Rolex, Patek Prices Hit Fresh Two-Year Lows

Costs for used Rolex and Patek Philippe watches fell to contemporary two-year lows on the secondary market final month as demand for expensive timepieces continued to say no amid rising provide.

The Bloomberg Subdial Watch Index dropped 1.8 p.c in October, sinking to its lowest stage since 2021. The index, which tracks costs for the 50 most traded watches by worth on the secondary market, is now down 42 p.c since a excessive in April 2022.

The declines comply with a large surge in costs to file ranges for essentially the most in-demand Rolex, Patek and Audemars Piguet fashions in the course of the pandemic. Now that rates of interest have jumped amid robust inflation coupled with rising geopolitical tensions and shaky financial progress, watch collectors are curbing timepiece purchases.

Christy Davis, the co-founder of Subdial, a UK-based watch buying and selling platform, stated there are indicators of additional weakening as provide rises and it takes longer for used watch sellers to promote their inventory.

“We’re seeing rising downward strain available in the market, which might result in an additional downward drift in costs as sellers minimize valuations to chase gross sales,” Davis stated in Subdial’s October Market Replace.

The variety of used watches out there on the secondary market has risen by 5 p.c since August, based on Subdial. Worth uncertainty, which measures the unfold in costs supplied for a watch from completely different sellers, has elevated 12 p.c over the identical interval.

“With extra watches out there at a wider unfold of costs, what we’re seeing is folks dropping costs to chase gross sales going into the vacation season,” Davis stated.

As consumers have grow to be extra cautious and discerning, the common variety of days {that a} pre-owned watch takes to promote has elevated by 8 p.c since August, based on knowledge compiled by Subdial.

A Rolex model index fell 1.5 p.c final month and is now down 27 p.c for the reason that April 2022 market peak, knowledge compiled by Bloomberg and Subdial reveals. An index of Patek Philippe mannequin costs dropped 2.3 p.c in October and is now down 47 p.c since April, 2022.

Whereas secondary market costs for Rolex and Patek watches have corrected sharply since their peak, essentially the most in-demand fashions for each manufacturers proceed to commerce properly above the costs they’re offered for at retail.

This text was written by Andy Hoffman from Bloomberg and was legally licensed by the DiveMarketplace by Trade Dive. Please direct all licensing inquiries to legal@industrydive.com.

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