Hublot

Personnal Report of the Forum of Fedération de la Haute Horlogerie, at Geneva.

I had the incredible luck to attend the FHH, as a simple fan of PurisPro at Forum for the Fondation of Haute Horlogerie, on the 29th of April
I wished to follow the speech of Mr Thomas Mao, funder of PuristPro.

My day start at 11h20, with the invervention of Mr Thomas Mao, fascinating,he told to us about the psycho-sociology of the collector, of the enthusiast...
Even if the speech was fascinating it was a bit frustrating for me.
He only brushed the introduction of the life of this beast, hidden behind his keyboard, ready to charge the foolhardy CEO, when this CEO, take them for a lambda customer, this collector...
He maked the apology of honesty, integrity, he compared the management of matter for an horological brand to the problem management of a Grand Hotel.
That honnesty, franckness, quality, are essential in the brand/collector relationship. That the customers, wait, before all, a recognition sincere of matters by the brand, and their fast resolution, more than zero default, so subjective...
In truth, this intervention was deserving that we hold all the day on it. Because, there's a lot of unanswered questions about this speech, few were answered in watermark later...

After the lunch, I see that there where a lot of independant watchmakers in the assembly, Mr Steve Forsey, Mr Thomas Prescher, Mr Felix Baumgartner, Mr Denis Guiget, Mr Alain Silberstein et bien sur Mr Max Busser...
And finally, not much Brands CEO, CEO of industrial brands, who are, I guess, concerned prioritary by the content of the debates. Welcome the braves who come in the arena, Mr François Paul Journe, Mr Jérome Lambert, Mr George Kern, et Mr Jean-Claude Biver...

Back from lunch, restart of debates, Nick Foulkes, a great verve, a great horolical journalist,a great British accent, misfortune for my globish, I should take translation headpiece.

After a Debate, witch touch a deep problem, an urgence of the industrial horological, the end of the ETA movements, even is the name of ETA was barely whispered, it was the central question.
Mr Biver, happy of provinding, integrating the producing of 7750, felicitate himself,of the passage of Hublot to a integrated manufacture, he speaking to us about the process used.
Mainly the hiring of the retired enginer who install the first assembly chain of the 7750 in the 70'.
The debate, about the backdoor, the monkey business, the understanding, is really interesting.
But the 2 great questions where obscured:

The ETA encaser seems to live badly the end of deliverys by ETA, on the financial side, if is very difficult to industrialize, the over-cost, should not be an obstacle, because for watchs sold between 5000€ and 10000€,
whose the ETA movement cost between 50€ and 200€, let à priori to the encaser, futur manufacturer, some comfortables benefits.

Mainly the greatest defy of the industrialization, and the internalization of movements for the futurs manufactures was, according to Mr Biver, on the formation, le recruitment, of the 1000 or 1500 watchmakers necessary.
I wish to ask a simple question, about the simple mathematics.
If ETA stop to produce movement for the horological world, it will be on the swiss work market, unemployed, few hundred, maybe one thousand of watchmakers desired?

Or so, actually, the watchmakers of ETA are not in switzerland?
But where are they? In China? Impossible Monsieur!!

Morality, this end of delivery by ETA, as Mr Biver says, is, finally an windfall.
The production will be relocalize, and the brands must invest more money in the movements, and less in the commercial with some cinéma stars!!

The contributors, significantly on the same way, are agree, for say, that between fair and quality people, we can always find a arrangement. Nice, perfect.

But the deep matter, is unfornately, that, and unlike our courageous speakers, all the peoples, are not nice and fair.
As the brand, I think for exemple, like initiate know, to Rolex, who requires is AD to buy a truck of Day-date to get 5 subs and 3 steel daytos. Likewise on the AD side, some destocking are bigger than the previous truck of Day-date.

The answer, who not rough by the speakers, but later by Mr Cologni, attack more frontally the question, of the problem, of the necessary rules to apply, for the survive of the AD, and for that the brand keep their bests agents.
Today, clearly, the margins AD side are too high, and the brands constrain the AD to buy low interest piece, to make money cash-flow for the brand...
Situation who's drive to a law of jungle on the market.

This system show is limits with the multiple destocking , to the web, and his grey sallers not very scrupulous, opposite finally at the will of the actors.
The customers wish cheaper watchs, the AD the end of the fat stocks, and the brands a representativeness of quality...
The question is very simple, adapt or perish.

Then, I think, the most intersting of this forum, in all case the best builded, and the most instructive, for somes CEO of brands, a great presentation of Franck Vivier, bluffy, remedy systematically to some graphic really instructives.
Mr Thomas Mao, to my side, told me that is the most interesting graphic that he see about the horological on the web.
Mr Vivier, speaking about the web, the social networks, and the relationship between the brands and the web.
Some issues to adress for masterize the web.
The conclusion that I can make about his intervention, is that the brands are not ready to communicate on the web, except the independant watchmakers and Vacheron (with Mr Alex Gotbi, and a little more Mr Biver), who have undestand very well the benefit of the web and the mecanism to communicate on it.
His intervention was fascinating, and like the intervention of Mr Thomas Mao, that needs all the day, for he explain us and we ask the undred question about it...
I ask to him quickly, the question about the rule and the personnality of the community manager, and their absence in the horlogical world (Except Mr Alex Gotbi ), this question deserve one debate dedicated.

After, come the intervention, the most flamboyant, the most funny, the most liberating, of Mr Oliviero Toscani, photograph, and accountable of the communication for Benetton of the great days.
One more time some CEO should have assist to this speech, the moral was also effective than ruthless:
Marketing=Consensus=Mediocrity.

The lesson.

At last, the venerable president of the FHH, Mr Franco Cologni, take the speaker, for remember, the realitys, espescially, the essential and vital regulation to apply in the relationship between AD/Brands.
He regretting by hint, that the participants have missed the real purpose of the debate.
Orator earthy, he castigated, "the terrorism of the instantaneous", finally, the capitalist logic of the instant money.
A call to the wisdom, and a return to the roots and values of the traditionnal horological. Hope that he will be listen.

I come initially to listen the intervention of Mr Thomas Mao, but the point discussed and the intervenants, were of great quality, and the debate, if not passionates, were at least fascinating.

IMO, Two major issues remain unresolved:

-How to reform the relationship AD/brands?

-How to better communicate on the web, towards of passionate for brands?

Finally, how to get out of habits sometimes dusty of watchmaking buiseness , while maintaining the excellence watchmaking?

The perfect organization, in my view suffered of little matter, which penalized both excellent speakers we were pleased to hear, than the necessary discussions and very legitimate questions.
Hoping that the event is spread over several days and especially that brands play the game more, being more present.
If this challenge is met in 2011, no doubt that major issues remained unresolved find answers.

Big thanks to all.