Is The Watch Market Crashing?

The watch market is cyclical just like many other markets, but are you making the most out it? 

With a heightened focus on scarcity, watches can make a good investment considering the right time to purchase. Just like almost every other market, there are cycles. Over the past couple years the watch industry took a steep climb, especially among Rolex, Audemars Piguet, and Patek Philippe.

Certain watches perform better than others, such as the Rolex Daytona (Panda), select Rolex Submariners, Audemars Piguet Royal Oaks, and the Patek Nautilus. Without sizable pockets, it may seem difficult to acquire timepieces of these values. There are always alternatives watches to get into for investments that may not break the bank as much. The Cartier Santos medium in stainless steel and Rolex Explorer models are a couple personal favorites for a budget of $10k or less. 

Traditional market fluctuations can vary roughly 10-15%, but the bull market over the past couple years were different. Some timepieces such as higher end Audemars Piguets that were going for $35k, shot up to $100k. With these types of increases, we are now seeing a pullback in price close to 35%. Rolex Submariners for example and staying closer to the 10% swing.

Another example is the yellow gold Rolex Daytona with the green dial (John Mayer). Although its price was around $140k-$150k at its peak and now sitting close to $120k, the MSP is still around $40k. Depending on when and where you purchase your timepiece, there is no question they can still be used as an investment over the long term. Not to mention, an investment you can enjoy daily.