, or is it merely a subjective impression?

To clear things up in our minds, and to gain a better understanding of the phenomenon – if that is what it is – Europa Star asked a number of figures from the watchmaking world.

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Are we really witnessing a “back to basics” movement in watchmaking, a return to greater simplicity and moderation?

The feeling that there is a return to simplicity is widely shared, and for most observers this trend has not come as a surprise but has been gradually gaining ground over the last few years. As Luc Perramond, CEO of La Montre Hermès, notes “for a number of years now we’ve sensed a return to more authentic objects, without any superfluous technical or aes-

complex and busy aesthetic seems to be diminishing. A new ‘neo-classical’ trend based on far more discreet and above all much slimmer designs has been gaining popularity for several years.”

But Denis Flageollet, co-founder and director of the technical department of De Bethune, tempers these statements. “I hope one day to be able to confirm this, because mechanical excess causes nothing but problems, and eventually people lose interest,” he notes, implying that there is still some way to go before a greater degree of moderation is achieved.

Nevertheless, although he rejects “mechanical excess” he argues strongly for “creative excess” which “is always full of good sense and should have the ability to drive us towards simplicity. Let us be creative, and we might just achieve this ‘moderation’!”

An interesting exhortation which, as we shall see below, leads to an altogether different observation: simplicity is a complex business.

Is this “return” to greater simplicity simply a pendulum effect, or is it here to stay? Could there be deeper societal or economic reasons for it?

De Bethune, DB29 Chronographe Monopoussoir Tourbillon A tour de force of watchmaking simplification, both aesthetically and mechanically.

Second, minute and hour markers are arranged concentrically to improve legibility; the lugs are simplified to the extreme to optimise comfort on the wrist; an invisible hinge gives access to the double case back without affecting the purity of line; and the single button (monopoussoir) is discreetly integrated into the crown at 3 o’clock.

Turning to the movement, the chronograph’s clutch function is the subject of a patent for its simplicity and functional advantages; the frequency of the 36,000 vph tourbillon makes it easy to measure to 1/10th of a second; the tourbillon is enclosed in a U-shaped framework rather than the usual pillars, which would be too bulky to work correctly in a wristwatch; the balance is made up of a silicon centre surrounded with white gold, which is far lighter for the same inertia, and easier to calibrate than a traditional screw balance wheel; the hairspring has a simplified flat coil, which avoids the complexity of a Breguet coil but has the advantage of keeping the centre of gravity perfectly centred and preventing any deformation of the hairspring in the event of a shock.

…Continued online An intriguing discussion with six leading watch manufacturers that gives an insight into the surprisingly complicated and contradictory arguments of how complex simplicity can be in the creation and design of mechanical watches.

Points covered include the arrival of “intelligent” watches, the usage and effects of powerful computer design tools and how the quest for simplification actually makes you think more.

Discover more about the ins and outs of designing a watch at: www.watch-aficionado.com

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US MARKET

The Recovery is Coming, but it’s not Complete Here Yet With China slowing down, brands are turning to other, more mature markets. The US market, in particular, is showing some signs of recovery, though the turn-around hasn’t been as fast as many would like. The American shows this year in Las Vegas (JCK, Swiss Watch and Couture) seemed to have been a little slower and not so well attended, but the retailers we talked with are still optimistic about the future of the US market. The report includes five US key retailers and what they have to say about their home market:

Scott Bolosky, owner, Clarkson Jewelers (St. Louis, Missouri): “On a rolling twelve month calendar sales have continued to outpace previous years, and we’ve definitely been able to feel more confident in the amount of store traffic and sales we’ve been able to forecast and attain. There’s a growing sense of stability that we’ve really not seen since about midway through 2008.

Consumer confidence continues to grow, at least in the St. Louis market. While consumers are, and always will be price conscious, when their perceived buying power begins to increase then we see that more consumers are willing to pay a premium for expertise and service. Value isn’t directly related to price alone, so our “value” proposition of selection and expertise resonates better when consumers don’t feel like they just need to get the best price alone.

