BaselWorld 2010

All is well, getting better!

Time is the measure of business dynamics! Time never stands still and has its highs and lows, crests and troughs! And at BASELWORLD, business generation never stops even though time stands still…even if the world is supposed to be in the throes of an economic slowdown.

Every Spring, the city of Basel in Switzerland, which is unique to the world of horology, witnesses the unfolding of a magnificent and mystical voyage. The one-and-only BASELWORLD International Watch and Jewellery Show is a high-profile, premium flagship event and ultimately has such a positive stimulating effect and impact on the reputation of the global entire timekeeping industry. And is has survived the test of time through the lows of 2008 and 2009. But time can never be down all the time and as BASELWORLD 2010 unfolded, time was on the ascendant. BASELWORLD, the World Watch and Jewellery Show, opened its doors from March 18 to 25, 2010. The Swiss Federal Councillor, Moritz Leuenberger, opened the show.

For 1,915 exhibiting companies and nearly 100,000 buyers from all over the world, BASELWORLD 2010 was the sector’s most important event of the year. The 38th edition of BASELWORLD can be summed up in the words --- passion, commitment, innovation and conviction. And it is this conviction that has resulted in the Show being the only one in the world attended by the entire watch and jewellery industry. And people come from far and wide; they come year after year; and bring new faces every year to the Mecca of time for their annual sojourn or pilgrimage! And these aspects inspire Sunil Karer (Managing Editor, Watch Market Review), Karishma Karer (Associate Director and Features Editor) and Anieta Vaghaiwalla (Features Writer) to keep returning to the Baselworld Show year after year with renewed passion and enthusiasm. It was an ideal time and opportunity to renew ties with old friends and make new ones against the backdrop of the Show that set new records…

BASELWORLD 2010 drives the Industry

BASELWORLD 2010 closed its doors on March 25, 2010, after eight outstandingly successful days. With 100,700 industry professionals from all over the world, the show received extremely high attendance (+7% up compared to last year). At the close of the event, the exhibitors were delighted with the pace of business. The World Watch and Jewellery Show proved a real inspiration for the industry.

During the past few days, the most important and largest World Watch and Jewellery Show, BASELWORLD, confirmed its leading position worldwide. 100,700 trade buyers from 100 countries streamed into the elegant exhibition halls in Basel.

Thanks to its unique presence, BASELWORLD secured its reputation as the highlight for the watch and jewellery industry, confirming its tremendous importance for all participants. BASELWORLD 2010 met the high expectations in terms of business performance and gave new impetus to the industry after challenging economic times.

Opening Day Speeches
Excerpts from the speech by Jacques J. Duchêne, President of the Exhibitors’ Committee

After several years of jubilant activity, 2009 was a difficult and disappointing year for the industry. In addition to the general trend of falling revenues affecting many companies, we should also be concerned by the employment situation.

The Swiss watch industry had to accept an export decline of 22.3%. That was bad enough, but the gradual drain of expertise should set alarm bells ringing. After several months of economic upturn, there are some positive signs. However we should not be overly confident, because the global economic situation is still highly precarious.

We should not forget that many small businesses, key for our sector, encountered severe difficulties and numerous highly qualified professionals lost their jobs. Each job that disappears not only represents the loss of expertise, but also the livelihood of each woman, man or family.

Fortunately the years before the economic downturn were exceptional. Therefore, the negative effects were less acute when the downturn came and this has helped companies in the sector to begin this spring 2010 in a strong and dynamic position.

In reality, the industry’s economic position is enviable. Today, with some serious exceptions, we are more or less at the same level as we were in 2006. So let’s use this transitional phase to establish sound underlying foundations that are more considered and healthy.

Even that is not enough. Other factors related to the downturn need to be taken into account, starting with a return to genuine values, as well as traditional and solid principles. Today, consumers certainly take more responsible and considered decisions that established and even highly reputable companies must respond to. Many of you have already mentioned this in writing or in conversation – the years of extravagance are over.

