AP CEO : « I don’t need four walls to sell you a watch tomorrow »

kov · Aug 11, 2020

Audemars Piguet CEO François-Henry Bennahmias is planning for a “dematerialization” of retail where you do not need four walls to sell a watch.

Mr Bennahmias is convinced that some of the behavioral changes among consumers during lock down will be permanent, and is looking at how AP can adapt to the new normal.

source : https://usa.watchpro.com/audemars-piguet-ceo-says-watch-retailers-do-not-need-stores/

My take on that is that it’s easy to come up with whatever game changer BS, when you don’t need to sell your products as the demand is higher than the offer, by far. 😒

Omega, IMHO, could certainly not afford closing down their boutiques and shifting sales over the web exclusively - what do you guys think?

abrod520 · Aug 11, 2020

Sorry, I'll need to try them on. There have been so many watches I would not have even considered if it were not for them catching my eye during a swing through a Boutique or AD.

janice&fred · Aug 11, 2020

kov
My take on that is that it’s easy to come up with whatever game changer BS, when you don’t need to sell your products as the demand is higher than the offer, by far.

I couldn't agree more. Why spend on maintaining boutiques when there's people in line to buy already? Who will be next? Rolex? Patek?
Sounds like the world pandemic crisis is merely a convenient way to alter the way they do business and cash in.

airansun · Aug 11, 2020

I can’t remember the last time I walked into a store and bought a new watch.

Actually, I don’t think I ever have.

😲

Edit: I did come close one time, in the Caribbean, while on a cruise. Six months later, bought the same watch on eBay for 30% less

2nd Edit: The watch, of course.

(This thread needed a watch photo here!)

ajn3323 · Aug 11, 2020

This is our new reality. Virtual tools will become better as well. I’d rather put my hands on it too before I buy but the post-Covid world will have us doing more purchases remotely - even expensive ones. Heck we are already buying most pre- owned watches this way.

Note how new and pre-owned vehicles are already being delivered to our homes.

OmegaP99 · Aug 11, 2020

abrod520
Sorry, I'll need to try them on. There have been so many watches I would not have even considered if it were not for them catching my eye during a swing through a Boutique or AD.

The Tesla model could work well, have a showroom with physical items present for those who wish to get hands-on. Ship the untouched, brand-new item directly to the buyer. Still, some people surely want instant gratification so maybe a hybrid showroom, like Apple, you have test items out front and can still take home a physical piece if you like. That creates the issue some of us have with needing to see the exact piece we are buying, and sometimes comparing between multiples of the same model to see which one is the one to take home.

michael22 · Aug 11, 2020

The world has gone full circle, & travelling salesmen will make a comeback. I will like to see what kind of "horse drawn cart" AP & the like come up with.

RonJ · Aug 11, 2020

I like this idea.
Especially if they will ship you a demo watch to try for 48 hours, then ship back, and then ship you your completely-new watch.

Car dealers have started doing this. I've been offered to take a new car home for a weekend and let the wife drive it.
I think the car dealers know that, if you're interested enough to take one home, you're ready to buy one.

.

abrod520 · Aug 11, 2020

OmegaP99
The Tesla model could work well, have a showroom with physical items present for those who wish to get hands-on. Ship the untouched, brand-new item directly to the buyer. Still, some people surely want instant gratification so maybe a hybrid showroom, like Apple, you have test items out front and can still take home a physical piece if you like. That creates the issue some of us have with needing to see the exact piece we are buying, and sometimes comparing between multiples of the same model to see which one is the one to take home.

The Apple model is actually a really good idea, especially if you could keep demo versions of low-production models on hand. It'd be great to actually go handle a steel Royal Oak even if they'll inevitably never have them in stock.

OmegaP99 · Aug 11, 2020

RonJ-in-VA
Car dealers have started doing this. I've been offered to take a new car home for a weekend and let the wife drive it.
I think the car dealers know that, if you're interested enough to take one home, you're ready to buy one.

We did that at a dealership I worked at back in the early 90's. You're exactly right, it's to lure you in. I would deliver a Cadillac Allante or Mercedes SL to a banker or jeweler on Friday and pick it back up Monday morning. Also the same with loaner cars today, there's a reason you get placed in a brand new vehicle usually similar, or one step above, what you arrived in. Dealers I'm accustomed to will usually try to match you to a car like you dropped off, so a G-class owner won't be stuck in an A-class for example.

arturo7 · Aug 11, 2020

The only thing I hate worse than shopping is shopping online.