While we’ve seen ups and downs for sure, we were able to rein ourselves in and weather the storm. While we continue to grow I have to believe that the worst is behind us, and we’re optimistic for a record twelve months coming up.

I am excited about our growth. We’re a small, privately owned business. That said, our focus is always on growth, but not at the expense of the service and expertise we provide. My thought is this, if you can grow a business continually and profitably while constantly creating consumer

advocates, champions, then you’re doing something right, and that’s always exciting.

While we’ve always done really well with Rolex, we’re seeing great sales trends with that brand this year. They’ve done some great things with product designs and introductions, and that always helps. Rolex clients are loyal. We’ve always done really well with the Rolex Submariner, but the Datejust II is really strong as well. They just added a new version that features an all steel polished bezel that we think is going to sell really well.

“Internet sales from non-authorized retailers continue to take business from the brick and mortar retailers.

We offer something they can’t and some of that is customer assurance.”

Scott Bolosky, Clarkson Jewelers This is nothing new, but internet sales and sales/ service from non-authorized retailers continue to take business from the brick and mortar retailers. Fortunately, our fix to this is simple we’re not the destination for the internet shopper. Our clientele isn’t always looking for the best price alone. We offer something they can’t and some of that is customer assurance. They

compete with us, but not vice versa. This has worked for us and we’ll stay the course.

Honestly, our largest and most extravagant events typically haven’t performed all that well, and we’ve tried a lot of them. We are becoming much more focused on the individual and personal attention. We’ll be doing much more in the way of private dinners, VIP events and personal connections. Our brand really doesn’t resonate well with a mass of people. We focus on personal relationships, so when our large, non-personal events don’t do so well it might just mean that our “real” brand is resonating with clients, and that’s a good thing.”

Armen Darakjian, Darakjian Jewelers (Detroit, Michigan): “Business overall is good in a general sense.

There are definitely more high-end transactions than in the mid-range. The wealthy clients out there still have the disposable income to treat themselves. But the way they are treating themselves and the items they are pursuing are different than years ago. There is a focus on classics and timeless, real statement pieces.

Watches in rose gold for men are on the shopping lists more than in the past.

For us, this year is hugely different. Darakjian Jewelers moved to Birmingham Michigan, Michigan’s only “city” with all the financial institutions and high-rise high-end condos, and a selection of boutique restaurants. This year it seems that social media is playing a larger role in getting the word out, for promotion and endorsement. …Continued online Leading watch retailers discuss how their business is progressing and how and what they are doing to ensure a sustainable growth in this highly competitive market.

Read how they see the future of retailing at:

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SPOTLIGHT

The world’s first hybrid time-keeping system by Casio The new G-SHOCK GPW-1000 by Casio not only receives Global Positioning System (GPS), but also radio wave time-calibration signals for accurate time keeping everywhere in the globe.

In 1983, an engineer’s passion to create an ‘unbreakable watch’ brought about the launch of the first G-SHOCK. Since then, this ever-evolving timepiece, using ‘toughness’ as its platform, has incorporated advanced technology and developed an amazing series of features.

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In its continued quest for the ultimate in toughness, the Triple G Resist construction of the G-SHOCK GPW-1000 features a reinforced structure to resist shocks, centrifugal force, and vibrations. A high strength and durability carbon fibre insert band, and a bezel with scratch-resistant DLC coating, ensure a level of toughness to withstand the harshest of environments.

Additionally, using CASIO’s latest technology, this timepiece has increased its time-keeping accuracy by creating a unique hybrid system that captures GPS signals and radio wave time-calibration signals transmitted from six stations throughout the world.

Whether the watch is in a dense forest or amongst desert dunes, marine environments or surrounded by buildings, the GPW-1000 keeps accurate time.

