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TAG Heuer Connected Smartwatch Trebles Expected Sales, Gets Second Generation As Reward

Speaking to Swiss news journal NZZ, Jean-Claude Biver, Head of LVMH (the company which owns Swiss Watch brands TAG-Heuer, Zenith and Hublöt) made some interesting comments about the TAG-Heuer Connected Smartwatch and future plans for the company in that area.

First off sales. Expected at 20,000 annually, Biver said 56,000 had found owners and the first production run was all but exhausted. A new version of 2017 is slated for May. Biver is looking at 150,000 sales for 2017 as a whole.

At $1,500 per piece that makes the smartwatch a $85m business already, with the 2017 sales target potentially netting a quarter of a billion dollars. Not a bad return on a product only slightly functionally differentiated from the rest of the Android Wear crowd.

Later this year TAG's new Intel approved production facilities will allow it to comply with the standards for branding the Connected 'Swiss Made'. Not really a big selling point for what is essentially a mini-computer on your wrist, but in the Connected's market probably a reasonable marker of quality.

No word from Biver if TAG's promise to trade the Android Wear watch for a 'real' TAG-Heuer timepiece  has been taken up in numbers.

Still clear signs that it is possible to sell Android Wear watches, and do so profitably. All you need is a strong brand, a premium price and reasonable expectations.


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