Talk Like A Watch Pro - The Big Comeback!

Okay, it's been a minute, but after putting on The HYPE a few months back, I am happy (and you are no-doubt relieved) to know that Watch Town still has the ability to generate its very own unique lexicon.

I will be providing a refresher, but first? Some new bon mots that will have you talking and feeling just like the big boys and girls in Watch Town -

"Deep South"

The direction retail prices go when your production exceeds your sales actuals by 500% or so. We all get these emails - "Last chance for huge savings!" A multitude of reasons are offered, but long story short? Someone over-spent their allowance and mom and dad aren't happy about it. As that other great commentator on the watch business (Michael Douglas as Gordon Gekko) would remind us - 

"The key to the game is capital reserves. If you don't have enough, you can't piss in the tall weeds with the big dogs."

"Nickeled for a dime" i.e. someone sold you a nickel for a dime

It's an expensive proposition to participate in a watch show, particularly in NYC. Approximately $8,000 USD will get you enough space to place a tray full of watches on a "modest" sized table while half of humanity lazily strolls past your booth. This, of course, is great news for alternative shows...

"New investment"

Someone's buying, someone else is selling. No more, no less.

"Nobody likes to hear that their baby is ugly"
Translation?  When you are asked - "What do you think of our novelties?"  You are really being asked - "Could you please offer an affirmation that this watch is great?"

"I'mGonna'stan"
A fictional country that is more a place of the imagination than an actual reality. I'mGonna'stan is a magical place where everything will happen soon, like tomorrow, and tomorrow never arrives.  

"Pick Your Poison"
Translation - you're screwed either way, and I don't really care.

"My friend"
Translation - You fucking asshole.

"You're just like the Tin-Man"
Translation - You've got no heart.  Usually reserved for sales managers just before they are "freed up to pursue new professional opportunities".

"We don't cover brands like that"
Translation - Pay me, and then maybe we'll cover you.

"Our writers are very busy, but a sure way to promote your brand is through a sponsored post!"

See above.

"We're a small, independent brand and can't afford advertising"
Translation - My best friend's spouse works for another media outlet and we already pay them. We're not going to pay you now, or ever, but you should still make time to cover us because, you never know ; )

"We don't make any decisions regarding marketing, sales or advertising during (insert BaselWorld, SIHH, JCK, etc.), but shoot me an email in a few weeks and we can follow-up then."
Translation - Of course we make decisions at BaselWorld, SIHH, JCK, etc., we just have no desire to listen to, consider or entertain any proposal that you might be offering.  But! Here's a nice paper tote bag and an outlandishly heavy catalog (filled with poor spelling and grammatical errors)!  Thanks for stopping by!

What I've Learned - The Morning After Edition

Over the past few days, news has slowly trickled out about the most recent round of layoffs at Hodinkee, that by joyful coincidence have come just in time for the holiday season. While I suspect a few luminaries are still sunning themselves by the banks of Lake Geneva, the reality of what is really going on is tightening more than a few sphincters as all of Watch Town's great and good go through duty free picking up their giri (that's Japanese for duty, Gaijin!) gifts including toys and chocolate for the youngsters. Probably more than a few of these fine guys and gals will be updating their resumes and considering going into some other field that is not as dependent on the willing suspension of disbelief in the light of woefully unsustainable business plans. Lucky for them, liquor is still free on most international flights, which should make for a more focused cover letter upon sobering up Monday morning.

So the party, for many, is over. For many others, it's clear that the band has gone home, and the cleaning staff are starting to get a wee bit grumpy.  And this is true for the watch business and watch media business as a whole. Hodinkee just happens to be the canary in the coal mine.

So as much as I hate my prognostications being proven right (albeit years after making them) here goes. I will be calling on the help of several other notable watch industry experts, so here goes -

What I've Learned - The Morning After Edition

“The key to the game is capital reserves. If you don't have enough, you can't piss in the tall weeds with the big dogs.” 

Michael Douglas as Gordon Gecko in Wall Street.

