He's definitely conflating two things: watches changed from utilities to fashion items, and watchmakers changed from engineering to branding. In this example, the one change caused the other, but it's just one example. It's no excuse to paint all of branding with the same brush and ignore how, say, Milwaukee's branding provides a valuable signal of real utility.

I think it's tempting to be equally dismissive of branding and fashion because they are both forms of virtue signaling and therefore have all its perversions. However, they're operating on different actors. Branding is virtue signaling by companies to its customers. Fashion is virtue signaling by customers to other people.