Drumil Modi, Pune
Swiss watchmaker Rolex has announced that they will be acquiring Bucherer, this will give Rolex even more control over the closely held luxury watch industry as its watches are sold.
Bucherer is a Switzerland-based watch retailer which has been in the business for 135 years. Bucherer will not be rebranded and will still run independently from Rolex. 53 of the more than 100 locations that Bucherer runs across the world presently sell Rolex watches. 48 of Bucherer’s sites sell Tudor timepieces, which are owned by Rolex.
The Swiss manufacturers’ move to the retail side of the business is a major shift. Rolex has hundreds of authorised retailers around the world to sell its watches, the company itself owns and runs only one store in Geneva.
Rolex stated that its relationships with other authorized merchants in its distribution network won’t be affected.
Rolex and Tudor brands are also serviced by Bucherer. When selling its pre-owned watches, Rolex said last year that it would start offering certificates of authenticity to approved dealers, starting with Bucherer shops in Europe.
The demand for new timepieces has long outpaced supply at Rolex-approved dealers. For the most sought-after models, waiting lists might last for years.
The agreement comes as global luxury businesses consolidate more and American customers spend less on designer items. Coach owner Tapestry last week made a multibillion-dollar deal to buy Capri Holdings, parent of fashion brands Jimmy Choo, Versace and Michael Kors. The Louis Vuitton parent company, LVMH, completed the historic acquisition of Tiffany in 2021.