SALMANPK
5832
Further...
Jul 30, 2014,18:55 PM
I spoke at length with the Seiko AD in Kuwait about opening a GS Boutique, he did share that there has been some indication from Seiko that they would like that and have asked the AD if they are interested. The AD is so far not interested due to the following:
1) Very High Rents in Premium Areas and Unjustifiable Key Money Demands (would take them decades to breakeven).
2) Small Market and Insufficient Demand for GS pieces
3) Lack of Marketing/Promotional Support from Seiko to promote GS in the GCC.
4) High Penetration Rates, Visibility and Loyalty of/to Swiss Brands.
5) International Celebrity Endorsements for Seiko but none for GS.
I don't think ADs in smaller markets will be interested in opening GS boutiques, too risky. For decades the majority of the pieces the Kuwait AD has sold have been Sub USD 1k pieces and only very recently been able to move some higher end Anantas. The brand image and equity for GS has not been built up yet. I could even say its 0 right now. The very very few ( could count them on one hand) collectors who are buying GS in Kuwait are very sophisticated collectors who are bored with Swiss watches and the games Swiss Brand ADs/Sales Staff/Boutiques play and want something different. Of course there are some who have bought GS from overseas while travelling as well but the AD does not consider them their customers. The GS collectors I have met locally have told me people do ask about what they are wearing, the watches do have a lot of personality on the wrist and the high quality is visible from afar, the reaction is surprise, shock and amazement when they are told about the Brand, its History, its Quality and Especially the Price, replies mostly include "No Way" when they hear the price. The collectors have all used the Lexus vs. Toyota argument when describing their GSes to people who don't know about it.
Maybe Seiko HQ can open their own company owned boutiques in Key Cities and Locations, that seems a more likely strategy.
S