Roger Kint
7
I wonder
Jan 15, 2012,16:25 PM
The prices do seem more inflated as I have walked through ADs over the years. At the same time, I have spent less time in ADs over the years because most of the watches do seem so similar with one brand or product line blending into another. However, I agree that the finishings and technical quality of watches have generally increased in the past 10 years. Also, I often find the new complications or sub-models trotted out at every SIHH very forced and just a way of pushing sales. Of course, this has been going on for longer than 10 years and is not limited to the watch industry. Indeed, I think they teach this at every business school.
I do find myself turning to the internet more often over time although this carries significant risk and you have to absolutely make sure you know what you are doing. And over the years, I have found better and better bargins online (even after taking price inflation into account), especially with gently used, moderately complicated, precious metal watches from famous makers. I believe that this is actually the result of so many watches being sold these days to the newly rich in the developing parts of the world. By the way, I do not feel there is anything wrong about this. Newly rich people in Western Europe and America have done the same thing forever. However, just like people used to melt down their silverware 300 years ago when times got tough, people (no matter where they live) often sell off their watches first (often at a severe discount) when they go through tough economic times. This helps the serious collectors who are patient and do not need to buy something "brand new."
Most of the serious collectors I know rarely, if ever, go to ADs anymore. To anyone who is willing to deal with a few scratches that can be polished off at the next service, there are incredible deals to be had on the internet. What will actually happen to watchmakers over time, I am less sure. There could come a time when the MSRPs are no longer sustainable, the buying public will no longer stomach the price increases for minor variations and the business models based on them will force some watchmakers to go out of business. Again, I do not think the associated drop in prices as the bubble bursts will affect the serious collectors as much; most do not pay anywhere near MSRP and most collect watches for personal pleasure for the long term.
This message has been edited by Roger Kint on 2012-01-15 16:34:22