The Swatch watch's enduring legacy

In the 1980s and early 1990s, retail watch counters became a spectacle. Shoppers eagerly crowded around as new Swatch watches were unveiled, reminiscent of the frenzy during the Cabbage Patch Kid mania a few years prior. People clamored for the $30 plastic timepieces, which came in a rainbow of colors and designs. The demand was so intense that stores often imposed a one-watch-per-customer policy.

This led to some unusual behavior. Customers would purchase a Swatch, leave the store, then return—sometimes with a disguise, such as a change of clothes or even a wig—in hopes of circumventing the limit and buying a second or third watch. The Swatch craze mirrored the Beanie Babies phenomenon, though it reached new heights of obsession, with some collectors shelling out thousands for limited-edition versions they couldn't find in stores. The watches were more than accessories; they became a fashion statement and a blank canvas for art.

Even more significantly, Swatch became the unexpected hero for the Swiss watch industry, which had been on the brink of collapse.

To grasp the distinct allure of Swatch, it's essential to consider the watch market in the late 1970s. Swiss timepieces, once the epitome of precision, were being overshadowed by affordable digital quartz models from Japan. These imports were not only cheaper to produce, but also more budget-friendly for consumers. Faced with the decision between paying a premium for a high-quality Swiss watch or opting for a more affordable digital alternative, many consumers chose the latter. As a result, Swiss watchmakers were struggling—business was down, factories were closing, and jobs were being lost.

However, a few key developments were unfolding that would ultimately revive the Swiss watch industry. ETA SA, a Swiss watchmaker led by Ernst Thomke, had recently invested in an injection-molding machine following the suggestion of engineer Elmar Mock. Mock, alongside his colleague Jacque Muller, spent 15 months perfecting a plastic prototype watch that was one solid piece, welded together. The breakthrough of this sealed design was that it streamlined the production process, reducing what was once a labor-intensive, handcrafted assembly into an automated manufacturing system. The new watch required only 51 parts, compared to the 91 parts typical of other models at the time. In doing so, Thomke, Mock, and Muller created a timepiece that was both durable and cost-effective.

The challenge, however, was persuading consumers to choose a Swatch over a cheaper digital Japanese model. Thomke understood that the prestige of a “Swiss watch” still held significant sway, much like how someone might opt for an authentic Chicago deep-dish pizza over a lesser imitation. Along with Nicholas Hayek, who would later become the CEO of the Swatch Group, Thomke believed he had unlocked the secret to reinvigorating the Swiss watch industry. In March 1983, they introduced the first Swatch in Zurich.

Yet, the very manufacturing process that allowed Swatches to be affordable also posed a dilemma. Automation ensured that watches and bands were nearly identical in size and shape. With the general appearance of the product limited, the question arose: how could the Swatch stand out in the crowded market?

The key to Swatch's appeal lay in its design. The name Swatch was a blend of two words: secondary watch. The idea was to treat a watch much like any other accessory, such as a tie or a pair of shoes. Just as people didn’t limit themselves to one tie or one pair of shoes, Swatch envisioned that customers would want multiple watches. Thomke and Hayek believed a watch should be no different.

At the suggestion of marketing consultant Franz Sprecher, Swatch watches soon flooded the market in a variety of colors and with diverse designs on their faces. The idea was to offer watches that could be matched with different outfits or events—a trend that became known as “watch wardrobing.” Someone who bought a red Swatch for summer might choose a black one for professional settings. Priced between $30 and $40, buying multiple watches became a realistic option.

That was the vision. However, when some U.S. stores received their Swatch inventory, they were perplexed by what seemed to be a cheap plastic watch. Their customers were equally unsure.

What Swatch needed now was a solid marketing strategy. This responsibility fell to Max Imgruth, who became president of the company’s American division. Thanks to a compelling advertising campaign and a wider range of vibrant colors, Swatch’s sales soared from $3 million in 1984 to $105 million in 1985. The watches were firmly established as a fashion statement in the public eye.

This strategy unlocked a surprising new market that Thomke, Hayek, and their team hadn’t quite predicted: a fiercely passionate group of Swatch collectors.

To keep their biannual releases of 22 to 24 new watches exciting, Swatch began collaborating with various artists to produce truly unique designs. In 1984, they enlisted renowned artist Kiki Picasso for a special collection. The next year, Keith Haring designed his own series. Much like the sneaker design craze that would follow in the 1990s, these collaborations turned Swatches into a canvas for artistic expression, with each artist leaving their mark.

Between Swatch’s Milan-based design team and external collaborators, the demand from collectors grew exponentially. One example was the Swatchetables line, which featured food-themed designs: a spicy red chili pepper Swatch, a cucumber Swatch, and one with a bacon strap and an egg-faced dial. The set, sold exclusively at select food markets for $300, quickly escalated in price to $2400 on the secondary market. (As with all collectible Swatches, they had to be kept in their original plastic packaging to maintain their value.) Some resellers bought up stock in New York, then flipped it for triple the price in Italy.

Swatch continued to push creative boundaries with designs like the 1985 “Jellyfish” model, which featured a transparent case, and the 1989 “Dadali” watch, which had Roman numerals seemingly melting off the dial and onto the strap. Other editions honored Mozart with cuff designs, or incorporated synthetic fur. There were Mother’s Day releases and special editions marking the 200th anniversary of the French Revolution. Some Swatches even had scented straps.

The possibilities were limitless, and so was the demand. (Though yellow straps, as always, struggled to sell.) Collectors would camp out at retail locations or head to one of the many Swatch-exclusive stores across the country. Wealthy collectors even sent staff members to various retailers, hoping to score a limited-edition piece at its original price. When they failed, many didn’t hesitate to drop thousands of dollars at auction. In 1992, a Kiki Picasso Swatch, part of a very rare batch of just 121 watches, fetched an incredible $28,000.

While the days of disguises are long gone, Swatch continues to release new models. Although the brand has seen a drop in sales—due in part to the rise of smartwatches like the Apple Watch and Fitbit—its loyal following remains strong. In 2015, one of the world’s largest Swatch collections, a stunning 5800 pieces, was sold for a jaw-dropping $6 million.