Business model
The following characteristics of our Group are considered a key differentiator to our competitors and create a high barrier to entry for new entrants into the market.
How the Group creates value
We collaborate with our long-standing brand partners to elevate and expand their distribution and partner on-demand forecasting, product launches, showroom projects, online, clienteling, marketing, events and learning and development for our colleagues.
Our well-invested showrooms are luxurious, open, welcoming, contemporary, spacious, non-intimidating and browsable. The design concept is regularly assessed in order to ensure we continue to appeal to a broad client demographic and drive high levels of productivity across our estate.
Our showroom colleagues provide expertise and knowledge to ensure an exceptional client experience through extensive learning and development.
We have embedded our industry-leading Xenia Client Experience Programme throughout the business.
We deliver impactful marketing focused on digital communications, Client Relationship Management, PR, client experiences and co-operative activity with brand partners. Our editorial content across watches and jewellery provides an authoritative voice within our market.
Our multi-channel model spans a well-invested showroom network, with flagships, regional showrooms, travel retail and mono-brand boutiques complemented by market-leading ecommerce platforms. The Group has a truly multi-channel approach, which includes click and collect, appointment system and the Luxury Watch and Jewellery Virtual Boutique.
Technology: Our fully integrated IT systems are based on a single SAP platform powering showroom points of sale, CRM, reporting solutions, live inventory availability and operations. The single platform enables rapid expansion capabilities in new markets or through acquisitions.
Merchandising: Dynamic inventory management optimises stock availability, enhances showroom productivity and in the UK, allows for nationwide coverage, giving us a key competitive advantage.
Retail operations: We aim to continually drive productivity and profitability, with a high level of accountability and performance management.
High barriers to entry created through national coverage in the UK with a portfolio of 146 stores, a growing presence in the US with 47 stores and 6 in Europe (as at 30 April 2023).
Financial performance: We run all our showrooms to be profitable, leveraging showroom and central overheads through top line growth with strict investment criteria on projects or investment opportunities.
Cash generation: The strong, consistent generation of cash is fuelled by strict working capital management, with sufficient liquidity to fund growth and to provide for potential acquisition opportunities.
We take a disciplined and data-led approach to return on investment, aiming to deliver long-term sustainable earnings growth whilst retaining financial capability to invest in our business and to execute our strategic priorities.
We aim to develop and grow our colleagues through significant investment in training and development. This is supported by promoting an open and inclusive environment through listening to our colleagues.
The Group has launched The Watches of Switzerland Group Foundation which supports a number of causes, with an emphasis on helping poor and vulnerable people out of poverty.
100% of our UK properties are powered by renewable energy and our near-term emission reduction targets, consistent with limiting warming to 1.5C, were approved by the Science Based Targets initiative.
We continue to invest into our repairs and servicing business and grow our sales of pre-owned watches.
We have also begun a programme of supply chain engagement and partnered with the Slave-Free Alliance to help mitigate the threat of modern slavery.