So as I mentioned yesterday, +$40,000,000.00 doesn't seem to go nearly as far as it used to. To be fair, Hodinkee is not guilty of anything more or less dumb than what many Swiss watch brands have done (and will continue to do). They simply assumed that hiring a LOT of people, launching (in retrospect) an ill-advised watch insurance program, and doubling down on a fairly dubious move into online retail would pay off. 

And curious to relate? They have been forced to go to the well on more than one occasion to top-up the tank. And as I said, this is no different than innumerable Swiss watch companies. Money is always a problem. If you don't manage it, it will manage you. And Hodinkee is not the only erstwhile media company that has been drop-kicked through the goal posts of ill-advised retail. And if those two missteps weren't enough...

"Even Napoleon had his Watergate"

Yogi Berra

Hodinkee's Last Layoff

Now keep in mind, that was back in September. We are now just over 2 months later, and if the rumors are true, this might have resulted in further cuts in terms of headcount than in the previous round. Those who will say don't know, and those who know won't say. It's all well and good to point the bony finger of blame at a seemingly great acquisition gone wrong. But the fiscal realities staring them in the face comes down to more than mere buyer's remorse. Crown and Caliber, in hindsight, might have been an ill-advised purchase. But the deeper question is what really drove that purchase? Let's hope more than ego.

"Always remember why you bought the club (Company) in the first place."

Barry Hearn - The 10 things I learned from owning a football club.

In fairness, I suspect that owing a piece of Hodinkee was a pretty attractive proposition. It even caught the eye of The Wolf in Cashmere. And you never know, it might be attractive enough in its new, "value proposition" (sorry, too soon?) condition that if there is another "Arnault the Even Younger" out there looking for a youth-training opportunity, LVMH might pump in another round of investment and parachute another offspring fresh off a Berlitz English class to take the helm. But the truth in all of this is pretty sad when you think about the many people now out of work. And in fairness, I do feel bad for the founder, one Mr. Clymer. Now in all candor, I think we have met exactly twice, and I think it was equally unmemorable for both of us. Well, probably more unmemorable for him as I am sure that he has no memory of either instance ; )

But at the same time, I also find my sympathy challenging to balance. This is a guy who, after all, came from UBS, and was not one to hide his light under a bushel. But the real test now is how Hodinkee pivots. Hopefully in a positive direction.

"You've been drinking too much of your own bathwater."

Henki

As a middle aged man I think I can say this with some authority. Every man thinks he's good looking and has a great sense of humor. And the watch media business is, by and large, a sausage fest. If we are being honest about things, Hodinkee has not been living in reality. $40,000,000.00 seems like a lot of money, but when you live beyond your means, it can be gone pretty quickly. Jack Forster, Jon Bues, Cole Pennington - you may remember them from such roles as: "Editor - Hodinkee." 

They have come and gone. Whether these departures were the result of fiscal concerns remains to be seen (or said). There are some loyalists still in the fold, so we shall wait, and we shall see. But the bottom line is that sustainability is key whether you are running a lemonade stand, or a media/retail venture.

Now beyond anything else, the latest issues at Hodinkee are a bellwether for the watch media business as a whole. One large watch media outlet has apparently done some front-office redecorating with their (now former) US Editor seeking pastures greener. Others are struggling to balance commerce with editorial. It is a tough needle to thread, balancing editorial with commerce. It's an even tougher needle to thread when you have myriad investors expecting a positive return on said investment.

The Man Who Corrupted Watch Town - Coming Soon!

A modern re-telling of The Man Who Corrupted Hadleyburg.  As I realize that many readers here are not from the US, and even many of my American readers are not fully versed on Mr. Twain's short piece, here is a link with a synopsis:
https://en.wikipedia.org/wiki/The_Man_That_Corrupted_Hadleyburg

The Man Who Corrupted Watch Town is coming soon, stay tuned!