As flagship of G-SHOCKs Gravitymaster series the watch uses ultra-small motors for the hand drive mechanism to secure the space to mount the hybrid timekeeping system. To compensate for increased power consumption, the Casio G-SHOCK GPW-1000 features a new low-power consumption, highperformance GPS LSI, as well as a new shape of solar cell with high-efficiency output. Other features include a ceramic GPS antenna and fine resin case for high signal sensitivity and shock resistance.

Main Features of the GPW-1000 T Fine Resin Frame

Absolute in accurate time keeping, all the time • Receives GPS signals for accurate time and automatic daylight savings adjustment.

Obtains location and time information using GPS signals: the watch references internal global map data in 500-metre resolution grids, to automatically adjust to the local time zone based on location information, and correct for daylight savings.

• Receives radio wave time-calibration signals in both interior and exterior locations.

Receives radio wave time-calibration signals transmitted from six stations worldwide (two in Japan and one each in North America, UK, Germany, and China) and in coverage areas, displays accurate time, even when indoors or surrounded by buildings.

• Hybrid system displays accurate time anywhere in the world.

Casio developed an algorithm that uses and analyses the location information based on GPS signals and

radio wave time-calibration signals. Receiving time information is prioritized by radio wave signals in radio wave coverage areas and GPS signals in noncoverage areas.

• Easy- to-use hybrid system Keeps time automatically using GPS signals and radio wave time-calibration signals. GPS signals are received when relocating to a place with GPS signal coverage, while radio wave time-calibration signals are received at night. When travelling to a different time zone, pressing a button quickly obtains the current location.

It takes just seven seconds to a minute for the watch to get accurate time from GPS signal time information.

• Dual time display for travelling abroad Dual time simultaneously displays the time in two separate cities - the current local time and a second time zone at a glance using the minute/hour hands and inset dial.

500m units GPS Algorithm world wide U 500m

Absolute toughness in the harshest of environments

Technologies for toughness and hybrid time keeping

• Advanced Triple G Resist construction The new G-SHOCK GPW-1000 employs Triple G Resist construction to withstand shocks, centrifugal force and vibrations, delivering the toughness expected of a G-SHOCK watch with accurate time anywhere in the world.

• Durable carbon fibre insert band The carbon fibre insert band features resin reinforced by a carbon fibre insert to ensure strength and durability.

• Scratch-resistant DLC coating The metal bezel features a hard diamond-like carbon (DLC) coating that is both scratch-resistant and sophisticated in appearance.

• GPS signal sensitivity and toughness The watch features a ceramic circular polarized antenna to receive GPS signals together with an enlarged dial, making it sensitive enough to be able to receive time information.

The case frame is reinforced with strengthened fine resin so that the enlarged dial can be housed without increasing the case size. These refinements achieve the toughness that is expected in a G-SHOCK watch of a modest size.

• Module with built-in GPS antenna The watch employs an ultra-small motor for the movement that drives the hands to create the necessary space for the GPS antenna and LSI. The GPS antenna, GPS LSI, and ultra-small movement are contained in a single module to achieve tough Triple G Resist construction.

• Low power consumption The G-SHOCK GPW-1000 features shadow-dispersing solar cells that resourcefully receive light and a lowpower GPS LSI for an efficient supply of power. Solar drive enables the watch to receive GPS signals thus avoiding battery drain and the low power consumption design makes it possible to employ high-luminosity LEDs, making the watch more practical and user-friendly.

DLC coating Bezel / Sapphire Crystal

THE G-SHOCK GPW-1000 HIGHLIGHTS

Carbon fiber insert band

• The G-Shock GPW-1000 is the world’s first wristwatch to use a hybrid system capable of receiving GPS signals and radio wave signals.

• By combining the reception of these radio signals and the GPS satellite signals, the watch can display the exact time – regardless of changes between summer and winter time – anywhere on the planet.

• Using Multi-Band 6 technology to receive the radio waves in the areas covered by this system (which is in turn controlled by atomic clocks and relayed by powerful antennas), it automatically switches to GPS reception where the signal is no longer available.

• The G-SHOCK’s Multi-Mission Drive enables each watch hand to perform multiple functions.

