Rolex’s power and influence reach terrifying levels, Watchfinder survey finds

[vh2k]

Rolex’s power and influence reach terrifying levels

It will come as no surprise to anybody in the industry that, when asked to name a watch brand they would most like on their wrist, the majority named Rolex.

The scale of the Rolex appeal should be deeply troubling to every other brand because, when 55% want the crown, that leaves hundreds of other watchmakers fighting for the other 45%.

The survey was carried out by Richemont’s Watchfinder & Co., which asked over 20,000 watch lovers, from over 140 countries, to name their dream watch.

Rolex dominated the responses, not only as a brand but also as the most popular watch with its Daytona chronograph, particularly the ref. 116506, the 50th anniversary Daytona model made in platinum (pictured top).

It has a retail price of £59,600, but is now routinely offered for three times that price on the secondary market.

Patek Philippe was the second most popular watch brand, accounting for 12.5% of the votes, and Omega came in third place with 6.7%.

Audemars Piguet scooped fourth place.

Disappointing to Richemont, since it ultimately funded the study, was the discovery that only A. Lange & Söhne from its stable made the top five.

Breitling was at number six, and then Richemont’s Jaeger-LeCoultre, Vacheron Constantin, Cartier and IWC made up the rest of the top ten.

When it came to the most wanted watch model, six of the top ten were from Rolex.

More than 16% of survey respondents named a Rolex Daytona as their number one pick.

In second place was the Rolex Submariner with 12.4% of the votes.

Patek Philippe’s Nautilus came in third with 6.2%, followed by Rolex’s GMT-Master with 5.1% and Rolex Datejust at 4.9%.

Audemars Piguet’s Royal Oak crept into the top five with 3.9% listing the famous Gerald Genta designed watch. The rest of the top ten were:

Rolex Oyster Perpetual (3.7%)
Patek Philippe Complication (3.5%)
Rolex Day Date (3.5%)
Omega Speedmaster (3.3%)

Arjen Van de Vall, CEO of Watchfinder & Co., remarks: “Steel sports watches continue to stand the test of time so it was little surprise to see a Daytona at the top of this years ‘most wanted’ list. The platinum Oyster Perpetual Cosmograph, which proved to be the most wanted of all Daytona references, became an instant collectors piece when it was launched in 2013. Demand for this timepiece has continued to outweigh supply ever since and currently the watch is near on impossible to buy new.

“And this is where buying pre-owned really comes into its own; providing watch buyers with unprecedented access to those hard to get pieces – whether that’s a vintage or limited edition, a cult classic that has been discontinued or, of course, a current best seller that is impossible to access new due to impenetrable and lengthy waiting lists. The length and breadth of choice in the luxury watch sector has never been greater and each year more and more watch enthusiasts are recognising trusted pre-owned specialists as the best route to accessing more of this stock.”

Watchfinder’s survey also asked about behavioral issues when it comes to watch research and shopping.

Interestingly, social media and influencers were less powerful than some may assume.

Twice as many people first came across their dream watch on the wrist of someone they know rather than seeing it on the wrist of a celebrity or an influencer. 24% of people first discovered their dream watch in a physical boutique, 20% saw it in editorial and 16% discovered it whilst online shopping online.

The emotional impact of wearing a dream watch was enormous, with 93.8% of respondents believing that wearing their dream watch would positively impact their confidence.

One in three said wearing their dream watch would make them feel successful, wealthy and accomplished and almost one third said wearing their dream watch would make them feel more suave, sophisticated or elegant.

Only 25% of those surveyed selected their dream watch because they considered it a sound investment.

https://usa.watchpro.com/rolexs-powe...ifying-levels/

[1665fan]

Wow……..Thanks for sharing, glad I have my daytonas already lol

[macrowatch]

Talking their own Bob. Lol.

Survey methodology: all employees? Hahaha

[Lesnerelli23]

Originally Posted by macrowatch

Talking their own Bob. Lol.

Survey methodology: all employees? Hahaha

This.

