15 December 2008
Luxury watch and jewellery companies remain confident about their growth prospects despite the global financial meltdown and are particularly bullish about the Middle East market.
Piaget of Switzerland, for example, recently opened outlets in Dubai and Abu Dhabi and is planning more in Bahrain, Kuwait and Qatar. And a further demonstration of the firm's commitment to the region is the launch of its website in Arabic.
"We wanted to extend our reach and proximity with our Arab clientele by having Piaget's corporate website in the language of the region," Global CEO Philippe Léopold-Metzger told Emirates Business.
Has the downturn in the global economy hit your company's sales?
It is too early to get a clear picture but so far our growth has remained steady in the Middle East.
Do you expect the slowdown to have an impact in the future?
As with every crisis, the serious and long-term oriented brands should sail safely through.
How big is the Middle East market for Piaget?
The region is a key market for Piaget's high-end watches and should soon account for 10 per cent of our global sales. The UAE and Kuwait are our strongest markets in the Middle East. However, in terms of global sales it is North Asia, especially China and Taiwan, that dominates the scene and is our number one market.
Any forays into new countries in the near future?
We are already present in most of the countries in the region. However, the opening of new boutiques in every major city is our key objective in the long run. We recently opened boutiques in Dubai and Abu Dhabi and plan to open stores in Bahrain, Kuwait and Qatar.
Why did you decide to launch a website in Arabic?
The internet is the key today in terms of providing information and communication, so Piaget wanted to extend its reach and proximity with its Arab clientele by having its corporate website in the language of the region. Even though more and more people speak English fluently in the region, it is for us a courtesy extended to our Arab clientele to enable them to discover the Piaget world in their own mother tongue. Exhaustive effort has gone into building the website - it took nine months of technical development with 90,000 words being translated into Arabic.
Is this website something you have done only for buyers in the Middle East or do you also have websites in the local languages of other markets?
We try to be close to our clientele so websites in Chinese, Japanese and Russian, among others, already exist. We have a total of nine languages, which is exceptional. It is a proven fact that whatever your skills in a foreign language, when you have a choice you always choose a website in your mother tongue. The results for the Arabic website after one month are amazing, it accounts for 50 per cent of internet traffic in the region.
What is your core growth strategy?
Boutiques are the best development factor for the brand. We have 65 boutiques worldwide and are targeting 100 over the coming three years.
Any plans for new product launches in 2009?
Yes, the Salon International De La Haute Horlogerie that will be held on January 19 in Geneva will witness a major launch for the brand for the male market as well as a new jewellery watch concept. In the Middle East, the absolute favourites are the Limelight jewellery watch collection, the Black Tie technical line and the Piaget Polo transversal line.
Where do you see Piaget five years from now?
Consolidating its success and position as a master in watchmaking and jewellery.
Has there been a big change in watch and jewellery trends?
Yes, a new attitude has emerged - more sophisticated products are worn with a more casual approach.
There are many high-end jewellery and watchmakers in the market. How has this competition affected you?
Fair competition always pushes us to respect the motto of Georges Edouard Piaget, who founded the company in 1874: "Doing always better than necessary". We live by this motto.
Profile: Philippe Léopold-Metzger, Global CEO, Piaget
Philippe obtained an MBA at Chicago's Kellogg School of Business and began his career as product manager at chemicals group American Cyanamid. He entered the luxury goods sector in 1981, when he joined Cartier in Paris as product manager.
He has remained within the Cartier-Vendome-Richemont family ever since. He has shouldered responsibilities in several companies in the group, including a spell as President of Cartier Canada.
In 1992, he began his stint at Piaget as the corporate second-in-command, involved in sales, development and marketing. He set up the company's first boutiques and in 1996 moved to Asia as Managing Director of Cartier-Asia Pacific, heading five key subsidiaries.
Philippe was appointed CEO of Piaget at the end of 1999. His period of leadership has seen the inauguration of a new manufacturing centre in Geneva. Under his guidance, Piaget has preserved the historical skills and technical expertise on which its reputation was built.
