SWITZERLAND/US. The Swatch Group, the world’s largest watch company, has announced a new retail partnership to open a chain of watch stores in premium outlet malls across the US with Tourneau, the world’s biggest watch store.
In a statement, Swatch said the joint venture, under the trading name Tourneau, will include “pioneering watch stores in several luxury outlet malls in the US and signals a new chapter in the relationship between the two industry titans and within the watch category overall”.
Commenting on the partnership, Tourneau CEO Robert Wexler said: “It is common to find many luxury brands at premiere outlet malls around the US. We are delighted to be taking the watch category into this arena offering a multi-brand experience in partnership with The Swatch Group’s many brands.”
The Swatch Group CEO Nicolas Hayek said: ” American consumers love our brands. Tourneau has since long been one of our strong partners in the US and the opportunity to open multi-brand outlet stores looks more than promising.”
While no leases have been procured yet, plans for the joint venture include targeting the major luxury outlet malls outside New York City, New York, Los Angeles, California, Las Vegas, Nevada and Orlando, Florida.
Swatch Group’s key 2005 figures
In separate news, The Swatch Group announced its key figures for 2005, with gross sales up +8.3% to a record CHF4,497 million. Net sales were up +7.8%.
The company said it turned in a “brilliant performance” in its core business of watches and jewellery.
Growth surged by over +50% in the jewellery sector. A record operating profit of CHF735 million and a high operating margin of +17.1% were also achieved.
Net income climbed by +21.3% to CHF621 million.
The company reported a promising start to 2006 and described the outlook for the current year as optimistic.
About Tourneau
Tourneau is the world’s largest watch store, as recognised by the Guinness World Records. Since Tourneau’s establishment in 1900, the family-owned business runs both Tourneau and Tourneau Watch Gear stores across the US and throughout the Caribbean in the most exclusive shopping venues. Tourneau is one of the top producing, speciality retailers per square foot. The company’s strategy is to grow the luxury watch market as a whole. Visit www.tourneau.com
About The Swatch Group
The Swatch Group is the largest manufacturer and distributor of watches and jewellery in the world. Its watch brands are Breguet, Blancpain, Glashütte-Original, Jaquet-Droz, Léon Hatot, Omega in the luxury and prestige segment; Rado, Longines, Union in the high-end range; Tissot, Calvin Klein, Certina, Mido, Hamilton, Pierre Balmain in the middle range; Swatch, Flik Flak in the basic segment; and Endura. Visit www.swatchgroup.com
MORE STORIES ON THE SWATCH GROUP
Swatch Group buys sports timekeeping specialist – 07/02/06
Luxury demand boosts Swatch Group; inks Mango deal – 03/02/06
Brand showcase: Swatch Winter Sport Collection 2006 – 06/01/06
