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1 Synthèse du marché

1.1 Scope of the study

The luxury watch industry is a category that includes high-end manufacture watches, the production of which requires precise watchmaking work on the mechanical movements, but also on the development and finishing of the watch cases, as well as on elements such as dials or even hands.

The market, traditionally dominated by large, long-established companies, was flooded by new competitors in the 1990s and more recently. In a first phase, large fashion brands, as well as small artisanal players, have tried to secure a place in the market. In the second phase, the development of connected watches has changed the balance in the luxury watch market: Apple, for example, has managed to sell more Apple Watches in 2019 than all Swiss watch brands combined.

The leading luxury watch brands that are best known in Germany are Rolex, Cartier, Patek, Omega, AP and Longines. All of these brands were able to increase their sales in 2021.

The market for used luxury watches has slumped in recent months as many buyers have reduced their spending due to the COVID-19 pandemic and demand for expensive luxury watches has fallen. Prices for pre-owned watches have fallen, especially for brands such as Rolex and Patek Philippe. However, some experts predict that the market will pick up again as the economy recovers from Covid-19 and Ukraine crisis and the demand for luxury watches increases again. Some investors are using luxury watches as an alternative asset class, as they can offer good appreciation potential. Against the backdrop of the Watch and Wonder Fair, some manufacturers are expected to launch new models that could boost demand[Manager Magazin].

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The market for luxury watches | Germany

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