In short, we are currently undergoing a transition period. Without a doubt, this is an especially challenging time for companies, although this has a naturally stimulating effect and will help each of us, yourselves included, to move forward.

Our show has always progressed with the changing times. We had the necessary foresight to reflect the market situation. Our internationally respected platform will be further strengthened, if all the participants involved seek secure values and stability.

BASELWORLD firmly believes in the future and in its leading role. Therefore major investment over the next few years will be devoted to extensive changes and new ventures – this process should be completed by 2013.

None of the efforts undertaken in these difficult times should deter us from our fight against counterfeits, which began long ago. This was and still is the case, since we cannot afford to surrender to this persistent menace, particularly with the growing power of new sales networks such as the Internet.

Last but not least, I wish to acknowledge the fundamentally important work of the Panel which will be represented here at BASELWORLD for the 26th year running. As a reminder, the Panel is an internal adjudication committee that will investigate any complaints made during the show relating to criminal activities arising from the infringement of intellectual property rights.

Excerpts from the speech by René Kamm, CEO MCH Group

Last year, I made the statement that there can be an upside to an economic crisis. This is because it corrects the excesses in the market and will therefore ultimately profit the established and soundly managed brands and companies.

The watch and jewellery sector, and its mirror image – BASELWORLD has a continued excellent reputation within the watch and jewellery industry and a leading role amongst trade shows, and the following points have become apparent:

The recession naturally has an impact on trade shows and exhibitions, but they continue to be successful even in a challenging commercial climate. Trade shows are an excellent, highly effective and efficient marketing tool. Regarded internationally as a key industry platform, BASELWORLD is a “must” for exhibiting companies.

As an event organiser, we always have a role to play and must constantly try to develop this unique platform as well as ensure that it remains tailored to our customers needs. This is why we also stay on track with our plan of ongoing investments into BASELWORLD. For instance, the development of a new Internet platform was one of our investments for BASELWORLD 2010.

Of course, we are still on schedule to complete our major new building project for the “Exhibition Centre Basel”. In summer 2009, the project was successfully reviewed. We have been able to retain and even enhance the functional and architectural quality of the building within the designated budget of CHF 430 million.

The space allocation program and the basic concept for statics have been improved. Both the building’s upper levels will have height capacities of 8 metres and the column grid corresponds to that of the existing Hall 1. There will be a hall on the upper first level with continuous access extending over nearly 420 metres in length. Overall, our new building here in Basel will enable us to offer an exhibition area of 141,000m².

Preparation will commence in summer 2010. During the first building phase from summer 2011 to spring 2012, the complex at Exhibition Square will be redeveloped – this is the so-called "City Lounge" with hall complexes situated above. In the second phase scheduled for between BASELWORLD 2012 and BASELWORLD 2013, Hall 3 will be dismantled and rebuilt, and the showcase “front building” of Hall 1 will be constructed. We are already eagerly anticipating the completion of the new complex in time for BASELWORLD 2013.

Excerpts from the speech by Sylvie Ritter, Managing Director BASELWORLD

The 2010 event is sure to reveal a revitalised industry. We are now able to progress at a steadier pace and overall we are more economically efficient. Those with experience have a wise attitude and often say that economically challenging times make the strong grow stronger, while the weaknesses of the weakest are exposed. The fact is that BASELWORLD is fully booked. We have the same number of exhibitors as we had in 2009, and this has remained unchanged for several years.

It is worth mentioning that our aim has never been to increase the number of exhibitors, but to offer the kind of space that will allow existing exhibitors to present their brands and products in the best way.

This year, many buyers and exhibitors decided to take part in less shows and events for economic reasons. And many have focussed exclusively on BASELWORLD, demonstrating their appreciation of our show. And this, of course, actually strengthens BASELWORLD’s influence and status – reinforcing its leading, international position.

In the same way that BASELWORLD’s leading role has been strengthened by the economic crisis, so too has it strengthened proactive companies in the watch and jewellery sector. Top companies will improve their position and continue to develop, and such businesses will enhance their profiles and maintain their respected reputations.

