No. Watches are dead as far as a useful object, they're only used as bling now.
As you've seen from some of the other comments in the thread, it's people who claim to know "how to dress" who still wear the silly things when in fact they know nothing about that subject, since the fashion statement their gaudy watch makes is roughly the same one as the rapper's gold chain with diamond dollar signs on it.
They certainly are used as fashion statements and I'd wager is the most common reason for watches but they aren't without utility. For instance, while your phone battery needs charging daily a watch can go many months or even forever without needing the battery replaced or winding (if you have a self winding watch which uses the motion of the arm to wind it).
There are definitely ares where a watch is much more ideal than a phone. For instance, diving. You can buy underwater cases for a lot of electronics these days but you're not going to see many divers replacing their dive watch with an iPhone app.