The 'low' end watch market has taken a beating. Seiko and Citizen come to mind, both are struggling right now and both offer the majority of watches in the sub $500 range.
OTOH, mid and high end watches are still doing quite nicely. Sinn comes to mind, they're a solid mid-range watch with used models as low as $600-700, but new models up to several thousand $ and their sales are booming. Rolex sales are fairly steady, but they've had fairly steady sales for a very long time (decades).
Watches are still very relevant, but mostly as a symbol of status. I prefer mine to be unique rather than flashy. I recently sold my datejust and have since been wearing my 1942 Rolex Oyster Essex fairly regularly. Most watch shop have never even seen one, it's a neat little watch that gets attention despite it's plain appearance.
ATS, I suspect there's a Sinn U2 in my near future if I can stop spending $$ on Scotch, Art and Guns...