The DOXA SUB 200 and the GPHG - Some Inside Baseball

So with the latest press release from DOXA, I am starting to get the sense that the folks now responsible for the SUB bought a bulk package of press releases and need to use them up before the introduction period expires ; )

This one is somewhat interesting, if not only for the slightly goofy copywriting.  I will give you the press release first, just as it was received this morning, then we'll sift through the tea leaves to get a handle on what it might really mean.

Courtesy of DOXA

DOXA SUB 200 in the runningfor the Grand Prix d’Horlogerie de Genève 2019

in the “Challenge” category

For its first participation in the Grand Prix d’Horlogerie de Genève (GPHG), the global watchmaking industry’s annual celebration of creativity and excellence, Swiss brand DOXA (celebrating its 130th anniversary this year) is both pleased and humbled to see its legendary SUB 200 chosen for the official preselection in the “Challenge” category.  

DOXA SUB 200 goes on the GPHG World Tour Australia,

Asia, Latin America, Europe...the travelling exhibition showcases the 84 watches of the Official Preselection.First stop: Australia, a key growth market DOXA looks forward to engaging as part of an international redeployment strategy.

DOXA’s SUB watches still remain a reference in the field of legendary diving watches in watchmaking history. And the legend lives on.

At Baselworld 2019, DOXA celebrated the brand's 130th anniversary with a new edition of the famous DOXA SUB 200 in steel. Originally launched in 1967, the revolutionary SUB concept became the first truly purpose-designed diving watch for the general public. Besides being rated to a depth of 300 meters, it was the first to feature DOXA’s patented unidirectional rotating bezel with the dual indication of dive time in minutes and depth in meters to avoid decompression stops for a safe return to the surface. A legend in its own time, the SUBs was instantly recognizable because of its orange dial, also a first for a diver's watch, contrasting with the conventional black or white dials available then.

An authentic vintage character

True to legend, today's SUB 200 is still a three-handed diver's watch with a case made of 316L stainless steel of the highest quality. With a diameter of 42 mm, it is topped by a sapphire crystal that takes on the distinctive shape of the domed plexiglass used back in the day. Water-resistant to 20 ATM, about 200 meters, this model features a unidirectional rotating sapphire bezel. Distinctive features of this series: a velvet black dial with baton-type hands, applied indexes and elements on the bezel, all of which are coated with Super-LumiNova® beige “Light Old Radium” to accentuate the authentic vintage character. The SUB 200 is powered by a Swiss Made ETA 2824-2 automatic mechanical caliber and held on the wrist by the iconic DOXA “beads of rice” bracelet, also made of 316L steel and featuring a folding clasp with diving extension.

Okay, so one important piece of Inside Baseball for your fine readers - 

It is not as if that August body of judges and commissioners of the GPHG are out there, pounding the horological pavement, scouring the horizon for the latest and greatest of the watch world.  Want to be considered for the GPHG?  You fill out an application, and YOU send CHF 500 (for administrative fees and expenses), along with your application, and not entirely unlike the "Who's Who" sales pitch, you will be instantly part of the big time.  Okay, that's not entirely fair.  The "Who's Who" is a well known scam - Who's Who Scam
And I want to be very, very clear - I am in no way saying that the GPHG is a scam.  

BUT -

What makes a true competition is not the ability to nominate and promote yourself.  Especially when you have a perpetually constant group of judges who despite the claims of only retaining a small percentage from year to year, tend to continually be recycled and appear in that capacity more frequently than Madonna did on MTV in the 80s.
Put Gregory Pons on the list of Judges?  Then maybe I can take it seriously.

But then again, the watch world is full of interconnected interests like media, advertising and marketing.  And the GPHG is a nice shiny thing to show off.

We will wait for November, and who knows? Maybe DOXA's first foray into the GPHG will be a winner.


But what I find fascinating is the relentless repetition of the same message -
DOXA had an amazing BaselWorld and the watch world is awash with excitement and demand.

