Baselworld Officials Defiant After Losing 200 Exhibitors

Entering Baselworld 2016 on opening day. Photo by Anthony DeMarco

Officials said Wednesday they “turned away” exhibitors at the 2017 edition of Baselworld, set to open tomorrow, as the show is focusing “quality over quantity.” 

“We decided to turn away exhibitors this year. It’s our choice. It’s our choice,” said a defiant Sylvie Ritter managing director of Baselworld, during the annual preopening press conference. The world’s largest watch and jewelry fair opens Thursday and runs till March 30. 

This quality over quantity theme was repeated by the four speakers who took a unified stance against criticism the show has received from many jewelry and watch exhibitors based on price increases, demands to acquire more space and a decline in buyers. The show itself has seen a decline in exhibitors the past few years. 

This stance went to an absurd level when François Thiébaud, president of the Baselworld Swiss Exhibitors Committee, rehashing the decline in Swiss watch exports (9.9 percent year-over-year), said at one point, “We don’t want to produce that many watches we want to produce quality watches.”

This year's fair has a year-over-year decline in exhibitors of 13.3 percent, from 1,500 to 1,300, Ritter said. This follows two consecutive years of 3 percent declines in exhibitors and buyers.

Eric Bertrand, president of the Baselworld Exhibitors’ Committee, leveled the harshest criticism toward those exhibitors who have left or were forced out (depending on who you talk to). 

“In the past I have been surprised by the popularity of certain brands, some quite famous, but really unrelated to our watchmaking industry,” he said. “And when the winds start to blow harshly so does reality become harsh. We have observed that some brands have had to backtrack while those who have always focused on their knowhow are still around.”

He added, “This market consolidation—even in watchmaking, even in jewelry making—will be a benefit to the entire industry the day economic recovery is fully primed. The recovery will afford the best prepared players to gain market share and to be even more successful than ever before.”

After some pointed questions from journalists (a welcomed change) Ritter said the brands that are no longer at Baselworld failed to meet a criteria that she refused to specify. 

“We have turned away exhibitors who are not in line with our concept and do not meet the criteria for Baselworld. We do not publish this (criterion). They differ depending on the product and the markets.”

It seems a bit remarkable at a time when the luxury market has been democratized through digital media, more access to world travel and brands owned by conglomerates looking for endless growth through the mass market, that Baselworld officials seem to be touting a call for old-world exclusivity. 

But really the claim isn’t believable. If it is, they should look at the conglomerate-owned watch and jewelry brands who were willing to pay huge increases for prime real estate in Hall 1.0 and which Baselworld officials were more than happy to accept. These increases spread to the rest of the halls which led to smaller watch and jewelry brands being priced out of the fair. 

In addition, when Baselworld went on this luxury strategy following a renovation a few years ago, the market was led by a boom in China that has largely leveled off. Now with a myriad of geopolitical and economic challenges throughout the world, consumers are not buying like they used to. 

It seems obvious to me the only criteria that matters is money. 

Bertrand singled out fashion watch brands as those who failed to meet this mysterious criteria. 

“The reason is and you must have read about it and know a certain number of brands that are fashion related took watches to get into the industry and they treat it like an accessory … like glasses and spectacles and other components (it) becomes an element (that) adds value to the image but are not related to our industry,” he said. “Now I believe these people did not obtain the results they planned and have given up producing such products.”

One former exhibitor that went public with criticisms of Baselworld and publicly left was the Timex Group Swiss Luxury Division, a division of the Timex Group, which manages the watch business for luxury fashion brands Salvatore Ferragamo, Versace, Versus and Nautica.

Paolo Marai, president and CEO said in a recent Jewelry News Network story, the $3 million investment into the show could be better spent in other areas of its global business. The four brands occupied Hall 1.1, the second floor of the hall dedicated to “global” watch and jewelry brands.

The watches are made in Lugano, Switzerland, in line with "Swiss Made" quality standards. 

Another high profile company that left Baselworld (or didn’t meet the “criteria”) was Bremont, which had the largest space in a separate area for independent watch brands, known as “The Palace.” 

