I have a friend who is a serious watch collector – over 40 Swiss hand wound aka manual movement watches, some are 200k minute repeaters, special edition. His collection contained many high end watchmakers including Audemars Piguet, Patek Philippe, IWC, Breguet, Vacheron Constantin, Rolex, Girard Perregaux, Ulysse Nardin, A. Lange & Sohne
Here’s what I learned while watch shopping under his tutelage:
1. Don’t spends thousands of dollars on a brand name watch if it has an automatic movement – you’re basically buying a piece of mass produced jewelry with a cheap $2 crystal from china or asia – this watch was not made by a highly skilled watchmaker- think Tag, most Breitlings. Many of the “luxury” watches that have crystals are not cheap – you can find a manual movement watch with much better craftsmanship, value, reputation.
2. Rolex price protects, which means authorized dealers cannot discount on their own. However, Rolex is often considered money in the bank. The watch prices go up year to year so many people find their watches hold their values for resale. Not true of all, but certain ones are made more limitedly – like an all gold band. Rolexes are mass produced watches, not hand made, and except for some finishes, not made in limited quantity.
3. Most watches if you find the right authorized dealer- IWC, Girard, Panerai, Jaeger – you can buy between a 25%-40% discount, if you become a serious watch collector, you might be able to get an even larger discount (meaning you buy a lot of watches). You’ll have to shop around.
4. Watches with complex movements like minute repeaters or special edition watches in particular hold their value the best- they are hand made. They are like fine art- people collect them and you can often sell them with little depreciation. In some cases, expensive limited edition watches where say less than 100 or 200 are made actually appreciate.
5. Steer away from the “jewelers” or other brands that don’t only make watches but rather also make “fashion” watches versus the ones who specialize in high end watch making. Ex: Harry Winston or Montblanc. Fine watch collectors don’t view those watches as “premium” because they are not specialized watchmakers.
6. You’re not likely to get a great deal from a chain like Tourneau – try the non chain watch shops & jewelers
7. Know what is standard vs jewelry shop aftermarket ads to the watch – Ex: diamonds added to the dial. Aftermarket bezels, etc. Perhaps you like it, but realize serious watchmakers buy watches often with the original design by the watchmaker- they feel that the aftermarket adds is bastardizing the watch so it can hurt in resale
