Story Highlight
– Watches of Switzerland Group heavily focused on luxury timepieces.
– Luxury watches account for 82% of turnover, jewellery 13%.
– New retail concept links watches and jewellery stores.
– Shift towards multibrand retail may boost jewellery sales.
– Increased female customer focus could enhance sales growth.
Full Story
Watches of Switzerland Group (WoSG), renowned for its prestigious timepiece offerings, including notable names like Goldsmiths and Mappin & Webb in the UK, as well as Mayors and Betteridge in the US, exhibits a substantial reliance on luxury watches, which account for 82% of its revenue. In contrast, jewellery sales, while representing a smaller fraction at 13%, are noteworthy against a backdrop of the company’s total group revenue of £1.83 billion, indicating potential for expansion.
The current financial landscape reveals a challenge for many Swiss watch brands, along with constraints in the supply of Rolex timepieces. This context presents WoSG with a distinctive opportunity to enhance its jewellery segment, which has seen growth but still lags behind watch sales.
Historically, watches and jewellery have been closely linked in the retail sector, particularly among family-owned businesses such as Pragnell, David M Robinson, and Laings. National chains like Beaverbrooks and H. Samuel also maintain this tradition. However, Goldsmiths has increasingly focused on watch sales in recent years, leaving its jewellery offerings somewhat overshadowed.
Brian Duffy, CEO of WoSG, has repeatedly highlighted the growing significance of jewellery within the group, although tangible progress towards a more balanced sales distribution has been gradual. Over the past few years, the contribution of luxury jewellery has risen from 8.5% in 2020 to its current 13%, aided by the acquisition of Roberto Coin’s distribution business in North and Central America in 2024.
Recently, WoSG launched an innovative retail concept in a Philadelphia suburb, where a Watches of Switzerland store operates alongside a Mayors shop. While each outlet maintains distinct branding and entrances, they are interlinked internally, allowing both customers and staff to transition seamlessly between watch and jewellery offerings.
This evolution in retail strategy echoes the longstanding practices of family jewellers and reflects a significant shift that could reshape the market across both the US and UK. After a focus on attracting male customers through luxury watches, this approach may position women as a more central demographic, thus bolstering sales in jewellery and fostering growth in the women’s watch market.
Furthermore, the profitability of gold and diamond sales is generally higher than that of many watch brands, suggesting another motivation for this shift.
While changes within WoSG’s retail strategy are still developing, the momentum towards multibrand and multisector environments appears to indicate a broader trend within the luxury market that could reconfigure how watches and jewellery are sold in the future.