The Palace is no more; instead it is replaced by a new area called, “Les Ateliers,” in Hall 1.2, described by Baselworld as the place for “the most successful” independent watch brands. Bertrand and the others treated the change as an accomplishment rather than a symbol of the fair’s decline, which others have argued. 

Despite the controversies of the past year, Ritter’s defiance was clear with her last statement at the press conference.

“I went through the halls last evening and I can tell you that I slept very well.” 

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Salvatore Ferragamo, Versace, Versus And Nautica To Leave Baselworld

Paolo Marai, president and CEO of Timex Group Swiss Luxury Division

The prestigious Hall 1 of Baselworld may have more empty space than originally planned as four fashion watch brands are the latest to pull out of the 2017 edition of the world’s largest watch and jewelry show.

The Timex Group Swiss Luxury Division—which manages the watch business for luxury brands Salvatore Ferragamo, Versace, Versus and Nautica through licensing agreements—is the latest to announce that it is leaving the annual fair held in Basel, Switzerland. 

Paolo Marai, president and CEO of the division of the Timex Group, in an exclusive interview, said the $3 million investment into the show could be better spent in other areas of its global business. The four brands occupied Hall 1.1, the second floor of the hall dedicated to “global” watch and jewelry brands. 

“I think that Baselworld is a huge investment for everybody and is in my opinion losing some effectiveness,” he said. “It used to be very important in different levels. First, it was a good opportunity to meet journalists but they’re coming less and less to Baselworld. And even those who come are reducing the time they are staying—running from one appointment to the next.”

He continued, “Second, in the past we used to meet a lot of retailers. This year not one single country sent retailers. So what you meet in Baselworld are distributors. But we know the distributors. I don’t need to go to Baselworld for that.”

Baselworld Hall. 1.1 (Photo Courtesy of Baselworld)

Marai says the changing luxury business demands that luxury brands, particularly fashion brands, need to be closer to the consumer. He argues Baselworld isn’t an efficient way to do this.

“Baselworld is becoming more of a place to show off. I’m there because I want to show that I’m at Basel rather than doing something that is really effective toward the end consumer,” said Marai, a native of Milan who now lives in Lugano, Switzerland, where the Timex Group Swiss Luxury Division is located. “We need to move the needle and be close to the end consumer…. I can put in the same amount of money to be closer to the end consumer and be more effective…. It is a cost I do not believe we can afford anymore. 

He added, “I’m not the only one (leaving) Baselworld. Plenty of brands have decided to step out of there. When the market is suffering I think you need to try something new. It is worth it for us to do something different.”

In May, luxury watch brands, Ulysse Nardin and Girard-Perregaux, announced that they were exiting Baselworld to exhibit at the Salon International de Haute Horlogerie (SIHH), which is held January in Geneva. Both brands—owned by Kering, the French luxury goods holding company—occupied the most prestigious space at Baselworld, Hall 1.0, the first floor of the Global Hall where the most prestigious independent and corporate-owned watch brands are located. 

Watch, jewelry and gem companies have been leaving Baselworld since the trade show unveiled its $454.5 million upgrade to the Messe Basel fair complex in 2013. The new renovations came with hefty price increases for exhibition space as the trade show began positioning itself as a luxury event. In response, in 2013 there were 355 fewer exhibitors, primarily smaller players and those who provide products and services within the trade. However, a few large brands also balked at the new asking price. International jewelry brand, David Yurman, was perhaps the most high-profile company to leave the fair in 2013. 

The change did attract some luxury brands, most notably Graff Diamonds, which began exhibiting at Baselworld in 2014 at Hall 1.1.

Baselworld Hall 1.0 (Photo Courtesy of Baselworld)

Meanwhile, UBM Asia established “Jewellery & Gem Fair – Europe” in 2014 in Freiburg, Germany. The dates and location line up nicely with Baselworld. Freiburg is less than an hour away from Basel, Switzerland. Many of the jewelry, gem and watch trade companies that used to exhibit at Baselworld now exhibit at the new show.