OmegaRody · Aug 11, 2020

In his bussiness perspective as a CEO he needs to think like that because the moment requires. I hate when people says "new reality" "new normal" as this is going to pass as any other pandemic there had been. Boutique and store shopping cannot be left behind in this watch business.

RonJ · Aug 11, 2020

OmegaP99
We did that at a dealership I worked at back in the early 90's. You're exactly right, it's to lure you in. I would deliver a Cadillac Allante or Mercedes SL to a banker or jeweler on Friday and pick it back up Monday morning. Also the same with loaner cars today, there's a reason you get placed in a brand new vehicle usually similar, or one step above, what you arrived in. Dealers I'm accustomed to will usually try to match you to a car like you dropped off, so a G-class owner won't be stuck in an A-class for example.

Interesting insight. I used to have an Audi S5 convertible and when I took it in to the Audi Dealer for service, they'd give me an upscale Audi as my "loaner". One day, I got an A8L and they showed me how to work the massaging seats. And guess what I now own? Yep, an A8L with the massaging seats. 😀

.

JwRosenthal · Aug 11, 2020

RonJ-in-VA
Interesting insight. I used to have an Audi S5 convertible and when I took it in to the Audi Dealer for service, they'd give me an upscale Audi as my "loaner". One day, I got an A8L and they showed me how to work the massaging seats. And guess what I now own? Yep, an A8L with the massaging seats. 😀

.

If I dropped off my 14 year old A3 which hasn’t had a bath in 2 years, they would give me a bicycle as a loaner.

I had a ‘73 BMW 3.0cs for many years. I drove it to my local dealership around 2006 to pick up some parts while I was in the area. Parking was full near the service department so I pulled it right into an empty spot in front of the showroom. When I came out about 20 minutes later, there was a salesman and customer standing in front of my car, the salesman pointing to a new 3 series coupe, and the customer was pointing to my car. There was no way that salesman was going to win that sale.

Evitzee · Aug 11, 2020

For years the top independents like AP and PP swore you couldn't sell the top end stuff by internet, you needed to develop a relationship between the seller and buyer. And shortages, particularly in the RO line, became commonplace. Then they started cutting out the ADs and went to a Boutique sales method (more juice to the manufacturer). Now a head snap saying, 'we'll take your $25k and sell you an AP via eCommerce'. This will last as long as the Covid hysteria lasts, when it ends it will be back to buying at their boutiques.

drhombus24 · Aug 11, 2020

arturo7
The only thing I hate worse than shopping is shopping online.

Many, including myself are the opposite

OmegaP99 · Aug 11, 2020

JwRosenthal
If I dropped off my 14 year old A3 which hasn’t had a bath in 2 years, they would give me a bicycle as a loaner.

Until a few years ago Mercedes-Benz provided basic free roadside to any Benz owner, and if you needed a tow they would take you to the nearest dealer at no cost. I miss that service as they saved me from dead batteries a couple of times. Today, Lexus will still come and pick up your car of any age from your own driveway and leave you an appropriate loaner, and switch them back when the work is finished. Here at least you need to schedule it a few weeks in advance because of the popularity, so better suited for regular maintenance than emergency repairs.
Gotta keep this watch related... some AMG Mercedes come with IWC clocks!

noelekal · Aug 11, 2020

If I'm going to make a big ticket purchase I want to see it. We bought a piffling new refrigerator the other day. We wouldn't even order it out, but had to go see the models, make comparisons, and take our measure of relative quality.

No way will I purchase a new watch of consequence online.

Capt Cave Man · Aug 11, 2020

I will happily buy my tech, white goods, appliances etc. on-line without having the need to see and touch. There are plenty of sites who have reviewed these items as well as Which in the UK who list the top x based on their tests and reviews etc.

I will to some extent do the same with shoes, clothes etc. as I know my style and these can be easily returned if they don't fit as expected.

For items such as a new bed, furniture, car or watch, sorry I'd want to touch it, drive it, try it on the wrist, compare models etc. only then, I would consider buying on-line.

A boutique, dealer, some sort of bricks & mortar is still required for new IMHO.

JwRosenthal · Aug 11, 2020

I do love the concept of the boutique, and I enjoy visiting my AD of many brands primarily for their estate case (amazing stuff in there- they take in trades). But if these companies do it right by offering a 24hr inspection or 30 day money back- no questions asked, it can work in their favor. Sure there will be those who abuse the policies, but for the most part- once someone has it in their home, they are less likely to return it or second guess and walk out of the store- never to return. Going direct to customer could be the future for sure.