Are you a budding watch enthusiast and are shifting your interest towards higher-end luxury watches? If you are wondering what makes Patek Philippe watches so expensive then this article is for you. Here, I will share why Patek Philippe watches are so expensive in the highly competitive luxury watch market. I have to lot to share, so without any delay, let’s get straight to it.
Quick Navigation
- Quick Takeaway
- Quick History Of Patek Philippe
- What Makes Patek Philippe Watches So Expensive?
- Does Patek Philippe Hold Value?
- Are Patek Philippe Watches Worth The Money? Are They A Good Investment
- Final Verdict
- FAQs
Quick Takeaway
There are many factors responsible for Patek Philippe watches being so expensive. Some of the major factors are brand value, material used in manufacturing, scarce supply, craftsmanship, limited editions, exclusivity, popularity, and resale value.
Quick History Of Patek Philippe
Patek Philippe is one the most prestigious Swiss watch brands in the world with a rich and decorated history. It is one of the most luxurious and oldest watch brands in the world. Patek Philippe was established back in 1839 in Geneva by Antoni Patek and Jean Adrien Philippe.
They created the first Swiss wristwatch in the year 1868. In 1901, Patek Philippe became a joint stock company. Albert Einstein ordered a gold pocket watch from Patek Philippe in 1915, it was the same year he completed his theory of relativity. Since 1932, Patek Philippe has been owned by the Stern family and has many achievements under their name.
What Makes Patek Philippe Watches So Expensive?
Since Patek Philippe watches are so costly even the cheapest Patek watches are considered luxury. We’ll discuss all these factors that add to the value of these watches.
Brand Value
This is one of the major non-physical factors that influence the value of luxury watches. Being part of the holy trinity in the world of luxury watches, Patek Philipe holds prestige that remains unparalleled by many other luxury watch brands. Due to many reasons including exclusivity, Patek Philippe is regarded as the ultimate symbol of status and wealth.
Materials Used In Manufacturing
Patek Philippe uses only the finest materials in their watches and timepieces. They are known to use the best quality materials they can source for the components of their watch. Expensive and rare gemstones, precious metals, and premium leather are often used in their watches. All their watches are made using the best quality materials.
Scarce Supply
Patek Philippe makes only about 60,000 watches a year. As compared to how many watches Rolex makes a year, this is a very small number. The demand for Patek watches is the highest in the luxury watch market and since the supply is very low, the prices of these watches are always soaring. This is a major reason why Patek watches are so expensive.
Craftsmanship
Patek Philippe has been known for creating watches featuring exquisite complications, exceptional craftsmanship, and grandeur designs. These watches are made by expert craftsmen, with extreme attention to detail at every step of their manufacturing. Very high standards that are maintained during their manufacturing make them flawless timepieces.
Limited Editions
Patek Philippe is known to produce a limited number of watches each year. Even among them, some limited edition watches having unique designs or complications may be produced only once in limited numbers. It makes them extremely rare and an instant hit among watch collectors, effectively increasing their prices. It is one of the reasons why Patek Philippe watches are so special.
Exclusivity
Even if you are lucky enough to be able to afford a Patek Philippe, you still wouldn’t be able to just buy it. Since Patek Philippe watches are produced in such limited numbers, their demand is always multiple times more than their supply.
In short, even if you have the money to purchase a Patek watch, you will have to wait until a watch is available. The waiting list can be anywhere from 3 years to 10 years. Due to these huge waiting lists, Patek Philippe watches become exclusive and fetch higher prices in secondary watch markets.
Popularity
Many Patek watch models such as the Nautilus and Aquanaut are really popular among watch enthusiasts. This popularity can also start trends among watch enthusiasts which can increase their demand making them more expensive.
Value In the Pre-owned Luxury Watch Market
Since it is a long and hefty process to get your hands on a Patek Philippe watch in retail, there is a secondary market as well. You can find brand new pre-owned Patek Philippe watches selling for a huge premium at pre-owned luxury watch markets. This is majorly due to the long waiting periods at authorized retailers. So if anyone does not want to wait for their Patek, they better be ready to pay the premium price for their watch in the secondary watch market.
This sums up all the major factors that make the Patek Philippe watches so expensive. It is a combination of all of these factors which ultimately drives the prices of these watches to the sky.
Does Patek Philippe Hold Value?
Most luxury watches tend to lose most of their value, but Patek Philipe is an exception. It is one of the few luxury watch brands which hold their value. Most Patek watches tend to hold their value and over time some of their watches can even appreciate their value. This is again due to factors like exclusivity, popularity, limited supply, and more.
Are Patek Philippe Watches Worth The Money? Are They A Good Investment
This should not be treated as investment advice but to be blunt, Yes. Patek watches are worth every penny if you want a luxury watch that can justify its price. Patek Philippe has proven that their watches are more than just luxury items; they can also be a great investment. Most of their watches are almost certain to appreciate over time. So, if you do have the budget and want the best in the market, then Patek watches are worth every penny.
However, you should never buy any luxury watch as an investment. Until and unless you have enough experience in the luxury watch market.
Final Verdict
So, there are many factors that I have mentioned above, which make Patek Philippe watches so special and expensive. Patek Philippe watches are most likely to hold their value, and over time most of their watches can turn out to be great investments.
FAQs
Is Patek More Expensive Than Rolex?
Patek Philippe watches are generally priced higher than Rolex watches.
Why Is It So Hard To Buy A Patek?
Patek Philippe watches are made in limited number each year. Their high demand and very low supply makes them hard to acquire.
How Long Can Patek Watches Last?
If they are properly taken care of, they can easily last several generations.
