As used Rolex and other premium models have lost value, Watchfinder & Co., the online pre-owned watch marketplace owned by luxury conglomerate Richemont, has reduced prices by roughly 15%.
Arjen van de Vall, who assumed control of Watchfinder’s CEO position in 2021, acknowledged discomfort in an interview. “You see supply for models that we would have killed for only a few months ago moving up dramatically.”
Prices for the most sought-after Rolex, Patek Philippe, and Audemars Piguet models have been dramatically declining after an exceptional rise in 2021 and the first three months of 2022. Slowing economic growth, rising interest rates, and the demise of cryptocurrencies have all reduced the value of watches.
Rolex Daytona, Patek Nautilus, and Audemars Piguet Royal Oak models, which were once highly sought-after, have recently been oversupplied on the market by watch dealers and investors. As a result, a luxury watch market index compiled by Watchcharts has decreased by 24% over the past year. The top 10 luxury watch manufacturers by transaction value are represented by 60 watches in the index.
Watchfinder’s average selling price for a luxury timepiece is about US$8,445, according to the CEO. That hasn’t changed much despite the price correction as buyers have been snapping up higher-end models at lower prices.
“It’s mostly driven by rebalancing of what it is that we sell,” van de Vall said. “Some of the higher end stuff, with prices settling down, became more attractive.”
Rolex remains the top selling luxury watch brand on Watchfinder, both by volume and value. However, lower-priced brands such as watches made by Richemont jewellery brand Cartier are moving up the list. Cartier is currently the sixth-most popular brand by volume but will soon move into fifth place amid rising popularity for the brand’s Tank and Santos models, van de Vall said.
