Sales of luxury timepieces were impacted heavily in 2020 as retailers were obliged to close their physical stores during the lockdown period. Luxury timepieces are typically bought in-store as customers wish to see and experience them before buying due to the value of high-end watches such as Rolex.
Despite stores reopening following the strict lockdown period from March to May, sales growth for luxury timepieces in 2020 was hampered by a sluggish economy in Canada, reduced international tourism, a lack of online availability of luxury watch brands, and the health and safety measures implemented by retailers which include curtailed opening hours. For example.
In July 2020, Jaeger-LeCoultre unveiled its first corporate-owned boutique in Canada, at the Yorkdale Shopping Centre in Toronto. Yorkdale Shopping Centre houses a number of luxury timepiece boutiques including Breitling, Cartier, Hublot and IWC Schaffhausen.
While luxury timepieces will see strong growth rates in 2021 and 2022, sales are not expected to recover to pre-COVID-19 levels until at least 2023. Sales in 2020 were hit hard as a result of the economic effects of the pandemic, and consumer confidence to spend on big-ticket items such as high-end watches will be slow to recover.
In the forecast period, e-commerce is expected to gain more prominence in the distribution of luxury timepieces in Canada, particularly for luxury brands such as Gucci with products available online at relatively accessible price points. For example, luxury department store Holt Renfrew has 65 SKUs of Gucci men’s watches available online, starting at CAD760.
Luxury timepieces are discretionary items, and thus the predicted slow economic recovery and lack of international tourism will continue to weigh on growth rates in Canada in the forecast period. Pre-owned luxury watch retailers with online operations made inroads into the market in the review period and are expected to benefit in the forecast period as consumers who want luxury watches but are mindful of budgets look to the pre-owned market.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
Understand the latest market trends and future growth opportunities for the Luxury Timepieces industry in Canada with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Luxury Timepieces industry in Canada, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This report originates from Passport, our Luxury Timepieces research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page