Switzerland’s Swatch has applied to set up stores in India, as per reports. The Swiss-based watchmaker moves to tap a growing and increasingly accessory-conscious consumer class.
Swatch, with $10 billion in annual sales, has made a formal proposal to the commerce ministry under which the company would have 100 percent control of its business, according to a business daily.
The watchmaker would be the biggest international group to seek entry into India’s 100-per-cent-owned single-brand retail segment after furniture-maker IKEA and fashion clothing firm H&M, both Swedish companies.
Swatch watches, including Omega, Longines and Tissot, are currently sold in India through dealers and third-party stores.
The Indian watch market is forecast to rise to $2.7 billion by 2020 and from $898 million now, according to a recent industry report.
Swatch’s reported application comes soon after French supermarket chain Carrefour’s announced its departure. Carrefour, which operates five wholesale stores in India, made the announcement after the government reiterated opposition to foreign investment in multi-brand retail. Wal-Mart last year ditched a plan to open stores to focus on wholesale activities and e-commerce.
– By Anand Thakkar
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