Despite the issues, Baselworld remains the world’s largest watch and jewelry fair. It is also the most important watch and jewelry show in the world for new product introductions and for international exposure. Show officials said in 2016 attracted 145,000 attendees—who include representatives from exhibiting companies, buyers and other visitors—a 3 percent decline from 2015. There were approximately 1,500 exhibitors. The number of journalists covering the event increased 3 percent to about 4,400 from 70 countries. 

It’s not just Baselworld. Large and small jewelry and watch trade shows throughout the world have been struggling to find their footing. The September Hong Kong Jewellery & Gem Fair, the world’s largest fine jewelry trade fair, reported attendance declines for two consecutive years. In the U.S., JCK Las Vegas (the largest jewelry trade show in North America and at one time the largest in the world) has never fully recovered from the 2008-2009 global recession. SIHH, known for its exclusivity, has opened its doors to more watch exhibitors and buyers.

Marai says driving this move is a change in the way that consumers relate to brands. This has prompted his push to find new ways for his company to get closer to its customers through its marketing practices and sales. The search for these new practices is further complicated by the various economic and geopolitical issues throughout the world that are affecting distribution and sales. This ranges from the steep decline in sales from the once booming China and Hong Kong marketplace, to the ongoing conflicts in the Middle East, the Western economic sanctions imposed on Russia and the surprise victory of Donald Trump as U.S. president.

He says the brands he manages through the Timex luxury division are doing better than most because they are a smaller and newer to the industry. The Versace and Versus part of the business was founded in 2004 and the Ferragamo and Nautica business three years later. However, he says it’s necessary to be proactive.

“In tough moments you have to be more active. The market is suffering, the economy is not perfect everywhere. We are still very satisfied with what’s happening this year but I have to admit the market is not doing well,” he said. “We’re still showing growth because we are relatively small. We can still grow but in general the market is not performing well.”

Part of being active is embracing what Marai calls the “new digital revolution” with a “shop now, buy now” mentality.

“Everything is going digital at this moment and we’ve been struggling the past two years trying to embrace it. Because we work under license so we have some constraints. The brands cannot go in that direction just for watches. But more and more all luxury brands need to understand this digital revolution and need to manage it.” 

This requires a more direct relationship by brands with consumers through social media and through the availability of their products. This approach, in and of itself, is not new to those in the luxury market. However, achieving this relationship has been difficult for established luxury and fashion brands.

“Those who have the money in the next 10 years need to be reached in a completely different way,” he said. “Traditional communication is over. Those with the capacity to understand and to translate this into the market will be more effective.”

Marai is interested in using the Internet as a tool to communicate directly with consumers and present their products and brand. As an eCommerce tool, he still says traditional retail will still be primary source of sales, noting the data indicates that that eCommerce will account for 20 percent of total luxury sales in 2025. 

“There is a long way to go still. I’m pretty sure traditional distribution is frightened by the Internet and they should not be because it is used more as an information tool rather than just a purchasing tool. (However) it’s the best way to present your products. You can have your best show, your best shop where you can present all of your products exactly as you want them to be presented.”

Marai also is aware that online shopping is a fast and convenient way for consumers to buy products. 

“Through digital you can supply your customer with whatever he wants so when he comes to us for a different dial or different strap it is very simple (to fulfill that order). We have to try to create a bridge between the traditional distribution and the new tools that are offered through eCommerce in order to be more effective with the end consumer.”

Often overlooked Marai says is that more than 50 percent of watches are purchased as a gift. “This means the presentation needs to be more luxurious, more than the product itself sometimes.”

In addition, he says watches from fashion brands are considered an accessory and a vehicle of self expression and should be further addressed by luxury watch brands. 

“Brands such as ours, fashion brands, the design is more relevant than the movement inside. We have a good opportunity at the moment. Who cares today what is inside? The new generation they do not consider watches high-end technology.”

One piece of technology that muddled the watch market was the smart watch, Marai says, which after their initial success have failed keep the interest of consumers. However, it did cause damage by creating confusion with consumers and within the industry. He said the rush by traditional watch manufacturers to create their own digital watches was a mistake. 

