The luxury watch market has seen a significant shift in the past year, as the prices of some of the most popular and prestigious brands have declined, while others have risen. According to the Bloomberg Subdial Watch Index, which tracks prices for the 50 most traded watches on the secondary market by value, the prices of Rolex, Patek Philippe, and Audemars Piguet watches have fallen by about 14% in a year. These brands, which are known for their high-end exclusive models, have experienced a drop in demand due to various factors, such as higher interest rates, slowing economies and the crash in cryptocurrency values.
However, not all luxury watch brands have suffered the same fate. Cartier, a brand owned by Swiss luxury goods conglomerate Richemont, has shown more resilience and stability in the secondary market. An index compiled by Subdial comprising 25% of the most popular and frequently bought Cartier watches has declined only 2.5% since the start of the year but gained 1.6% in the last month. The average price of a Cartier watch in the index is about £5,000 ($6.338.8), which is much lower than the average price of a Rolex, Patek Philippe, or Audemars Piguet watch in the Bloomberg Subdial Watch Index.
One of the reasons why Cartier watches are performing better than their more expensive counterparts is that they are more readily available to buy new stores and sell for below their retail price on the secondary market. This means that buyers can find more variety and value in Cartier watches, while sellers can avoid losing too much money when reselling them. Moreover, Cartier watches are known for their elegant and timeless designs, which appeal to a wide range of customers.
The contrast between Cartier and Rolex, Patek Philippe and Audemars Piguet is evident in some of their specific models. For example, The Rolex Daytona 16520, with a steel tachymeter bezel, was the best performer over 30 days in the Bloomberg Subdial Watch Index, gaining 0.5% to trade at an average price of $30,976. However, another Daytona, the 116528 in yellow gold was the worst performer, falling 7% in a month to an average value of $41,841. On the other hand, the Cartier Trik Solo XL Automatic Steel W5200028 was one of the best performers in the Subdial Cartier Index, gaining 3.4% in a month to trade at an average price of £2,100 ($2,658.7).
The trends in the luxury watch market reflect the changing preferences and behaviors of consumers amid uncertain economic and social conditions. While some collectors and investors may still seek out rare and exclusive models from Rolex, Patek Philippe and Audemars Piguet, others may opt for more affordable and accessible options from Cartier. The future of the luxury watch market will depend on how these brands adapt to the changing demands and expectations of their customers.
