Market is Softening

[Bizcut1]

Market Update - Update is 10/1

The price of pre-owned Rolex watches has been falling, with the WatchCharts Rolex index dropping 31% since its peak in March 2022. The Bloomberg Rolex Market Index has also fallen 40%.

Increased inventory

The number of new in-box Rolexes for sale on Chrono24 has doubled since mid-2022. This is due to lower sales, as both listed and sold volumes have fallen.

Factors contributing to the decline

Some factors that may be contributing to the decline include a sluggish economy, rising interest rates, and subdued consumer spending.

Buyer-friendly climate

The market is currently more buyer-friendly, with some Rolex models available for less than retail price.

[train-time]

Good to know!

[brandrea]

I thought interest rates are coming down

[Bizcut1]

Buying time is approaching, gents...pun intended....

[Goldmansockz]

I think the blind-hype days of DJs selling for 40% over list are coming to an end. Even Subs are approaching MSRP though the Daytona and GMT prices are still holding steady. Someone recently posted about how Batgirl premiums are coming down but I'm not seeing a ton of downward movement in the last few months here in the US.

Had a laugh with a friend recently over how he bought a two-tone explorer from an AD in 2022, wore it for 6 months everyday and then sold it at a profit. In a lot of ways, the market peak was better for those looking to establish purchase history as they could buy literally any model and sell it at a profit.

Hopefully things get better from here but I don't think the market is much better off than where it's been on average in the last year for the SS sports models (black Sub aside).

[majidessa]

There is also the fact that Rolex produces around 1.2 million watches a year which is quite alot for a luxury brand, production has increased by 25% prior to covid.

In addition flippers have become almost extinct with the market softening, and hot pieces are now offered to vip clients with strong profile and purchase history.

What needs to be seen what marketing strategy Rolex will apply as either wait lists will mostly disappear and AD cases will be filled again with most models or Rolex might try to come with something new to reignite hype, the next 12 months will be crucial.

There is also the fact that with market softening Rolex CPO will disappear soon

[Mate1974]

The update highlights a significant correction in the Rolex pre-owned market, showing a decline of up to 40% in the Bloomberg Rolex Market Index since its March 2022 peak. The increased inventory, especially on platforms like Chrono24, where the number of new in-box Rolexes has doubled, reflects slower sales and decreased demand. Contributing factors such as a sluggish economy, rising interest rates, and reduced consumer spending have created a more buyer-friendly environment, where some models are now selling below retail price.

[INC]

"The HYPE is gone, the song is over
Thought I'd something more to say"

[cdmorenot]

Dang! Now I'm going to have to hold on to all these "investment" watches I purchased not long ago. Wife is going to be pissed off. Can't lock in the losses.

[Calatrava r]

I am not seeing much change at the ADs I know. Still nothing for sale with every watch coming in pre-sold. With the used market softening to where a newish complete watch can be bought at list or just even below, that is the way to go to avoid the wait and uncertainty at ADs.

[Sublovin]

As we knew it would! The bubble is deflating and the IG crowd and speculators can move on to something else.
My favorite AD is now jam packed with “exhibition” pieces with more to come behind those. Great for us true fans of the brand and of watches. Bad news for the hype sheep

[Kevin of Larchmont]

Originally Posted by majidessa

There is also the fact that with market softening Rolex CPO will disappear soon

Facts can be proven. Go for it.

[jacowestt]

Thanks for the update! It’s interesting to see the significant decline in pre-owned Rolex prices, especially with the WatchCharts index down 31% and the Bloomberg index dropping 40%. The increase in inventory on Chrono24 suggests that many collectors are feeling the pressure from lower demand.

The current economic factors like rising interest rates and subdued consumer spending certainly play a role. It’s a buyer-friendly climate, which could be a great opportunity for those looking to add to their collections or snag a model below retail. It’ll be intriguing to see how the market evolves in the coming months!

[inadeje]

What’s that saying again? “All bad things must come to an end”?

Can someone tell the grey dealers to also hammer down the 5980 rose?