It’s not a false alarm anymore, but rather an unpleasant sight around the globe where the retail counters for one of the most prestigious luxury watch brands sit empty. Where are the Rolex watches gone? Even though we already know that it’s a weird world we live in, the world of luxury watches is getting surreal. All you can see are long Rolex waitlists, empty display areas, exploding prices, and record-breaking auctions.
But why is this happening? The roots go back to the supply, demand, want, and need cycle. But there’s more to the story, we believe. Some collectors even call it the ‘perfect storm’ of various co-related factors that is literally driving the watch world crazy!
Before we jump into the story’s core, a little lingering around the topic is necessary.
What is the Rolex Scarcity?
No matter how tricky it sounds, this is happening for real. But whether it is natural or artificial is still a debate. For in the world of horology, Rolex sits comfortably as the Crown-wearing brand that constantly raises the bar for the other brands to surpass. For instance, the iconic Submariner or the Rolex Daytona remains in high demand throughout the year. People say that the demand has only increased.
But if you visit a retail shop to get hold of one, it’s almost impossible to get it. The reason is the shortage. Few of the most desirable Rolex models are no longer available on the shelves.
When did the Rolex shortage begin?
While there is no official start to this scarcity, experts, buyers, and collectors believe that it is since Rolex’s early origin to Baselworld 2016 and also after the release of the Daytona Ref. 116500LN. The Reference quickly garnered a lot of attention and praise amongst the watch enthusiasts. The particular model with a ceramic bezel, a white/ black dial, and the brand’s signature Oystersteel bracelet and case soon became a must-have Rolex watch.
The curiosity for this particular variant went up so high that collectors couldn’t manage to score one from the nearest dealer or store and stood in a long queue. Naturally, this raised the hype and demand for this watch.
What started with the Daytona Ref. 116500LN eventually spread to the other popular variants like the Explorer, Submariner, GMT-Master II, Sea-Dweller, and others. Whether it was the innate desire to buy one, the social media hype or the fear of missing out on the trending Rolex, more and more people found themselves getting part of a long waiting list. The problem was that the production count remained the same or less.
What factors are causing the Rolex Shortage?
Now, this is where things get a little complicated. To be honest, Rolex did experience a disturbance in their supply chain during the pandemic for obvious reasons. Their factory was closed down for months. However, some reports say that the scarcity scene was already underway before the lockdown began. So, after conducting research, we have compiled a few factors that could have possibly led to this scenario.
Also Read: A Comprehensive Guide To ‘Rolex Finance’
5 Most Popular Reasons For The Rolex Shortage Are:
There can be two narrations to this story. One where the production count of the Rolex watches is genuinely low without the involvement of any conspiracy. Next is where Rolex has created an illusion of scarcity to generate an unexplainable hype around the popular models. As we know, the fear of losing out on something important makes people gravitate towards it more. Rolex has somehow tapped into this idea to retain the popularity of some of its most desirable watches.
This boosts the sales and keeps the model in demand always! The brand manufactures fewer of the most desirable variants to maintain the shortage in the market.
As said above, it can be a smart response to a natural phenomenon. Some Rolex dealers claim that the brand is sending the same count of Rolex watches every year. However, it is the demand that has increased over the past few years. In that case, it is natural for the Rolex watches to sell out faster than before, creating a shortage in the market. However, the brand manufactures some of its most desirable models at the same or lower rate, but not more, necessary to meet the demand.
Who doesn’t want to get a Submariner or a Daytona these days? Also, the rising prices of the Rolex models have made Rolex a popular investment option. People are getting crazy about purchasing a Sub, Daytona, Explorer, or GMT-Master II model. The watches will fetch a lucrative value when you sell Rolex watches to reputed watch buyers in London.
Also, if you think of it, people love Rolex, don’t they? Rolex qualifies to celebrate any occasion or achievement. The watches are an epitome of prestige, power, and luxury, all the qualities which you want to flaunt.
Fans value Rolex timepieces because of their exceptional craftsmanship, design, and quality. Each watch piece is handmade and goes through several tests before leaving the manufacturing unit to attest to premium quality and robustness. Creating each watch involves a lot of time and effort, and Rolex is a brand that will never compromise on the quality standard. As a result of this strict adherence to the rule, Rolex produces only a limited quantity of pieces of the most popular models like the Submariner or the GMT-Master II to maintain elegance.
Market value refers to a particular product’s value in the investment community. The market value of Rolex watches has skyrocketed in the past couple of years due to various reasons like scarce availability, etc. This phenomenon leads to an increase in the value of Rolex watches in the secondary market.
As buyers cannot grab a popular Rolex variant from the retail, they quickly turn to the secondary market to buy one. The most sought-after status of the Rolex watches makes it even more difficult for the buyers and collectors to find one.
Can you still buy Rolex?
After this entire riot, buying a Rolex or Rolex investment might seem like a far-stretched dream. But if you carefully look around, Rolex watches are ‘everywhere’. Well, of course, there’s a catch. If you manage to get over the mentality of buying an all-new Rolex at an inflammatory price, you can opt for the pre-owned Rolex models.
Buying pre-owned Rolex models is the trend of the season. You can go to a reliable and reputed pre-owned Rolex watch dealer and simply pick the Rolex model of your choice. For instance, at The Luxury Hut, you can explore a vast selection of vintage, rare, and recent Rolex models in various case, bezel, dial, and bracelet options that is most certain to meet your taste. You can even find hundreds of the same reference numbers!
Some of the most popular Rolex models you can shop from The Luxury Hut are:
- President Day-Date
- Cosmograph Daytona
- GMT-Master II Pepsi
- Submariner HULK
- Oyster Perpetual
- Datejust II
The professionals have over 40 years of combined experience in the field and are among the most trustworthy Rolex watch sellers in London. The specialists attest to the authenticity of Rolex watches and assure that each timepiece is in its best condition to ensure 100% customer satisfaction.
You can buy the pre-owned Rolex watches from their official website. Alternatively, call them on 0207 242 9160 or book an appointment at their Hatton Garden Office to visit in person. Not to worry, as the pre-owned Rolex watches come with The Luxury Hut’s Certificate of Authenticity and 12 months Comprehensive Guarantee for added security.
Will the Rolex Shortage Reverse?
As long as the demand and popularity for certain Rolex models remain high, the shortage is most likely to remain the same. Moreover, Rolex shows no sign or intention to increase the production rate. They also do not update the authorised dealers on which watch they will send at any given point in time.
Meanwhile, the buyers go the extra mile to buy the less popular Rolex models just to be in the good books of the authorised dealers. Considering all the given scenarios, it seems that the leading watch brand is playing the cards just right by limiting the production and keeping a minimal point of contact.
However, nothing absolutely can deny that Rolex watches are indeed the best! Also, you can always buy a pre-owned Rolex watch from The Luxury Hut. The officials are running an Exclusive Sale on luxury watches, including popular Rolex timepieces, at up to 40% off!! Go and check it out!
Also Read: Top 7 Rolex Investments For 2022