Which Watch Brands Hold Value Best?

The phone rang, cutting through the morning silence. A familiar voice, exuding wealth and experience, asked a question that often haunts collectors and first-time buyers alike: "Which watch brands hold their value best?"
He wasn't just asking for investment advice; this was the core of a dilemma that many face when they step into the world of horology. Buying a luxury watch is often more than a simple purchase—it's a statement, a piece of history, and sometimes, an investment. But which brands stand the test of time, not just in craftsmanship, but in value?

The Best Kept Secrets of Luxury Watch Retention

The short answer: Rolex, Patek Philippe, and Audemars Piguet. But to say that's all would be doing the story a disservice. Let me take you back to when I sold my first luxury watch—yes, it was a Rolex, but the emotions surrounding the sale told me more about the brand than I had ever expected.

The buyer—let's call him John—wasn't just purchasing a timepiece; he was investing in a status symbol, one that would never lose its luster. I watched as he handled the piece, the way his eyes lit up when he recognized the fine details. It was then that I realized that certain brands, particularly Rolex, evoke emotions that make them more than just material objects—they become part of your identity.

But it wasn’t always this way. I’d held off buying a luxury watch for years, thinking they were overpriced and overhyped. But when I saw how certain brands not only held their value but increased in worth over time, I knew I had to dive deeper.

The Numbers Don’t Lie

Why Rolex? Rolex is, without a doubt, the king when it comes to watches that retain and even appreciate in value. The brand's rigorous quality control, timeless designs, and carefully managed supply make its watches incredibly desirable in the secondary market. A study by Bob’s Watches shows that Rolex prices have increased steadily over the last decade, with some models appreciating over 100% in value.

Take, for example, the Rolex Submariner. It originally retailed for around $8,550, and yet today, it often fetches prices upward of $12,000 depending on the condition and rarity. This brings us to a critical point: scarcity. Rolex is known for releasing limited quantities of its most sought-after models, driving up demand and ensuring that prices on the secondary market remain high.

Patek Philippe: The Connoisseur’s Choice Next on the list is Patek Philippe. While Rolex often gets the mainstream spotlight, Patek Philippe is beloved by collectors for its craftsmanship and exclusivity. Their motto, "You never actually own a Patek Philippe. You merely look after it for the next generation," says it all. This brand creates legacy pieces that are passed down through generations.

Their iconic Nautilus 5711 has seen extraordinary price increases. When the model was discontinued in 2021, prices skyrocketed from around $30,000 retail to nearly $200,000 in the gray market. These types of jumps are unheard of in other luxury goods, making Patek Philippe watches one of the best investments you can make.

Audemars Piguet: The Risk That Paid Off Finally, Audemars Piguet. The brand had a turbulent history before its Royal Oak line was released. In fact, at the time of its debut in 1972, many critics didn’t believe in its avant-garde design. But the Royal Oak was a bold risk that paid off. Today, the Royal Oak is one of the most sought-after luxury sports watches in the world. Recent sales data show an average annual appreciation of about 5-10%, depending on the model and condition.

Why Do These Brands Hold Value?

It’s not just about supply and demand, although that’s a major factor. These three brands have cultivated an aura of prestige, scarcity, and exclusivity that transcends the typical luxury good. When you purchase a Rolex, Patek Philippe, or Audemars Piguet, you're not just buying a watch—you're buying a piece of history, a work of art, and, crucially, a future asset.

The materials used, the meticulous handcrafting process, and the innovative complications in the mechanisms all contribute to the intrinsic value of these watches. The care that goes into creating each timepiece ensures that their quality lasts for decades, if not centuries, making them ideal candidates for long-term value retention.

The Rising Stars: Brands to Watch

But what about the up-and-coming brands? If you’re looking for value retention but want to explore outside the big three, there are several others worth considering:

• Omega: Often considered the ‘budget’ alternative to Rolex, Omega watches have also shown remarkable price resilience, particularly with models like the Speedmaster and Seamaster.
• Tudor: Rolex’s sister brand, Tudor, is gaining popularity due to its more accessible price point and increasing quality. Some models, like the Black Bay, are beginning to fetch higher prices in the second-hand market.
• Richard Mille: Known for their ultra-modern, avant-garde designs, Richard Mille watches often retail for six figures, but their exclusivity and celebrity endorsements make them highly sought after.

Case Studies: The Unexpected Winners

Let’s rewind a little to one of the most surprising trends in recent years. Vacheron Constantin and Jaeger-LeCoultre—two brands that had been relatively undervalued in the market—have suddenly begun to see a surge in demand. This isn’t purely a coincidence; collectors have started to recognize that their value lies in their intricate complications and heritage.

For example, the Vacheron Constantin Overseas has gained a 15-20% value increase over the last five years, even though it was previously overshadowed by the likes of Patek Philippe. This surge was unexpected, even for seasoned watch traders.

What’s Next?

So, what does the future hold for luxury watches? If you're looking for pure investment potential, it's hard to beat Rolex, Patek Philippe, and Audemars Piguet. But other brands are rising in prominence, offering unique opportunities for savvy buyers.

The next time you’re considering which watch to buy, remember: it’s not just about the price tag. The value comes from the history, the craftsmanship, and, most importantly, the legacy that these timepieces carry with them.

But keep your eyes on the smaller players, too. As with any investment, sometimes the most unexpected brands are the ones that give you the biggest return.