Which one was most impressive to you when you saw them before?
Me is the Day Date of Rolex
HK Snob
Copyrights of Alex Lee, K.L. Malaysia, ask permission to forward and copy via me first.
Me is the Day Date of Rolex
HK Snob
Copyrights of Alex Lee, K.L. Malaysia, ask permission to forward and copy via me first.
Note the first sentence “A Rolex watch is an investment.”
CEO of Rolex had just announced Rolex is not an investment in April 2024! What do you think?
This is a very interesting newspaper from 1970 and his implication yesterday may not 100% represent the value of the watch tomorrow.
Check the price of the Chronograph is almost “cheapest” and is most expensive today!
So what is the cheapest today may be most expensive after 10-20 years? I know my choice, how about you?
Pls don’t forward or copy unless get the
personal agreement from the Alex Lee KL, who still keep the original newspaper
today, he is Rolex fan living in Malaysia!
HK Snob
Against the backdrop of the esteemed Watches and Wonders 2024 event, concerns arise regarding the decline in Swiss watch exports in March. The value of exports fell by 16.1% compared to March 2023, amounting to a total of 2.0 billion francs. This decline was primarily driven by reduced demand from China and Hong Kong, major trading hubs for watches in Asia. Overall, the first quarter experienced a 6.3% decrease compared to the previous year.
Sales Performance by Price Segments:
The decline in exports was observed across all price segments. Watches priced at over 3,000 francs experienced a decline of 9.9%. The drop was more significant for products priced under 500 francs, with a decrease of 18.8%. The 500-3,000 francs category witnessed a decline of 38.2%.
Market Performance by Region:
Most markets experienced weakened demand in March. Notably, the United States (-6.5%), Japan (-3.5%), and the United Arab Emirates (-3.6%) were less affected compared to the average decline. Conversely, China suffered a significant decline of 41.5%, reaching a level below that of March 2020 when the industry faced a halt due to the COVID-19 pandemic. Hong Kong (-44.2%), Singapore (-14.8%), the United Kingdom (-13.2%), Germany (-13.1%), and France (-11.9%) were closer to the global average.
Historical Perspective: Swiss Watchmaking Over the Past 50 Years:
The Swiss watchmaking industry has undergone significant transformations over the past five decades. One pivotal event was the Quartz watch crisis of 1970. Exports reached their peak in 1974 at 84.4 million watches and movements but plummeted to just 31.3 million within a decade. This crisis led to a divergence in the industry, with the emergence of everyday watches like Swatch and the luxury segment.
Brand Identity and Market Share:
Swiss watches are categorized into super
luxury, luxury, hi-end, and mid-range streams. Brand identity plays a crucial
role in building brand value. Top players such as Richard Mille, with watches
worth CHF 200,000, manufacture only a few thousand pieces annually. In
contrast, Swatch produces millions of watches each year. As of 2023, Rolex
dominates the market with a 30.3% market share, followed by Cartier 7.5%, Omega
7.5%, Patek Philippe 5.6%, and Audemars Piguet, among others.
Market Growth and Strategies:
The Swiss watch market has experienced both
growth and contraction simultaneously. While volumes have decreased by almost
45% since 2015, the value of high-end watches priced over CHF 3,000 has surged
by 15.6% in the past year. This trend signifies a shift towards higher-priced
luxury timepieces. The industry's focus on producing fewer watches at higher
prices reflects a protectionist approach aimed at boosting demand.
The market's trajectory for the next decade
will be shaped by distinct strategies related to brand identity, average
selling price (ASP), value proposition, and sales approaches. While hunger
sales may be utilized to stimulate demand, it is crucial to note that watches
are not considered investment assets. The luxury watch industry is adapting to
the digital age, with younger generations showing greater interest in wearable
technology rather than traditional mechanical timepieces. However, the market
remains strong, with major players reporting impressive growth.
In conclusion, the Swiss watch market is
undergoing dynamic changes. The industry has transitioned towards producing
fewer watches of higher value, focusing on rarity, exclusivity, and
storytelling. Younger consumers are gravitating towards digital wearables,
while the 30-50 age group still appreciates Swiss mechanical watches as
indicators of social status. Vintage watch enthusiasts continue to cherish the
craftsmanship of fine mechanical timepieces. It is essential for watch
enthusiasts to buy and enjoy timepieces they personally appreciate, while
recognizing the unique stories and value associated with rare and special
watches.
