We all know that gold never loses value. If you buy gold now, you will always have the possibility to sell it over years and still gain some profit. In this context, what happens to watches? Big brands invest a lot of financial resources to use high-quality materials, such as stainless steel, titanium, and yellow and white gold. What happens to these watches with time? Are they still valuable? Do they lose their financial advantage?
The brands release phenomenal luxury timepieces every other year. As a consequence, the old ones remain either in the shadows or increase in worth due to the vintage and classic tendencies. Look at the Rolex timepieces. Some units are even more expensive now than were at the time of release. Rolex is a particular case, in general. Everybody is aware that Rolex watches are a good investment. What about the other then? And considering that a lot of people are replica aficionados, what happens to the most valuable models in their replica versions?
The question is not an easy one. Though, we receive it regularly. Hereupon, we will try to figure it out in this article.
Timepieces as a potential investment
Let’s discuss a little bit about the investment domain. To be more specific, about investing in watches. To begin with, this topic is pretty disputable. Why? Simply because experts say that people who are indeed in love with timepieces and adore collecting them just for their inner comfort shouldn’t look at it as an investment. This category of people shouldn’t be preoccupied with whether their watches increase or decrease in value. They just are aficionados and buy watches they love. Later on, they understand that their collection is depreciated, simply because they chose watches they liked, not those that are good for investment. Hence, the frustration.
Still, there is a solution for this category of people. As a suggestion, they can buy their loved watches and wear them for a certain period. Therefore, these people satisfy their need of having a certain watch and after that resell it. The reselling price can be slightly different from the initial price. Therefore the financial loss is minimal, while the person is satisfied that they had the chance to wear it and enjoy it.
Which is the advantage?
The main benefit of such a scheme is that you can buy as many watches as you want. Since you resell them, your money is in a permanent circuit. Yes, it is not considered an investment, since you don’t have profit. But, remember that you are just a watch enthusiast and you love having watches. You shouldn’t mix things up.
If you have to satisfy your “addiction” to timepieces, you can go this way and not lose a lot of money. Otherwise, if you keep the watches you buy for a too long period, you risk not returning your money. Therefore, it is not wrong to buy watches that tend to depreciate. You do this because you are a watch lover and that’s absolutely ok. All you have to take into account is that buying watches for personal enthusiasm cannot be considered an investment.
On the other hand, there are people with a well-defined purpose: they seek to buy watches that preserve their value. If you are sure about your goal, you have to make an abstract from what you love, and analyze what is truly valuable. And now the question, which timepieces should you look for?
Pre Owned timepieces
In fact, buying pre-owned timepieces is a frequent practice among watch admirers. The explanation is simple: these are much cheaper. The seller cannot ask for the same initial price because all luxury goods automatically depreciate once they leave the store. Look at the car industry, for instance. Once a new car exits the car show, it can never be sold for the same price, even though it has a few hundred km on the board.
Let’s take the following scenario as an example:
The Omega De Ville Tourbillon Co-Axial Chronometer Numbered Edition 38.7 mm is about 130,000 $. If you explore the preowned market, you will find it with 72,000 or even 68,000 $. We know that’s a lot of money. But, we just want to show you the price difference. The conclusion is that if you accept the idea of not having a brand new accessory you will automatically minimize your expenses.
However, if you are still reticent about watches that had been used by someone else and your principle is to have a new one, a replica version is a possibility for you. Currently, the replica industry has achieved phenomenal standards in quality matter. Manufacturers show impeccable craftsmanship in copying the original models and it is difficult to observe the difference between a genuine and an imitation. Give yourself a moment to analyze our AAAReplica.to store. The quality and price of our watches are extremely well-balanced and you can have an exquisite timepiece from both aesthetic and functional points of view.
What makes luxury watches specific?
It is hard to say which watch brand preserves its value the best. All the biggest brands have some timepieces that have revolutionized the industry and will definitely remain valuable for a long time in advance. The truth is that the major part of new watches, even though being phenomenally outstanding, will depreciate over time. If analyzed in retrospect, most watches that never lost value are those that incorporate a high degree of expensive metals. For instance, gold watches preserve their value. Timepieces with tendencies to vintage also keep their worth. In fact, it all depends on how the watch was appreciated at the time of the release. This is why. It is rather difficult to anticipate the degree and longevity of the watch value.
