The second-hand watch market is currently experiencing significant growth, with Millennial and Gen Z consumers driving this trend. According to a study by consulting firm Deloitte, this market is projected to reach a value of CHF35 billion (€36 billion) by 2030. Currently valued at around CHF20 billion, the second-hand watch market has the potential to surpass the market for new watches by more than half in the next decade.
One of the main reasons for the growing popularity of used watches is the lower prices they offer compared to new ones. Additionally, consumers are increasingly seeking discontinued models, which they can often find in the second-hand market. Furthermore, the longer wait times for new models from sought-after brands like Rolex and Patek Philippe are prompting consumers to consider older models. What was once a market mainly associated with collectors and auction houses now appeals to a new generation of consumers, as online platforms selling certified pre-owned watches thrive.
Among Millennials, 48% of watch enthusiasts stated that they were likely to purchase a pre-owned watch in the next twelve months. This percentage drops to 37% among Gen Z consumers and 12% among Baby Boomers. The Deloitte study surveyed 5,579 people in Switzerland and the top 10 countries for Swiss watch exports, providing insights into global consumer trends.
Ben Clymer, the founder of the Hodinkee website, observed that these new consumers have different preferences compared to traditional watch buyers. They are generally younger, frequently engage in buying and selling watches, and have a particular interest in pre-owned timepieces. Moreover, they are seeking assets that can either retain or appreciate in value.
Luxury watch manufacturers are also embracing this growth trend. In fact, 70% of watch industry executives interviewed for the Deloitte study mentioned that second-hand watches have a positive impact on their brands’ reputation. In light of this, some watch brands are forming partnerships with established websites that sell certified pre-owned models, while others are launching their own e-commerce channels to tap into this market.
In 2018, the luxury group Richemont, which owns renowned brands such as Cartier, Piaget, IWC, and Jaeger-LeCoultre, entered the second-hand market by acquiring the British website watchfinder.co.uk. This strategic move demonstrates the industry’s recognition of the potential within the pre-owned watch market.
Overall, it is clear that the second-hand watch market is poised for significant growth in the coming years. Fueled by the demand from younger consumers and the desire for unique and discontinued models, it presents a valuable opportunity for both consumers and luxury watch brands.
Useful links:
1. Deloitte Study on the Pre-owned Luxury Watch Market
2. Forbes Article on the Pre-owned Watch Market