• The watch is fitted with a very low-energy GPS LSI chip that has been specifically developed together with Sony for use in a wristwatch. It is also equipped with a new shape of solar cell and motors that are 26 per cent smaller than before.

• These combined advancements have allowed Casio to create a high-performance device in the form of a classic analogue watch that is user-friendly whilst maintaining outstanding readability.

• The G-Shock GPW-1000 features: 40 time zones; stopwatch functions; countdown timer; alarm; calendar, power reserve indicator; solar-charging function; shock and vibration resistant and resistance to centrifugal gravitational force; water-resistant to 200 metres.

• A professional pilots watch with advanced hybrid GPS technology for absolute precision.

Presenting the G-Shock Gravitymaster GPW-1000. Made to resist the world’s most challenging environments.

Super LED Light

For more detail information, please visit world.g-shock.com/hybrid

Entry-Level Mechanicals Entrée into the Horological Lifestyle For centuries, the mechanical watch was the only way to tell time. From when it was introduced in pocket watches until the 1950s and ‘60s, there was really no other choice (other than a water clock, an hour glass or a sundial).

Then came the electric watch (remember the Hamilton Ventura?) and then quartz, which almost succeeded in killing the mechanical watch industry completely.

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Luckily, some mechanical watch companies persevered, continuing to manufacture automatic and hand-wound movement watches in the face of the popularity of the quartz watch.

Then, in the ‘90s, the pendulum swung around and mechanical watches became extremely popular once again. Certainly, quartz watches exceed mechanical watches in terms of volume, but when it comes to value and price point, mechanical watches are very much in the lead.

Though it doesn’t get as much press as more expensive or complicated watches, one very important segment of the watch industry is the opening-price point, or entry-level, mechanical watch. This a very broad segment, because for some companies, like Fossil or Swatch, their opening price point for a mechanical watch might be just over $100, while for other companies, like Jaeger-LeCoultre or Patek Philippe, the opening price point is in the thousands or tens of thousands of dollars.

For this report, we are going to focus on watches that are often customers’ first foray into mechanical watches.

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Definition of a Mechanical Watch First off, let’s define mechanical watch: some customers think a mechanical watch is a handwound watch, but in truth, a mechanical watch is any watch, hand-wound or automatic, that keeps time mechanically (not electronically, like a quartz watch).

First Mechanical Watches Most customers start their watch life with a quartz watch, then graduate to a mechanical watch. Some companies target this customer exclusively, while others have entry-level offerings then hope that their customers climb the ladder of their collection.

A company like Tudor has affordable high-quality Swiss-made mechanical watches as its core business - 100% of Tudor’s offering is mechanical. On the other hand, Baume & Mercier has a mixture of mechanical and quartz, and the

company strives to keep its prices affordable on the mechanical side.

“Baume and Mercier prides itself on offering a wide assortment of men’s and ladies’ mechanical timepieces that are luxury within reach,” says Rudy Chavez, president, Baume & Mercier North America. “This has always been our mission for we know that many of our watches are either given or received as gifts to commemorate personal milestones, so the timepiece must be of the highest quality and yet accessible in terms of price point.

Many customers learn to appreciate the finer points of mechanical timepieces at an early age and often build a watch wardrobe over time that can include special one-of-a-kind and more complicated timepieces. But all must start somewhere so offering this segment presents the consumer an opportunity to own a piece of history and technical know-how for a few thousand dollars.”

Hamilton, thanks to the power of the mighty Swatch Group, is a leader in mechanical watches

T BIG CROWN PRO PILOT by Oris

“To us the entry-level is important because we address a lot of first time buyers for traditional Swiss watches. Working on economies of scale and innovation are the key to maintaining prices at an affordable level for us at Hamilton.”