There’s so many biases going on in this poll that skew the results.

[Choo Yao Chuen]

Please tell me something I don't already know��

[Keepchasing]

Thanks for sharing!

[Seddyspaghetti]

Thanks for sharing

[Laszlo]

Pretty darn impressive Omega is 3rd. That's a big deal IMO.

[vh2k]

Originally Posted by Laszlo

Pretty darn impressive Omega is 3rd. That's a big deal IMO.

Watchfinder's business is pre-owned and Omega has so many great models available at reasonable secondary prices... so, it makes sense.

[Fleetlord]

Interesting article.

His comments about the platinum Daytona are incorrect. That reference was selling for well under retail and was readily available from AD until a couple of years ago...so demand was NOT exceeding supply since it came out. It certainly is now. Times are much different now, as is supply...

That being said, I think that their survey is also not reflective of the overall market, in which my opinion is that it is an even higher share for Rolex than any other brand.

Rolex is absolutely and completely dominant in the luxury watch space. Other brands have some traction among the well healed, such as AP, Patek, RM, FPJ...etc. BUT overall all ROLEX is so incredibly dominant that I see it crippling other brands...

Case in point. Omega had a lovely company owned boutique in Aventura mall in Miami. It is now permanently closed.

Rolex just EXPANDED their location with Mayors in the same mall to INCREASE their presence.

I've seen this in Palm Beach as well. Omega boutique has come and gone, but Tourneau had no issue expanding their Rolex section.

These are affluent and luxury watch friendly markets. Omega had no chance against the crown and had to get out of dodge.

I think a lot of independent jewelry stores will simply stop selling (Non-ROLEX, AP, Patek) luxury watches out of their stores because the carrying costs of the "weaker" brands are simply too high (SWATCH and Richemont CRANK out watches and force dealers to BUY MORE as that's how they hit their numbers). They just don't sell and it's too much inventory to hold for items that don't draw people into the store.

Those weaker brands will be FORCED to shift completely to Ecommerce and company boutiques in select major cities, as those company owned channels will essentially be their only option to go to market. Even then, they will need to carefully pick their spots as I detailed earlier, going H2H with Rolex, with a factory store, can still lead to complete failure.

This is real problem for these other brands. They have some VERY important decisions to make and strategies to implement in order to survive. The overall market CLEARLY has little to no interest in the product they are currently producing and distributing. That is not a good place to be in a "booming" luxury goods environment.

[vh2k]

Originally Posted by Fleetlord

His comments about the platinum Daytona are incorrect. That reference was selling for well under retail and was readily available from AD until a couple of years ago...so demand was NOT exceeding supply since it came out. It certainly is now. Times are much different now, as is supply...

Market "research" always has an agenda - in this case, continue the hype train on hot watches in the secondary market. No surprise the narrative is consistent with that.

[TimepieceRPP]

Originally Posted by Fleetlord

Interesting article.

His comments about the platinum Daytona are incorrect. That reference was selling for well under retail and was readily available from AD until a couple of years ago...so demand was NOT exceeding supply since it came out. It certainly is now. Times are much different now, as is supply...

That being said, I think that their survey is also not reflective of the overall market, in which my opinion is that it is an even higher share for Rolex than any other brand.

Rolex is absolutely and completely dominant in the luxury watch space. Other brands have some traction among the well healed, such as AP, Patek, RM, FPJ...etc. BUT overall all ROLEX is so incredibly dominant that I see it crippling other brands...

Case in point. Omega had a lovely company owned boutique in Aventura mall in Miami. It is now permanently closed.

Rolex just EXPANDED their location with Mayors in the same mall to INCREASE their presence.

I've seen this in Palm Beach as well. Omega boutique has come and gone, but Tourneau had no issue expanding their Rolex section.

These are affluent and luxury watch friendly markets. Omega had no chance against the crown and had to get out of dodge.

