The secondary market for luxury timepieces by Rolex, Patek Philippe, and Audemars Piguet is experiencing declining prices due to high supply levels and economic uncertainties.
Despite this trend, certain highly sought-after models are still selling above their retail prices. According to analysts at Morgan Stanley and WatchCharts, prices for pre-owned Swiss watches have decreased, influenced by economic concerns and fluctuations in the cryptocurrency market.
While overall market indices show declines, a significant number of specific Rolex, Patek Philippe, and Audemars Piguet models continue to command prices above retail. But these models are also starting to show signs of slowing down in value.
Furthermore, The WatchCharts Overall Market Index, tracking 60 luxury Swiss watches across 10 brands, has declined for nine consecutive quarters as of the second quarter of 2024. This trend is particularly beneficial for Rolex shoppers, historically facing supply shortages and waitlists.
Prices have been decreasing since the peak during the pandemic’s first quarter in 2022, with a 2.1% sequential drop in the second quarter and a 1.2% decline year-over-year. Morgan Stanley predicts that this downward trend will persist throughout the year.
Source: Retail Wire
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