Sylvain Dolla, president, Hamilton Worldwide

O Heritage Ranger

by Tudor T Promesse

by Baume & Mercier and DS Podium Chronograph

by Certina

priced 500 – 2,000 Swiss francs. “To us the entry-level is important because we address a lot of first time buyers for traditional Swiss watches,” says Sylvain Dolla, president, Hamilton Worldwide. “Working on economies of scale and innovation are the key to maintaining prices at an affordable level for us at Hamilton.”

Certina, also in the Swatch Group, focuses on the entry-level as well. “In order to use and to assure the capacity of the important industrial base of our group, it’s important to have brands which are in a volume price segment,” says Adrian Bosshard, president, Certina. “Additionally, it’s a fact that especially in China and other Asian markets automatic watches are the main segment in the Swiss watch industry. Additionally we feel that in Europe as well, the automatic watch culture is growing more and more.”

Why the Industry Needs Entry-Level Mechanical Watches Not everyone is going to jump right in, buying a Cartier or Vacheron Constantin timepiece. Very rarely is a high-end watch going to be a first watch purchase, so the industry has to provide affordable entries into the mechanical world.

Oris is a brand that has a reputation for value,

and 100 per cent of its collection is mechanical. “Everyone has to start somewhere…not everyone is going to buy a $10,000 watch right off the bat,” says V.J. Geronimo, CEO North America, Oris Watches. “There are people who can afford nice things but also appreciate good value. We are many times the ‘starter watch’ for the collector or for that person who wants their first really nice watch.”

Entry-level products are often the stepping stone to more expensive timepieces. “The entrylevel segment represents a great opportunity for the entire watch industry,” says Sascha Moeri, DEO, Carl F. Bucherer. …Continued online Entry-level mechanical watches frequently give the first taste of how a watch maintains time with moving parts, a mechanism with a heart. However, pricing is critical and many consumers need educating about the benefits of a mechanical movement.

These points and a dozen major brands are discussed at: www.watch-aficionado.com

watch aficionado | 13

MOVEMENTS

who will succeed ETA?

From 2020, Swatch Group will be allowed to stop supplying third party clients with ETA movements. For Sellita and Soprod, the two biggest alternative manufacturers of entry-level and mid-range Swiss made calibres, the stakes are high. Probing the heart of Swiss watches.

A number of movement specialists attended the most recent EPHJ trade fair, which took place in Geneva in June, including Technotime, Vaucher Manufacture and Dubois Dépraz. However, two were notable by their absence: Sellita and Soprod, the biggest producers, in terms of volume, of Swiss made alternatives to ETA’s workhorses. Historically, according to various estimates, the Swatch Group subsidiary accounts for almost three-quarters of the standard mechanical movements produced in Switzerland (i.e. 5 to 6 million units). Very few alternatives exist for entry-level and mid-range watches, particularly at less than 200 francs per unit. André Colard, co-founder of the Swiss microtechnology fair, which this year brought together around 825 exhibitors from the watchmaking, micromechanics and medical technology sectors, explained: “Soprod was there last year. As for Sellita, at the moment they have no particular need to advertise.”

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14 | watch aficionado

Perhaps the two manufacturers had other things on their mind. There is little doubt that their eyes are firmly fixed on a certain date: 2020. They have been under a great deal of pressure in recent years. After numerous steps forward, reversals and re-evaluations, last October the Competition Commission (Comco) and Swatch Group finally reached an agreement which in effect affects the entire watchmaking industry. According to the exact terms of the deal, “the obligation to supply mechanical movements will remain in effect up to 31 December 2019.” In 2014/2015 ETA is to deliver 75% of the average number of units sold between 2009-2011; this drops to 65% in 2016/2017 and 55% in 2018/2019.

The company is also obliged to treat each of its clients “in an equal fashion”. …Continued online An in-depth look at what Swiss movement manufacturers Sellita, Soprod, Technotime, Vaucher, Concepto, Horlogerie Schild, Leschot, La Joux-Perret, Dubois Dépraz, Chronode and Eterna are doing to ensure alternative sources for movements now that the Competition Commission and the Swatch Group have agreed to a 2020 cut-off date for supplies.

