IWC

SJX
[Purist]
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Multi-brand stores and boutiques

Many retailers of luxury goods, not just watches, were hard hit by
destocking by multi-brand stores in the recession. Those brands operating
their own stores fared better, so Louis Vuitton did all right but not TAG
Heuer, even though both are part of LVMH. To use a handbag analogy, only the
very top brands in the segment, like Louis Vuitton and Hermes, can afford to
sell largely through their own network of stores. Celine, Lancel and Bottega
Veneta can't do that.

For watches, while I am sure more monobrand boutiques will emerge in the
future in Singapore and the region, for all but the most preeminent brands,
the boutiques will be image builders rather than actual sales volume
generators, though boutiques may sell more top-end, very expensive stuff to
foreign buyers than retailers. No watch brand makes numbers public but
multi-brand retailers still generate the bulk of sales for most brands.

Though if the profile of the clientele changes as the casino resorts open in
Singapore with more tourists, boutiques may make more sense for brands.

- SJX