Haven't they heard about the crisis ?

 

How do these entrepreneurs view their position within the curent situation and what are their aspirations for the future ? We offer three separate examples.

Bédat is back

 

The (alphabetically) first name on the list has nothing left to prove and had not shown up on the watchmaking stage for the past three years. Christian Bédat has experienced all three phases of a classic entrepreneurial career: first as a staff member at Raymond Weil; then as the designer and co-founder of Bédat & Cie; and subsequently as a partner of the Gucci group that bought up his brand. He therefore allowed himself plenty of time to think about his situation, to devote himself to sports as well as to friends and family, and to simply switch off from the watch industry. Nonetheless, he was haunted by an idea that had been in the back of his mind ever since the start of his career: how can one forge a brand image without engaging in frenzied escalation? "That's exactly what the automotive industry successfully did with the Fiat 500: a model with a strong personality that was not particularly cheap yet still very affordable."
Convinced that it is indeed possible to offer style without taking prices through the roof, he is resolutely moving off the beaten track and doing the exact opposite of the watch industry's generally acknowledged principles by using internet as a key ally; equipping watches with quartz movements, and openly sourcing production in Asia. And to top it all, he is launching the brand first in the United States and Japan, the markets most hard hit by the current crisis. "I could easily open up 500 points of sale in the United States thanks to the retail network I have there, but my watches are sold exclusively via the internet." Christian Bédat justifies this choice by various factors: the large number of potential buyers; consumers accustomed to online purchases; and his reputation in these countries which should make it easier to get editorial coverage. 
Determined to keep the brand completely financially independent, he is not planning on making any initial advertising investments. The red8world.com website, named after the brand which appears on the dial instead of the traditional Swiss Made inscription, has been operating since September and offers 11 different models. "This is definitely not a "horological" brand, but instead a lifestyle brand with a whole world waiting to be discovered on the website (created in Korea). Nonetheless, watch production is still my strong suit, so I'm starting with that." 
He already has a stock of 5,000 timepieces produced in Hong Kong, sold at the same price worldwide (880 US$) and deliverable by Fedex within 24 to 48 hours. His Red8 watches are distinguished first and foremost by their red crown and the words engraved on the messagebearing bezel. "These messages play an important role in the community spirit I want to create and spread through the net." The models are certainly attractive and should appeal to a broad range of potential customers, since Christian Bédat has not lapsed into a cheap or shoddy approach. So what are his goals? "I don't have any, nor do I have a business plan, since I am primarily committed to maintaining a pleasant private life. In fact my wife is my associate in this venture. I am taking things as they come. You never know, if the buzz starts to spread we might end up selling several tens of thousands in the USA right from the very first year..."

Old school
 

A world away from this avant-garde concept, Manuel Zanetti and Germann Aeschler craft their custom-made, one-of-a-kind models by hand and are planning to sell them door to door as of this winter, for prices starting at CHF 80,000. "We want to make our Guer Man brand known in the way things were done 30 years ago, before the advent of the internet", explains Manuel Zanetti, who has been designing watches for other brands for the past 30 years. 
Two years ago, this multi-talented watchmaker, engineer, management school graduate and case-middle specialist met designer and engraver Germann Aeschler on the premises of one of their mutual clients. Their association has now given rise to a first range of watches inspired by nature and distinguished by an artistic extrapolation expressed through the sculptedwooden presentation box and pedestal that are just as important as the timepiece itself. "We use fossilised wood for the bezel or dial: the gold smelting and machining is done in-house and it takes us four months from the time of order through to actual delivery of the watch."
The businessmodel is pretty clear-cut: the two associates produce only what they sell and so far have no overheads, although they are nonetheless currently looking for a sales representative. "Our watches will not be shop windows, but if retailers should wish to set up a meetingwith their customers so as to introduce themto Guer Man, that could probably be organised. After three decades in the watch industry, I am acquainted with many devotees of fine watches".

 

 

Lofty ambitions
 

On an entirely different scale, another tandem composed of Christian Viros (who shaped the destiny of TAG Heuer from 1988 through to 1999 when it was bought up by LVMH) and Vincent Perriard (who trained at Audemars Piguet and was the moving force behind the C1 Gravity by Concord), is giving itself 18 months to relaunch the Technomarine brand.
A minority shareholder since 2007 and Chairman of the Board of Directors, Christian Viros has now appointed Vincent Perriard as CEO and is looking to give Technomarine a new face that is reassuring to the industry at large. "We have recruited Steven Cohen (ex-Corum and Ebel executive) in the United States, Jean-Marc Loubier (ex-Louis Vuitton) on the Board; and Philippe Cros (ex-Piaget) to handle production. There are plenty of opportunities to be seized during this crisis and our majority shareholder (the Chronos investment fund) has given us the means to achieve our ambitions."

 

Vincent Perriard specifies that the current 60-strong team will be reinforced by a dozen newcomers, and that he is looking for premises better suited to the image they aim to give Technomarine. "In a first phase, we are redefining the brand DNA, and then we will streamline its products and its retail network, while opening up markets from which we are still completely absent, such as Italy and Japan. At Baselworld 2010, Technomarine will be ready to introduce itself in a whole new light", says Vincent Perriard, pointing out that that the company is still profitable, even though sales have slowed. "We plan to double turnover over the next three years and triple it in five yearsí time, particularly through increasing the average price by around 20%. Within two years we will be completely SwissMade, and especially at Baselworld 2011 you can expect to see some spectacular new products."
The dynamic pair plan to build on the Cruise line that is synonymous with the heyday of Technomarine, when it became the first watch brand to combine plastic with diamonds; as well as to capitalise on their know-how in the field of concept brands created in conjunction with talented partners. The serial branders are back.