Grad School Pricing Project: best $10k non-Rolex brands?

[dumbo1234]

Hi everyone,

I am doing a project on tracking luxury item resale prices. It is for advanced marketing pricing (MBA program). I am a longtime Rolex enthusiast and also have a Panerai. My team and I are tracking Rolex resale (both sports models and Datejust-President).

I would like the names of some other brands to track that enthusiasts here feel are at least on par with Rolex, if not superior in terms of build quality. Our hypothesis is that status and resale value drive resale value, and data supporting that hypothesis would be other brands of similar quality that are selling for significantly less as a % of MSRP when compared to Rolex. Of course, if they are selling for the same or more % of MSRP, then it disproves our hypothesis and we will go onto proving/disproving the next one!

I know there are some really good brands out there that aren't Rolex and that watch enthusiasts love. We need at least 5, preferably 10, and current MSRP if you have it. Also, more expensive brands such as AP and Patek would be great to track; we can perhaps develop an alternative hypothesis there. Thanks so much!

[henrylee]

Patel, AP, VC, Lange are top tier. Below that are Rolex, Omega, Panerai, JLC, IWC, Cartier.

[Fleetlord]

Originally Posted by dumbo1234

Hi everyone,

I am doing a project on tracking luxury item resale prices. It is for advanced marketing pricing (MBA program). I am a longtime Rolex enthusiast and also have a Panerai. My team and I are tracking Rolex resale (both sports models and Datejust-President).

I would like the names of some other brands to track that enthusiasts here feel are at least on par with Rolex, if not superior in terms of build quality. Our hypothesis is that status and resale value drive resale value, and data supporting that hypothesis would be other brands of similar quality that are selling for significantly less as a % of MSRP when compared to Rolex. Of course, if they are selling for the same or more % of MSRP, then it disproves our hypothesis and we will go onto proving/disproving the next one!

I know there are some really good brands out there that aren't Rolex and that watch enthusiasts love. We need at least 5, preferably 10, and current MSRP if you have it. Also, more expensive brands such as AP and Patek would be great to track; we can perhaps develop an alternative hypothesis there. Thanks so much!

The brands that have references that are currently trading above their retail pricing on the secondary market are ROLEX, Patek, AP, FP JOURNE, Richard Mille.

It is important to note that not all of references of these brands trade for over, especially AP, who has some references that trade under.

The references that will most support valuation over retail are Stainless Steel Sports references. They have relatively low retail and are incredibly popular because they offer beach to boardroom to instagram flexibility. A Patek dress watch such as Calatrava does not...so they are less popular.

Omega has some references in their Speedmaster and Seasmaster line that retain or sell over retail, but these are limited edition references the collectors fawn over. The rest of their lineup sells under retail...over 30% off in some cases.

The rest of the pack is Breitling, IWC, Panerai, Hublot, Tag Heuer and JLC.

With a few exceptions from each , the rest of the references from these companies are seen on the grey market at substantial discount from retail.

While they are all great watches and in some cases are considered superior to Rolex in an horological sense (IWC / JLC), they suffer from overproduction, proliferation of references (just too many models), poor marketing, and watch designs that don't stand up to time.

Quality is there, but it's not enough. Brands need far more than that to achieve the desirability of Rolex.

[Pw92676]

Love that you are in school and incorporating your passion into your training. You’re probably not gonna want to hear this but...even as a watch enthusiast this project would bore the crap out of me.

Other than that I agree with Fleetlord. Take his words to the bank.

[pdnb]

Many of the brands listed are not not ”under $10k”

You can’t sell too many watches for under $10k and expect to keep a sustainable market that drives more demand than supply.

Also you should appreciate that most ADs of Rolex ship many of their stainless steel allocation to grey dealers in Hong Kong;
Often paired with hard to sell models.

Rolex scarcity is a weird animal... there is always one for sale that you can get; but if it’s a SS sport model it currently drives a market price Higher than retail at the moment. And when you have perceived “guaranteed” appreciation, the demand drives itself higher


Sent from my iPhone using Tapatalk

[MILGAUSS88]

Glasshutte Original, Omega, Breitling, LeCoultre, Parmigiani Fleurier, Grand Seiko, IWC, Ulysse Nardin and Zenith.

I think all are similar price range. I consider the GO, LeCoultre, PF and GS to be superior in quality.

One thing to consider is Rolex's advertising budget. About $50 per watch sold. They have been the biggest spender on advertising in the watch industry for decades.

[Sandpit]

In the "up to $10k" bracket, to be honest I think there's very little solid competition for Rolex. Especially when you're talking everyday wearable, waterproof and robust watches which are equal in terms of fit and finish. It's why they're so popular.