HK Snob
Watch Business Update - May 2024
In recent times, the gold price has reached a historical high, standing at HK$26,500 per tael. During my visit to Chow Tai Fok yesterday to purchase gifts for Mother's Day, I was struck by the soaring price of gold. Such high gold prices indicate a lack of trust in traditional currencies, leading individuals to invest in precious metals, with gold being the top choice.
The ongoing conflicts in the Middle East
and Ukraine show no signs of resolution. Consequently, we anticipate that
people will exercise caution when it comes to investing in luxury goods.
Despite the fact that the wealthiest 1% of US citizens possess 30% of the
country's wealth, it is uncertain whether this group will entirely divert their
funds towards the watch business. Middle-class individuals, including managers,
executives, investment bankers, IT professionals, businessmen, hotel managers,
pilots, lawyers, and more, comprise the genuine supporters of the watch
industry. Although not part of the super-rich class, Hong Kong residents are
increasingly crossing the border to Shenzhen for weekend getaways, indicating a
decrease in their willingness to invest as heavily as they did two years ago.
Comparing the current prices to those of May 2022, Rolex has experienced an average drop of 30%, Patek Philippe has dropped by 25% on average, and Audemars Piguet has experienced a 40% decrease. Vacheron Constantin is now offering its VIP customers the opportunity to purchase the new 222 model at the manufacturer's suggested retail price (MSRP), which was not possible in 2023. However, there have been few actual transactions for used Rolex watches among the 500 dealers in Hong Kong. It remains unclear whether prices have reached their lowest point, but it is expected that they will fluctuate in a U-shaped pattern before potentially rising again, particularly towards the end of the year following the replacement of US President Biden with Trump.
Considering the current market conditions, it is advisable to invest in gold watches rather than stainless steel models, as the former holds greater value. Personally, I have ceased purchasing steel watches and shifted my focus towards high-quality gold timepieces.
It is worth noting that the attached
picture depicts TST 1881, where luxury shops such as JLC, Roger Dubuis, IWC,
Cartier, Vacheron Constantin, and Panerai were present two years ago. However,
at present, these establishments remain closed.
Thank you for reading.
HK Snob
I can’t rule out the affection of Rolex fans as Rolex takes up 50% of Swiss watch export revenues in 2023. Rolex’s new watch will be the focus of many of us.
Rolex has added a new stainless steel
GMT-Master II to the lineup. Featuring the same split-color black and gray
bezel, the new Rolex GMT-Master II 126710GRNR pairs its updated bezel with the
green GMT hand and green dial text as the black and green left-handed
GMT-Master II that debuted in 2022. Just like the rest of the models from the
current GMT-Master II lineup, this new GMT-Master II 126710GRNR is powered by
the Caliber 3285 automatic GMT movement, which features the brand’s Chronergy
escapement and runs at a frequency of 28,800vph (4 Hz) with a power reserve of
approximately 70 hours. Additionally, just like the other stainless steel
models, this new GMT-Master II 126710GRNR is available with either the brand’s
three-link Oyster or five-link Jubilee bracelets, and both versions are
completed by Rolex’s Oysterlock clasp with the brand’s Easylink comfort
extension system.
Rolex Deepsea in 18KT Yellow gold
Quite to my unexpected, for 2024, Rolex
introduced a solid gold dive watch rated to 3900m. And never mind that you can
wear a watch that deep into the deep sea with ease — this watch is about
status, pure and simple. The new Rolex Deepsea 136668LB is big and stupid.
A 322g, solid 18k Deepsea on a solid 18k
gold bracelet is contradictory to much of what we’ve seen from Rolex in the
past. It is a 44m-wide, 17.7mm-thick gold watch. And the
bright blue ceramic Cerachrom bezel shines and matches as on the gold case. Put
the gold and blue together with the weight and all you can think of this is a
showy piece but not for you to wear everyday. May not be comfortable for me to
wear. May be someone’s else.
Rolex Perpetual 1908 in Platinum “Ice Blue”
This is top-of-the-line Rolex dress watch, and
I think many people like this watch more than the about GMT and Deepsea. Rolex
has followed up with the Perpetual 1908 in platinum (ref. 52506) with an “ice
blue” guilloché dial. It is done the traditional way with a hand-operated
machine, the guilloché dial gives the watch an entirely different character.
The striking pale blue is also more modern.
How do you like it? And I believe this
is easier to get than the GMT Master II.
HK Snob