Credits: Article and images by Raman Kalra @ Quill & Pad. See the original article here - https://quillandpad.com/2023/09/15/omega-vs-rolex-how-omega-is-reaching-for-the-crown/
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Boutiques
The next area that I would focus on would be the boutiques themselves. Currently, their boutiques have a luxurious feel about them, combining red, gold and light wood. Obviously, when selling products such as theirs, the luxury factor is important. However, I feel that their boutiques don’t relate to their watches.
Omega boutique
Nothing about them offers any hint that the Speedmaster went to the Moon or the Planet Ocean Ultra Deep can reach depths of 6,000 meters. I would follow the path of Breitling in making the brand feel more approachable. Breitling has done a great job of making their boutiques a place where everyone feels welcome, whether it is to browse or purchase, while still offering that luxury aspect.
Even looking at other brands, IWC is taking a more modern approach – some new branches in London have a luxury apartment feel and others are minimalistic. Omega has so much to showcase that it almost feels a shame they do not capitalize on it by becoming more creative in their displays.
As I mentioned earlier, by having a Heritage collection, it creates an opportunity to have a museum-like section in each boutique. There could be a Speedmaster section that puts the watch in context by having space-themed displays, and similar for the Seamaster and others.
t would bring more people into the boutiques through intrigue and even comfort that it is not elitist (which the brand certainly isn’t). Finally, by putting pieces into context it can appeal to the imagination of customers of all ages.
Pricing
The final consideration I would make is their pricing structure. At the moment, it feels like there isn’t much of a structure and I find myself looking at models and being surprised by prices both positively and negatively. The most obvious and well-flagged example is the difference between the Aqua Terra and Seamaster Professional 300M. As of July 2023, an Aqua Terra on a bracelet retails for £5,800 and a Seamaster Professional 300M on a bracelet is £5,500.
Omega Seamasters
Considering the 300M has a helium-escape valve, rotating ceramic bezel and ceramic dial with laser-engraved waves, it is hard to understand. The Aqua Terra should be offered at a more competitive price point and become an entry to the brand, similar to how the Datejust and Submariner sit within Rolex. Of course, then there will be specific complications, case materials and other variations of the Aqua Terra taking the price level higher.
Another important factor to consider is the extent of price increases. It’s not just Omega that’s raising prices across the board; Rolex, JLC, and practically every other brand are doing the same. However, the pace of the price increases has been noticeable. I could be biased as it has effectively moved the goalposts of Moonwatch ownership which I was hoping to achieve one day, even so, I still think it is worth pointing out.
In May 2019, the hesalite Moonwatch had a retail price of €4,700 (found on speedywatches.com), but today it is €7,400. While there have been improvements to the watch, such as an updated dial, better bracelet, and Co-Axial 3861 movement, it still amounts to a 57% increase in just four years. In comparison, the Rolex Submariner Date was £6,550 in October 2018 (found on luxewatches.co.uk) and is now £8,650, a 32% increase.
There is an argument to be made for the changes Omega has made. However, I would also be wary of continuing down this path, leaving behind the core fanbase that Omega had for many years before this new wave of interest. The Moonwatch is an accessible (through availability) icon and they are doing a great job at marketing it. They should keep it available to as many people as possible and produce limited editions, the heritage Speedmasters, and examples such as the “Ed White” to appeal to those customers looking to spend more. This is just my partially biased opinion!
Conclusion
Rolex and Omega are the two household names when it comes to luxury watches. Both produced fantastic products that combine quality and heritage. It is no secret that given the extent of reach Rolex has coupled with an array of icons in its collection, it is the go-to brand.
However, more recently, with rising demand outstripping supply for Rolex, there are consumers looking elsewhere when it comes to making a luxury watch purchase. Rolex is in no trouble as nearly every watch they produce is spoken for before reaching the boutiques, but some customers are becoming frustrated by the difficulty of purchasing a watch.
Omega is clearly aware of this and has been making a concerted effort to cater to the needs of both new and existing customers through their marketing, customer experience and ever-improving designs. Furthermore, they are also pushing watchmaking innovation, demonstrating that they can be more than meets the eye. Effectively, they are showing that they can compete on all levels and are reaching for the crown to become the brand of choice for the many.
For more information, please visit www.omegawatches.com/
You can read more articles by Raman Kalra at www.thewatchmuse.com.
You might also enjoy:
Rolex Submariner vs. GMT Master II: Small Differences, Difficult Decision
Omega Aqua Terra: Is it TOO Good?
Omega Seamaster Planet Ocean: A Modern Design Icon
Credits: Article and images by Raman Kalra @ Quill & Pad. See the original article here - https://quillandpad.com/2023/09/15/omega-vs-rolex-how-omega-is-reaching-for-the-crown/