“Apple was a huge success in the initial phase but people that bought it don’t use it,” he said. “It has created confusion for the end consumer and the distribution channels. Everybody wanted to be the first to produce the product and I think it was a mistake. It was a little bit too early.”

Marai says the luxury watch industry is still a “relatively rich market,” meaning that compared to other industries the margins are high. But he hinted that this may change down the road as brands continue to market and sell directly to consumers. 

“The distributor buys the product from the industry and then sells it to the retailer. (This) is not something that will last forever. The industry has to come closer to the distribution and become more direct and more effective, reducing a lot of the costs in distribution and (thus) making a more effective proposition to the end consumer.”

He added, “Some activities would have to possibly disappear.”

These are just some of the reasons Marai and others are reconsidering their commitment Baselworld. 

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The Best Of The Best Jewels At Baselworld 2016

Alessio Boschi Piazza Navona necklace made primarily of paraiba

It was a particularly strong year for creative and innovative jewelry design at Baselworld. The Italians, as is often the case, put on a particularly good showing but there were many others producing exceptional products from all corners of the globe.

Below are 17 of the jewels that stood out just a bit more than the rest during the eight-day trade fair, which ended March 24. Most of the jewels will be available in the fall, but some are available now.

Alessio Boschi
The Italian jewelry designer now based in Bangkok uses combinations of old world and new craft techniques to produce true representations of historical and natural themes with exceptional precious materials. This year he introduced a collection of one-of-a-kind jewels based on the fountains of Rome. Among them is an elaborate paraiba necklace (top photo) and ring (above) fashioned after the fountains in Piazza Navona.

Lydia Courteille
For her latest collection, the French jewellery artist took her inspiration from a recent visit to Ethiopia and the story of the Queen of Sheba. Green is the main color for this new line. She combines tsavorites, peridots and green tourmalines; in some instances matches them with yellow and brown and blue colored gems and completes the pieces with the craftsmanship that make her designs come to life. Any piece from this collection is worthy of a spotlight but I decided to go with the tiara in 18k black rhodium gold with brown diamonds, yellow sapphires tsavorites and a large peridot.

Bayco
The New York-based family owned firm specializes in creating jewels with exceptional gems. The top of the line in their broad pallet of colorful gem-centric pieces is the The Imperial Collection, jewels designed around gemstones of exceptional pedigree. “The Conquistador Emerald,” is one of those jewels. It is a platinum and 18k yellow gold ring centred upon a 23 carat unenhanced emerald-cut old-mine Colombian emerald, flanked by 4 carats of half-moon diamonds.

Qayten
This relatively new jewelry company based in Bologna uses traditional materials and techniques to produce modern jewels that are also elegant and comfortable to wear. They added to their Japanese Akoya pearls jewels with modern designs made with Tahitian black pearls. But the best piece of the year is the Museo ring, with sapphire surrounded by at approximately seven curved tiers of gold with diamond pave.

Yeprem
The Lebanon-based company has created a whole new way to look at white diamonds. Its designs are beautiful, elegant and versatile. The diamonds are cut in a way that truly exposes their sparkling white light. All of these characteristics are best featured in their hand jewelry, which turns the trend of multiple-finger jewels upside down.

Sutra
The U.S.-based company that specializes in colored-gemstone jewels introduced its first piece of jewelry that crossed the $1 million threshold: a necklace made of 19 carats of Colombian emeralds and 51 carats of white diamonds set in 18k white gold.

Carrera y Carrera
The Spanish brand known for its finely crafted petite elegant gold jewels added new pieces to its “Circulos de Fuego” (Circle of Fire) collection, including an assortment of fire dragon jewels. The ring pictured is made of finely carved gold with garnets and diamonds.

Antonini
The Milan-based company introduced a number of new pieces this year but among the highlights are some unique pieces including cocktails rings, “Fez,” made of brushed yellow gold, natural sapphires and a foundation of 84 champagne and cognac diamonds in different sizes. The typical concave ellipse of the mosaic opens up along the stem of the ring, enclosing it in a sparkling band. The central stone is an oval-shaped natural light-yellow 4.3-carat sapphire, contrasted with the six bright blue lateral sapphires.

