In the latest update of the Vogue Business Watch Index, a slowdown in the industry is becoming apparent. While 2024 showed a mix of financial performance with growth for Rolex, Cartier, and Patek Philippe, most other brands experienced declines. However, the growth momentum came to a halt in 2025. The Federation of the Swiss Watch Industry reported a 0.1% decrease in global Swiss watch exports in the first half of the year, driven by declines in Asia-Pacific and offset by growth in the US. Nevertheless, the recent gains in the US market might be short-lived due to the impact of new tariffs. Following the imposition of 39% tariffs on the Swiss market, exports to the US dropped by a fifth in August. Brands that heavily invested in the region could face risks.

Despite the industry slowdown, the rankings of the 20 brands featured in the Vogue Business Watch Index have remained relatively stable. The top three brands—Cartier, Omega, and Rolex—maintained their positions, while Tag Heuer made a significant leap into the top five, replacing Chopard. Patek Philippe and Audemars Piguet were among the biggest climbers, moving up five places to eighth and 12th, respectively. On the other hand, Chopard, Jaeger-LeCoultre, Hublot, and Breitling each slipped two positions.

Interestingly, consumer sentiment remains optimistic despite market caution. Average purchase intent has increased by 2% over the past year, driven primarily by Audemars Piguet, Cartier, and Zenith. The perception of brand heritage and design has also improved, indicating that value perception influences demand more than price itself. While some aspirational shoppers may face affordability challenges, affluent buyers are displaying resilience, with 19% of watch consumers willing to trade up for more expensive products in case of price hikes. However, 22% stated they would opt for cheaper alternatives, underscoring the diverse behavior of watch consumers.

This resilience is bolstered by the high net worth of watch consumers, with 19% reporting household incomes exceeding €300,000. Innovation also plays a crucial role in attracting consumers. Unique collaborations in sports and culture have propelled IWC up the innovation ladder, while Cartier’s exhibition strategy is yielding positive results. Rolex and Patek Philippe, despite limited innovation, maintain strong consumer positioning, ranking first and fourth for consumer sentiment, respectively, compared to 17th and 18th for innovation.

Digital marketing has emerged as a vital tool for watch brands to enhance their cultural relevance and stand out in a crowded space. Beyond the traditional Western celebrity endorsements, brands are now focusing on regional talent partnerships, resulting in increased engagement. Tag Heuer teamed up with K-pop sensation San, while Montblanc collaborated with Turkish actor Kerem Bürsin and Thai star Suppasit Jongcheveevat (Mew) over the past year.