Tudor CEO Philippe Peverelli fears the luxury Hong Kong watch market may decline yet further this year.
In an interview with Bloomberg at the Baselworld watch fair, Peverelli said he fears Tudor Hong Kong sales may continue to decline as cashed up Mainland Chinese tourists choose to buy luxury goods in cheaper destinations.
On Tuesday, the Federation of the Swiss Watch Industry reported a 25 per cent decline in wholesale watch exports to Hong Kong in February, marking the 13th consecutive monthly drop.
Peverelli told Bloomberg Tudor’s sales had reached the bottom in the mainland, with demand starting to recover since the second half of last year.
“As for Hong Kong, I’ve never seen such a deep pool. We haven’t reached the bottom there yet.”
Last year, Tudor, sister brand to Rolex, achieved about 60 per cent of its total global sales from greater China – just five years earlier, that share was 90 per cent.
Responding to changing Chinese buying patterns, the company has now returned to the US and UK markets, and opened concessions in South Korean duty-free stores. It will soon enter Japan, where watch imports rose 22 per cent in February, according to the Federation figures.