In addition, a key role factor that impacts the watch value is the demand for it. For instance, the first version of Rolex Daytona was released in 1963. It was a total hit then, and it is still a total hit now. Due to the high customer demand, this watch is still valuable both in price and in value. Moreover, replica versions are also insistently requested. This is a great example of what the role of a prestigious and reputable brand is.
What conclusion can we make?
The conclusion is as simple as possible. The more powerful the name of a brand is, the higher are their watches valued over time. The same goes for the replica versions. They are valued in the same manner as their original homologs. Hence, from the statistical point of view, the following replica versions are always in high demand:
-Rolex
-Tudor
-Breitling
-Hublot
-Audemars Piguet
-Panerai
-Omega
-Tag Heuer
-Patek Philippe
Despite the long list of factors that impact the value of a timepiece, the watches of these brands preserve their quality and remain hypnotic for the customers. As a result, the price remains relatively high in all 3 segments: original, preowned, and replicas. Therefore, customers are pretty ok even with high replica prices since they realize the standards and the merit of these brands.
In fact, our replica store proposes mainly imitations of the mentioned brands. We know their value, we know customers seek them. As a result, our goal is to meet the customers’ demands from both quality and design perspectives.
Valuable watch specs
As mentioned before, the value of a watch is quite tricky. On one hand, statistics show that gold watches, for instance, are appreciated due to the main material that never depreciates. On the other hand, we find some stainless steel Rolex models are even more expensive than the full-gold ones. There is a bit of irrationality in all these, as you can observe. It seems that in some cases the name of the brand is even more forceful than the expensive raw material.
Well, there might be a drop of truth there, because big brands are indisputable in their quality and high standards. If Rolex would release a very basic watch made of cheap materials, it probably would still cost a fortune, since it is made by Rolex. Sometimes, we pay for the brand more than for the rest. We are sure that the brand is a solid mountain in terms of quality. But how long will it last? No-one knows. In consequence, we have to look back and try to figure out the criteria of past watches that are extremely valuable and up-to-date.
Vintage watches
Statistics show that vintage watches are among the most valuable in terms of ever-lasting impact. They have indeed passed the time test successfully. They have proven to remain actual in any social environment, despite the contemporary stylistic boost. It seems that the more modern watches appear, the higher the value of the vintage watches is. In addition, brands do their work so well and combine the vintage design with modern tendencies. As a result, no words can describe the refinement and the cosmic design level of vintage timepieces.
In this train of ideas, yes, vintage watches are a good channel to invest in. Of course, no one can guarantee the success of your investment, since no one knows how the thing will evolve. But, past experiences show a beautiful future potential.
Metal watches
This is another tricky aspect. It is possible to find gold watches being cheaper than stainless steel ones. The explanation is hidden in the customers’ demand. Although gold, as a basic material, is more expensive, the demand for stainless steel is higher on the market nowadays. And as we already know, the demand rate makes it all. For the current period, stainless steel is a good option to invest in. Reselling your watch will not be difficult for you and you can resell it minimally at the same price as when you bought it.
On the other hand, no one knows what will be the demand for stainless steel in a couple of years. Gold will remain actual for sure. As for the steel, it may or may not remain actual. Therefore the gold investment is an option in the long run. Stainless steel is for the current processes of buying, using, and reselling the timepieces.
Summing up
Investment in the watch industry is a kind of Russian roulette. It depends on so many factors, as you have seen above. In case you afford to invest in original brands, we insistently suggest you take advice from experts and professionals on the matter. It is about investing a lot of financial resources and you don’t want to make decisions on your own.
If you opt for the pre-owned watches, it is recommended to check the auction market, as well as different sources to understand better if the price is justified or not. Because if we speak about the preowned market, the prices are also pretty expensive for usual customers.
In case you admire the original models and you are not interested in the preowned market, replica watches are a good option for you. The prices are affordable in comparison to the original ones. In addition, the warranty for their quality gives you the safe feeling that you will wear it proudly and for a long time in advance.