Audemars Piguet Sales Grew Amid Swiss Export Slump
The luxury watchmaker leveraged a low-cost collaboration with Swatch to offset market pressures.
Updated on Sept. 26, 2026 in Economic Indicators
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Audemars Piguet reported 10% organic sales growth in 2025, even as Swiss watch exports to the U.S. declined 19% in August 2026. This performance followed the May 2026 launch of the Royal Pop watch line, a collaboration with Swatch.
Why it matters
The brand is shifting its strategy to recruit new watchmakers and reach younger audiences as the Swiss industry contends with a 1.7% total sales decline. This pivot highlights how luxury incumbents are addressing both the global talent shortage and the impact of rising trade tariffs.
Audemars Piguet recorded 10% organic sales growth in 2025 despite an industry-wide sales decline of 1.7% last year. The brand now navigates a 12.5% U.S. tariff on Swiss goods, while Swiss exports to the U.S. fell 19% in August 2026.
The players
Audemars Piguet
A manufacturer of high-end mechanical watches that produces 53,000 units annually.
Swatch
A mass-market Swiss timepiece producer that collaborated on the Royal Pop watch line.
The details
Audemars Piguet produced its $400 Royal Pop line in partnership with Swatch, utilizing mass-market reach to generate 20 billion social media mentions. The company is simultaneously rolling out AP Labs pop-up experiences to provide technical education. These initiatives aim to bridge the gap between the brand's entry-level collaboration and its core business, which produces 53,000 watches annually with starting prices of $30,000 for Royal Oak models.
Timeline
2011: Swiss watch exports began a global decline.
2025: Audemars Piguet recorded 10% organic sales growth.
May 2026: Audemars Piguet launched the Royal Pop collaboration.
August 2026: Swiss watch exports to the U.S. fell 19%.
Market Landscape
The luxury watch sector is currently dominated by four brands holding 76% of industry profits, leaving smaller players to fight for share in a $50 billion market. This move marks a departure from the traditional exclusivity model seen since the 2011 downturn in global Swiss watch exports.
Operators should monitor how luxury brands utilize lower-cost collaborations to maintain brand visibility amidst 12.5% tariff-driven import cost increases. Watch for further shifts in industry labor recruitment, as major brands invest directly in training to mitigate the shortage of skilled craftspeople.
The takeaway
The Royal Pop collaboration demonstrates how established premium brands use high-volume outreach to sustain growth despite trade headwinds and cooling demand. Operators should track how such partnerships impact their own brand positioning as incumbents attempt to court new demographics.
Further reading
For broader trends in global market fluctuations, visit Economic Indicators.
Source note: This article includes information reported by CNBC.
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