So let's hop into the Way-Back Machine and revisit those thrilling days of yesteryear.  Most specifically?  BaselWorld 2008.  The team (and yes, part of that team was yours truly), opened up several accounts across the US.  It also bears mentioning that within 18 months we had to close several of those accounts due to the manner in which those stores were representing the brand.  Deep discounting was the least of it.  Let's just say that it was not unlike being a parent sending your child off to summer camp, and finding out that they got hustled by a pimp when they were trying to change buses at the Port Authority in New York City.

And don't get me wrong, at that moment in 2008 we were crowing like the rooster that made the sun rise.  But as I have come to learn after 12 years of involvement in this business on every side of the BaselWorld booth, it's easy to get excited about potential retail partners.  The only thing that will really matter is whether or not those retail partners can sell the watch, and do so in the manner that you, as the brand, hope that they will.

To be clear, there are a LOT of us who want to see DOXA succeed and finally become a mainstream player.  But maybe, just maybe, if they could stop repeating the same message about how much demand there is.  

It sounds a bit needy.

Waiting for Biver...

“Estragon: We always find something, eh Didi, to give us the impression we exist?

Vladimir: Yes, yes, we're magicians.” 


Samuel Beckett, Waiting for Godot

So...

To be very clear, I am not a mind reader, soothsayer or knower of "unknowable" things.  But I like to think I am a pretty good judge of actions and motivations.  If you have not yet, I strongly encourage you to check out the excellent Hourglass video interview with Jean-Claude Biver -

Jean-Claude Biver / Hourglass

Let's hop in the "not-so-wayback" machine to where it was announced that due to health concerns, Jean-Claude Biver was stepping aside from his full-time responsibilities at LVMH.  At the time, many of my colleagues in the Fourth and Fifth Estates theorized that this was indeed the end.  Being the contrarian that I am, I bet the other way.

And while I am not calling the other participants in the office pool to collect yet, I am fairly certain I might be seeing some extra walking around money coming my way shortly.  If you watch the interview carefully, (hell, you don't even need to watch it that closely) you will see a physically and (again, let's be honest) emotionally different person than you heard from in the months previous.  In the interview, a lot of the conversation was about how passionate Mr. Biver is about watches, about his need not necessarily to work, but to do something he is passionate about.  And I gotta' be honest, he looks good... Tony Robbins good!

But I am not here to sanctify him, because the interview also revealed some of the contradictions that he presents. His comments on his special jury prize from the GPHG were telling.  He starts out genuinely touched and moved, and then the darker side creeps in as he mentions that he has felt that some of the people in the industry are (or have been) jealous of him and not necessarily liked him.  I am paraphrasing here, but you get the idea.  He also mentioned that he was touched that he still received a standing ovation, and that (again, paraphrasing here) folks put aside their feelings about him and recognized his contributions to the industry.

Now normally, you might just mention that you were chuffed, be gracious, accept your award and move on.  But if I am reading the tea leaves correctly, I think that this is a bit of a James Brown riff to  get ready for a "how 'ya like me now" moment in the near future.  Mr. Biver has a lot of achievements, and has done great things in the industry.  But having been on the receiving end of some of his less-than-warm and fuzzy feelings, I will simply say that I am not buying absolutely everything that is being sold here.  

I suspect that we will see him back in the next few weeks / months with something new.  And I certainly wish him Godspeed and the best of luck.  For better or worse, the industry needs its stars, and at the moment his is the biggest.  And as I said to some folks when asked just following his "semi-retirement" announcement back in September, I would be more surprised if he didn't come back with a new/different brand than if he stayed retired.  In the end, we are all our own person and we have to be true to ourselves.  And let's be honest, the press and fans love to follow him.  Personal feelings aside, the man has charisma, and his achievements speak for themselves.  So we will watch, and we will wait to see what he decides.

“Let's go." "We can't." "Why not?" "We're waiting for Godot.” Samuel Beckett, Waiting for Godot

Michelin Stars for Watch Brands

With many of my colleagues gearing up for the salubrious back-rub known as the SIHH, I found myself reflecting once more on the notion of "watch journalism" and when we take that second word into account - journalism, does it really still exist?  When it comes to watch, luxury and fashion coverage?  Well that is where the lines seem to be constantly (and increasingly) blurred.  

