Watches must have a philosophy. Boutiques are where that philosophy is communicated.

—Given that there are many long-standing watch retailers in Japan that handle Jaeger-LeCoultre, please tell us the significance of opening a directly operated store at this time.

It is to communicate the brand's unique message, which is difficult to do in multi-brand watch stores.

Recently, customers have tended to desire their own original models. For example, the "Atelier Reverso" service we have started offering. This service provides the value of customization, allowing customers to freely combine elements such as the dial color. Here, you can create a unique model of your choice.

Originally, the Reverso's reversible case allowed for engraving on the back. However, the current Reverso has dials on both sides. Therefore, we have made it possible to bespoke the color of the back dial and the strap.

For women, it is also possible to select a dial designed by Christian Louboutin. This collaboration is for a limited time. I am often asked why we partnered with him, but this collaboration came about from our desire to offer users something beyond our own imagination.

—Since we're on the topic of the Reverso, please allow me to digress for a moment. I've been curious about it since you mentioned it. You're wearing a magnificent watch today, aren't you?

The gyrotourbillon itself rotates on two axes. In this model, the rotation speed has been increased compared to previous versions to further stabilize accuracy. It rotates once per minute and once every 16 seconds. Previously, it was once per minute and once every 24 seconds.

Furthermore, the balance spring has changed from a spherical to a hemispherical shape. The cage is made of titanium to reduce weight.

—I see. My apologies, let's return to the topic. Regarding the establishment of the directly operated boutique, please tell us about the specific considerations you focused on in terms of "space design," "customer service policy," and "product assortment."

In terms of space design, one notable aspect is the central display case. While most stores typically place showcases along the walls, we believe this arrangement makes it easier for customers to view the watches.

Additionally, we have prepared a private space at the back to welcome our VIP clients.

Page02.Technicians also stationed at directly operated boutiques

Technicians also stationed at directly operated boutiques

Furthermore, Jaeger-LeCoultre technicians are stationed at the directly operated boutique, allowing for quick repairs such as bracelet sizing, as well as the opportunity for customers to speak directly with a technician if they have specific questions.

—Are the technicians stationed at the boutique Japanese?

Yes. They are Japanese technicians who have received training at Jaeger-LeCoultre.

—What kind of training have they received?

However, I believe our watches rarely break (laughs).

—The display of high-value models within the boutique strongly conveys the brand's message. Is this intentional?

Yes. Among them are boutique-exclusive models. The message that a boutique aims to convey is the significance of its existence as a long-standing Swiss manufacture. Naturally, complex watches are indispensable.

—How many directly operated stores does the Ginza, Tokyo boutique represent globally?

In terms of directly operated stores, this is the 53rd. Including boutiques operated by our partner retailers, this is our 95th boutique.

—Compared to other brands, the opening of a directly operated boutique in Japan seems to have been delayed. Was there a specific reason for this?

It was not a delay, but rather a careful selection of location. Namiki-dori in Ginza, Tokyo, was the appropriate location for Jaeger-LeCoultre.

Of course, there were other potential locations considered before, but it was only now that we were able to secure a store space of approximately 100 square meters on the ground floor. We were not considering any other floor, nor any other location besides Ginza Namiki-dori.

Page03.Jaeger-LeCoultre's Outlook for 2017

Jaeger-LeCoultre's Outlook for 2017

—It has been over three years since Daniel Riedo was appointed CEO. Looking back on this period, could you please tell us about the policies you have implemented and your achievements?

I have not changed the company's policies. Jaeger-LeCoultre has a history of 185 years, built on the pursuit of technical excellence. I am merely continuing that legacy. However, I have proceeded with a review of the collections as follows:

1.Adjusting the size of the "Reverso" to meet current needs
2.Renewing the "Geophysic"
3.Expanding the women's line with "Rendez-Vous"

All of these are extensions of Jaeger-LeCoultre's history.

—What are the challenges you plan to address moving forward, as far as you can share?

In 2016, which was the 85th anniversary year of the Reverso's creation, we focused on this series. In 2017, we will concentrate on "Rendez-Vous." Regarding Hybris Mechanica, we have already begun development on models to be released more than five years from now.

We have 120 engineers in our company involved in design. That's just in the development department. Engineers are not only involved in design; they are specialized in various sections, such as those belonging to the research laboratory.

—That many? Given the brand's scale, that seems like a very large number. Does this indicate a strong focus on development?

Yes. Throughout our 185-year history, we have continuously developed movements. We have created approximately 1,400 types. Each year, we introduce at least two to three new movement types. Therefore, one-quarter of Jaeger-LeCoultre's personnel belongs to the development department.

—What scenario do you envision for the continued growth of high-end mechanical watches?

In times of global economic instability, I believe customers purchase watches for their authenticity and the peace of mind they provide. Moving forward, brands with a genuine history will be increasingly chosen. Jaeger-LeCoultre can be that choice.

In January 2016, we expanded our restoration atelier, making it accessible for public tours. Watches are items that can be passed down through generations, and vintage pieces can still be fully utilized. If brought in for repair, they can be fixed and used again. We believe it is our responsibility to maintain such a system, and our efforts in this regard have led to the trust we enjoy today.

Few Maisons in the Swiss watch industry can do this.

—And you have opened up the core of that operation, haven't you?

Yes. We welcome 3,000 to 3,500 visitors annually. We do ask that visitors refrain from entering the development area (laughs).

—How should one go about making a reservation for a visit?

We would appreciate it if you could make a reservation through our boutique in Japan. Alternatively, if you are already visiting Switzerland, please contact our boutique there.

—I will ask this question last. Frankly speaking, is there still room for technical advancement in high-end mechanical watches? If so, what is the basis for that?

The technical development of watches continues to evolve at a remarkable pace. Even in terms of miniaturization and thinning, there is still much progress to be made in the next ten years. There is ample room for developing entirely new mechanisms, as well as refining existing ones.

Another point I would like to draw your attention to is that we focus on developing practical complications – that is, complications that can actually be worn on the wrist – rather than simply incorporating multiple complex mechanisms.