The Microbrand Debate: When Should Brands Drop the "Micro" Label?

When Do We Drop The "Micro" from Microbrand?

The watch industry is witnessing a fascinating evolution in how we categorize and define brands. The term "microbrand" often comes with a negative connotation that may not fit every brand that falls under the label, and many may have outgrown the title but are still branded as such. This ongoing debate has significant implications for how consumers perceive and value watches in today's market.

The Three-Category Framework

Starting simply, we can group the industry into three primary categories. First are independent watchmakers who manufacture everything (or very nearly everything) from scratch in their workshops. Next, there are large-scale brands that function more as corporations, with vast production facilities, strong market positions, and recognizable names and designs. Lastly, we have microbrands that design in-house, sometimes assemble themselves, and source all their parts from various suppliers.

The two formers, in most cases, have some heritage or history to ride on, while the latter is generally a newer entity or bears a name revived from the history books.

The Funding Factor

New watch brands come in two distinct flavors: the first entirely novel and featuring new designs, often using an off-the-shelf movement, and having low production numbers. The second is the revival of a brand that has been defunct for decades. While these identity differences can be staggering, the funding processes are usually pretty similar. Generally, either a Kickstarter or pre-order process is used to both gauge interest and fund the first production run.

The period between the first launch and how a follow-up product comes to market should be a key defining factor for newer brands. If long-duration pre-orders and Kickstarter campaigns are repeatedly used for each product launch, and new products cannot come to market without customers fronting the cost, the brands are not showing any signs of growth, improvement, or successful business tactics.

The Microbrewery Analogy

Microbreweries have exploded in popularity, launching thousands of new products, many of which did not last long. However, the breweries that survived the flood are seldom called microbreweries anymore, and have seemingly graduated into a new level of public perception. While consumable goods like beer do not equate with lasting products like watches, the naming convention is parallel.

There are still microbreweries that fit the definition and identify as such, but others have grown beyond the term, and the same goes for watch companies. This raises the question: where do we classify the small brands that can operate at a higher level, fund their launches, and continue to bring new exciting products to market on a repeat basis?

The Geographic Divide

The biggest difference between vintage niche brands and modern microbrands is where parts are sourced from today. Vintage watches produced in this manner often had Swiss-made parts, while many microbrands today source parts from Asia. This seems to be where the line is drawn for most people. Christopher Ward is an example that meets some of these conditions, yet it isn't often called a microbrand, and many would be hesitant to call it independent either.

The Social Media Shift

Small brands have shifted away from the term "microbrand," opting for "boutique" or "independent," and are very careful to avoid using the term in their own copy. Consumers were quick to pick up on this and have taken up correcting other commenters across all platforms when the less-preferred terminology is used, most prominently with brands that have developed cult-like followings.

Looking Forward

Many modern microbrands have shown stunning resilience in the face of the global economic downturn and rising production costs, and they surely deserve credit for originality and value. The watch production concept has come full circle, and thanks to the Internet and insatiable demand for watches, it is easier than ever to create a watch brand. Maintaining that brand is another story entirely.

Frequently Asked Questions

What defines a microbrand in 2026?

A microbrand typically designs watches in-house, sometimes assembles them, and sources components from various suppliers. The key distinction is that they rely on Kickstarter or pre-order processes to fund production runs, rather than traditional retail channels.

When should a brand stop being called a microbrand?

According to industry observers, when a brand can operate at a higher level, fund its own launches, and continue to bring new products to market without relying on customer pre-orders, it may have graduated beyond the microbrand category.

Are Kickstarter campaigns still important for watch brands?

While Kickstarter remains a platform for launching new projects, it's no longer the dedicated proving ground it once was. Established brands increasingly use it for special collaborations or products outside their normal catalog.

Source

This article is based on reporting from aBlogtoWatch, published on March 6, 2023.

Related Reading

Explore our Complete Guide to Microbrand Evolution for more insights into how the industry is changing.