For a comprehensive and pertinent look at who the watch brands can turn to for their movements in the future, go to:

www.watch-aficionado.com

Are In-House Movements Important?

Lately, in-house movements are all the rage.

Since the Swatch Group/ETA started talking about limiting supply, many watch companies have developed their own movements, making them in-house.

Due to the high investment needed for movement development and the relatively small volume, in-house movements necessitate a premium in price. So, given the increase in price, are in-house movements important? Well, it depends on who you ask...

Frédéric Wenger, CEO of Arnold & Son “In-house movements certainly matter, especially in highend watches. The reason is the exclusivity but also the fact that in-house movements can be an integral part of the watch’s design and characteristics. In such a case, the movement is designed from scratch to perfectly fit a design of the watch that was defined before creating the movement. This is how Arnold & Son works and what sets it apart from most watch brands.

“At the end of the day, a good watch is not only defined by knowing if every single component was made in-house, but much more by its overall aesthetics and functionality as well as through its quality. Therefore, the whole discussion about in-house vs. supplier movement is often a little artificial and misses the point.

“We should never forget that at the end of the 1970s, when many brands went bankrupt, many of those brands had their own manufacture movements and too high costs. History might be in the process of repeating itself for some brands (…)” …Continued online Frédéric Wenger, Guillaume Tetu, Sylvain Dolla, Eric Loth, Serge Michel, Manuel Emch, Larry Boland, Christophe Claret and Jérôme de Witt discuss the pros and cons of creating movements rather than purchasing them from a supplier at: www.watch-aficionado.com

Service experiences where the rubber meets the road at the retail level – part 2 We continue our survey of the best and worst of customer services as experienced by the customer-facing retailers with the second part of the article that started in Europa Star April/May issue.

Read the full report on www.watch-aficionado.com

TOURNEAU Ira Melnitsky

Tourneau is one of the world’s biggest retailers, with 33 stores scattered throughout the US. During BaselWorld, we had the opportunity to sit down with this famous retailer’s chief executive officer, Ira Melnitsky, to talk watches, retail and the watch industry in general.

Europa Star: How was BaselWorld?

Ira Melnitsky: We saw a lot of grey dials, and we saw a lot of traditional pieces. We saw pieces from brands reinforcing their identity, which is really good for us. I think the introductions on the whole were very exciting for our business. Our largest brand partners, like Rolex and Patek Philippe, had really great introductions, the type of product that our team gets enthusiastic about.

We are fueled by the excitement from the teams in Basel and by the time we return to New York we are already receiving emails from our clients in the US, asking about the new product.

How is business?

IM: Business is healthy. We had a very strong March, and it was a good 2013 for us. We are optimistic. The timepiece business is good for us. We gained market share within the United States and the start to 2014 has been stronger than last year.

At Tourneau, the presentation and importance of the larger brands is more important than ever. …Continued online An interview with Tourneau’s CEO in which he discusses their success, the value of in-house training for the sales people, management style, choice of brands and the importance of after-sales service. To read the complete article go to: www.watch- aficionado.com

What is Driving Online Interest for the Luxury Watch Industry’s “High Range” Brands?

The WorldWatchReport™, the leading market research in the luxury watch industry, evaluates 62 brands at all levels of the luxury spectrum from haute horlogerie to entry-level. As the media often tends to focus on the top end of luxury brands, this article takes an approach focused on the more accessible brands, and in doing so have uncovers insights related to what’s driving the market.

In the report, brands are categorized into five categories. These are: Haute Horlogerie, Watch and Jewelry, Couture, Prestige, and High Range. Thanks to the contribution from several watchmaking industry specialists (media, brands, retailers), the following criteria have been taken into consideration to define these categories: brand positioning, core price range, and the competitive environment.

A zoom in on the High Range category, which features brands such as Baume & Mercier, Bremont, and Ebel, allows us a deeper glimpse at brands that are capturing the public’s attention, and a share of their wallet. (…) Read on www.watch-aficionado.com

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