Buddies, that luxury watch brand everyone knows is downsizing gradually. They’ve slashed store numbers from 395 down to 176! 🤔 Looks like a serious strategy shift is underway. What do you think’s behind this move? Changing consumer habits or digital taking over? What’s your take, fam? I bet it’s caught the attention of investors in the stock market too, but you know how it is—financial data doesn’t always spill all the beans. 👀 Drop your thoughts!
Luxury watch brand halves number of stores! What do you think the reason is?
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Honestly, this move to cut the luxury watch brand’s store count in half is exactly the long‑awaited strategy shift. I think the main reason is that digitalization has completely changed consumers’ shopping habits. In the past, “being seen” in those brand boutiques was part of the prestige, but now nobody goes to fancy stores to try on watches. People sit on their couch at home, watch reviews on YouTube, and order straight from online shops. So the revenue from physical stores is dropping while the costs have become unsustainable.
Also, the profile of luxury consumers has changed. Young people and the newly rich care more about experiences and digital presence than about ownership. The brand’s switch to a “fewer but higher‑quality locations” strategy, in my view, shows it’s focusing on higher profitability and brand value in the long run. I bet investors on the stock market are judging it more by gross margin and brand image growth than by sales figures. In short, closing stores and going digital cuts costs and lets the brand meet consumers exactly where they are.