I think it was put best by Kirk McElhearn:
"The Apple Watch Edition is not a luxury watch; it’s just a gold-cased version of the cheaper watch. There’s nothing exclusive about it, nothing special."
A sane man that *actually* understands Apple.
He's *slightly* off base here (it comes in a much nicer box) but overall he's on point.
The watch has *less* 18K Gold by volume than anything in that size class due to Apple's patented process using a ceramic instead of another metal, so it doesn't have "nearly One Troy Ounce" of gold in it as other's have opined based off cad drawings and the like - these people didn't account for that.
"Switzerland should be worried" - That's why. Apple can make 18K gold for half the cost and bring it to "the masses" due to their process.
The Watch Edition is being targeted for/at/made for Apple's "wealthy" middle class customers...it is NOT being targeted at the "luxury" buyer. At all. It is simply showing up in places people *assume* are for that reason to heighten the profile and appearance for Apple's target market. It will be mass produced by machines. It isn't a "luxury" item any more than an iPhone is.
I think people *want* it to be insane for their own reasons...Fabulous by Association...Anything But Apple Confirmation Bias...but the reality is it is *more* in line with Apple's history and "DNA" to make a 'luxury-quality consumer electronic device for millions' than a "luxury device for 100,000"...they have the skill, engineering know-how and operations chops to be able to actually do it.
There is nothing *innovative* at all about a $7K-$10K gold watch. Apple's entire business model is based on product innovation, with a bit of invention sprinkled in here and there.
Of course, if you are Apple and you have warehouses full of money, you can just throw it at the problem. You hire TAG guys *not to become them* but to learn from them how to "TAG" at Apple's scale. You hire Burberry to learn how to "Burberry" at scale, Nike for the same reason.
Apple is going to always be Apple. The trick is how to move into new markets to grab more "wealthy" Middle Class aspirational dollars without looking "phony" (Hi Samsung).
This is what Apple is doing.
The problem is, people are constantly accusing Apple of being all looks and no brains so they discount all of these things, drop their own biases in, and you end up with people actually convincing themselves that *Apple* is trying to be Cartier
-K