The Rolex Daytona has to be one of the
Are watches a good investment?
First of all, you need to establish what your objectives are. We have a lot of customers now that will ask “is this watch a good investment” .. most of the time we can honestly answer yes!
If your looking for something you like the look or functionality of, go for that. Your about to purchase and then wear a watch every day, the most important thing is the feeling it gives you, you’ve got to love it. But if its more so important you purchase a watch for the investment side of it, do your homework on what brands and models you should put your money into.
On numerous times now we have sold a customer a watch and some years down the line when they come in to part ex the watch we have been able to return them more than what they originally paid for the watch.
This kind of return can not be expected over night. Usually you’ll have to hold out some years to get a price close to what you paid or maybe a profit.
What brand would we recommend?? … You guessed it – Rolex. Through our 25 years of trading watches we have noticed the highest price increases and in our opinion the highest demand for Rolex as a brand. Within Rolex there are obviously various models which we would recommend doing some research into if you are considering purchasing a Rolex.
We are not discrediting any other brands whatsoever, we can only comment on personal experience. Other brands such as Cartier, AP, Panerai & many more also hold their value very well.
See below the graph below posted by ‘A Blog To Watch’ on Rolex Submariner price increase
Whats driving prices up?? Supply & demand. Every so often obviously the watch houses raise the RRP of their watches, in turn this drives up the second hand market. But recently demand has increased dramatically, prices are driven up, watches are harder to source and the cycle keeps going.
A recent model release from Rolex saw the UK demand higher than expected global demand! See our previous post for more on that. We also spoke with a Rolex agent recently and they suggested demand had increased around 100% and supply cut by around 50% in the last 12 months.
As supply tightens which causes both the new & pre-owned market to rise, its obvious why many watches are becoming increasing popular as a alternative investment.
But why watches? Ok, there are clearly better investments to make than watches. For example property, in our option proper far outweighs watches in terms of a solid investment, but you can’t buy many house now for £5,000-£10,000! Also we could argue a watch is easy to transport in your pocket or on your wrist and sellable around the world in a matter of minutes.
Watches really are the rare luxury good that will hold its value. Just think what return you’ll get on that £1,500 jacket or that new Range Rover!
We only wanted to post a short article but we could talk for days. If you want to ask any further questions don’t hesitate to get in contact us.