The new Apple watch could exit the Swiss market

Stephen Lam | Reuters

Jeff Williams, Apple's Chief Operating Officer, discusses the new Apple Watch Series 4 at the launch of an Apple Inc product at the Steve Jobs Theater in Cupertino, California on September 12, 2018.

The Swiss watch industry is facing a heightened threat of a new Apple watch that can detect heart problems that may appeal to older consumers, industry experts said Thursday.

Apple has introduced the new Apple Watch Series 4 that can take an electrocardiogram to detect an irregular heartbeat and automatically initiate an emergency call if a user detects a fall.

"Far from being an evolution, the new Apple Watch 4 is probably a revolution because it does not only target the wrists of geeks, but also people over 45 who are concerned about their health," says Gregory Pons, industry expert . businessmontres.com.

Apple quickly gained market share in the watch market, with the CCS Insight Connected Technology Research Company anticipating that the technology giant would move closer this year to global sales of watches made in Switzerland, with shipments of 24 million 'units in 2017.

Exports of Swiss watches in the entry price segment – a selling price of up to about $ 500 – have steadily declined in recent years, with smartwatch competition being one of the responsible factors.

Brands in this price range include Swatch Group Swatch and Tissot, the Mondaine brand and fashion watches manufactured by American watchmaker Fossil.

"The Apple Watch continues to improve and offers additional features.I think this will represent an increasingly difficult challenge for the entry-level Swiss watches, which are not able to remain relevant, "said Luca Solca, analyst at Exane BNP Paribas. .

The Apple Watch Series 4 is sold starting at $ 399.

At the head of the watchmaking division of LVMH, which makes watches under the brands Zenith, Hublot and TAG-Heuer, Jean-Claude Biver thought that the Apple Watch did not pose a threat to Swiss watches beyond A certain price.

People who get into watches through an Apple product are more likely to buy a Swiss watch later, he said in comments sent via email.

Richemont's shares rose 0.2% at 13.15 GMT, while those of Swatch Group, which is more exposed to the entry price segment, recorded a drop of 0.6%.

The shares of Fitbit, competitor of the fitness equipment, fell 6.9% after the announcement of the Series 4 on Wednesday.