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Wall Street journal article about luxury goods

Walrus
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So on 26Dec WSJ has an article on sales of luxury goods in general but did mention watches. I found it interesting when the London listed retailer Watches of Switzerland estimated per capita sales of high end watches are around 1/3 the level of the UK, a gap it is working to change. They brought up a few possible reasons, we Americans love a good deal and don’t want to pay full price on many things. Another is the high cost of advertising as typically the its the older crowd buying these items so they need to use print and television ads in the US. In China the typical buyer of these goods is twenty years younger than the US.

The Chinese market is the most watched by these companies but the US is a close second. Found that stat on UK quite interesting and wondered if any UK members had any thoughts on that. Sorry I can’t link the article I actually read the paper version, old school
 
Deafboy
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Maybe Americans express their wealth by having a large house and two cars, not fancy watches...
Edited:
 
Walrus
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Deafboy Deafboy
Maybe Americans expose their wealth by having a large house and two cars, not fancy watches...
Certainly a sound theory but what makes them so popular in the UK. I don’t think everyone who buys these watches are trying to show off wealth, many, as evidenced here, just enjoy a nice watch.
 
Ryguy008
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As someone who’s studied international business - a lot cultural differences make luxury markets so different globally. As someone who is half Chinese - culturally they tend to dress to their class because of how high context their culture is - people see status symbols and assume status. It’s amazing how much culture influences ones life, and it’s hard to see your own culture without taking a step back and really thinking about it
 
Evitzee
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I just reread that article. America is a large country geographically and it isn't easy to reach potential buyers, most brands aren't even available in most places. I live in an area with about 3 million people yet there are no Audemars Piguet, Patek Philippe, or other top end brands available. And those makers seem to like it that way and concentrate their sales in their own boutiques on the coasts. Flyover country is ignored. Watches of Switzerland is dreaming if they think they can dramatically increase the sales of watches by using UK/European sales methods. Won't work. America is not a class based society and won't respond to that kind of marketing.
Edited:
 
GandOsDad
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vicsdca vicsdca
Britons may be more sophisticated. There's no dress code in the US. You can drop off your kids to school in your PJs. Try doing that in the UK or Europe in general.
When you wear an Omega watch in the US, most people think it's a Lululemon watch.
As someone who has lived in both, I have seen both....feel free to step off the high horse.
 
Walrus
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vicsdca vicsdca
Millions of Americans are forced to work two or three jobs just to survive. These folks are not going to buy luxury watches. Also, many rich guys would rather wear an Apple Watch.
So no one struggles in the UK. Good on them. I’m on a UK based boxing forum and I hear quite the opposite
 
joeshoup
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Deafboy Deafboy
Maybe Americans expose their wealth by having a large house and two cars, not fancy watches...

This is true in a sense, though the real issue is how large and diverse our country is. I would think of it as many different markets that all happen to be in the same nation state, making targeted marketing very tricky. Here in California there is a lot of money but a very casual culture. You may see someone wearing $3k worth of hiking gear to the office, but rarely a wool suit, rarely a nice watch. I spend time in Hawaii which, though even more casual, has a larger per capita market for nice watches - often worn with board shorts and flip flops!
 
STANDY
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Think there was only one place in Darwin that used to sell Tag Heuer watches that has closed down.
Not many places to buy watches slows people owning luxury watches so I can see @Evitzee s point above rings true.
 
Walrus
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vicsdca vicsdca
At least the British have universal health care. It makes a difference. Also, you would have to look at the percentage of people struggling in the UK vs the percentage of people struggling in the US.
Ok, tell me the percentage. I don’t think watches are about some class struggle or related to healthcare. I think they are separate issues. We have trillions in free healthcare here in the US. I think you are trying to bring politics into a discussion of watches which is a bit of a reach. By the way, what kind of watches do the royal family you pay for wear?
 
