HERALD: How big is the wrist watch industry in India and what is the rate of growth?
ANUPAM MATHUR: With factors including increasing disposable income, Internet penetration, technologically advanced electronic gadgets and smart phones, the watch industry has witnessed an average CAGR of 7–8%. Amongst various segments the lifestyle and fashion segment is growing the fastest.
HERALD: Given that mobile phones now also give the time, has it affected your sales?
AM: Today, the watches have become one of the most important lifestyle accessory and also serve as the essential part of our lifestyle which are convenient to be carried around all the time unlike mobile phones where users have to carry charger, power banks headphones. With smartwatches, consumers can very easily read their notifications on their wrists and forego the need to carry their phones in their hands all the time. Thus, the benefits of watches with the advancement of technology are now more established.
HERALD: The younger generation considers a watch a fashion accessory. How often do you introduce new designs?
AM: As an American brand, we are extremely focused on innovating with time to offer our consumers the best in class products. We have a wide range of products that goes with every style segment. All our collection of watches mostly resonates with those young at heart and helps create a new fashion statement.
HERALD: What are the trends visible in the market?
AM: Watches are no longer a time keeping device but is rather considered as a fashion accessory that helps one to create a style statement. Today, we can see that there is more inclination towards the watches which not only look premium but also fashionable. An increasing number of premium global watch brands are entering the country, there is a huge surge of premium watch buyers in the country.
HERALD: Has the market been affected by demonetization and the introduction of GST?
AM: The GST has been one of the key things that have caught attention of the market. The escalation in tax rates (28%) shall bring value chain of local manufacturers under some pressure to maintain the ecosystem. The local manufacturers will be at slight disadvantage as compared to smart watch importers due to lower tax rate on smart watches. The comparison of competitive advantage of make in India vs import of watches needs to be re-examined. Overall, the watch industry may see a short impact on sales performance.
HERALD: How do you see the watch industry evolve in the next five years?
AM: The watch industry is expected to witness significant growth in future years. We believe that the purchasing power of Indian population will increase, thereby fuelling the growth of watch industry. We can also see that the demand of fashion and lifestyle segment will gain further consumer interest. With advancement of technology, advanced hi tech watches will hit the market luring new customers.
HERALD: What are the features of the Goa market?
AM: With adequate disposable income, there is a huge demand of lifestyle products in the Goa market. Consumers in this market are discerning and like to prefer international brands to enhance their fashion quotient.
HERALD: What are your expectations from the outlet that has been inaugurated in Panjim?
AM: The new launch is a part of brand’s expansion strategy across India and Goa is a priority state. Timex has always been focused on giving its consumers a world class experience through its after sale services. And this new launch is a step in that direction. Through this store, Timex aims to strengthen its foothold in the state and reach out to a new customer base, offering them leading watch brands, a great in store experience and after sales service. With growing demand for quality timepieces and after sale services, we wanted to offer an all in one store that meets expectations on a real time basis. We wish to make this store a one stop shop for consumers to buy timeless pieces and cater to all their needs.
