Good evening everyone!
Luxury watches, including Rolex, Patek Philippe, and Audemars Piguet, are becoming more and more popular and valuable every year, making them extremely difficult to obtain at authorized stores. This has had an impact on the secondary market, with popular models often selling for more than the retail price. "It's too expensive for me!" we can't help but think to ourselves.
But why is it no longer possible to purchase it at official stores in the first place?
So, this time I would like to explain again why luxury watches cannot be purchased at authorized stores and the stock situation at authorized stores for each popular brand . This is a must-read, especially for those who do not know much about luxury watches, so please read to the end.
*In this article, we will discuss investment and speculation as follows:
Investment: Focusing on asset value and seeking to earn profits in the medium to long term.
Speculation: Attempting to make short-term profits by focusing on price fluctuations .
[Why you can't buy luxury watches at official stores ]
Speculative buyers increase, creating excess demand
Luxury watches are not easily mass-produced because they are made up of hundreds of tiny parts assembled by hand by craftsmen.
On the other hand, real assets are attracting attention due to the instability of the global situation and economic situation triggered by the COVID-19 pandemic and Russia's invasion of Ukraine. At such times, real estate and gold have traditionally been the main focus, but luxury watches have come into the spotlight as a real asset that is also practical and can be converted into cash anywhere in the world. They have been featured in many media outlets, including TV, YouTube, and business newspapers, and information is reaching people of all ages and genders.
As a result, not only has there been an increase in demand from luxury watch fans and those looking to invest, but there has also been an even greater surge in people buying for speculative purposes, making it difficult to purchase watches at official stores (i.e. over-demand). And as the number of people looking for luxury watches continues to grow, this trend is expected to accelerate even further in the future.
[Stock status at authorized stores]
From here, let's take a look at the stock status at authorized stores for each of the major luxury watch brands.
[Rolex]
Sports models such as the Daytona, Submariner, and GMT Master II are almost out of stock at official stores. In the past, it was relatively easy to obtain models such as the Datejust, Oyster Perpetual, and Day Date, but now it is difficult to purchase these models. Even if you are lucky enough to purchase one, there are purchase restrictions in place to prevent resale, and those who purchase a sports model made of stainless steel (SS) cannot purchase the same model for five years from the date of purchase. In addition, measures have been taken such as not allowing the purchase of SS (stainless steel) models for one year, even if it is a different model. Perhaps due to these current circumstances, they are often traded at premium prices across the board in the secondary market.
[Patek Philippe]
Luxury sports models such as the especially popular "Nautilus" and "Aquanaut" are currently completely out of stock. In the first place, the total number of units produced per year is low, so it is difficult for new customers who have no experience of purchasing from an authorized store to even make a reservation. To get your hands on one, you will need to purchase another model, but it is not uncommon for delivery to take several months or even years, so it is inevitable that it will take time and effort to build trust and a track record. This system is likely in place because the company wants to prioritize customers who have loved the brand for a long time.
[Audemars Piguet]
Popular models such as the Royal Oak are particularly difficult to obtain at authorized stores. Until a few years ago, reservations were accepted and people were guided in order, but it was said that it would still take at least several years to purchase. However, the acceptance itself has now been stopped, and it is unclear when reservations will resume. [Patek Philippe] As with other brands, it is necessary to build trust and a track record, and it is almost impossible to purchase popular models at authorized stores.
summary
What did you think?
Luxury watches cannot be mass-produced, so supply is unable to keep up with the growing demand. In addition, speculative purchases are on the rise, so authorized stores are limiting sales and only selling to a limited number of customers, making them more difficult to obtain. This trend is expected to continue in the future, so we recommend that enthusiasts and those considering purchasing for practical purposes continue to make purchases at authorized stores, but also consider purchasing on the secondary market. We will provide you with thorough advice based on your needs, so please feel free to contact us.
Once again, I hope that after reading this article, you will become at least a little interested in luxury watches.
see you!