Guido Terreni, CEO of Parmigiani Fleurier Navigates The Way forward for Luxurious Watchmaking

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In Parmigiani Fleurier, one discovers a wholly unlikely success story; like so many of those, it appeared to occur just about in a single day but it was a long time within the making. Little question you understand that that is in regards to the Tonda PF assortment since this was the household of watches that modified the trajectory of the model again in 2021. This a lot is apparent, and thus standard knowledge additionally has it that the individual accountable right here is none aside from CEO Guido Terreni. The person himself shouldn’t be so fast to embrace this position within the story to date, though he actually agrees that Parmigiani Fleurier is on the street to a brighter future. We expect he deserves credit score a minimum of because the navigator but additionally because the architect of the narrative.

In the newest Morgan-Stanley report on the state of the Swiss watch business, Parmigiani Fleurier powered into the highest 50 manufacturers (at quantity 46) for the primary time. Whereas this report, and others prefer it, are merely indicative moderately than definitive, it nonetheless highlights how far the model has are available in a couple of quick years. Again in 2020, as lockdowns have been being eased right here, we wrote that collectors and the group ought to take the difficulty to reacquaint themselves with Parmigiani Fleurier. Then the agency affirmed our curiosity with the discharge of the Tonda GT Sport, by far essentially the most good-looking and commercially oriented assortment to bear the Parmigiani Fleurier badge.

Terreni, who took the helm at Parmigiani Fleurier in early 2021, instructed us that he felt the foundations of a fantastic assortment of watches started with the Tonda GT Sport. On the identical time, he needed to take issues additional as a result of he noticed Parmigiani Fleurier as a model with “a delicate and understated soul,” and one thing just like the Tonda GT Sports activities might simply have veered into aggressive territory; there was already a built-in motorsports angle right here in spite of everything. As a substitute, Terreni made a wager on the understated qualities of Parmigiani Fleurier, which critics had lengthy charged have been holding the model again. Terreni’s reply was to go quiet and rework the model by doing the unthinkable in watchmaking: eradicating the model identify from the dial.

Sure, the Tonda PF solely has a cartouche with the model brand on the dial, a brand that had by no means been used this manner dial-side earlier than. By the tip of 2021, the brand new Tonda PF was already making waves, and we managed to shoot it for our cowl that yr (#63). Three years later, the virtues of the Tonda PF assortment are well-known, and it’s obvious that the shift to utilizing a badge as a substitute of the model identify is obvious elsewhere too, even within the distinctive creations such because the L’Armoriale pocket watch (see Highlights this subject). To make sure, utilizing a brand as a substitute of a full model identify, even when the founder continues to be very a lot within the image, is comparatively odd. In watchmaking, contemplating how small the product is, you would possibly assume this nothing a lot however you’d be flawed. Swiss watchmaking is nothing if not conservative and also you solely must scan by varied interviews with Terreni to see how typically he bought requested about this. For the report, we requested him to in our final two chats with him.

For this most up-to-date assembly between ourselves and Terreni, we skipped the model identify questions and went in decidedly extra idiosyncratic instructions.

We didn’t get an opportunity to get into your ideas on Watches and Wonders Geneva once we met there so let’s begin there.

Effectively, I’m very keen on worldwide watch festivals like Watches and Wonders Geneva, particularly qualitative ones. This yr (2023) we set our second appointment with the business, with shoppers and with the press in a continuation of what we had executed the yr earlier than, once we returned to (a bodily honest) and put Parmigiani Fleurier again on the watchmaking map.

To me, this honest particularly ought to be THE actual appointment of the business. I’d love that each model showcases at Watches and Wonders Geneva as a result of it’s per week through which the general public tunes in on watches; watches should not a purchase order one makes often (on the subject of the broader public). So not everyone’s actually following what the manufacturers are doing (on a regular basis) and when you’re shopping for a watch each five-10 years, it’s not such as you comply with the business like people who find themselves within the business. So having an appointment through which everyone is aware of that there’s one thing to comply with and (occasions that one can observe) to me could be very instrumental.

