Watch Sales Sunk in June, But Don’t Blame Apple

Retail and Consumer Confidence
12/08/2015 09:40

Watch sales registered their biggest drop since 2008 - decreasing 11% by value and 14 percent by units - though, contrary to headlines, the Apple Watch was just one factor, says Fred Levin of market research firm NPD Group. Levin believes a variety of factors played a role, including decreased demand from Asian tourists on the high end. The biggest fall was at the low end, with sales of watches in the $100– $149 range plunging 24%. Levin points to three causes: a shift in retailer promotional calendars, a decline in sales of licensed fashion brands, and the Apple Watch. Most of the headlines, however, focused on the last factor: “Apple Watch Kills an Entire Industry in Less Than Three Months,” wrote one site. Levin does not follow this line of thought, but he thinks Apple’s newest creation had an impact.