Maria Kovadi
The Switzerland-based designer is heavily influenced by Italian design and craftsmanship it specializes in limited edition and bespoke pieces. Baselworld presented the first time the high jewelry house chose to showcase its work to a wider audience. One of the pieces that caught my eye was the Vintage Lace Bracelet made of 18k gold with milky diamonds, brown diamonds and silk thread.

Boucheron
The venerable Parisian jeweler produces an assortment of bejeweled animals each year and this year they produced six creatures, including “Nuri, Cockatoo Pendant Earrings. Each clip on earring depicts two birds with a colorful plumage made of pavé tsavorites and orange, pink, yellow round sapphires, and diamonds nestled romantically while balancing on a pink gold oval band. The name Nuri means parrot in Indonesian, and the parrots’ plumage symbolizes the elements of life such as the sun, water or fire.

De Grisogono
Fawaz Gruosi, founder of this jewelry and watch brand, is known for his over-the-top one-of-a-kind creations that appear on some of the world’s most beautiful women on red carpets around the world. The firm also produces more accessible collections. Both the high jewelry and limited edition collections were on view at Baselworld under the heading, “Walk of Icons.” It included the popular Allegra Collection, which consists of round gold brands of differing materials. It includes the “Lucky 7” bracelet made up of seven pink gold bands and diamonds.

Chopard
The Swiss jewelry and watch brand presented a well-rounded group of products at Baselworld, including a colorful selection of high jewels and watches in a petal motif made with diamonds, rubies, sapphires and emeralds.

Yoko London
The company specializes in pearl jewelry that ranges from fashion to high jewelry. Lately it’s been working with high-quality natural-colored fresh water pearls and mixing them with precious gems. This necklace is a case in point as it is made of natural colored South Sea, Freshwater and Tahitian pearls set with 18k white gold enhanced with 17.61 carats of diamonds.

Fabergé
As one of the most iconic jewelry brands in history, it often turns to its heritage and its most famous creation, the Imperial Egg, for its modern day pieces. The company, now owned by colored gemstone mining and marketing company, Gemfields, uses the resources available for its jewels. This includes the collection of small egg pendants made of Mozambican rubies, sapphires, tzavorites and diamonds, including the tutti-frutti colored one pictured. The colored gemstones are invisibly-set with a technique that uses single-faceted gemstones, calibrated in ribbon-like narrow rows, allowing the gold setting to remain invisible for the mosaic pattern finish.

Nikos Koulis
Greek designer specializes in colorful geometric shapes, particularly those that are Art Deco inspired. Among his pieces is this bracelet from his Spectrum collection made of 18k black rhodium gold with brown, black and blue diamonds along with orange sapphires and opals.

Pasquale Bruni
The Italian jeweler focuses on traditional themes. In this case his elegant gold pieces continue the motif of secret gardens, with the “Petit Garden” collection. The company looked toward exotic locations such as Bali, Hawaii and the Caribbean for its inspiration. Necklace, rings, bracelets and earrings in the line represent blades of grass of rose and white gold and paved with diamonds.

Photo by Anthony DeMarco

Roberto Coin
The iconic jeweler presented his usual seemingly endless assortment of fine gold jewels made with a variety of colored gems. There were several highlights but among them was the “Cheeky Monkey” collection, with monkey figurines in playful positions made with textured 18k gold. In some cases diamond pave is added for extra sparkle. 

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Zaha Hadid’s Leaves Landmark Jewelry Line For Georg Jensen Before Untimely Death

The Georg Jensen cuff bracelet designed by Zaha Hadid

The story I was going to write today was to be a bit different then how it now appears. One of the highlights from an otherwise lackluster Baselworld 2016 was the public introduction of a new Georg Jensen jewelry collection designed by the famed architect Zaha Hadid. 

But the narrative changed with the sudden and unexpected death of Ms. Hadid Thursday. The world’s most famous and accomplished woman architect died of a heart attack. She was 65. 

