Not only are consumers being scared off from buying luxury watches as the cryptocurrency market continues to crater, but it’s becoming harder to find those big-name timepieces than ever before, a Rolex watch seller in the United Kingdom told Bloomberg.
While it’s been a struggle for a while to keep up with the demand of Rolex, Audemars Piguet and Patek Philippe watches, the supply is now dwindling for other brands too, including Zenith, Omega and IWC, Watches of Switzerland Group CEO Brian Duffy said in the report.
“A lot of what we are selling we can’t get enough of in the first place,” Duffy said, per the report. “The whole industry is characterized by more demand than supply.”
About 75% of Watches of Switzerland Group’s sales by value come through customers signing up for wait lists when the luxury timepieces they want aren’t available immediately, the report stated. The company’s wait list continues to grow even as it’s able to fulfill some orders.
“Even if there is an impact in demand, it will be a long time coming before we feel it,” he said in the report.
Watches of Switzerland is the U.K.’s top Rolex retailer and is among the largest in the U.S., with a market share of about 9%, according to the report. Among the most-wanted items for those on Duffy’s wait list are Zenith chronographs, IWC pilot watches and Omega’s James Bond Seamaster and Speedmaster models.
Watches of Switzerland’s in-store and online sales grew by 48% in the U.S. to 428 million pounds ($512 million) in fiscal year 2022, a number that Duffy said in the report could have been higher if there were more supply available. Meanwhile, watch prices are up 4% to 5% this year.
Some 25% to 30% of demand for luxury items was driven by the increases in cryptocurrencies. Those prices are falling now, even as prices for new luxury watches seem to be holding up.
Read more: Crypto Downturn Hits Luxury Goods as Buyers Become More Cautious
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FAQs
It is not sure if and when the shortage on new Rolex watches will end. We are no fortune tellers. But we do know: Rolex is building new factories to meet high demand and address the shortage of their luxury watches. However, the shortage will likely persist as it is challenging to find skilled watchmakers.
Is there really a Rolex shortage? ›
Clearly, divergent supply and demand is what's driving the scarcity of Rolexes available for purchase. Demand is astronomically high, and even a supply of one million new watches per year can't meet it. It comes down to a numbers game, and there's no sign that this will be changing any time soon.
Why is it so difficult to buy a new Rolex watch? ›
Why is this so? Well, to get you started, the majority of Rolex models are so popular that they fetch a premium on the gray market, which is why the authorized dealers are hesitant to sell you the watch. On the other hand, the majority of models are accessible to well-known individuals, valued relations, etc.
How long is the Rolex waiting list? ›
According to several sources, the waiting time is generally around six months for a Rolex but can be as long as two years. However, this does not guarantee the Rolex you want. You may get a call for a Rolex they are simply trying to get rid of, which could be as simple as an Air King.
Are Rolex prices going down in 2024? ›
Following a significant increase in 2023, Rolex comes back to a more standard price increase for 2024. Without surprises, the arrival of a new year also means subsequent price changes for brands (and this isn't limited to watch brands, but you'll find these in multiple other industries).
How long does it take to get a Rolex from a dealer? ›
Average Rolex Waiting List Times at a Glance
| Rolex Collection | Reported Wait Time |
|---|
| Submariner | 3 months to 3 years |
| Daytona | One to 5 years |
| Datejust | 3 months to one year |
| GMT Master II | 6 months to 5 years |
The Sky-Dweller is Rolex's most complicated watch and takes more than a year to make. They just can't meet demand. Or should I say, “couldn't meet demand”. Because after just 7 years of limited production, Rolex discontinued the watch in 2023: No more being made.
Why can't you buy a Rolex at retail? ›
Rolex has decided to decrease the production output for the bulk of their products in recent years, making much of the sporting watches almost difficult to purchase brand new from Rolex retailers. There will be a set of requirements that you must meet if you purchase a new Rolex from an approved dealer.
How to get on a Rolex waiting list? ›
The process is simple: you visit one or, ideally, several Rolex dealers and simply register your interest in one or more watches. Most dealers will provide information on their estimate of the expected waiting time on request. If the dealer states a few months, this is initially a good sign and good news.
Can anybody buy a new Rolex? ›
Yes you can buy a Rolex in store from an official retailer. If you want to buy a new Rolex you will probably need to go on a waiting list. Some jewellery stores will also sell pre-owned Rolexes for which there shouldn't be a waiting list. Is buying a Rolex a good investment?
Buying a pre-owned Rolex isn't about the price difference; they have many other benefits. Pre-owned Rolex watches depreciate slower than new ones; you also get a wider variety of watches to choose from, they can be restored to look brand-new, and you can buy the model you always wanted.
Does wearing a Rolex devalue it? ›
If your Rolex is kept in great condition over the course of time it's on your wrist, it will most likely maintain its value fairly well and sometimes noticeably increase in value.
How do I skip a Rolex waiting list? ›
How to beat the Rolex waiting list (2022) - 10 tips
- Dress smart when visiting the Rolex authorised dealer.
- Be personable and nice with the Rolex authorised dealer.
- Build a genuine relationship with the Rolex authorised dealer.
- Be knowledgable about Rolex.
- Go into the Rolex authorised dealer wearing a Rolex.
Our predictions for 2024
As we look through our data, we think Rolex will increase their retail prices with around 4% on average, meaning that the grey market will continue to grow as it's really hard to get your hands on a new watch at Rolex, especially since Rolex acquired Bucherer a few months ago.
How long is the waitlist for Rolex 2024? ›
The Rolex Submariner has the largest waitlist in 2024. This is because the Submariner collection is the most popular and there very few references to choose from, which makes the waitlist for a given model even longer. Expect to wait at least a year ordering any of the Submariner variations.
Are Rolexes easier to get now? ›
In other words, your Rolex should be easier to get soonish. A second hint of glad tidings comes from retailers who are reportedly seeing a stronger supply of steel models than in the recent past, and fewer models in precious metals being allocated.
Is Rolex ramping up production? ›
A new Rolex factory will likely increase output significantly by 2029, and three new temporary facilities will likely be online by 2025.
Is the Rolex watch market going down? ›
The WatchCharts Overall Market Index — which tracks the prices of 60 timepieces from top brands including Rolex, Patek Philippe, and Audemars Piguet — has plunged 37% from a March 2022 peak. A separate index for just Rolex models fell 31% over a similar period.
Is the Rolex Rush over? ›
The Record Rush to Buy a Rolex or a Patek Philippe Is Over
“What we saw in 2021 and 2022 was out of the norm,” said Francois-Henry Bennahmias, chief executive officer of Audemars Piguet.
