Q&A with Ice-Watch CEO: Jean-Pierre Lutgen

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Tell us about yourself?

My first experience with watches came when I founded a company called Tonton Lulu. We sold lapel pins and promotional items in “Nutella®” jars for example. We also sold watches…

Tonton Lulu was renowned for its ability to launch new items into the market very rapidly, but with the internet boom in 2000, it began to struggle.

In order to offset this, I opened an office in Hong Kong in 2005. At this time, “Armstrong” style silicone wristbands were selling well because we offered a range of bright colours that matched our clients’ specifications at tempting prices.

In 2006 I found the watch that would become ICE-WATCH®. The watch was broken down into ten parts so that different colours could be chosen for each piece. Having produced tailor made products for a number of years, I decided to create a genuinely off-beat product so I could bounce back – the Ice-Watch.

Available in all the colours of the rainbow, reasonably priced and tailored to your style, Ice-Watch are also collectable thanks to its fun, stackable packaging. A watch is no longer purely functional, it’s now a fashion accessory and a badge of identityand this appeals to large numbers of people, from the very young to the more mature.

With the name ICE-WATCH® that you have chosen, are you not treading a path that could cause you problems with the giant “SWATCH GROUP®”?

We registered the ICE-WATCH® trade mark on 13 December 2006. It’s true that the way ICE -WATCH® sounds obviously bothers Swatch, and so we signed an international co-existence agreement on 15 May 2008.

Meanwhile, on 28 November 2007, the Swiss manufacturer registered the brand iSWATCH, which is very close to the brand we have registered! The agreement signed by both parties requires that ICE-WATCH® always write its brand name as two words. The important thing is the word ICE and its meaning, as the word “watch” is generic. That’s why we are developing collections such as ICE-LOVE and ICE-WORLD.

In the 80s, the Swiss brand was a big player in the entry level sector, but today that’s no longer true and manufacturing is largely carried out in China. To reincorporate the Swiss aspect, we have registered another brand called ICE-SWISS so that we can unveil a new product in a top of the range segment. And after that, well, I can‘t say any more about that today…

Do you think that your brand is more powerful than other brands and that this promises well for the future?

Our strength is essentially visual because we have a very strong identity, but all this is linked to the public which has taken a massive liking to the brand. Because of this, we are producing almost 500,000 watches per month. My aim for 2011 would be to sell between 3 and 5 million watches, and with regards to our distribution network, we should have a presence in more than 100 countries, with more than 7,000 sales outlets.

You have conquered more and more countries with outlets opening everywhere, would you say that you are a real economic force?

Actually I am quite proud that I have been able to help by providing work for others. Everywhere in the world I am surrounded by flexible, passionate people who are ready to move fast. That’s crucial when you see the lightning fast reactions of the Chinese today, we all have to roll up our sleeves. Although they are world beaters today and it’s not just because they are cheaper, it’s because they have really understood the need for excellence which is required in the majority of sectors. As an example, if you turn over an iPod, you read “Designed in California, assembled in China”. In Belgium, our expertise is in design and quality control.

 

The ICE-WATCH® watches are often copied, how do you react to this?

It’s flattering to be copied… but unacceptable, obviously! We keep a permanent eye on the market where our presence is extremely strong. Our packaging (the little box in the form of a money box) gives us very powerful identity, which protects the brand quite effectively. We don’t think twice about taking legal action wherever it’s called for and the immediate media publicity helps us by sending out a clear warning to the public.

Do you like ideas to be shared and integrated into your brand and your products?

My belief is that you have to give in order to receive. We work in a linear, not a pyramidal fashion, that’s to say that an excellent idea which originates in Colombia for example, would be immediately communicated and shared throughout our network.

You take part in many fairs, how are you received by your competitors?

Actually, I remember our first fair in Bâle, the Mecca for watchmakers, with a great deal of pleasure. That was in 2009, we were lucky enough to be able to go, it cost us €70,000 for ten days! It was a very important step for us, because we were able to test our products and see how people reacted to them. It turned out to be a very positive experience. The press was very enthusiastic. Our competitors however did not really understand our approach or our success and some found it amusing… I remember one of the representatives for a high luxury watch who came to buy our watches for his children, that was really funny!