Zaha Hadid Photo courtesy of Georg Jensen

The jewelry collection she designed for Georg Jensen, called the “Georg Jensen X Zaha Hadid The Lamellae Collection,” has the potential to be a landmark moment for the famed Danish silversmith brand. That may still be the case but it also will be likely remembered as Ms. Hadid’s last completed project—even though it is on a much smaller scale than her futuristic curved buildings. 

Georg Jensen ring designed by Zaha Hadid

Ms. Hadid, in a prepared statement, discussed working at a smaller scale and with nature-inspired shapes that are synonymous with the Georg Jensen brand.

“Working with Georg Jensen presented an opportunity to express our ideas in different scales and through different media,” she said. “Our starting point was the Danish house’s design links to nature. There is an inherent integrity within the organic structural logic found in nature and we often look at the coherence of natural systems when we work to create environments. Our challenge was to translate that into something that can be worn; to reinterpret the rich history and tradition of Georg Jensen’s design approach into something new.”

The cuff bracelet worn by the new CEO of Georg Jensen, Eva-Lotta Sjöstedt during Baselworld 2016. Photo by Anthony DeMarco

The jewelry collection of five rings and three cuff bangles were inspired by the Wangjing Soho near Beijing, designed by Ms. Hadid, an approximate 4.2-million square-foot retail and office complex of three curvilinear asymmetric buildings that appear to circle one another and change appearance with the light of the day and the angle they are viewed. The buildings with distinct lines between each floor of windows have been described as appearing like “dancing Chinese fans” and “curved sails.” The architect has reportedly said the buildings were supposed to resemble koi swimming around each other in a pond. 

The full collection in sterling silver plated black rhodium set with black diamonds. Photo by Anthony DeMarco

Georg Jensen was acquired in 2012 by the holding company, Investcorp and David Chu, who serves as creative director and chairman of the brand. His task he told me a year ago was to take the company’s heritage and modernize it for the 21st Century. One of the things he started doing was to develop partnerships with well known designers and artists, which was part of the company’s heritage that somehow it lost. 

As the story goes Chu sat next to Ms. Hadid at dinner in Beijing for the official opening of the Wangjing Soho project in September 2014. They immediately decided then to collaborate on a jewelry line.

Also involved in the project was Meeling Wong, Georg Jensen managing director of Jewelry. Wong said she first met Ms. Hadid in November 2014 at her London headquarters. Wong described the working process as a "true collaboration."

"We worked very closely with her design team, in person, phone and emails. It was a very fluid process and a close partnership. I went to their London studio to show the first prototypes, and met with them several times in person," Wong said. "Zaha trusted that we would execute her designs so that they can be worn."

Crafted in both sterling silver and sterling silver plated black rhodium set with black diamonds, the jewels in the collection feature smooth flowing ribbon-like shapes contrasted with sharp edges. The silver naturally alternates between a polished and matte effect, while the black rhodium set with black diamond pieces have a subtle gleam to the graphic, architectural forms. The signature piece in the collection has to be the lengthy cuff bracelet that wraps the wrist and engages light. 

The public seating area just outside the Georg Jensen exhibition space

This is not just a “starchitect” putting her name on a product. This is a well-thought out contemporary, architecturally influenced collection of jewels that express modern elegance.

Wong described Ms. Hadid's involvement with the project as "total engagement and focus on arriving at a final result that did not compromise or dilute the original design and concept."

For Georg Jensen it is by far the most on-brand jewelry product, and perhaps overall product, it has produced since the new owners began its campaign to rejuvenate the brand. It is an original design with a contemporary motif that moves the brand forward into the modern era. 

The brand must have known it had something special as it pulled out all the stops in presenting the collection in Baselworld. This included creating an installation of the design motif in the exhibition space and seating area just outside the booth. 

“There is continuity in Zaha’s collection—and, indeed, in her work—that reflects the history of our iconic jewelry design celebrating nature’s seemingly simple yet mathematical forms,” Chu said in a prepared statement. “It is a proud continuation of Georg Jensen’s modernist design signature and a century of collaborating with designers whose vision transforms the way we think.”

