Omega hops on e-commerce bandwagon

While most Swiss watchmakers have been reluctant to go into e-commerce, Omega may have just started the domino effect. The company has officially started selling their watches online, thereby disrupting the way expensive watches are bought.

Watch aficionados have been buying and selling online for quite some time, but it was through the grey market rather than an authorized dealer. Now, customers can officially buy from Omega's e-commerce site, which also signifies an adjustment in the way people shop. While those more knowledgeable about luxury watches were more comfortable buying online, as they were experienced in what they were getting, newbies would go into physical stores to get hands-on education.

Omega disrupts the luxury watch industry with e-commerce platform

With the millennial generation of watch consumers used to having everything so internet available at their fingertips, that educational process has changed. Now they can learn about luxury watches online and find out what makes a good introductory piece.

E-commerce also has benefits for Omega, as now they get to keep most of their profits. With the authorized dealer model, the dealer got a certain portion of the sales, but with e-commerce, Omega will retain most of its profit.

Swiss watches have been hoping for a rebound since their exports fell 10 percent last year. According to the Financial Times sales were hit by sluggish global economic growth and a decline in Chinese tourists to Europe, but the U.K. was a strong spot due to a weak British Pound.

Reducing the role of the middle man will certainly help these companies sales. The new watch customer just won't be the same.

photo:via Omegawatches.com