Daytona Price Surge!

[vh2k]

Originally Posted by drfrankenstein

“Between 2009 and 2019, we estimate that Rolex’s annual production went from 800,000 to 1m, a very moderate +2.5 percent CAGR. In 2020, Rolex could have easily kept the production volume of 2019, but rather than supplying the markets with bigger quantities and making its watches more accessible, it decided to reduce the output and shift inventories from markets where the Coronavirus had forced the business to close to other markets,” states the Morgan Stanley report. “Rolex appears focused on applying a luxury strategy built on driving scarcity. This means growing the production slowly annually. It also means a very strong focus on fighting the grey market, now the plague of a number of luxury watches, given the transparency on pricing brought by a number of dedicated trading sites.”

https://revolution.watch/ultimate-wi...x-shined-2020/

No evidence that was Rolex’s intended strategy for 2020 or their doing. Production ground to a halt in March/April as facilities were closed... which reduced annual production capability by at least 150K units. Shuddering production due to Covid was not Rolex’s decision.

[IamJacky]

Originally Posted by Francist

I was browsing and it was no longer there.
Couldn't believe it. $50k next I guess.

The term "value" is really subjective here.
If you bought dress PP at retail, they're now trading 20-30% discount on the grey market. Those calatravas & annual calenders are sinking faster than the Titanic.
If you bought the SS Daytona at $20k, it's now worth double that. So which one is more "valuable" here???

It's because the ss sports hype, everything else does not matter. Personally, i'd like a PP in my collection. Probably a good time to trade some of these SS for those.



Look at that beauty

I'm definitely liking the trend of PP annual calendars sinking in prices, as I eventually would want to add a Patek 5396G into my collection. I just hope that by the time I decide the pull the trigger, the trend has not already shifted towards dress watches.

[drfrankenstein]

Originally Posted by vh2k

No evidence that was Rolex’s intended strategy for 2020 or their doing. Production ground to a halt in March/April as facilities were closed... which reduced annual production capability by at least 150K units. Shuddering production due to Covid was not Rolex’s decision.

I'm guessing Morgan Stanley didn't come with that out of thin air. They are saying that even with COVID restrictions they could've matched 2019 production.

[RedGlasses]

Originally Posted by drfrankenstein

Sneaker market is different in a couple of ways, especially relative to watches.

1. There are new releases all the time (every few months)
2. Everyone theoretically has a chance to obtain a pair because sales are online and sold direct by the manufacturer.

Otherwise, you have a robust secondary market and hype train driving up prices. Obviously the price points are much lower...

I'm involved in the Sneakers market, as a collector, buyer and reseller.

1.There are new releases every WEEK (i'm talking of limited editions sneakers). And hot releases 2 or 3 every month.
2. For HOT releases, You need an online bot, or a plug (backdoor) with a store manager to get your shoes that are not always sold directly by the manufacturer but through also many different channels (shoe stores or special occasions, (conventions etc)). You also need luck because they do raffles to give you a chance to buy.

The market is crazy and also went up when Manufacturers decided to limit supply. What is a plague in this market is counterfeit. They are everywhere and so nicely done sometimes! It could take quiet some time to detect a fake Air Jordan or yeezy.

Adidas had a 2 years run of hype because they limited their newest shoes (in 2017) called NMD. And Human Races (Pharell williams was the brand ambassador). Once they decided to re issue their 1st NMDs to the exact same one, adidas market crashed, and hype died. Collectors HATED it.

The difference with watches is that you don't need to build up a relationship with an AD (it could help with some store managers) to make a purchase.

Also what hyped up the market is how brands did collaborations with artists. (Mainly singers, rappers etc) I would not suggest watch brands to do the same at all (Couple years ago there were a rumor that Rolex and Supreme would release a collab together, and for the sake of Rolex reputation I'm glad it didn't happen).

Both market share some similar strategies and the most striking one to me, is when they limit supply the overall demand is crazy. And they manage perfectly to make a "general release" and be successful at selling it because hype was built through the limited editions ones.

[JodyHighroller]

Originally Posted by RedGlasses

I'm involved in the Sneakers market, as a collector, buyer and reseller.

1.There are new releases every WEEK (i'm talking of limited editions sneakers). And hot releases 2 or 3 every month.
2. For HOT releases, You need an online bot, or a plug (backdoor) with a store manager to get your shoes that are not always sold directly by the manufacturer but through also many different channels (shoe stores or special occasions, (conventions etc)). You also need luck because they do raffles to give you a chance to buy.

The market is crazy and also went up when Manufacturers decided to limit supply. What is a plague in this market is counterfeit. They are everywhere and so nicely done sometimes! It could take quiet some time to detect a fake Air Jordan or yeezy.

Adidas had a 2 years run of hype because they limited their newest shoes (in 2017) called NMD. And Human Races (Pharell williams was the brand ambassador). Once they decided to re issue their 1st NMDs to the exact same one, adidas market crashed, and hype died. Collectors HATED it.

The difference with watches is that you don't need to build up a relationship with an AD (it could help with some store managers) to make a purchase.

Also what hyped up the market is how brands did collaborations with artists. (Mainly singers, rappers etc) I would not suggest watch brands to do the same at all (Couple years ago there were a rumor that Rolex and Supreme would release a collab together, and for the sake of Rolex reputation I'm glad it didn't happen).

Both market share some similar strategies and the most striking one to me, is when they limit supply the overall demand is crazy. And they manage perfectly to make a "general release" and be successful at selling it because hype was built through the limited editions ones.

I agree with the collabs between watch brands and artists, etc. Look at the heat AP is taking on with the marvel collaboration and release from yesterday.

[RedGlasses]

Originally Posted by JodyHighroller

I agree with the collabs between watch brands and artists, etc. Look at the heat AP is taking on with the marvel collaboration and release from yesterday.

Yes! exactly...

Murakami and Hublot was interesting though, for some brands, collabs could boost their reputation, or 'spice up' a collection.

In the watch market I love how we associate a watch to its celebrity ambassador (bubba watson, raphael nadal, paul newman...), without putting its face/image on the watch itself.

[rollex4me]

The price is dictated by whatever someone is willing to pay for it. That's how the free market works. If you don't like the price of the Daytona buy something else! To be upset about it is wrong, don't hate the player hate the game! La Ferrari, Birkin bags, Stocks, NFT's, Jordans etc etc.

[TradingLoss]

Originally Posted by rollex4me

The price is dictated by whatever someone is willing to pay for it. That's how the free market works. If you don't like the price of the Daytona buy something else! To be upset about it is wrong, don't hate the player hate the game! La Ferrari, Birkin bags, Stocks, NFT's, Jordans etc etc.

This +1

[tonoboon]

Originally Posted by RedGlasses

Yes! exactly...

Murakami and Hublot was interesting though, for some brands, collabs could boost their reputation, or 'spice up' a collection.

In the watch market I love how we associate a watch to its celebrity ambassador (bubba watson, raphael nadal, paul newman...), without putting its face/image on the watch itself.

this Hublot x Murakami on chrono24 goes fo $250k