When you think about luxury and high-end watches, the first brand that springs to mind is undoubtedly Rolex.
Founded in 1905, to own a Rolex timepiece is as much about status as it is about finding and owning a reliable and high-quality watch – with both new and classic models considered high value, stable investments.
The very vision behind the Rolex brand has always been to design and manufacture watches which are both masculine and stylish, with the top collections and most iconic models directly relating to some of the most popular sports and activities among modern men. At the same time, Rolex has also expanded in its history to encompass more feminine styles and watches, making it a brand that produces the finest timepieces for all buyers – those motivated by style and by investment potential.
With that said, what is it that holds the value of a Rolex in place, and how does a Rolex watch continue to hold and surpass its value on the second-hand market?
The prestige of owning a Rolex
We can’t escape the fact that owning an authentic Rolex watch is seen as a sign of prestige and high status – connecting owners to the celebrities and A-listers who consider themselves to be Rolex collectors. The direct link between Rolex and characters like James Bond harnesses its own portion of market demand, while the different collections associated with various activities and sports drives respect in the sporting world.
For example, the Rolex Submariner collection was designed and manufactured with diving in mind, waterproof to a depth of what was originally 100m and has now been extended to 300m with modern innovation and development.
The Rolex Daytona, meanwhile, boasts a built-in chronometer that can measure elapsed time and calculate the average speed of the wearer, making it the perfect timepiece for racing car drivers.
And for those more in touch with the world of fashion and style rather than sport and outdoor activity, models such as the Rolex Datejust and Oyster are designed to facilitate the highest levels of style prestige.
All of this adds up to make Rolex not only a brand built with timeless style in mind, but also with an eye to the active and adventurous buyer – with a model and collection for everyone. And it is this which renders Rolex such an in-demand and coveted brand.
Rolex watches as an investment
In order to understand how Rolex watches hold their value, you need to consider each timepiece in terms of its investment potential.
For one thing, Rolex works on the same model as many other luxury designer brands, ensuring that supply is always far lower than demand. The waitlists that most prospective buyers need to join mean that both box-fresh buyers are few and far between, with some of the rarest and most valuable models invariably going to the second-hand market as a result of the huge appreciation in value.
What this means is that even a Rolex which has been owned for a number of years will likely garner a huge profit for the seller if and when they bring it to the second-hand market, as a result of the stark increase in the value of Rolex timepieces which has been seen across virtually of the collections.
There are a number of other contributing factors which help to stabilise and increase the value of Rolex watches on the market, besides the limited supply and air of exclusivity. These include the immense popularity of Rolex watches among collectors and A-listers (with a high celebrity following always causing a spike in market demand), the high-quality craftsmanship, and the innovative designs which Rolex release in each collection.
How to buy a Rolex
If this article and the information in it have made you think about buying a Rolex for yourself, then we have good and bad news. Firstly, those waitlists mean that buying a brand new Rolex is near impossible, with the immense competition meaning that generally, only VIP buyers get a look in. However, if you find a reputable reseller that offers valuations and authentication services as well as luxury goods, then you can be confident in anything purchased via them.