So you might be optimistic on the general public days then?

I used to be used to this in (the now-defunct) BaselWorld, which was open to the general public and was ticketed. The general public, the commerce and the press weren’t separated; they have been all collectively (though appointments have been wanted to stroll into the personal areas inside model cubicles).

Right here, at Watches and Wonders Geneva, the organisers desire to have some separation as a result of the house is smaller, so for logistical causes, it needs to be this manner (the PalExpo house for Watches and Wonders Geneva is probably going smaller than simply Corridor 1 of BaselWorld, for some context – Ed). This yr, there shall be three days devoted to the general public and I feel (all manufacturers will) be extra prepared this yr than final yr. The general public took us abruptly in 2023. There have been greater than 10,000 guests over two days and the typical age was 35. It was actually individuals who have been within the early days of understanding what watches (and the pastime of accumulating watches) is about. You must put money into (enhancing and elevating the) information of the viewers, and it doesn’t matter if they won’t purchase instantly. Not less than they develop their curiosity and so they get to the touch and really feel the merchandise; (the honest) turns into their introduction to the manufacturers.

”You must put money into (enhancing and elevating the) information of the viewers, and it doesn’t matter if they won’t purchase instantly”

This speaks to one thing we mentioned beforehand – all the brand new individuals drawn to watchmaking. How does Parmigiani Fleurier communicate to this group, whereas balancing the wants of the established collectors?

Effectively, it’s fairly pure; I feel it’s important to adapt…to customize your speaking factors. (If somebody already is aware of the model story) you may skip this and straight go on to a topic that’s particular and deeper. All of it depends upon who you’ve in entrance of you. So normally individuals buy groceries in a bodily retailer to be educated, as a result of they’ve been launched to the watch or the model after they noticed it on the wrist of a good friend, or they examine it. There’s a form of analysis that the client does – particularly when going up in worth (of any given watch), you might be typically going deeper into watchmaking content material. After all, not everyone is a watch lover. Lots of people are simply shopping for the look ahead to the hype or as a result of it’s cool…they just like the aesthetics. What drives individuals is private, you understand, so the model has to narrate to the viewers individually.

We didn’t get an opportunity to get into your ideas on Watches and Wonders Geneva once we met there so let’s begin there.

So you might be optimistic on the general public days then?

This speaks to one thing we mentioned beforehand – all the brand new individuals are drawn to watchmaking. How does Parmigiani Fleurier communicate to this group, whereas balancing the wants of the established collectors?

”A collector or watch lover likes to browse and examine; he likes to be suggested by any person who is aware of greater than him”

So, we all know how a model would work this on the bottom, in its personal atmosphere. Parmigiani Fleurier works with many companions although and is most seen in a multi-brand setting. What’s your strategy right here?

I feel Parmigiani Fleurier is clearly enticing to any person who’s well-educated in watchmaking and who normally prefers to buy in multi-brand environments. It is because a collector or a watch lover likes to browse and likes to match; he likes to be suggested by any person who is aware of greater than him.

And once you go right into a mono-brand retailer, the workers there know quite a bit about their very own model, however they lose observe of what’s occurring exterior. So, you’ve an expertise which is one-to- one on the model, however you can not examine. I do know this from my expertise with my earlier firm (Bulgari, the place Terreni was accountable for watchmaking – Ed). The advisor who works in knowledgeable multi-brand retailer is extra of a impartial marketing consultant who builds a relationship with a collector, and advises him on what works (or might work) for him.

