Summer of 2004

The winter’s long gone. The sun is coming out. Amy Fernandes soaks in the optimism at the Basel and SIHH fairs this year

How do you define upbeat, how do you describe optimism?
At Basel this year, the skies were the same blue freckled with a few rain clouds, yet no one seemed to notice the shadows. The structures were no different from last year - the huge blue logo screamed out BASELWORLD. But for some reason, they appeared larger, bolder, more conspicuous. The doors were as heavy to push as last year. But they still swung easy, like the jazz band outside that seemed to strike a lighter beat of rhythm and blues.

For some reason the crowd was stronger, the smiles were broader, and the strides within the exhibition area more confident. The tone seemed to imply a sense of defiant cheer. As if to say, ‘Whatever happens, the show will go on.’ They need not have feared any interference. This time there were no excuses. No SARS and the embarrassing exits of the Hong Kong pavilion last year. No wars looming on horizons, no palpable threat to security via tapes released by Osama Bin Laden, no nothing.

In his welcome speech, René Kamm, CEO MCH Swiss Exhibition Ltd, sighed a breath of relief at the free flow of economic life. “The reason for my lack of dark under-eye circles has a lot to do with this year’s absence of crises,” he quipped. “Happily, the situation seems to have stabilised again following on from last year’s exceptional SARS-related problems. With the outbreak of the war in Iraq, the spread of SARS and an ailing global economy, 2003 was an extremely difficult year for the industry as a whole - but the early signs for this year are much more upbeat. There are definite indications of an economic upturn, and I am confident that BASELWORLD 2004 will provide the watch and jewellery sector with the positive impetus it needs,” he said, knowing that everyone in the audience and exhibition agreed wholeheartedly with him.

The star of this year’s show in terms of exhibition halls was the Hall of Universe. It held special significance on two counts. One being that it is the hall that accommodates the country pavilions. Last year the hall was empty. Worse still it was catapulted far away in Zurich. This year not only was it brought back to the fold, but also given pride of place.

The building work only started on September 15, 2003. 250 people were employed on the site everyday since then. 900 tonnes of steel, eight tonnes of paint and 20,000 square metres of walls were erected during the construction work. The new carpet in the hall covered 25,000 square metres. 26,000 letters were needed to label the stands and signs. And finally, 4,500 new showcases were built for the exhibitors in the country pavilions - in the Hall of Universe alone! It prompted the authorities of Baselworld, Hong Kong to exclaim, “It’s amazing how a mere warehouse can be transformed into something like this.”

Hall of Universe apart, 86 companies showed over a total exhibition area of 110,609 square metres. 44 nations expressed their total satisfaction after presenting their creations to 89,350 visitors. All this accounts for success.

If statistics aren’t enough here’s what Mr Francois Thiébaud of Tissot, and also member of the Basel committee, had to say about the unputdownable mood. “People want summer after winter,” he said philosophically. “Since 2001 the world was economically weak and people were beginning to get fed up. But people are resilient and we see this here today. We must learn to live with the insecurity of the world, and having realised that, we’re becoming more discerning and slowly, therefore, the economy is picking up. At the start of this year I visited 10 countries and I could perceive the sun coming out.”

The scene was no different at the SIHH either. As Rudi Huser reminded us in his speech, in 2002 and 2003, every economic sector felt the backlash of the morosity caused by world events over which we have no control.

Mr Carlo Lamprecht, state councillor, while addressing the audience, predicted a brighter outlook with economists confidently seeing an upturn. The upturn showed in the 16 brands that presented this year. Alfred Dunhill, which seemed to have played a low profile last year, seemed extremely upbeat this year. Not that it had anything solely to do with the economy, but optimism helps brands perform in a competitive arena.

We were informed that over the past two years, the Fine Watch segment has weathered economic ups and downs and lacklustre growth better than the lower segments. What applies to the majority of the world’s regions is all the more true in those markets whose potential for growth is likely to retain the interest of all companies in the luxury goods market. Judging by the brisk pace and the bright smiles, we reckon business will be booming for the watch industry this year.

Next Page