Rolex watches were originally something that the typical working person could afford by working hard, and many people considered them as the entrance point to mechanical watches because of their exceptional performance and practicality.
A very popular sport series Rolex watch can now cost hundreds of thousands of dollars or more, and it is no longer considered an entry-level model.
Rolex watch prices have been steadily climbing for a long time. We will discuss the pricing patterns we have noticed and their future trajectory.
The actual price of Submariner Date has doubled in 10 years
The escalating cost of Rolex watches has irritated many watch collectors, but when did it all start?
During the mid-2000s, many parallel imported Submariner Date’s price topped 500,000 yen; many may have faded recollections of this, but are unable to change it.
However, the current model now costs more over a million yen. There aren’t many goods in our everyday lives that can have their prices double in 10 years, thus it’s worth looking at Rolex’s price growth.
The discrepancy between the actual product and feelings of using it
Submariner Date was updated in 2010, and their grades were distinguished from other regular watches by essential features such as Cerachrom bezel, Glidelock Clasp, and so on, progressing towards a product with more gratifying features.
Changing the components that need to be changed while leaving the ones that don’t need to change alone. Rolex’s old methods allow their new creations to bloom with remarkable appeal. However, because of its almost identical design, many owners believe the watch is still the same as the original. However, when the quality of the current model is considered, and the price difference over time is compared, many people will view the price increases to be unjustified.
The price of the new model is largely affected by the overall market price
There is one very fascinating thing here: if the price of the new model is raised, the older versions will follow, as would the antique watches.
Antique models, which are already rare on the market, have repeatedly achieved record high prices and have been extremely popular at international auctions, which is strongly tied to the total price increase.
The military Submariner has sold for 40 million yen, while the Oyster 6263 has sold for more than 100 million yen.
It provides watch fans a deep-rooted idea of Rolex’s growing price, in addition to a succession of astonishingly expensive auction sales.
It’s no surprise that long-term Rolex aficionados are hesitant to purchase a new model.
【2021】The market price trend of Submariner Date
The following is an example of a current pricing trend based on market price fluctuations recorded in the Rolex catalog in Japan. The emphasis here is on the Submariner Date, which has been popular for a long time.
Around 1995, 401,700 yen, era of 3% consumption tax
Around 1997, 451,500 yen, consumption tax rise to 5%
Around 2000, 462,000 yen
Around 2003, 512,400 yen
Around 2007, 588,000 yen
Around 2010, 735,000 yen, launching price for the new 116610LN
Around 2013, 787,500 yen
Around 2014, 810,000 yen, consumption tax rise to 8%
Around 2015, 874,800 yen
Around 2019, 898,700 yen, consumption tax rise to 10%
Around 2020, 943,800 yen
Around 2021, 1,816,000 yen
The pricing trend for the Submariner 126610LN in the Submariner Date after 2021 is as follows. The price given here is the product’s average price, including the box and guarantee card.
To begin, the market price in 2020 was 2,000,000 yen, then sank to 1,590,000 yen in February, then reversed back to 1,708,000 yen in May, then rose to 1,766,000 yen in August, and finally reached 1,816,000 yen in November.
The price of the 126610LV model fell in February 2021, but rose again in May. The November price of 2,310,000 yen is somewhat lower than the August price of 2,315,000 yen. Because it is a diving watch, there is usually a price increase in the summer. The 116610LN and 116610LV are both have continued to rise over the past five years since 2017, demonstrating their high popularity.
The price of Submariner Date in parallel import shop, on the other hand, has maintained a pretty consistent equilibrium between supply and demand, with variations of around 5-10% of the set price.
The Rolex Sport Series gained prominence in Japan in the late 1990s. Some even claim that about half of Rolex’s Sport Models are sold in Japan. Regardless of its repute, Japan is a large customer of Rolex watches.
In the autumn of 2016, Rolex began to run out of supply in general, with many parallel import retailers regularly lacking appropriate inventory, causing a price increase.
Looking just at the brand, Rolex is still ranked one in worldwide sales, thus it is difficult to conceive that manufacturing would be reduced. As a result, the scarcity should be caused by an increase in demand from other nations, resulting in a reduction in available commodities from parallel importers.
The truth is GMT Master was a great hit in Italy in the mid-2000s. Bulk purchasing by Chinese visitors is not limited to other nations, and there are several reasons for this. In parallel import outlets, the current standard price is 1,080,000 yen, which is 123.46% of the set price.
As for the pricing of the black Submariner Date as a new product, it is still moving in a different direction than the set price, but this is nothing new. Although this may be considered an exception, it can be attributable to greater demand from other nations.
This position should stay stable as long as there are no major changes on the world stage. We can only hope that Rolex watches do not become untouchable to watch collectors.
Overall Rolex’s price drop
Even if the prices of some Rolex models have fallen, they are still generally up.
In the last 4 to 5 years, the majority of Rolex models’ prices have risen dramatically. The key factor contributing to this long-term price increase is a growth in demand, which has been unusual in previous years.
Despite this, certain models have seen price drops since July of 2021. Price drops after the launching of a new model are uncommon, thus it might be a retracement of a five-year price increase.
Initially, the price rise was assumed to be just temporary. However, the truth is that the prices of all models continue to rise. As a result, the price decrease is viewed as a reaction to the long-term price increase.
The future price of Rolex
Though it is uncertain how the Rolex price will perform in the future, many experts believe it will “continue to rise” and “will not fall.”
The currency rate is the most important element determining the movement of the domestic market. Because Rolex is a worldwide brand, the recent devaluation of the Japanese yen is said to be tied to the rise in local costs.
Furthermore, the major reason for the current price increase is the Covid-19 epidemic. The trading volume of Rolex decreases when commerce between nations decreases, but demand remains constant, leading the market price to rise.
Even while the outlook for the foreign exchange market and Covid-19 remains unknown, most experts believe that the supply shortfall will persist and market prices would climb.
If you want to get rid of your unwanted products, it is best to sell them when the prices of most models on the market have risen.