It seems that nothing and no one is impervious to the digital wave that’s sweeping across businesses around the globe, including the world of horology. The Peak speaks to leaders of the watch industry to better understand how this march towards digitalisation is making its impact on an area that prides itself on the rich history, careful mechanics and art of it all.
Fabien De Nonancourt, General Manager, Bell & Ross
Tell us what the digital landscape means to Bell & Ross.
I think digital is really important and, at Bell & Ross, we are proud because we have been active on the digital ecosystem for over 20 years. We were among the first few brands to make a website, launching ours in 1998. Our e-boutique has been running since 2008, so we already have 10 years of experience in e-commerce when it comes to Europe and North America. So, for us, digital is nothing new. We can see our competitors trying to catch up but we have been in this territory for a long time already.
What are the strategies you have employed with the online retail portion of the business and how will Bell & Ross move forward?
We think it’s important that the online portion remains complementary to the offline business. The two work together – you cannot do and not the other one, especially in this day and age. So, the next step for us is to expand and have the e-boutiques everywhere (around the world) and we are going to try to do it within a year. Currently, we are already in Europe and America, and working to move into Asia. The first point of entry will be Malaysia and Singapore, and because we already have subsidiaries there, it will be easier. We have already started operating the online store in Australia, so we are going to expand progressively and very quickly.
I think the e-boutiques are not just about selling the product online but also about displaying critical information for consumers to make a decision. What we noticed is that, previously, a customer used to go into the store five or 10 times to get information about the watch but, now, they do that online. However, most of the time the price of the watch is not displayed, so, in a way, the e-boutique also exists to give consumers that last piece of information. When they consider the price is right, then they go into the store to try it on and buy it. I doubt anyone will buy a BR03 square watch without trying it on.
Then who are the online customers?
People are buying more and more on the Internet for different reasons, but what we noticed when we look at Internet sales is that the advantage, really, is the concept of being able to buy anytime and anywhere.
When we look at the purchases, most of the people that are buying are those who don’t have a store nearby. Like in the US, sometimes they need to drive 200km to the nearest boutique. They have seen and tried the watch, but maybe didn’t buy it for some reason. Now, when they want to buy, they don’t want to drive all the way back, so they buy it over the Internet.
Another surprisingly group of customers are the ones buying watches at midnight or 2am. What this tells us is that these are the people who are busy and don’t have the time to go to the store.
Then, there is the third category – gifts. Say a man wants a particular watch as a gift and the lady – who already knows exactly what he wants – will just buy it in the most convenient way, which is online. This works the other way around as well.
Sometimes, however, you get a buyer which don’t fit any of these categories but still buy it online. We don’t know why but it happens.
What do you think comes next after this phase?
The next phase is the better integration of the two. Today, you have confrontation between off- and online, but I think the next step is to make the two work together. For example, you can order your watch on the Internet and still pick it up in the store. Or, you see the watch you like in the store and have it delivered to you because you don’t want to carry it.
