So it seems that the strongest arguments in favor of the Apple watch are: 1) it does more things than a traditional watch and 2) it is relative thus it's not expensive.
Regarding utility, although we may one day get there, the use case for the Apple Watch is not compelling at all.
Perhaps developers will fill in some useful functions but as it is, Apple is pitching more on the fashion/lifestyle angle than utility.
The only thing that Apple Watch does better than a phone is fitness tracking, but there are also fitness trackers that accomplish this task much better.
Notifications are certainly nice, but I am not sure if it's something that millions of people are dying to have.
At least based on Apple's own messaging, it seems that Apple Watch wants to compete based on being an aspirational product, which is what a mechanical watch is.
A mechanical watch such as a Patek Philippe or Audemars Piguet is entirely about craftsmanship and art, rather than utility, and on this front, these watches are much better at it than the Apple Watch.
Regarding the price being relative, I totally agree. I was making the point that for many people, the idea of spending $1000 on the stainless steel watch that will be either unfashionable in 1 year or completely useless in 3 years is not appealing.
I fully understand that there are people with lots of money or different priorities who may see things differently.
In fact, if you look at how quickly the Apple Watch sold out, there are clearly enough people to buy Apple Watch given current supply.