Let me provide you with an instance: I used to be in Germany, in Hamburg, and had dinner with two collectors that have been very avid collectors – each rich and younger. One in all them was dwelling in Berlin and I used to be going to Berlin the subsequent day. I requested him why he drove three hours to have dinner with me as a substitute of assembly me the subsequent day. He instructed me that he was following his advisor, who had moved from Berlin to Hamburg (after a promotion). So this collector continues to be served by the identical advisor as a result of he trusts him; there may be clearly a bond there (and that is what occurs at the most effective multi-brand retailers).

Because of this I’m so eager to see how the brand new idea Honest is doing in KL will go. The SHH house is extra of a lounge than a retailer the place you may move the time, take pleasure in your pastime, and share your ardour with people who find themselves skilled. (As a consequence) you don’t solely see issues which might be business.

And that is your tackle the multi-brand retail expertise versus what some watch manufacturers are attempting to do by creating their very own mono-brand shops?

(As talked about), the multi-brand (retail) advisor turns into a form of marketing consultant working within the pursuits of the watch lover (and naturally the retailer) and creates a bond based mostly on belief. You recognize there are such a lot of novelties yearly and you can not navigate this, worrying together with your job, with your loved ones, etcetera. It’s not everybody who has the time (and inclination) to check the business. And so yearly, you (the collector) ask your advisor what’s new, what’s thrilling? What do you assume would swimsuit me? This you can not do very effectively in a mono-brand atmosphere (and even) in a multi-brand one

since you are targeted on the business normal collections. Once more, that is why the SHH is attention-grabbing to me. That is the correct factor to do for the multi-brand retailer who desires to outlive this struggle as a result of there’s a hidden struggle between manufacturers which might be integrating their distribution and multi-brand retailers which might be shedding sure attention-grabbing manufacturers as a consequence. To outlive, they’ve to offer a service which is greater than the only relationship with (sure) manufacturers that they carry.

If I have been a multi-brand supplier, I’d not do an occasion with a single model. I’d do an occasion on micro-rotor watches; I’d do an occasion on chronographs; on calendars; or on the totally different kinds that (are naturally current) in a multi-brand atmosphere. I’m not a multi-brand retailer, in order that they do what they need, but when I have been them that is what I’d do!

Duly famous, and it is going to be revealed! Talking then of micro-rotors and the retail expertise, one last query on the Tonda PF. It is a watch that it’s essential see up shut and really feel, particularly with the knurled bezel and the bracelet being as it’s. Superficially, it appears to be like very very similar to the Tonda GT Sport, however it is vitally totally different. The retail expertise should be paramount right here? And the way does the model go about ensuring that match and really feel are wonderful?

Effectively, what you’re asking could be very good as a result of it’s very troublesome to convey the consolation of any given watch with only a image; to point out it to a movie. You don’t grasp the truth till you set it in your wrist.

And to design a snug watch is an artwork. It’s actually not simple, and it has quite a bit to do with the burden (of the watch head, and of the supplies used); with the best way the watch sits in your wrist. It has quite a bit to do with the flexibleness of the bracelet. All these components have to return collectively to make an expertise which is snug and I feel the Tonda PF with micro-rotor is essentially the most important instance – this watch began every part and varieties the matrix of every part that we’re doing. So, on the bracelet we did for the Tonda PF… Once you design a bracelet, which isn’t a very versatile bracelet nevertheless it’s a semi-rigid one, mainly the designer has to decide on an arc. This arc is a statistical curve of the complete inhabitants. It’s not your wrist; it’s not my wrist. OK, so in centimeters, my 17 1/2 wrist is totally different from yours as a result of my bone construction is totally different from yours and so forth.

And it’s not the wrist that has to adapt to the arc of the design; it’s the watch that has to adapt. To me, that’s why the flexibleness of the bracelet is extraordinarily essential.

And there’s additionally the preferences of various markets the place typically individuals are OK with having the watch form of sit all the best way in direction of the tip of the wrist, and a few individuals insist that no, no, it should sit (snugly) earlier than the (protrusions of) the wrist bones.

This text first appeared on WOW’s Spring 2024 subject.

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