And, unfortunately, it is also the end of the relationship.

The collection will be available in September.

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Baselworld 2016: Swiss Watch Sales Down 3.3%

The Swiss watch industry reported that the value of its exports fell 3.3 percent to 21.5 billion Swiss francs ($21.75 billion) in 2015. However, compared to the more than 20 percent increase in exports for the five prior years, it isn’t all that bad. However, François Thiébaud, president of the Baselworld Swiss Exhibitors Committee, and Sylvie Ritter, managing director of Baselworld, described the current environment for the industry as “gloomy,” during the annual press conference Wednesday at Baselworld, the world’s largest watch and jewelry fair. The eight-day international show officially begins Thursday. One thing that wasn’t mentioned was smart watches. It was the major topic at last year’s press conference. There are a number of geopolitical and economic issues around the world affecting Swiss watch sales. They include: the turbulence in the Chinese economy, conflicts in the Middle East and the slowing of the Russian economy because of Western economic sanctions. The Chinese economic problems resulted in a drastic decline in the sale of watches in Hong Kong, the world’s largest market for the Swiss watch industry. Perhaps the biggest issue was the depegging of the Swiss franc to the Euro in January 2015, which led to an approximate 20 percent appreciation of the franc compared to other currencies, Thiébaud said during his presentation Swiss watch industry figures for 2015. By country, Hong Kong had by far the largest decline in the value of Swiss exports, down 22.9 percent. The US market (the world’s second largest) experienced an 0.8 percent decline. In terms of the other top markets, China saw a 4.7 percent decline, Italy was the lone bright spot in major markets with a 6.4 percent increase, with Japan down 1.9 percent. The rest of the world, which accounts for nearly 56 percent of total Swiss watch exports saw a 2 percent increase. In terms of materials, steel timepieces experienced a steeper than average year-over-year decline in value at 4.9 percent. These watches accounted for half the overall fall in export sales. Gold watch exports declined by 4.8 percent. Bimetal timepieces fell by 2.6 percent. In terms of the number of pieces, steel products fell by 5.7 percent, while still accounting for one out of two exported watches. The press conference was also the opportunity to introduce Eric Bertrand as president of the Baselworld Exhibitors. He replaced Jacques J. Duchêne who died suddenly and unexpectedly a day before Baselworld’s 2015 press conference. Bertrand took extra time to note his experience in the watch, jewelry and gemstone and said will represent all exhibitors equally. In the past few years, Baselworld has become more dedicated to luxury, renovating the Baselworld fairgrounds and charging more for exhibitors to enter. This has led to the angry jewelry exhibitors. This also led to a decrease in the number of exhibitors from 2,000 in 2010 to 1,500 this year, which Bertrand said was planned. “I am equipped to represent Baselworld across the board,” he said. 

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Change Brings Opportunity For US Jewelers At Baselworld 2015

Photo credit: Courtesy of Baselworld

By Lisa Nikfarjam of Lisa Nik, Inc.

Attendance was undeniably down this year at Baselworld. But what does this really mean? The buying habits of US retailers have become increasingly focused on commercialized and internationally advertised brands. Perhaps this is because these brands are also becoming increasingly demanding for in store space, purchase dollars, and marketing placement in order to maintain market share. Will this create an overly homogenized jewelry selection for consumers across the country? 

Many jewelers would argue that this industry dynamic is an opportunity to grow by further differentiating and focusing on newer and less commercialized brands. Several buyers that we spoke with at Baselworld stated that they need something different that everyone cannot find down the street at every department store and competing jewelry store. Niche designers have a tremendous opportunity to position themselves among the boutique and specialty retail stores that specifically target items that rebel the mainstream.  

For designers, the colored stone section offered better than usual deals this year, specifically because of the strength of the US dollar against the Euro. It was literally like shopping with a 20 to 30 percent discount compared to the previous few years. Colored stone prices in general are higher than in years past and buyers may consider this adjustment to price as balanced due to the exchange rates. Overall, the incentive to buy from European suppliers was present within the competitive landscape.  

