I would call Samsung asking to speak to a manager and explain your situation. I have the watch and it has been perfect. I love the watch and it their phones I am not happy with. I have always used Samsung and all the Notes since I had left Blackberry. My Note 7 was the best and as everyone knows it was recalled. It was the best phone Samsung has ever made . I got the Note 5 in its place because I wanted to stay with the Note line and I love the spen. With the update in Dec it started having issues. I had also been promised the 64 gig and was on order for 2 months when received email and text from Verizon Samsung not going forward with the Note 5. I do not like their other devices nor is there an Android mfg that I like. I don't like what is out there. My battery life has been horrible. I tried wiping the cache and also did a factory reset. I am frustrated just like you and I dumped it for the iphone 7 plus on the 11th. I ordered it and received it on the 13th. My Samsung watch works perfect except can't reply from the watch notifications and text. Samsung is aware of the problem and is working to fix it. I am getting an apple watch and will use both.
I had never been interested in Apple until the 7plus and I really like it. I have to use an ipad at work so am not new to Apple iOS. I am happy with the phone so far. The battery life is amazing as well as how smoothe it runs. I do wish there was more freedom like on Android but in all am pleased and will be staying with it.
I hope you can get your watch problem resolved. Clearly it is a defective issue and shouldn't be ignored. It is a damn good watch, one of the best. I love mine