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Today we are living in unprecedented times. Never before has a spotlight been shone so clearly on the importance of taking stock and focussing on the aspects of life that mean so much to us.
Family and friends, good health, a job, or even material possessions that hold true meaning, sentimental or otherwise.
The notion of value itself is linked to several attributes – worthiness, usefulness or importance – all of which will strike a chord, now more than ever, with watch collectors and enthusiasts around the world.
Whether holding onto a most treasured family heirloom or planning to either sell, trade or invest in a timepiece that will serve as an asset or provide an immediate gain, the watch industry holds value.
There have been many famous watch collections that have rung up significant value over time, such as that of John Mayer, which is thought to be around $40m. The world has also seen a watch that was purchased for around $250 in the late 1960s only to be sold for a whopping $17.8m in 2017.
The value of a watch depends on many things and there are key elements that have allowed certain models to double or even triple in price.
The Rolex steel sport models such as the Daytona, GMT Master II and Submariner have truly held their value and even increased over time.
The history to these models can be traced back 30 years or more with steep appreciation in the last few years. The most outstanding example is the Paul Newman Daytona which sold for $17.8m in 2017.
Other examples are the 1971 Rolex Daytona Reference 626 Unicorn which sold for $5.9m in 2018 and Marlon Brando’s Apocalypse Now Rolex GMT-Master which sold for $ 1.95m in 2019.
Audemars Piguet was the first watchmaker to create steel watches as a result of the quartz crisis in the 1970s. Gerald Genta designed the era-defining Royal Oak that was unveiled at the 1972 Baselworld fair, and which created an entire new category of the steel luxury sports watch.
The Royal Oak has stood the test of time, maintaining its value as the demand remains higher than the production, cementing its position as the most desirable model. In fact, it’s almost impossible to purchase a Royal Oak Jumbo Extra-Thin 15202BC new without a waiting of over two or three years.
This increase in demand has pushed the value of the style about 55 percent more than retail. The higher the scarcity of the model the higher the price and there are some Royal Oak models that list for 100 percent more than retail as a result of its desirability.Â
Similarly, the Patek Philippe Steel Nautilus has become a rare and scarce model to get hold of. So much so that it’s highly unlikely to find the Nautilus model to try on at retailers.
This has protected the inherent value of the brand for over a century. The low annual production numbers mean that it will undoubtedly continue to increase in significance and value over time. The most expensive watch in the world is a one-of-a-kind Patek Philippe which sold for $31m in 2019.Â
A steep increase in value has been witnessed in F.P. Journe models in recent years. As a relatively small brand that does not produce a large number of pieces each year, it is in a unique position that sees it remain admired and desirable.
Indeed, the significant demand for these distinct watches has enabled many of the models to value above retail price.
Despite a pullback in prices due to the uncertainty in these unprecedented times, we have seen continued strength in the market for timepieces people are interested in owning for the long term.
Clients that are looking to acquire pieces now can take advantage of prices on many models that haven’t been seen in several years. In uncertain times, we recommend top tier brands as an entry point for those that are looking to preserve value for selling in the future.
Pre-owned timepieces from Rolex and Patek Philippe are historically the most valuable in terms of an asset, and we have also seen significant appreciation in pre-owned watches from F.P. Journe.
As a global, e-commerce first platform, WatchBox operates without many of the constraints of traditional retail, and we’re uniquely positioned to facilitate our clients’ needs remotely – whether they are looking to make an investment or indeed sell a piece that will provide them with immediate liquidity from watches in their collection.
The WatchBox model positions pre-owned watches as a tradeable asset class with the benefits of real-time, market-driven pricing. Â