People used to save for certain designer handbags, knowing they would retain their value for years. But, many people are now choosing timepieces rather than Chanel flap bags or Hermès Birkins as a result of the explosion in the luxury watch industry.
Many customers, however, are buying secondhand luxury watches instead of new ones because there is a limited supply of high-end timepieces — as a result of the industry’s restricted manufacturing, exacerbated by the pandemic’s impact on the chain – and because many believe that they would be less expensive. Watch trading is just beginning to grow.
Because of their exclusivity, expensive items can sell for six figures or more on the resale market. Then there’s the value retention factor, which considers how much money consumers might make if they decide to sell a piece in the future (or simply want to make some money).
With all of this in mind, here are some things to bear in mind when purchasing a designer timepiece new or used.
What Kinds Of Luxury Watches Are Most prized?
Consumers must consider whether they want a “fashion watch” or a timepiece before making their purchase: Fashion watches are more seasonal, while timepieces are more classic.
Fashionable timepieces cost less (by luxury standards), yet their trendy features and jewelry-like appearance shorten their lifespan when compared with watches produced by brands that specialize just in timepieces.
While it all boils down to personal taste and budget, The Watch Exchange London recommends purchasing timepieces from Cartier, Rolex, and Philippe Patek that retain their value.
What Luxury Watch Brands Are Worth Investing In?
The Rolex brand currently holds the secondhand luxury market — both in demand and resale value – by a long shot. Rolex models resell for twice the original price, so you’ll make money.
Rolex watches in the secondhand market sell well, but these four models do particularly well: The Batman, the Daytona, the Submariner, and the Coke. The Rolex Batman – which was discontinued in 2019 – has an average secondary market value of 180 percent.
Meanwhile, the Daytona and Submariner, both of which were named for Florida’s Daytona International Speedway, have retained an average of 170% and 160 percent of their original value, respectively. Finally, the Rolex Coke model, which is known for its black and red hue, retains 120% of its value.