Many European designers and manufacturers commented on the lighter international traffic with all eyes gazing upon the US buyers that were present. Although the strengthened dollar certainly stimulated US purchasing at the show this year, several retailers commented on the concern over experiencing a drop in existing inventory values because of the changed prices. Imagine owning $1 million of commoditized inventory that is suddenly worth 20 percent less because of a price change. This may not lead to a desire to purchase more just because of the drop in price.  

We can only hope that the continued strength of sales in the sector will allow these retailers to sell through their existing stock levels so they can purchase more and benefit from the price reductions and the preferred Euro and Swiss Franc exchange rates against the US dollar.

Lisa Nikfarjam was at Baselworld in search of gems and stories. She is founder of the jewelry design firm, Lisa Nik,  a company that combines colored gemstones, diamonds, and artful elements to create fashionable jewelry that women around the world can enjoy on any occasion.

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The Best of The Best Jewelry At Baselworld 2015

Fabergé Secret Garden necklace

Baselworld is known as a watch show but it is also one of the best places in the world to see the newest and best in jewelry from around the world, particularly at the luxury end. 

Among the brands that really made an impression this year was Fabergé. Not only with its first Imperial style jeweled egg in nearly a century. I already featured its Pearl Egg but the company exhibited several high jewelry collections reminiscent of the Fabergé of old, including a candy-colored collection of jewels called “Secret Garden (top photo).” Natalia Shugaeva, Fabergé’s head designer, said she wanted to create a collection of jewels that are opulent and refined. She succeeded.

From friends to those who actually work for the brand the word most used to describe the work of Fawaz Gruosi and his high jewelry brand, De Grisogono, is “crazy.” It is meant in the best possible sense. His singular creative designs have won the brand fame throughout the world and this year at Baselworld there were several ultra-imaginative masterpieces on displays. It’s almost become typical to expect the wonderfully unexpected from De Grisogono. Yhe De Grisogono High Jewelry necklace picture is a perfect example in 18k white and rose gold, 12 briolette-cut emeralds, 19 round-cut rubies (approximately 12.66 cts.), 29 marquise-cut white diamonds (approximately 11.01 cts.), 1,366 emeralds (approx. 60.20 ct s ) and 2603 white diamonds (approximately 137.54 cts.).

Chopard unveiled its High Jewelry Collection at Baselworld and even among the selection of jewelry destined for Red Carpet events one piece stood out. An ocean blue ring featuring a 41.57-carat oval shaped paraíba tourmaline from Mozambique and 8.8-carats of diamonds set in a lace-work of 18k white gold.

Georg Jensen and its managing director of jewelry, Meeling Wong, created several collections of refined jewelry that reinterpret the traditional designs of the famed silversmith brand. Among the items that stood out was a collection of pieces in collaboration with colored gemstone mining company, Gemfields.

Graff Diamonds also provided an exceptional jewelry not only in terms of size but in nuanced ways, showcasing several pieces that can be worn in a variety of ways or with clever use of material. The latter could be seen in the diamond tassel necklace pictured above.

Antonini, introduced a number of new collections with what it calls “natural” white gold, which is more like white mixed with a grey or yellow tint. It is used in a matte finished. Meanwhile more traditional rhodium-finished white and black gold is creatively used as a background for rough-textured pavé settings.

Pasquale Bruni introduced a number of colorful items led by Fiori in Fiore (Flowers in Bloom), featuring diamonds mixed with pink sapphires and morganite. 

Roberto Coin made a statement with its steely-eyed Falco (hawk or falcon, take your pick) ring and bracelet.  

Brumani was again as always a great designer of multi-colored stones that reflect the vibrancy of its home country Brazil and this year was no different as with these pastel colored earrings show. 

Like few other brands, Sutra brought color to the party with exceptional gemstones and creative designs as with these turquoise, diamond and gold earrings. 

More color was provided by Yoko London through its pearl-centric designs. 

Spanish brand Carrera y Carrera celebrated its 140th year anniversary with a collection of delicate, hand-made gold pieces. 

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