Wednesday, June 3, 2015

Who Manufactures Megir Watches?

Who Manufactures Megir Watches? Shenzhen-Meigeer Watch Company Ltd.

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Before the summer of 2015, you would rarely see Megir brand watches in the US or Europe. I began noticing them on eBay. As a reseller for the company, I would expect the manufacturer to notify me. They didn't and that's OK.
Originally, Shenzhen-Meigeer Watch Company Ltd. of Guangdong manufactured watches under the Megir brand. These were high-quality watches with mechanical movements. They marketed their watches in China through brick and mortar jewelry and department stores. An experiment using Miyota mechanical movements, gave Meigeer a significant bump in unit sales and revenue.

In March 2014, I saw a rapid shift in their business model. They found a Japanese logo, Nakzen, registered their business in Japan and branded their premium watches under the Japanese name. They sell their premium watches under the Nakzen "Sapphire" line.

I see no comparison between the Megir watches on eBay and the higher quality Nakzens. At one time, not long ago, they were the same watch  with different logos.  The company needed an entry level watch to generate volume on open Internet eCommerce sites. Abandoning Megir as a high-end watch allowed the company to reach their volume goals. I can only wonder, however, if the perception will rub off on Nakzen. Hopefully it won't.

They're Dumping their Megir Branded Watches on the US Market and Prices Are Cheap

Originally, Meigeer used the name, Megir, hoping to build a brand that Chinese consumers could associate with the manufacturer. They hoped to endear themselves to the local population. That approach didn't stick. Chinese consumers prefer Swiss and Japanese watches.

Sidebar: You can see Meigeer has listed on eBay through various sellers. The prices are low. In spite of the low prices, the company makes it own watches in-house and keeps a stout inventory. That's unlike the typical Chinese companies on eBay, who buy and pay a mark-up to a dozen third party manufacturers.

Even China's premiere, watch company, Seagull, does very little retail business in their own country. For example, you'll find one outlet for Seagull - a web store on Tabao.com -  Shop33593671 at Tabao. Otherwise, Seagull is a movement manufacturer - selling only 20% of those domestically.

In the popular priced domestic market, 50% of the Chinese market belongs to a former real estate juggernaut - Citychamp. Originally known as China Haiden, the company sold its real estate holdings and purchased two major Swiss watchmakers, Eterna and Corum.

Citycham added existing local watchmakers, Ebor and Rossini and in two years, created a formidable group any Chinese watch company would have to fight including Sea-Gull and Shanghai.

As a result of Citychamp's purchase of major Swiss firms, Shenzhen-Meigeer Watch Company diversified her brand names in hopes of creating a European and Japanese aura to their product offerings.

1) Megir

2) Nakzen (registered in Japan) and

3) Ruimas (registered in Switzerland.)

To someone familiar with the products, the brands look like someone just changed the logo's on their basic watches. I understand the strategy. What can a relatively small watchmaker to do in China?

Meigeer claims to own a factory in Grechen Switzerland in the Jura mountains. The  company dates its origin to 1936, when the Leoni Jewelry family chose to enter the watchmaking industry. I have searched, but have not found a Leoni Jewelry family. That doesn't mean it didn't exist. A Leoni family did live in Switzerland in the 1800's, but the last of that clan died in 1935.

Meigeer's claim to production of watches in Switzerland is convenient, but I believe deceptive. Since Chinese buyers prefer Swiss watches, small companies like Meigeer try to give the impression of being a Swiss company. It's not uncommon for such businesses to find and re-register expired registrations of companies in Switzerland. Many believe that US firm, Invicta, used this approach.

One of the brands listed above presents such a concern. The name Ruimas is a contraction of Rui Mashi. The website http://www.ruimas.cn/ is written in Chinese. Also, notice a similarity to watches on the Megir and Nazken web sites. Yet, Meigeer claims that Ruimas is a Swiss company. Below is their logo.



Again, I have no information as to how Meigeer acquired the Swiss registration, but as I wrote before, it's not an uncommon practice to see organizations purchase expired registrations of defunct companies (1000 during the Swiss Quartz Watch Crisis of 1974-1983). Even Swiss companies buy paper that gives them trademarks and brand names. Suddenly, an obscure watch importer has a history and tradition beginning in the 1800's on paper.

Nakzen is a company and a brand registered in Japan. Nakzen markets their watches through Amazon, DHGate, Aliexpress, and other on-line stores as well as Megir's retail distributors in China. Nakzen appears as the successor brand in China to Megir. I sell 10 Nakzen models and like them. I'm not crazy about other aspects of Meigeer's business.

You can find the Nakzen watch site under Meigeerwatch.com. The website shows up as Shenzhen Meigeer Watch.

Meigeer claims to have started the business in 1998, however, I've only found one registered trademark for them; filed on January 10, 2014. Use of the name or first use occurred on January 10, 2013. Again, Meigeer claims to have started in business in the Chinese market in 1998. Like other Chinese watch manufacturers, they embellish stories about their origins in an attempt to establish brand identification. That doesn't take away from the quality of their high-end product. It does leave them somewhat suspect. Recently, they set up a web site in the UK and claim to have established the company in 1997 in the heart of London. I find that suspect.



Ruimas Fusee Tourbillon Tribute Watch*
In China, Meigeer claims to have a reputation for making high-quality watches and parts, which includes cases, band, crystals, and embellishments. The company buys movements from Miyota, Seiko Instruments, Sea-Gull and Shanghai. Meigeer also has expertise in its design group.

The company claims to make complete, or cased watches for third party watch companies including Guess and Glycine.