I think a lot of independent jewelry stores will simply stop selling (Non-ROLEX, AP, Patek) luxury watches out of their stores because the carrying costs of the "weaker" brands are simply too high (SWATCH and Richemont CRANK out watches and force dealers to BUY MORE as that's how they hit their numbers). They just don't sell and it's too much inventory to hold for items that don't draw people into the store.

Those weaker brands will be FORCED to shift completely to Ecommerce and company boutiques in select major cities, as those company owned channels will essentially be their only option to go to market. Even then, they will need to carefully pick their spots as I detailed earlier, going H2H with Rolex, with a factory store, can still lead to complete failure.

This is real problem for these other brands. They have some VERY important decisions to make and strategies to implement in order to survive. The overall market CLEARLY has little to no interest in the product they are currently producing and distributing. That is not a good place to be in a "booming" luxury goods environment.

Agree. It sat in the display window often before 2016. Since the Brexit GBP depreciation, Rolexes have became hard to get because of cheap pounds attract loads of tourists to buy it.

I always found platona stunning but couldn't afford at that time. Not to even mention now, haha.

[Robf52]

Originally Posted by Fleetlord

Interesting article.

His comments about the platinum Daytona are incorrect. That reference was selling for well under retail and was readily available from AD until a couple of years ago...so demand was NOT exceeding supply since it came out. It certainly is now. Times are much different now, as is supply...

That being said, I think that their survey is also not reflective of the overall market, in which my opinion is that it is an even higher share for Rolex than any other brand.

Rolex is absolutely and completely dominant in the luxury watch space. Other brands have some traction among the well healed, such as AP, Patek, RM, FPJ...etc. BUT overall all ROLEX is so incredibly dominant that I see it crippling other brands...

Case in point. Omega had a lovely company owned boutique in Aventura mall in Miami. It is now permanently closed.

Rolex just EXPANDED their location with Mayors in the same mall to INCREASE their presence.

I've seen this in Palm Beach as well. Omega boutique has come and gone, but Tourneau had no issue expanding their Rolex section.

These are affluent and luxury watch friendly markets. Omega had no chance against the crown and had to get out of dodge.

I think a lot of independent jewelry stores will simply stop selling (Non-ROLEX, AP, Patek) luxury watches out of their stores because the carrying costs of the "weaker" brands are simply too high (SWATCH and Richemont CRANK out watches and force dealers to BUY MORE as that's how they hit their numbers). They just don't sell and it's too much inventory to hold for items that don't draw people into the store.

Those weaker brands will be FORCED to shift completely to Ecommerce and company boutiques in select major cities, as those company owned channels will essentially be their only option to go to market. Even then, they will need to carefully pick their spots as I detailed earlier, going H2H with Rolex, with a factory store, can still lead to complete failure.

This is real problem for these other brands. They have some VERY important decisions to make and strategies to implement in order to survive. The overall market CLEARLY has little to no interest in the product they are currently producing and distributing. That is not a good place to be in a "booming" luxury goods environment.

All good points well said.

[Tavli3]

Originally Posted by Fleetlord

Interesting article.

His comments about the platinum Daytona are incorrect. That reference was selling for well under retail and was readily available from AD until a couple of years ago...so demand was NOT exceeding supply since it came out. It certainly is now. Times are much different now, as is supply...

That being said, I think that their survey is also not reflective of the overall market, in which my opinion is that it is an even higher share for Rolex than any other brand.

Rolex is absolutely and completely dominant in the luxury watch space. Other brands have some traction among the well healed, such as AP, Patek, RM, FPJ...etc. BUT overall all ROLEX is so incredibly dominant that I see it crippling other brands...

Case in point. Omega had a lovely company owned boutique in Aventura mall in Miami. It is now permanently closed.

Rolex just EXPANDED their location with Mayors in the same mall to INCREASE their presence.

I've seen this in Palm Beach as well. Omega boutique has come and gone, but Tourneau had no issue expanding their Rolex section.

These are affluent and luxury watch friendly markets. Omega had no chance against the crown and had to get out of dodge.

