In a move that puts the balance between function and fashion in the iWatch smartwatch’s design into question, Apple Inc. (NASDAQ:AAPL) managed to hire sales director Patrick Pruniaux away from a lucrative post at a Swiss watch company yesterday, according to a report by CNBC. Besides being a feather in the cap of Tim Cook or those working in his name, this hire appears to cement rumors that the iWatch will be marketed as a luxury item, or perhaps that certain models of it will be.
Though this much of Apple’s intent is fairly clear, it will require considerable juggling for the firm to claim that the iWatch is a “Swiss” watch, considering that the device is being built in Taiwan, China, and possibly (in small numbers) in India. However, it does raise interesting possibilities that the iWatch will have a considerably higher price point, as the sometimes over-enthusiastic analyst Ming Chi Kuo of KGI claimed months ago.
Apple has approached Swiss watch makers in the past and received the cold shoulder in return, according to Mario Ortelli, an analyst at Bernstein. Mr. Ortelli notes that association with the California-designed, China-made products of Apple would “dilute” the elite watch brands of Switzerland, which explains their refusal to deal with the Cupertino company.
“Diluting the brand,” of course, is a diplomatic way of stating that rich Swiss watch buyers view Apple’s products as cheap and boorish, and the Swiss companies do not want to be seen associating with that type of corporation. Mr. Ortelli also stated, however, that the iWatch would likely be superior to lower-end Swiss watch models.
Patrick Pruniaux, according to his Linkedin profile, earned his first degree, a Master of Science in Marketing, at Bordeaux Business School in 1996. Mr. Pruniaux subsequently served as a First Lieutenant in the French Army’s 11th Airborne Brigade for one year. He then worked for three years as a Market Development Manager in Africa and the United States for Diageo, a London-based wine and spirits company.
Mr. Pruniaux first became involved with LVMH in 2000, when he joined the Moet Hennessy company as a Regional Director for the U.S., helping import “prestigious brands of wines, spirits, and champagne.” In 2005 he moved to the Tag Heuer Swiss watch company, where he remained for the next 9 years, eventually reaching the post of Vice President of Global Sales & Retail – Tag Heuer in 2010. His latest career move is his switch to Apple Inc., where his precise job description and role has not yet been publicly revealed.