Many brands seem to have "groomed" certain outlets (or perhaps it is the outlet that has groomed them?) to where the outlet has become a bit of an echo chamber for brand's PR and marketing departments.

For some outlets, it is a (sorry) brazenly clear attempt to get whatever they can from the brand in question.  For some brands?  Well, they have the budget and they play in the same pig-pen, so they simply view this as a cost of doing business.  But for the other, smaller brands?  Well it becomes harder and harder to survive.  When the self-described "Shit that Killed Elvis" online outlet demands a free watch or cash payment in exchange for a review of your product BEFORE they even agree to do the review?  Well, it becomes clear that two things are happening -

1.  The outlet is operating from a place of avarice, not information dissemination.

2.  It is highly unlikely that you will be getting any sort of honest review, because it has (to a large extent), been bought and paid for.

And yes, if you're reading this you grasping, rapacious guys and girls, I hope that you are blushing.

And as I sat thinking about all of this, I was jolted back into reality by David Chang's podcast (WHICH I HIGHLY RECOMMEND), in which he and a guest discussed the possibility of evaluating professional athletes on the same scale as the Michelin Guide and I thought if you could do it with basketball players, why not watches?

For those of you unacquainted with Bibendum's guide to fine dining, (and in all honestly I was in that group) as I now understand it, one star signifies "a very good restaurant", two stars are indicative of a restaurant with "excellent cooking that is worth a detour".  And what everyone strives for, the much vaunted three stars?  "Exceptional cuisine that is worth a special journey".  And this is not a one and done exercise, as the Michelin Guide is updated every year.

And that other interesting thing that makes the Michelin Guide so intriguing as a review model?  It's anonymous.  Only the publisher's of the guide know who their reviewers were.

Think about that for a moment or two. 

So would it be possible to set up a similar type of system?  Sure it would!  Imagine this:

1.  An independent association is set up that will liaise with both the brands and the journalists/bloggers/influencers out there.  

2.  The Association will work with an ever-evolving and changing group of reviewers.  Many of these will be well-known writers and video personalities.  But just who they are and which group was responsible for reviewing the brand's watch will be unknown.

3.  The people evaluating the watches will be recused from participating in any review of a brand with which they have any sort of relationship beyond neutral.  If they are a "friend of the brand" (which happens, and I am a "friend" of a few), if they are doing any ancillary work for the brand (ditto), they they would not participate in the review process of that particular watch.

4.  At least 3 people would participate in the review, which would be based on "real life/real world" review priorities that would be important to "real people" that might actually "really buy" a watch and "really wear" it.

5.  Each reviewer would send their feedback based on a scoring system previously set forth that would ensure a systemic process that would also ensure anonymity.  

6.  The association would then tabulate the review, provide some summary commentary, and provide the model with a score from 1 - 3 stars.  ASSUMING that the watch merited even the 1 star.  

Now here's the funny part - you could still run this as a service that can charge fees while still remaining independent.   The brands would would pay a nominal fee to participate in the review process.  That fee would cover the shipping and insurance of the watch to be shipped first to the association, then on to the reviewer, then back again.

The association could put out a large format magazine 4 times per year (to ensure a timely presentation of the review).  And they could even sell advertising because, again, there would be no way to enforce a "Pay to Play" model for reviews as they would be anonymous.

And best of all?   It would still leave room for everyone out there currently writing and broadcasting about this stuff.  It would simply offer a different perspective.

Now I can already hear:

"But contests already exist to award and recognize the best!"

Well, again, yes and no.  There are contests that a brand can pay to enter.  And the "great and good" of the watch world will fly to Switzerland, pour themselves into formal wear, and hold forth in a solemn event.  But that is not a review, is it?  It's more of a beauty pageant.

 

 

Here's To The Crazy Ones...

One of the great privileges of writing about the watch industry is you get to meet some genuinely nice and interesting people who are working to create a brand, maintain one, or in some cases?  Bring it back from the dead. 

