The Times of London recently sparked a debate with its headline, “Is the era of the luxury watch as a status symbol coming to an end?” The article pointed to a rise in watch thefts across the UK and a decline in the share value of Watches of Switzerland, suggesting a potential downturn in the industry’s fortunes.
However, the situation in the United States tells a different story. Although the watch market isn’t booming like it was in 2022, it’s far from collapsing. In fact, three key trends indicate that now is an exceptional time to invest in timepieces.
Firstly, despite inflation, avid collectors are still acquiring new watches. High-demand models from luxury brands like Patek Philippe and Rolex are becoming slightly more accessible as prices for new models rise due to the increasing costs of gold and materials. This shift is partly due to a decrease in speculative buyers, leaving more room for true horology aficionados.
Boston collector Matt Borowiecki notes a decrease in the prices of previously hot commodities, suggesting a market correction that might deter speculative buying. This change could make highly sought-after pieces more accessible to genuine collectors.
In New York, collector Alex Lubin observes that while high-demand models remain sought after, less exclusive watches are losing value on the secondary market. This shift requires buyers to be more discerning or to disregard financial considerations.
Despite these market adjustments, dedicated collectors and newcomers passionate about watches remain undeterred. The market’s fluctuation has even made some models more available, although the most coveted pieces are still hard to come by.
The community of watch collectors, who value passion and knowledge over profit, continues to grow and diversify. The interest in watchmaking has significantly increased, with brands like Bucherer and Chanel expanding their physical presence, and niche brands gaining recognition beyond traditional circles.
Contrary to concerns about the industry’s decline, these developments suggest a vibrant future for luxury watchmaking. This golden age is characterized by a broader appreciation for the craft, increased accessibility for enthusiasts, and sustained interest in both classic and emerging brands. Far from being a time of decline, it is an exciting period of growth and engagement for the watch community.
