{"id":14879,"date":"2025-09-15T11:10:48","date_gmt":"2025-09-15T05:40:48","guid":{"rendered":"https:\/\/www.kapoorwatch.com\/blogs\/?p=14879"},"modified":"2025-09-26T14:52:16","modified_gmt":"2025-09-26T09:22:16","slug":"will-tariffs-gen-z-and-dull-smartwatches-revive-the-accessible-luxury-watch-segment","status":"publish","type":"post","link":"https:\/\/www.kapoorwatch.com\/blogs\/will-tariffs-gen-z-and-dull-smartwatches-revive-the-accessible-luxury-watch-segment\/","title":{"rendered":"Will Tariffs, Gen-Z, and Dull Smartwatches Revive the Accessible Luxury Watch Segment?"},"content":{"rendered":"Reading Time: <\/span> 4<\/span> minutes<\/span><\/span>\n

Watchmaking has stood witness to humankind\u2019s greatest triumphs and its most challenging chapters. Be it Santos-Dumont\u2019s historic flights, the Space Race\u2019s daring innovations, or the Quartz revolution \u2014 watchmaking has seen the times change. And through these times, as global economic tides changed, so did the people\u2019s financial accessibility to watches.<\/p>\n\n\n\n

Beyond monetary matters, watchmaking\u2019s innovations in diving, modern aviation, and sports timekeeping have sparked fresh interest. <\/p>\n\n\n\n

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As new generations and enthusiasts step into the world of horology, they seek a starting point \u2014 or rather, a starting piece. This is where \u2018accessible luxury\u2019 finds its place. While this market segment has long existed, it is experiencing a bold renaissance today, fueled by several key forces.\u00a0<\/p>\n\n\n\n

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Firstly, What\u2019s \u2018Accessible Luxury\u2019?<\/strong><\/h3>\n\n\n\n

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I\u2019d best describe \u2018accessible luxury\u2019 as \u201ca slice of the cake, for a slice of the price\u201d.<\/p>\n\n\n\n

This market segment enables enthusiasts to enjoy a smaller, yet authentic, quotient of prestigious luxury maisons but at nearly entry-level price points.<\/p>\n\n\n\n

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It represents a shift in the luxury market, democratizing access to high-quality products, premium features, and experiences as the perfect \u2018middle market\u2019. Forbes describes this market segment as \u2018aspirational luxury consumers,\u2019 which was a growth ticket for luxury brands since the 2008-2009 global recession. According to reports, the personal luxury goods market doubled in size between 2009 and 2019, reaching $332 billion. Post-pandemic, as consumer spending power increased, this segment saw another dramatic burst, reaching $423 billion in 2024.<\/p>\n\n\n\n

The Value Proposition<\/strong><\/h3>\n\n\n\n

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Luxury watches<\/a> thrive on prestige and exclusivity. Yet, for the \u2018aspirational luxury enthusiast,\u2019 maisons like Jaeger-LeCoultre, Cartier<\/a>, or even higher-tier Omega<\/a> models often remain just out of reach \u2014 a fact that only heightens their demand. This audience craves the heritage and exuberance these brands represent, but their purchasing decisions are still rooted in a traditional \u2018value for money\u2019 mindset. \u2018Accessible luxury\u2019 watches bridge this gap of aspiration and accessibility. At its core, \u2018accessible luxury\u2019 watches offer a taste of heritage, craftsmanship, and design whose value isn\u2019t watered down by the price-cut \u2014 instead distilled into something authentic yet financially approachable. Take the Tissot PRX<\/a> or Longines Spirit<\/a>, for instance. Retaining the maison\u2019s signature codes and appeal, they pose as a perfect entry point into premium watch collecting. This category also serves as a smarter indulgence for value-conscious buyers, justifying the purchase as aspirational and practical with quality far superior to mass-market options.<\/p>\n\n\n\n

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Tariff Turmoils<\/strong><\/h3>\n\n\n\n

