I don't believe this for an instant. There's a very small market for people who are going to strap something to their wrist on the off chance they might get a text message at a time when it's inconvenient to pull your phone out of your pocket. Apple's headphones give you a simple way to control your music (pause, volume, skip, backskip, FF/RW; Siri works well for songs); if you need something more, you probably need the entire phone.
And the whole "premium, trendy, fashionista" stuff is just wrong. Trendy fashionistas don't wear geeky $200 watches. They wear watches that look like this and cost $4000:
(The whole Apple-is-a-luxury shtick is misguided in the same way. Buying a $75,000 Lexus instead of a $20,000 Honda is luxury. Buying a $450,000 house instead of a $200,000 house a luxury where I live (apply the appropriate multipliers for your location...)). Paying $200 more because you want a slightly nicer laptop is not nearly the same thing, any more than paying $1 more for coffee from Starbucks as opposed to McDonald's is really a "luxury.")