However in these changing times, one thing remains constant and has stood the test of time: jewellery and its purpose. In ancient history, jewellery attracted admiring attention and it continues to be a status symbol. Jewellery touches people. Across all cultures, jewellery is regarded as precious. In the 21st century, this cultural heritage is as significant as ever. One look around us today will confirm this! Contemporary watches or precious items of jewellery are just as important nowadays as jewellery has been in previous centuries. The joy felt when purchasing a watch or piece of jewellery lways quickly returns again after times of crisis. The demand for watches and jewellery which has strengthened in recent months is proof of this, and should make ASELWORLD 2010 another excellent year.

Confirms the strength of the international show

François Thiébaud, President of the Swiss Exhibitors’ Committee, explained how BASELWORLD 2010 wholeheartedly endorsed the positive signs during January and February for the Swiss watch industry: “Exhibitors and visitors can smile again. More than ever before, Basel is indispensable for us and ‘the lace to be’.”

Karl-Friedrich Scheufele, Co-President of Chopard, was also extremely pleased: “In comparison to last year, this year’s show went much better. We welcomed more customers – especially from the USA – and received many more orders.”

Françoise Bezzola, Vice President Communication of TAG Heuer, commented: “This was an exceptional year. After a tense period, we experienced a festive and optimistic atmosphere at the show. Everyone looks much more relaxed again here in Basel.”

Roberto Passariello, Communication Director of Bell & Ross, is also delighted with the way the show went: “It was a highlight of the year. At this year’s BASELWORLD, we welcomed significantly more trade buyers and journalists.”

CEO and President of Raymond Weil, Olivier Bernheim, describes BASELWORLD’s strength as follows: “All market participants in the world watch and jewellery industry were present at this ideal event. This is where we launch our products to our customers annually and update the media about our latest news. BASELWORLD 2010 enables me to look ahead with optimism.”

"We are also very pleased”, comments Michaela Hasieber, PR manager of Festina Group. “BASELWORLD is a crucial industry hub – our new product launches were well received and we were all able to present our brands in the best light.”

The world show is also eminently important for smaller brands. Mike Vogt, Vogard’s Créateur commented on the show: “It continues to be the top international
event. If you miss out, you clearly have problems. This show secures stability even in challenging times and facilitates fantastic networking. We have achieved excellent sales especially in the Middle East”.

Jewellery exhibitors also delighted

At the close of the show, Christoph Wellendorff, CEO of Wellendorff was also very satisfied: “Winners from the crisis are the authentic manufacturers and established brands. Wellendorff is profiting from this: we were able to improve again on the results of recent years. The buyers’ trust and confidence is back in all markets. BASELWORLD continues to be the only show that Wellendorff participates in.”

According to Umberto Picchiotti, Vice President of Picchiotti, BASELWORLD is immensely important for jewellery producers: “Our expectations were far greater at this show than last year. And we are totally satisfied – this week we did exceptional business.”

Finally, suppliers of precious gemstones gave numerous positive reports. For example, Bernd-Willy Ripp, Managing Director of Groh + Ripp, described BASELWORLD 2010 as follows: “We are delighted with this year’s result. We are surprised about the number of new customers from the UK and central Europe – with buyers from overseas continuing to arrive in Basel. All the regions of the world are present here.”

Representing the national pavilions in the Hall of Universe, Winchell Cheung, Director HKTDC, commented on last year’s show: “Business was better than last year. We achieved higher sales again especially with buyers from the USA. We see this as the ideal platform for business from overseas and Europe.”

As Jacques J. Duchêne, President of the Exhibitors’ Committee, summed: “We are delighted with this year’s BASELWORLD. Without being euphoric, we can optimistically look ahead this year. The show is and remains the place to meet for the watch and jewellery industry.” The World Watch and Jewellery Show, BASELWORLD 2011, will take place in Basel from March 24 to 31, 2011.