A potentially serious problem exists with their claim since Guess is suing Meigeer and about 16 other Chinese companies that claimed to make a number of brand name watches. A link to a summary of the suit exists here.


One the Meigeer's divisions is an ODM (original design manufacturer) and another is an OEM (outsourcing electronics manufacturer). I have no information about their actual clients. I do have a number of questions.

Recently, I read an assertion that Megir used ISA quartz movements (ISA Swiss, Ltd. Hong Kong). I've seen Seiko Instruments and Miyota movements in their watches, but nothing in their catalog suggesting ISA.

I took apart one of the watches in which they claimed to use a Miyota quartz movement. They actually used a Sunon PE902 quartz movement. It's made in China and works well. Sunon isn't a Miyota.

Meigeer produced the watch on the above upper left as a limited edition tribute to Breguet's Fusee Tourbillon. Watchmakers often produce unique watches for an exhibition at major events such as Baselworld Watch Fair in Switzerland.or the Hong Kong Watch and Clock Fair in China. It's not a Swiss watch. Shanghai made the movement.

Still, I can vouch for this watch's quality. I really like it. I bought five, listed them on eBay and they sold quickly.

To see other watches with a Ruimas logo, visit this web site located at http://www.ruimas.cn/. (cn is the suffix for Chinese websites.

*Note: I know of only one available (e.g.,Ruimas Fusee Tourbillon Tribute)


Following is a video about Meigeer produced by Alibaba. It rehashes information I included above.




Video Recap: Established in 1997, Shenzhen MEIGEER Watch Co., Ltd is a large-scale professional manufacturer and exporter which is concentrating on the researching, developing, manufacturing and selling all kinds of high-end watches, including brand watches,quartz watches, automatic watches, sports watches, fashion watches, luxury watches,


New Developments

In 2014, Meigeer's Overseas Marketing Representative (Liang Hui Qian) discussed plans to distribute their watches on eBay but had some reluctance about it. Meigeer put forth two strategies for securing a place in the eBay universe.

First, they have established a network of distributors similar to the Suntime's (Parnis) model. I purchased seven watches from different distributors and they arrived in the same packaging as the Parnis watches I buy. Parnis built its distribution system by helping a number of small Chinese merchants become eBay sellers. The sellers give their orders to Suntime who drop ships the product to American and European customers through mailing agents and packagers in Guangzhou and Hong Kong.

Copying the Parnis model should create a sound business strategy if management can deliver. It wouldn't surprise me if they decided to compete with Parnis directly. (See the discussion below regarding the ST 2525 movement). I've seen several German sellers distributing Megir products. An American distributor operates in California and several reside in Hong Kong.

The price of Megir watches (I've seen offered on eBay) competes directly with NaChuan (Kronen & Sohne and Shark). Meigeer produces a superior product to watches in NaChuan's category including Curren, Sinobi, Weide, Infrantry and so forth.

Competition in the Midrange Sector

As of 15 May 2015, Megir watches with Sea-Gull ST-2525 movements began appearing on eBay and Amazon. (see gallery below).

Sea-Gull uses the ST- 2525 in their 219.328 model.  Sea-Gull uses the ST-2525 specifically for the domestic Chinese market, so it's rarely seen in the US. The Yuan price for the 219.328 converts to $556.88 USD.

Sea-Gull has dodged the US market, leaving it to Parnis and sister brand Marina Militare. We have yet to see the ST-2525 in the Parnis product line. If Shenzhen-Meigeer has started a US marketing effort selling a watch with Sea-Gull's 219.328 movement for less than $200, then Meigeer has made a bold move.

I found one problem with the Megir watch with the Sea-Gull movement: They coated the case and used a stainless steel back. I bought four and one worked after I repaired it. I would advise potential customers to look carefully at Megir watches.

I have found several good ones,  predecessors to the Nakzen logo.


Overall, Meigeer can produce a decent product. It's difficult to sift through the many designs to find the better ones.

Meigeer  makes several padded and stitched bands, Sapphire crystals and can embellish their cases, bridges and rotors. They also use  Hardex, fused mineral and hardened mineral glass crystals depending on the need.



In the gallery above is an Italian designed men's stainless steel wristwatch powered by a Sea-Gull ST-2525 movement with the flying sea gull shaped frame and rotating escapement.

It comes with indicators for the day, date and month. It has illumined and large Arabic numeral markers and a 60 second sweep second hand.

This watch has several unique features, which including a self-winding automatic movement,  stainless steel case, hardened mineral glass crystal front and back,  a 44 mm diameter case, 14 mm case thickness and water resistance to the 3 atmospheres.

The strap is a soft black leather with white stitching and a stainless steel deployment clasp.

The original design of the case was used by Italy's military or militare. Meigeer's modifications include the open window back and Sea-Gull's modular complications, including the automatic self-winding rotor mechanism in the ST-25 premium series.

DETAIL

Movement: Sea-Gull 2525automatic, hacking support
Size: 44mm diameter, 14mm thickness
Color: White dial black hands & Arabic numerals
Luminosity: Hands and markers
Material: Full 316L stainless steel
Case: Polished bezel
Crown: Protected winding and setting stem
Glass: Micro domed mineral glass crystal
Band: Black leather strap, 24 mm width
Clasp: Deployment
Sub-dials: Month and Day with Date at 12 o'clock position
Weight: 115g

This post has received a large number of page views. People have used quotes and excerpts from this page in descriptions of Megir products for sale on Amazon and eBay. Hopefully, when you read this article you'll  consider yourself: informed.





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