What relationship does the smartwatch have with the traditional watch and is it anything like smartphones and “traditional” phones? Here’s Jacob Newman reporting for Macworld on how smartwatches out-shipping traditional watches:
Traditional watches aren’t likely to go away, as there will always be some appeal in a timepiece that’s simpler, more dependable, and not at risk of obsolescence. It’s also unclear if high-end smartwatches like the $10,000-and-up Apple Watch Edition can truly compete with the luxury Swiss watch business. Still, the explosion in smartwatch shipments shows how much opportunity exists to reach people who don’t care for mechanical watches, and should serve as a wakeup call to the big Swiss brands.
The watch market is complicated because you can win a $1 watch in a carnival game and some watchmaker’s cheapest watches are $100,000. The point is that while I would never wear a traditional watch for utility (because my phone tells time, of course) and I’d never wear a smartwatch for fashion (because even though Apple are trying, it’s still a nerd’s toy), I think many people share this experience (but feel free to express dissent here). Both of these points are diluted by two facts, however:
- a mechanical watch at the same price range as a smart watch will likely last forever, giving it way more utility in one crucial metric; and
- Apple are pushing the Apple Watch as a fashion and luxury device.
Perhaps this will hurt Apple in the long run as fashions change and people realize their $20,000 Apple Watch is only good for a year (or maybe that’s a benefit for people in that stratum of wealth). However as market leader and beautiful-product-maker they’ve really led in setting the fashion of technology in the past, so perhaps it will not hurt them.
High-end watchmakers shouldn’t fear encroachment from smartwatches because people don’t buy a $10,000 watch for its utility: much like Apple fans are often mocked for by fans of other products, with high-end mechanical watches, it’s about the brand.