Bucherer: an imminent demise after its takeover by Rolex?

The Swiss watchmaking industry is in a state of flux: Bucherer, which will be acquired by Rolex in 2023, could soon disappear. A decision that would mark a major turning point in the luxury sector.

A scheduled end for a historic house

Founded in 1888, Bucherer has established itself as a benchmark in the world of Swiss watchmaking. Known for its exceptional timepieces and extensive network of boutiques, the brand has long thrived as a distributor of prestigious watches, including Rolex, Tudor, Cartier, Omega and Patek Philippe.

However, according to Swiss media outlet Bilanz, Rolex has decided to wind down Bucherer’s operations, a decision that has yet to be officially confirmed. It would appear that employees have already been informed of this imminent closure.

A strategic acquisition for Rolex

Rolex’s takeover of Bucherer in August 2023 came as a surprise to the industry, but it was a strategic move. By absorbing the Swiss company’s distribution network, Rolex gained total control over the sale of its own watches, an area it had previously left to retailers. With more than 250 boutiques under its wing, Rolex could strengthen its influence and further increase sales.

In fact, the luxury watchmaker recorded impressive results in 2023, exceeding $10 billion in sales, up 11% according to a study by Morgan Stanley and LuxeConsult. This figure alone exceeds the combined sales of Cartier, Omega, Audemars Piguet, Patek Philippe and Richard Mille.

Major losses for Bucherer

Although Bucherer enjoyed a prestigious reputation, the brand had been in financial difficulty in recent years. Despite annual sales estimated at between 80 and 100 million Swiss francs, its losses reached 250 million Swiss francs, making its situation unsustainable.

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