These are folks that have never sought out the spotlight.  They come in early, they stay late.  They answer the phone when a call comes in.  These are the people you don't read about, you don't see them on the red carpet.  But they are there.

These are also the people that, had they been dealt a better hand at the big poker game?  Or (if we are honest) had a more mercenary approach?  They'd be running "big boy" brands, rolling in cash and swimming in champagne.  

These are also guys and gals that tend to do whatever it takes to ensure that even in bad times, employees will be taken care of.  But these are also the folks that when they put down their chips and place their bets?  They tend to do it with their own money first.

I have a great, great deal of admiration and respect for these brand owners.  It is no small feat to be a mid-level director or employee for a watch brand.  I do not make light of that.  But to gain that experience, then to find a struggling brand, put your money on the table to buy it, and make a go of not just running it, but saving it from certain extinction?  That's some pretty salty stuff!

I realize that these are not the people you will be seeing at the GPHG, they will not be featured by the "elite" watch journalists because, well, it's not like they are going to spend any REAL advertising money, are they?

And that is why it really sucks when despite all of the effort, the reality of the business steps in.  Even with their best efforts, new investors coming in, a LOT of enthusiastic customers and potential customers out there, they just can't make a go of it.

With the big boy brands and the big boy egos involved in this business, I talk a lot about the "Transfer Window".  This is mostly due to the way that the industry has hyped up the image of being the CEO of a watch brand to similar levels of being a professional football player.  Seriously - have you ever seen a consumer magazine for toothpaste?  We all use toothpaste (hopefully) but it doesn't tend to lend itself to the passion and fan worship that exists out there for the leaders of the watch industry.  

But there is a parallel watch industry reality.  One where brand owners and CEOs are not worried about finding a new car partner so that they can have a sexier company car, or making enough in bonus to finally pay off their third home in the south of France.  This parallel watch world is filled with normal people, leading normal lives.  People working hard trying to make a dream come true without the benefit of multi-million dollar investment funds.  People pursuing what in then end turns out to be an unfulfilled dream.

But I hope that some of these dreamers that have been "transferred out" will dust themselves off and get back in the game.  This is a business that can lead to some extremely cynical behavior on every side of the BaselWorld booth.  Trust is hard to come by, and motives are frequently questioned and doubted.  The industry needs some more dreamers, and a few less egos. 

I'd like to leave you this morning with a quote from Steve Jobs that is often re-shared by my friend Rod Hess:

Here's to the crazy ones, the misfits, the rebels, the troublemakers, the round pegs in the square holes... the ones who see things differently -- they're not fond of rules... You can quote them, disagree with them, glorify or vilify them, but the only thing you can't do is ignore them because they change things... they push the human race forward, and while some may see them as the crazy ones, we see genius, because the ones who are crazy enough to think that they can change the world, are the ones who do.

Steve Jobs

 

The Men Behind the 57260 - Winners of the Special Jury Prize

Here's the news, straight from Vacheron Constantin -

Courtesy of Vacheron Constantin

The Special Jury Prize at the GPHG 2015 was awarded to Jean-Luc Perrin, Yannick Pintus and Micke Pintus, the three watch makers behind the Reference 57260

Courtesy of Vacheron Constantin

 Per Vacheron, these are the same three that won the Aiguille d'Or Grand Prix ten years ago for the Tour de I'lle.

Courtesy of Vacheron Constantin

A Pair of Awards for MB&F!

It's not every year you win an award at the GPHG.  So first and foremost, congratulations to Maximilian Büsser for winning the Public prize at the Grand Prix d’Horlogerie de Genève. 

Courtesy of MB&F

But it would seem that not just the public, but also the experts agree, as he was called up on stage again, not to take a bow, but to receive the Best Men's Watch!  The Legacy Machine 1 (LM1) it seems is the people's choice, and the experts as well!

Courtesy of MB&F

And a silly little detail - according to industry experts, this is the first time the same watch has received both the public and professional award for best watch!

Congratulations to the MB&F team!

www.mbandf.com