Luxury watch and jewellery companies remain confident about their growth prospects despite the global financial meltdown and are particularly bullish about the Middle East market.
Piaget of Switzerland, for example, recently opened outlets in Dubai and Abu Dhabi and is planning more in Bahrain, Kuwait and Qatar. And a further demonstration of the firm's commitment to the region is the launch of its website in Arabic.
"We wanted to extend our reach and proximity with our Arab clientele by having Piaget's corporate website in the language of the region," Global CEO Philippe Léopold-Metzger told Emirates Business.
Has the downturn in the global economy hit your company's sales?
It is too early to get a clear picture but so far our growth has remained steady in the Middle East.
Do you expect the slowdown to have an impact in the future?
As with every crisis, the serious and long-term oriented brands should sail safely through.
How big is the Middle East market for Piaget?
The region is a key market for Piaget's high-end watches and should soon account for 10 per cent of our global sales. The UAE and Kuwait are our strongest markets in the Middle East. However, in terms of global sales it is North Asia, especially China and Taiwan, that dominates the scene and is our number one market.
Any forays into new countries in the near future?
We are already present in most of the countries in the region. However, the opening of new boutiques in every major city is our key objective in the long run. We recently opened boutiques in Dubai and Abu Dhabi and plan to open stores in Bahrain, Kuwait and Qatar.
Why did you decide to launch a website in Arabic?
The internet is the key today in terms of providing information and communication, so Piaget wanted to extend its reach and proximity with its Arab clientele by having its corporate website in the language of the region. Even though more and more people speak English fluently in the region, it is for us a courtesy extended to our Arab clientele to enable them to discover the Piaget world in their own mother tongue. Exhaustive effort has gone into building the website - it took nine months of technical development with 90,000 words being translated into Arabic.
Is this website something you have done only for buyers in the Middle East or do you also have websites in the local languages of other markets?
We try to be close to our clientele so websites in Chinese, Japanese and Russian, among others, already exist. We have a total of nine languages, which is exceptional. It is a proven fact that whatever your skills in a foreign language, when you have a choice you always choose a website in your mother tongue. The results for the Arabic website after one month are amazing, it accounts for 50 per cent of internet traffic in the region.
What is your core growth strategy?
Boutiques are the best development factor for the brand. We have 65 boutiques worldwide and are targeting 100 over the coming three years.
Any plans for new product launches in 2009?
Yes, the Salon International De La Haute Horlogerie that will be held on January 19 in Geneva will witness a major launch for the brand for the male market as well as a new jewellery watch concept. In the Middle East, the absolute favourites are the Limelight jewellery watch collection, the Black Tie technical line and the Piaget Polo transversal line.
Where do you see Piaget five years from now?
Consolidating its success and position as a master in watchmaking and jewellery.
Has there been a big change in watch and jewellery trends?
Yes, a new attitude has emerged - more sophisticated products are worn with a more casual approach.
There are many high-end jewellery and watchmakers in the market. How has this competition affected you?
Fair competition always pushes us to respect the motto of Georges Edouard Piaget, who founded the company in 1874: "Doing always better than necessary". We live by this motto.
Profile: Philippe Léopold-Metzger, Global CEO, Piaget
Philippe obtained an MBA at Chicago's Kellogg School of Business and began his career as product manager at chemicals group American Cyanamid. He entered the luxury goods sector in 1981, when he joined Cartier in Paris as product manager.
He has remained within the Cartier-Vendome-Richemont family ever since. He has shouldered responsibilities in several companies in the group, including a spell as President of Cartier Canada.
In 1992, he began his stint at Piaget as the corporate second-in-command, involved in sales, development and marketing. He set up the company's first boutiques and in 1996 moved to Asia as Managing Director of Cartier-Asia Pacific, heading five key subsidiaries.
Philippe was appointed CEO of Piaget at the end of 1999. His period of leadership has seen the inauguration of a new manufacturing centre in Geneva. Under his guidance, Piaget has preserved the historical skills and technical expertise on which its reputation was built.
By Reena Amos Dyes
© Emirates Business 24/7 2008