For over 15 years, the personal luxury goods market surged, reaching $423 billion in 2024, according to Bain. But its momentum was jolted in early 2025 when news of a hefty U.S. tariff on Swiss imports which struck the very core of Switzerland\u2019s watch industry. With the U.S. representing 16.8% of Swiss watch exports (largest market share at CHF 4.4 billion), the 39% tariff\u2019s enforcement from August 2025 forced an industry-wide shift. While American consumers are faced with steeper retail prices, the ripple will inevitably redirect demand into markets like Europe, Japan, and, of course, India. With Switzerland\u2019s new FTA with India (effective October 2025), long-standing duties on Swiss imports will no longer be a hurdle to consumers, potentially positioning India as a growth market.<\/p>\n\n\n\n

The Only Way is Up\u2026Or Is It?<\/strong><\/h3>\n\n\n\n

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Amid these turbulent times, the Federation of the Swiss Watch Industry\u2019s May 2025 export report revealed that mid-priced wristwatches (CHF 500\u20133,000 at export value) were the only price segment to hold steady, even as all other price tiers declined by an average of 11%. In the June 2025 report, this segment also recorded a 16% YoY surge. Call it a short-term spike, a long-brewing resurgence, or simply statistical luck \u2014 the accessible luxury segment is boldly regaining ground. Rooted in Swiss heritage, craftsmanship, and signature design yet offered at attainable prices, it emerges as a natural counterpoint to tariff-bloated mid-tier maisons like Omega or Cartier. Consumers who once stretched for higher price rungs will naturally recalibrate to Longines, Tissot, and TAG Heuer as accessible pathways to Swiss prestige.<\/p>\n\n\n\n

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The Gen-Z Effect<\/strong><\/h3>\n\n\n\n

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In 2025, the accessible luxury segment caters to an utterly disruptive generation: Gen Z. With admiration for horological prestige, their choices are guided less by status and more by authenticity, self-expression, and personal priorities. A 2024 Watchfinder & Co. survey revealed that Gen Z buyers<\/a> with real spending power would splurge an average of $10,870 on a watch. The wider group, however, is pulling back on extravagant spending, directing money toward savings, investments, or the thriving second-hand luxury market. Digitally fluent and deeply researched, Gen Z enters the market as the most decisive watch buyer to date. In contrast to an industry historically built on exclusivity, this generation leans toward inclusivity \u2014 a value that naturally draws them to mid-range and accessible luxury brands. Gen-Z prizes high-quality craftsmanship and regard timepieces as personal investments, however, their willingness to splurge is subject to seeing a clear value proposition.<\/p>\n\n\n\n

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The Decline of the Smartwatch<\/strong><\/h3>\n\n\n\n

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Smartwatches are sleek, functional, and designed for the future. But when placed against the mechanical and artistic excellence of watchmaking, they\u2019ll always fall short. Beyond the health trackers and \u2018connected\u2019 perks, they\u2019re simply pricey gadgets. And now, for the first time since their meteoric rise in 2015, the cracks are beginning to show. BBC reports the global smartwatch market slipped by 7% in 2024. Market leader Apple felt the hardest sting, with shipments plunging 19% \u2014 its sharpest decline to date.<\/p>\n\n\n\n

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There\u2019s no hard data linking smartwatch fatigue to luxury watch demand, but if consumers are drifting back toward traditional horology, it would hardly be a surprise. After all, while tech wears out, a well-crafted watch always endures \u2014 carrying heritage, emotion, and a soul no algorithm can replicate.<\/p>\n","protected":false},"excerpt":{"rendered":"

Reading Time: <\/span> 4<\/span> minutes<\/span><\/span>Watchmaking has stood witness to humankind\u2019s greatest triumphs and its most challenging chapters. Be it Santos-Dumont\u2019s historic flights, the Space Race\u2019s daring innovations, or the Quartz revolution \u2014 watchmaking has seen the times change. And through these times, as global economic tides changed, so did […]<\/p>\n","protected":false},"author":10,"featured_media":14885,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"two_page_speed":[],"footnotes":""},"categories":[1],"tags":[],"class_list":["post-14879","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-universal"],"acf":[],"yoast_head":"\r\nHow Gen-Z & Global Tariffs Are Driving the Rise of Affordable Luxury Watches<\/title>\r\n<meta name=\"description\" content=\"Accessible luxury watches are rising again. 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