Why Are Luxury Watch Brands Growing In Demand?

The demand for luxury watches is at an all-time high! For some, the craze for luxury watch brands like Rolex, Audemars Piguet, and Patek Philippe started during the COVID-19 pandemic when the young generation couldn’t travel abroad.

According to watch specialist Vincent Wong, there has been a steady rise in demand for such luxurious timepieces since the first lockdown in 2020. Due to the global pandemic, foreign currencies have become unstable. As a result, the young ones are now investing in luxury watches with the saved money.

Wong added that the value of luxury watch brands like Rolex, AP, and Patek has significantly increased in the past few years. The watches make for a more secure expenditure than any other overseas travel. Moreover, the value of the watch brands like Rolex and others is recognised globally. This means, if ever a person intends to sell Rolex watches in the future, they can easily expect to fetch an increased resale value!

Depending on the Rolex, Patek Philippe, and Audemars Piguet models, the resale value of the watches can go up to 50%-120%. Moreover, some buyers are willing to offer almost double the retail price for a Rolex. Hence, it is only wise to invest in luxury watch brands in such a scenario.

But why are the prices rising so rapidly?

1. Brand Value

First and foremost, luxury watches like Rolex, Patek Philippe, or Audemars Piguet symbolise success. All three watch brands are famous for their quality, prestige, and reliability. Moreover, in recent times, luxury watches have become synonymous with class. As a result, more and more people are interested in owning one from the retail or the pre-owned market.

2. Supply & Demand

The value of a commodity greatly depends on its demand and supply chain. When you own a luxury watch, your ability to sell the luxury watch is greatly dependent on its market value. Few watches are more in demand than the others. This could be due to several factors.

So, depending on the watch model you own or plan to buy, the resale value will fluctuate. Rolex is very attractive and popular in the watch market. It is also the best luxury watch brand regarding resale value.

Patek and AP are great choices too! If you own a rare model or the production numbers for a specific model are low, then there are high chances that its value will steadily increase.

Few such watches are

» Rolex Models:

• Submariner
• Daytona

» Patek Philippe Models:

• Nautilus
• Calatrava

» Audemars Piguet Models:

• Royal Oak
• Royal Oak Offshores

You must be thinking: Should I buy a Rolex, Patek Philippe or Audemars Piguet Watch?

Going with the current trend, investing in any three brands will yield you a higher resale value.

6 factors that will make it easier for you to choose are:

1. Budget

All the 3 brands are expensive. To simplify it, Rolex has a lower entry point than the rest but enjoys a higher resale value in the pre-owned market. You can always sell Rolex watches at a handsome value to some reliable watch buyers in London.

2. Resale Value

Many people like to buy a luxury watch, only to sell it for the same or a slightly higher price. If you want to do that too, you must invest in a watch with a good resale value (names mentioned above). While AP & Patek are good investment watches, Rolex is the best!

In 2022, the prices of Rolex have escalated, making it even more profitable for the people planning to sell Rolex in the pre-owned market.

3. Brand Recognition

We all can agree that the three watch brands are equally prestigious. But for an average man, Rolex is the king! Everyone knows and loves Rolex, don’t they? On the other hand, AP and Patek could command respect.

4. Craftsmanship

Rolex, AP, and Patek Philippe are all horology greats. If you want a watch that sports some of the best complications and movements, AP & Patek would be your choice. Rolex emphasises creating watches that have specific purposes.

5. History

All three watch brands have a great history. Rolex, came out in 1905, Patek Philippe in 1839, and Audemars Piguet in 1875. However, when you look at the watch history, Rolex has made the most significant impact, which the other two brands cannot compete with.

6. Target Market

AP and Patek Philippe watches target the elites of the society. On the other hand, Rolex is for the high-income, working individuals of any age. You can achieve a Rolex at some point, and it is also a worthwhile investment choice, and you can avail of them in a variety of styles.

But, AP & Patek lack this kind of variety and are exceptionally high priced.

CONCLUSION

As the passion for luxury watches increases globally, more and more people are inclined to invest in luxury watches than ever before. With supply so low at retail, it is unlikely that brands will offer any discount. Brands like Rolex, Audemars Piguet, and Patek Philippe are now selling on the pre-owned market for over their retail values.

Thankfully, this situation isn’t likely to end anytime soon. So, if you plan to invest now in Rolex, for instance, expect to fetch a whooping amount when you sell your Rolex watches in the pre-owned market.

This holds true for the other two brands as well.