I think a lot of independent jewelry stores will simply stop selling (Non-ROLEX, AP, Patek) luxury watches out of their stores because the carrying costs of the "weaker" brands are simply too high (SWATCH and Richemont CRANK out watches and force dealers to BUY MORE as that's how they hit their numbers). They just don't sell and it's too much inventory to hold for items that don't draw people into the store.

Those weaker brands will be FORCED to shift completely to Ecommerce and company boutiques in select major cities, as those company owned channels will essentially be their only option to go to market. Even then, they will need to carefully pick their spots as I detailed earlier, going H2H with Rolex, with a factory store, can still lead to complete failure.

This is real problem for these other brands. They have some VERY important decisions to make and strategies to implement in order to survive. The overall market CLEARLY has little to no interest in the product they are currently producing and distributing. That is not a good place to be in a "booming" luxury goods environment.

Omega’s downfall at the mall was twofold. 1 the store was huge, 5 times the size of Mayor’s Rolex store with 20 different variations of the same Speedmaster. Confusing buyers and making buying decisions difficult. So they had 5 times the space 20 times the watches and 1% as many customers as Rolex had.

Second, they were not allowed to discount. So they were always 20-25% higher than what you could buy online for. Tough to stay in business with that business plan.

Was friendly with two of the SAs there who both left cause they weren’t making any money. Smart move on their part since the store is no longer in existence.


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[bob sims]

Originally Posted by Tavli3

So they had 5 times the space 20 times the watches and 1% as many customers as Rolex had.




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Omega-you SUCK

[Singslinger]

Thanks for sharing. I enjoyed reading it.

[T4ME]

Originally Posted by Singslinger

Thanks for sharing. I enjoyed reading it.

x2

[RolexSimon]

Originally Posted by bob sims

Omega-you SUCK

Just try and get a silver snoopy :-)

[Cauhauna]

Originally Posted by bob sims

Omega-you SUCK

I agree. Their watches are cool
The endless supply makes them undesirable to me

[Francist]

Originally Posted by Cauhauna

I agree. Their watches are cool
The endless supply makes them undesirable to me

I like their watches too, especially the Seamasters line.
That is until I went to Japan and saw they were discounted 40-60% in Bic Camera. There was no difference between those packed Omegas & a can of sardine. They had Rolex too but was on sale for above msrp. This was in 2017.

The issue of over-supply will kill any luxury brand.

[Gerardus]

Nice read, thanks for sharing

[Timetracker]

‘Terrifying’ levels?……….a tad dramatic when discussing anything to do with a watch, don’t you think?��*♂️

[envuks]

Originally Posted by Timetracker

‘Terrifying’ levels?……….a tad dramatic when discussing anything to do with a watch, don’t you think?��*

Well, to the consumer yes.

However, if you’re a watch company providing for the livelihoods of hundreds or thousands of employees and their families through your business terrifying may be the proper word....


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[watchwatcher]

Originally Posted by Timetracker

‘Terrifying’ levels?……….a tad dramatic when discussing anything to do with a watch, don’t you think?��*♂️

Indeed.

[NiJaRo1225]

Originally Posted by Timetracker

‘Terrifying’ levels?……….a tad dramatic when discussing anything to do with a watch, don’t you think?

Lol, exactly my thought.


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[brandrea]

Thanks for the article

[WestCoastS]

good post!

[alphadweller]

Thanks for sharing.

[Lu..]

not surprised about Rolex, but I would've thought Omega would be second vs Patek...then I read that this survey was based on "20K watch lovers".....

wonder what the second brand would be from random 20K from the street.....pretty sure the Sub would overtake the Daytona as #1.

[Tavli3]

Originally Posted by Lu..

not surprised about Rolex, but I would've thought Omega would be second vs Patek...then I read that this survey was based on "20K watch lovers".....

wonder what the second brand would be from random 20K from the street.....pretty sure the Sub would overtake the Daytona as #1.

If it was 20k of non watch lovers I doubt it would be a Rolex


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