Be it a major celebrity, a politician, a 3x unicorn start-up founder, or an established businessman all of them have one thing in common. At one point in their life, they were introduced to the idea of luxury watches that cost more than a 3bhk in Mumbai. The ever so increasing demand for high-end timepieces among consumers coupled with a limited supply gave rise to a culture where it is normal to buy these coveted timepieces for a premium.
Experts ranked luxury timepieces as the highest-performing asset of the 21st Century. So much so, that in this new decade, they outperformed the momentary dip we noticed in all sorts of markets. Despite the pandemic, cries for a recession by the West, rise, and fall of crypto the low supply paired with low fulfillment and angry customers is propelling this industry forward.
Brands like Rolex, Patek Phillipe, and Audemars Piguet among others have been known for being notoriously unavailable at authorised dealers, but have been flooded in the secondary and pre-owned market for twice, thrice, and sometimes even four times their retail list price.
Quintessentially, these commodities are marketed (and sold) as high-end, limited, luxurious, made with precious metals conveying the appearance of success. A form of Veblen goods, these watches are lobbied as scarce, making them exclusive and in turn making them exclusive for the aspirational class.
The uniqueness of some models, vintage/limited edition pieces and watches worn by famous personalities make them highly sought after by collectors and enthusiasts, driving up their value. For instance, Shah Rukh Khan can be seen wearing an Audemars Piguet Royal Oak Perpetual Calendar dressed entirely in Blue Ceramic (source: Indian Watch Connoisseur, Instagram).
Indian Watch Connoisseur, a community-driven platform is the first of its kind revolutionising the way Indians buy, sell, and learn about watches. They predict that even with fluctuating prices, certain watches will always hold their value.
Here are the reasons behind the shortage:
There’s an issue in the demand-to-supply ratio for the Rolex watches. That’s not all, even the cryptocurrency crash also brought down the craze and hype around Rolex and similar luxury watch brands.
Other means to buy a Rolex watch:
If you genuinely want a Rolex watch, then the only way of getting it is by buying them the resellers at much higher prices than their original sticker price.
