Current Luxury Watch Trends and Price Projections
The luxury watch market is constantly evolving, driven by changing consumer preferences and global economic factors. In recent years, we have witnessed several notable trends that have shaped the industry and influenced watch prices. Let's explore some of the current trends and discuss price projections for luxury watches.
In the UK, luxury watch enthusiasts are gravitating towards timepieces with sleek and familiar, with brands like Rolex, Audemars Piguet and Patek Philippe among the most popular. Brands that combine traditional craftsmanship with modern aesthetics are particularly popular. Euro-centric data indicates a similar preference, but with added interest in a wider variety of brands such as IWC, Panerai and Breguet.
Globally, there has been an increased demand for limited-edition and special collaboration watches. As brands becoming more savvy with partnerships and customer engagement, generating pre-release buzz has never been more prevalent. Collectors and enthusiasts eagerly await the release of these unique pieces, often resulting in waiting lists and soaring prices. As a result, luxury watches have become coveted assets, appreciated not only for their timekeeping function but also as status symbols and investments.
Broadly speaking, gents watches (and, in particular, larger cased models) are far more popular than ladies watches, and this is a trend that bears true across all the major brands. This is reflected in new sales, as well as those within the pre-owned luxury watch market.
Price projections for luxury watches, when looked at over a wider period of time, show a relatively consistent upward trajectory. This is influenced by various factors, including rising production costs, increasing demand from emerging markets, and limited supply due to global production disruptions. These disruptions, such as supply chain issues and labour shortages, have affected the availability of certain watch models, further driving up prices.
Since early 2022, there has been a downturn in some prices globally, especially across many limited edition and ‘hyped’ models. This adjustment has been present in various luxury sectors, including real estate, jewellery and haute couture.
It's important to note that while luxury watches are often associated with a higher price tag, they offer exceptional craftsmanship, prestige, and exclusivity. As consumer tastes evolve and demand continues to rise, we can expect the luxury watch marker to cement itself as an asset class, continuing to gather pace and increase its market presence.