The increase in the value of new models is mainly due to three phenomena: First, when buying a Rolex sports watch in steel – unlike models from most other brands – you get tiny or no discount. Secondly, Rolex has regularly increased its prices. However, this has not happened a few years in between, and thirdly, almost all Rolex sports models are classics, some of which have only been slightly modified in appearance for over 60 years.
If you buy a new watch, it will increase in value over the years with the price increases. The selling price of the Steel Submariner Date in 2017 was 3.6 times higher than in 1994. That means an average annual increase in value of eleven percent.
This is a good value compared to the minimum interest rates currently available on fixed-term deposits. And unlike gold and stocks, the Rolex price only knows one direction: up. However, you can even wear the watch if you handle it with care and still achieve an increase in value – even if signs of wear and tear lead to a discount when it is sold.
So, if you buy a Rolex from a concessionaire at the regular price, wear it for ten years and then sell it again without providing any service, you will achieve around five percent growth per year and have some of your money. So, it has increased in value by 250 percent. A similar performance can be forecast for the next ten years.
In the extreme case of the Daytona in steel, it can even be worth paying the high premium that is due if you want the watch right away. Because it is not expected that the delivery situation will relax, the tip will remain similarly high. If Rolex continues to raise the selling price, a higher selling price and thus an increase in value can also be achieved here.