Evitzee
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Anytime you bring politics and religion into a discussion it usually goes downhill quickly. We need to stick to the important stuff, like reviving an ancient Omega chronograph movement, restricting production and charging folks a premium price for it.
 
Walrus
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vicsdca vicsdca
I live in SoCal. I've never lived in the UK and have no connection with the royal family but I think Prince William often wears the Omega Seamaster 300 given to him by his mother, Princess Diana.

I'm not into politics and apologize for some of the stupid things I said. I know they are not all true but I can't resist teasing my compatriots 😉 I thought a little humor would not hurt, but there's always someone who takes everything literally. I get that, we live in sensitive times. Cheers brother!
No it’s cool I’m all into humor. I thought you might be a Brit and I was curious. All is good.
 
03Hemi
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Deafboy Deafboy
Maybe Americans expose their wealth by having a large house and two cars, not fancy watches...
BINGO if paid for! Or a fat retirement savings plan and plenty saved up for emergencies.
Who cares how well the "Jone's" are doing, the Jone's are broke anyways.
A lot of us (Americans) don't assume visual trinkets as wealth, just the opposite with the wife and myself, it shows the probability of debt.
Is your house paid off?
Are you 100% debt free?
How much have you got saved for retirement?
And, how big is your emergency fund demonstrates true wealth to us.
Can you tell we're big Dave Ramsey fans?
 
Professor
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03Hemi 03Hemi
Is your house paid off?
Are you 100% debt free?
That's about all I have to brag about these days, home is free and clear and no outstanding debts. Even own some wilderness property so far up in the mountains that I haven't been there in over ten years (may just sell it next time I get a good offer). Otherwise I just squeak by, at least not losing ground.
I like a good to high quality vintage watch. I can't justify buying a high dollar prestige watch these days, too many sponging younger relatives draining my reserves.
In my younger days working construction and other manual labor jobs I usually had a good Swiss watch laying around but seldom wore it, throwaway Timex and later cheap digitals made more sense as no tears were shed when one bit the dust or just got a huge scrape on the crystal.
 
03Hemi
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vicsdca vicsdca
I'd rather enjoy life and live it to the fullest, even if it means ending up completely broke, rather than live my life in fear of running out of money. I don't care about being wealthy when I'm dead. As the Bard said, "Thou bear'st thy heavy riches but a journey, And death unloads thee"

That being said, I have no debts and never had any.
Being debt free is way ahead of the masses in todays world, huge congrats on that!
You don't have to live your life in fear of running out of money if you take care of it today, our only regret is we didn't start when we were in our twenties. If you're in your late 40s or 50s, it's probably too late, but we jumped on it in our 30's and was able to get ahead. We still buy what we want, when we want, go on nice vacations, etc.; we just budget for these things and always pay cash for everything. It's nice when "Murphy" pays a visit and it's just an inconvenience and not a monetary life tragedy.
 
Wryfox
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Deafboy Deafboy
Maybe Americans express their wealth by having a large house and two cars, not fancy watches...

Three cars, pal.....and a recreational vehicle. Here in florida people have Motor Homes more expensive than their house.
 
03Hemi
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Ain't noth'n better than investing boat loads of money in something that depreciates as fast as something on four wheels, all aboard? lol
 
kippyk
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I marvel at the money that my friends have wasted on stuff.

Clothes: $1,000-$3,000 shirts, jackets, etc. put on credit card until he declared bankruptcy.
Swimming Pool: $50,000 loan to put in a pool in Chicago! I tried to talk my friend out of it.

Boats! Multiple vacations every year for their bratty kids! Vacation homes! Private coaches (everyone has one evidently) for their unathletic kids! Multiple luxury cars on a lease.
 
Evitzee
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B-O-A-T = Bust Out Another Thousand

People will spend money on all kinds of things. Starbucks a couple of times a day - $15. Smoking a couple of packs of cigs - $15+. Expensive car (lease or own), etc, etc. Just depends on what appeals to you.
 
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