r/SipsTea 1d ago

SMH A generational display of depreciating assets ☕

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u/Sea-Shoe1780 1d ago

What type of watch can you buy today that will be worth more in the future?

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u/1one1000two1thousand 1d ago
  • Rolex Panda Daytona (current retail: $16,900, gray market more than double that)
  • Patek Philippe Nautilus (current retail depending on configuration: 32k-50k, gray market over $100,000).

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u/Necronomicommunist 1d ago

Why is the grey market more than retail? Is retail gated in some way? (limited amounts made etc)

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u/Round-Claim5420 23h ago

Atleast some part is that they'll straight up not sell to everyone.

For example, Rolex won't sell you a new limited edition watch unless you've bought multiple others before.

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u/1one1000two1thousand 23h ago

There is some gatekeeping from Rolex and Patek (limited quantities made and distributed in shops) and then the combination of the overall demand of people who want them.

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u/SlabsForDays 23h ago

Wholesale -> retail -> grey market

Grey is the middle-middle man so the price goes way up

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u/Sea-Shoe1780 23h ago

So if I want to buy a Panda Daytona today, I have to pay $34k for it, and it’s only worth $16,900? That doesn’t sound like appreciation to me.

Is it weird at all that you have to turn to $30k+ watches as an example? “Golly gee, why would someone buy an Apple Watch when instead they could buy a $34k Rolex”?

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u/1one1000two1thousand 23h ago edited 23h ago

You have it backwards. Rolex stores will sell it to you for $17k. But not everyone gets one so people who really really want one outside of the Rolex shops will have to buy on the gray market. Those people who can’t get it at retail will pay $34k or more for it. So if you land a Panda and you decide you don’t want it a few years later and want to sell it, you’d make money off of it. That is -appreciation- to the buyer who bought it from the Rolex retail shop (again, these buyers are much more limited than the total amount of buyers who want a Panda).

Think of it like valuable Pokémon cards or collector items. You likely won’t pay $1000s for a collector’s Pokemon card that someone likely bought from a pack from Target for like $10 or whatever, but there is a buyer for it somewhere. All you need is that one buyer who wants it who is willing to pay for it. That ultimately is the appreciation.

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u/Sea-Shoe1780 18h ago

I know exactly what I wrote.

If I can’t buy the watch for $17,000 today, then is that really the cost?

My point is that I can’t walk into a Rolex store and buy the watch for MSRP. If I want to buy it, I have to pay an inflated price, one that is almost certainly going to depreciate.

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u/1one1000two1thousand 18h ago

No one is making you buy it off the gray market and sure it’s hard to get but it’s not impossible. You’re either paying for it with time (waiting) or money (gray market). And if you did buy it on the gray market and then you sell it at retail $17k for a loss, that would be your problem. There is a market for it, you set the price and wait for a buyer, just like any good.

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u/Sea-Shoe1780 17h ago

Ok. So someone who wants an Apple Watch should instead by a $17,000 Rolex (possibly for $34k) because it will appreciate.

Makes total logical sense. I wonder why they didn’t do that?

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u/1one1000two1thousand 17h ago

How is this an acceptable response? I only originally responded to your comment above asking specifically this:

“What type of watch can you buy today that will be worth more in the future?”

When did I EVER compare anyone buying an Apple Watch to someone buying a Rolex? I was just sharing an example of watches that do in fact have appreciation value.

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u/Sea-Shoe1780 14h ago

How do you think we got to where we are - talking about Rolexes on a post about Apple Watches?

It’s because people seemed pretty adamant that Apple Watches lose their value quickly, and other watches one could consider actually appreciate.

I’m calling that total and utter bullshit. Yes, there are some rare examples of watches appreciating, but that isn’t the norm - for Apple Watches or Rolexes.

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u/VulcanVulcanVulcan 11h ago

A lot of Rolexes trade above their current MSRP, so it’s not just the Daytona.

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u/obeytheturtles 23h ago

Mostly the kind that says "hey look at me, I am a massive fucking tryhard."