The second-hand watch market continued to decline in price in 2024, consolidating a long-standing decline. Watch prices recorded a 5,7% annual decline in 2024, a less pronounced decline than the -10,6% decline in 2023, but still symptomatic of a difficult period for the entire sector. This information comes from the report 'Swiss Watches: Secondary prices continue to decline' published by Morgan Stanley in collaboration with WatchCharts last Tuesday.
The phenomenon was industry-wide, with 28 of the 35 Swiss brands monitored reporting price reductions. The brands most affected were those with average selling prices above $10.000 (around €9.500), which rely on sports models, although, in general, all brands with prices above $3.000 also performed poorly. The dominant brands in the pre-owned market – such as Rolex, Patek Philippe and Audemars Piguet – saw their market share decline by 2%, due to lower demand for high-end models and growing interest in other brands. Specifically, Rolex recorded a 5% decrease, Patek Philippe 5,7% and Audemars Piguet 7,3%.
The report notes that Rolex prices have fallen to their lowest level in four years, down 3% from January 2021, while Patek Philippe and Audemars Piguet, while maintaining a superior reputation (up 22% and 28% respectively from four years ago), are at their lowest levels in three and a half years.
Looking at the fourth quarter of 2024, secondary market prices recorded an additional 1,5% decrease compared to the previous quarter, confirming the negative trend. The most penalized brands were Rolex (-1,7%), Audemars Piguet (-1,6%) and Patek Philippe (-0,6%), with high-end sports models being hit the hardest. Brands with average prices below $1.000 fared better.
In the luxury group segment, Richemont suffered the biggest contraction, with brands such as Vacheron Constantin, Jaeger-LeCoultre, A. Lange & Söhne and Piaget down more than 2%. However, Cartier, despite a disappointing quarter, stood out as the group's best performer among models above $3.000, with an 18% increase in pre-owned sales compared to the previous year.
For 2025, Morgan Stanley’s report predicts that prices for second-hand timepieces will continue to decline, with the gap between retail and secondary prices widening. One possible strategy to counter this phenomenon is the expansion of CPO programs, already successfully adopted by Rolex and under development by other brands such as Audemars Piguet and Vacheron Constantin.