I'll have a go but I don't necessarily believe that these makes are equal to Rolex in terms of quality.... Blancpain (fifty fathoms / bathscaphe), Omega (choose any), JLC, Glashutte, Grand Seiko, IWC, Zenith.

[ZeGerman11]

Defining “build quality” is always important. What do you consider worse/equal/better build quality for the purpose of your project? Sorry to nitpick, but it is an important aspect of the discussion.

With that said, I would look at other brands that have steel sports watches. Those would logically provide the best comparison.

Blancpain Fifty Fathoms
Glashutte Original SeaQ
Omega Seamaster/Speedmaster
Chopard Alpine Eagle
Piaget Polo
Bulgari Octo Finissimo
GP Laureato
Can’t think of specific models but some brands that others have suggested:
- Breitling (Superocean?)
- IWC
- Ulysse Nardin
- Hublot
- Cartier (Santos maybe?)
- Grand Seiko
- Zenith

[mongrelnomoad]

Under 10k, same or better:

Seiko
Grand Seiko
Tudor (does this count?)
Omega
Nomos
Cartier
JLC
IWC
Zenith
GP

May have forgotten a few...

[thewatchidiot]

Check out WatchCharts. I think they update on the kind of info you’re researching weekly.

[RoscoPico]

wise words by Fleetlord

and yeah there are a ton a great watches < 10K

Ulysse Nardin
Girard Perreguax
Parmigiani
Omega
Breitling
JLC
IWC
Tudor
Zenith
Grand Seiko
Glasshutte Original

to name a few

[GB-man]

Do your own research ya bum

[Phooi]

For <$10k brands, some you can consider are

- Ming
- Kurono
- Sinn
- Oris
- G-Shock

[GreenLantern]

Forgive me, but I actually don't like that the watch bubble is getting this much attention.

That's how you fuel bubbles. :)

[Mutsu]

Originally Posted by dumbo1234

Hi everyone,

I am doing a project on tracking luxury item resale prices. It is for advanced marketing pricing (MBA program). I am a longtime Rolex enthusiast and also have a Panerai. My team and I are tracking Rolex resale (both sports models and Datejust-President).

I would like the names of some other brands to track that enthusiasts here feel are at least on par with Rolex, if not superior in terms of build quality. Our hypothesis is that status and resale value drive resale value, and data supporting that hypothesis would be other brands of similar quality that are selling for significantly less as a % of MSRP when compared to Rolex. Of course, if they are selling for the same or more % of MSRP, then it disproves our hypothesis and we will go onto proving/disproving the next one!

I know there are some really good brands out there that aren't Rolex and that watch enthusiasts love. We need at least 5, preferably 10, and current MSRP if you have it. Also, more expensive brands such as AP and Patek would be great to track; we can perhaps develop an alternative hypothesis there. Thanks so much!

As others have pointed out, Rolex is the biggest player in terms of marketing spend in the watch world. From a young age I was exposed to this marketing, which gave me the perception that Rolex was the best watch brand and also made the most expensive watches (this was before I educated myself in watches).

Probably most people that don't know much about watches have that opinion too, at least all of my none watchey friends thought that Rolex sell the most expensive watches in the world.

They have a lot of brand presence on the high street / airports versus other brands, and store front colors really stand out.

If you want data on brand status, I'd take a look at Google trends, compare 'Rolex' with 'Omega' and other watch companies and I bet you will see that Rolex always comes out on top.

I'd be looking to find patterns with market interest and resale value vs marketing initiatives over time for each brand. It shouldn't be too difficult to do this using Google with certain keywords and its 'search tools' feature.

Correlation doesn't always equal causation though, so remember this in your conclusion.

[Moose500]

Originally Posted by Fleetlord

The brands that have references that are currently trading above their retail pricing on the secondary market are ROLEX, Patek, AP, FP JOURNE, Richard Mille.

It is important to note that not all of references of these brands trade for over, especially AP, who has some references that trade under.

The references that will most support valuation over retail are Stainless Steel Sports references. They have relatively low retail and are incredibly popular because they offer beach to boardroom to instagram flexibility. A Patek dress watch such as Calatrava does not...so they are less popular.

Omega has some references in their Speedmaster and Seasmaster line that retain or sell over retail, but these are limited edition references the collectors fawn over. The rest of their lineup sells under retail...over 30% off in some cases.

The rest of the pack is Breitling, IWC, Panerai, Hublot, Tag Heuer and JLC.

With a few exceptions from each , the rest of the references from these companies are seen on the grey market at substantial discount from retail.

While they are all great watches and in some cases are considered superior to Rolex in an horological sense (IWC / JLC), they suffer from overproduction, proliferation of references (just too many models), poor marketing, and watch designs that don't stand up to time.

Quality is there, but it's not enough. Brands need far more than that to achieve the desirability of Rolex.

Very well said!