With luxury watches in particular, trends can change overtime and we can often find it unpleasant to follow the trends taking place, especially with all the different styles that seem to exist within one brand. One trend that is picking up steam is gold Rolex watches of all types at the moment. Why? The prestige, the style and the relative availability of the gold Rolex creates a certain appeal to new buyers. Compared to other gaudy Rolex the gold watches are neither gaudy nor flashy, but for many are cumbersome, and many see gold Rolexs as a gem in today's unsteady economic landscape.There is more value beyond just style for a gold Rolex. Referencing the Bloomberg Subdial Watch Index who is tracking the luxury watch resale market, both the casual and avid watch collector can recognize the increasing demand for gold Rolex watches. The demand has become a more sustainable trend, with no sign of plateau in the future.
Why Gold Rolex Watches Are Becoming More Benchmarked for Value
As humans, we intuitively assign value on both a conscious and unconscious level for anything gold. If gold has weight, it has value. In today's financial landscape gold is not only a luxury expression but also a safe investment. Despite ample offerings of marketplace, investors are seeking tangible assets, and gold continues to be one of the most sought after wealth builders. The heritage of interest and demand with Rolex has been around for generations. Any gold Rolex watch you wear will appeal to a future investor and this is why vintage gold Rolexes are perceived as an ideal investment. A piece of jewelry, alongside any type of treasurable, high-end workmanship in the precious metal holds its value. As of late, gold wristwatches have gotten a surplus of attention. As the global price of gold has increased, so have the interest in gold watches. Luxury watch buyers are looking for more than simply an attractive piece of jewelry, they were creating a dependably special purchase, and Rolex offered both.
Scarcity Is Driving Value
The escalation of gold Rolex prices boils down to one thing: Scarcity. Rolex is known for their low production numbers, and restricting their distribution to only select authorized dealers, especially with their new launches that everyone wants. This adds to the seduction of collectability of these watches. Exclusivity sells, but it is also a bottleneck when it comes to the demand side of the supply-demand economics. So, a high percentage of buyers are jumping into pre-owned Rolexes. Gold models, vintage or not, are sought after the most. Many people wrote off these pieces as classics and perhaps, too gaudy. All of a sudden, these watches are getting a new existence. What is particularly interesting is that the demand spans all models. Everything from a late 80s yellow gold Day-Date to a mid-90s two-tone Datejust are all of a sudden being recognized and valued by a whole new wave of watch collectors and gold watch lovers.
Watches As Financial Assets
For many buyers, the days of thinking of watch purchases only as fashion or function, are disappearing quickly. More and more consumers are thinking of watches simply as investment assets, like pieces of art, classic automobiles or even an apartment building - and rightly so! Certain models, especially those from brands like Rolex made from precious metals, have shown predictable appreciation in value. Gold Rolex watches are one of the stronger areas in this realm. These watches not only have a high intrinsic value based on their materials, but they also benefit from Rolex’s price-inertia position for their decades of excellent branding. Add a little scarcity, an extreme level of craftsmanship, and a never-ending demand, and you have a recipe for investment success. In particular, models like the Datejust Ref. 16233 or the Day-Date Ref. 18038 were both relatively inexpensive watches in the secondary market not too long ago, and they are appreciating in price. We are now witnessing gold Submariners and other premium reference sales listed under $40,000 and higher, and it’s been common for these types of acquisitions to approach the $40,000 or more mark (depending on condition and provenance).
A Return to Nostalgic Luxury
An additional reason gold watches are on the rise has to do with cycles of fashion and design. Styles that were once considered incredibly over-the-top are back in the fold and look pretty attractive now after decades of typical timepiece design. Responses from wearers are a little mixed; bold Miami Vices and Daily Show outlandishly styled all-gold watches are viewed as more stylish than crazy. History always repeats itself and this is the case once again. Gold watches were extraordinarily popular in the late 1970s and early 1980s during times of high inflation and tighter conditions in banking.The reason these watches continue to be desirable is that they marry good old-fashioned watchmaking with the contemporary sophistication that is associated with vintage Rolexes representing some of the very best elements of watchmaking, particularly gold Rolexes.
The Rolex Effect
There is also the Rolex brand. Rolex as a manufacturer is a beacon of success, precision, and durability. When Rolex announces its new models, as it did with the recently launched Land-Dweller, people in the watch community erupt in excitement. Rolex has famously low production levels so those that want the new model will often turn to the resale market as an alternative. This has created a pool of collectors reconsidering vintage gold models. With modern Rolexes being hard to find or too expensive, many collectors have begun looking back at older and vintage watches, and their vintage counterparts finding vintage gold Rolex models are not only less expensive, but they are often rarer and no less collectable. Some have made the argument that older Rolex watches, particularly those that are gold cases and vintage dials are more colorful and have more personality, than their modern counterparts. Add that many vintage gold Rolexes are now appreciating in value, it is not surprising that the market is booming.
A Smart Way to Wear Your Wealth
At the end of the day, a gold Rolex is more than just a luxury item. It is a symbol of tradition, craftsmanship, and good taste. Now it’s also becoming a symbol of financial intelligence. With rampant inflation still looming large and markets still showing how unpredictable they can be, many people are looking for sources of wealth preservation. A vintage gold Rolex does both while still providing something you can put on, stare at, admire and enjoy every day. Wearable luxury that holds its value, born from a brand of uncontested prestige. For many buyers this strikes a happy balance between indulging in something beautiful but worthwhile in the long run.
Looking Forward
Although the luxury watch market continues to evolve, what is certain is gold Rolex models won't be just another trend that comes and goes. Instead, they're going to become an even more popular alternative investment in the marketplace. So whether you're a long-time collector, or someone just stepping into the market, now is probably the time to look at the pre-owned market for what you can find. What's certain is that the classic appeal of gold Rolex watches remains strong. So whether you are buying a gold Rolex for the look, legacy or investment value, now is a good time to jump in.