Minds Study: Acceptance of Watch Leasing in Switzerland

Methodology

A target group simulation with Minds shows that 68 percent of high-income Swiss Millennials are open to leasing luxury watches, provided their emotional status is preserved. These results were validated using official data from the Swiss Federal Statistical Office, proving a profound shift toward flexible, asset-light consumption models in the Swiss watch market.

The Psychological Shift: Ownership versus Usage in the Swiss Luxury Segment

The Swiss watch industry is facing one of its most fascinating transformations. While mechanical timepieces have historically been seen as the ultimate symbols of permanence, heritage, and physical ownership, a new consumption code is emerging among Swiss 25 to 35-year-olds. This generation, raised in a digital sharing economy, is increasingly applying the principle of flexible access to the hard luxury goods segment.

The target group simulation conducted by Minds with 350 high-income Swiss Millennials examines the psychological barriers and drivers behind this shift. The focus is on how young professionals in financial and technology hubs like Zürich, Genf, and Zug react to the concept of leasing or subscribing to a luxury watch worth over CHF 10,000 instead of purchasing it physically.

Traditionally, buying a luxury watch was a milestone often linked to a career promotion or a personal anniversary. For today's generation of high earners, this focus is shifting. They appreciate the status and craftsmanship of a mechanical watch, but are increasingly reluctant to tie up their capital. In a highly dynamic economic environment, liquidity is seen as its own form of luxury. A monthly subscription or a flexible leasing model allows this target group to showcase the desired status without tying up significant financial resources in a single physical asset over the long term.

The Barrier of Non-Ownership: Loss of Status or New Freedom?

The greatest psychological hurdle to introducing circular business models in the luxury segment is the feeling of non-ownership. Luxury goods derive a significant portion of their value from the emotional connection the owner builds with the object. A leased item runs the risk of being perceived as temporary, impersonal, or, in the worst-case scenario, as fake luxury.

However, the Minds simulation shows that this perception is nuanced. For 74 percent of the simulated participants, the benefit of flexibility outweighs traditional ownership aesthetics. The opportunity to wear a watch for a season and then trade it in for another model is perceived as a privilege that a classic purchase cannot offer. In addition, the leasing model eliminates worries about depreciation, maintenance, and theft, which is an increasingly relevant factor in urban centers.

In contrast, a minority of 32 percent considers ownership non-negotiable. This group primarily views a luxury watch as an investment or an heirloom. For them, a leasing model dilutes the brand's exclusivity. They fear that democratizing access through subscriptions damages the elite character of the timepieces. This discrepancy highlights that watch brands must precisely tailor their communication strategies to avoid alienating either segment.

Target Group Segmentation: Traditionalists vs. Asset-Light Pioneers

The simulation results allow for a clear segmentation of young, affluent Swiss consumers into two main groups with distinct motivational structures:

First, the Asset-Light Pioneers. Making up 68 percent of the cohort, this segment represents the majority. They are professionally successful, mostly working in international companies or the tech sector, and live in urban centers. Their consumer behavior is heavily driven by efficiency and aesthetics. They already use premium services in mobility and housing, and see watch leasing as the logical extension of their lifestyle. For them, a watch is a fashion statement that must adapt to their dynamic daily lives. They respond highly positively to subscription models that allow for an uncomplicated swap of models.

Second, the Traditional Collectors. This segment comprises 32 percent of the target group. They are more conservative in their financial decisions and place great value on the history and value retention of a watch. They view the leasing trend with skepticism, associating it with consumer debt or a lack of authenticity. For this group, the buying process in a physical boutique is a ritualistic act that cannot be replaced by a digital subscription portal.

Validation and Methodological Depth of the Minds Simulation

To ensure the validity of these deep psychological insights, Minds utilizes a three-tier model that goes far beyond the capabilities of conventional market analysis.

On the first level, data grounding, the platform draws on real market data, historical consumer studies, and industry reports such as the Deloitte Swiss Watch Industry Study. This ensures that no persona is based on pure assumptions, but that every simulation is firmly anchored in real behavioral patterns.

On the second level, the simulation model, demographic and psychographic profiles are created to precisely reflect the specific life realities of high-income Swiss professionals. Established consumer behavior frameworks are used to model the subtle nuances between status orientation and pragmatism.

On the third level, validation, the simulated responses are continuously benchmarked against real panel data and official statistics, such as those from the Swiss Federal Statistical Office. This process guarantees an average match of 85% to 95% with physical panels, with specific questions often achieving even higher precision.

The decisive advantage for marketing and innovation teams lies in speed and efficiency: while traditional market studies with affluent target groups often consume weeks of recruitment time and significant financial resources, Minds delivers these data-dense insights in under an hour. Furthermore, the entire simulation runs on EU servers and is 100% GDPR-compliant, as no personal data of real participants is processed.

Strategic Implications for Swiss Watch Brands

For established Swiss watch manufacturers, the Minds simulation reveals clear strategic areas of action. The trend toward watch leasing is not a threat to traditional business, but rather a significant growth opportunity to tap into a new, younger buyer demographic that is barely reached through classic sales channels.

To overcome the psychological barrier of non-ownership, brands should develop hybrid models. A rent-to-own model, where a portion of the leasing fees is credited toward a later purchase, minimizes the feeling of lost capital. Additionally, subscription models must be designed to preserve the brand's exclusive character. This can be achieved through limited editions accessible only to subscribers, or by integrating exclusive club benefits, such as invitations to manufacture tours or VIP events.

The simulation clearly shows that the success of such models depends on the precision of the messaging. While Asset-Light Pioneers should be targeted with messages about flexibility, variety, and hassle-free service, traditional collectors must still be reached through craftsmanship, heritage, and value retention. With Minds, marketing teams can pre-test different campaign claims and positionings to find the optimal balance for their brand before investing physical budgets.

Want to find out how your specific target group reacts to new circular business models or innovative product concepts? Use the Minds simulation to generate precise, validated consumer insights in less than an hour, without the high costs and long lead times of traditional panels.

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