Why You Need to Invest in a Rolex in 2022 - Case Study

Why You Need to Invest in a Rolex in 2022 - Case Study

Rolex watches increase in price over time as the demand and supply gap widens. This makes them an asset whose value appreciates over time.

Rolex increased the prices of their watches by over 4.2% at the start of 2022. This suggests a price hike is very likely in the future. If you would like to cash in on fancy timepieces, this article is for you.

This case study will tell you what makes Rolexes a good investment. We will take you through the watches that increased in price during 2022. Lastly, we will give you an insight into what the future of Rolex could look like.

 

Why are Rolex watches a good investment?

Over the last few years, Rolexes have become scarce. Their supply cannot match their drastically increasing demand. This allows resellers to cash in on the demand-supply gap by charging exorbitant profits.

At the start of 2022, Rolex hiked up the prices of its products. This can be observed in their e-commerce store.

 

Non-uniform increase in price

Rolex had a mean 3.4% increase in the prices of their watches on January 1, 2022.

The watches that are part of the “Classic Watches” collection had their prices increase marginally. But some other watches had a greater increase.

For instance, the Oyster Perpetual went from costing £4,470 at the end of 2021 to a whopping £4,660 by the start of 2022; this is an increase of 4.2%. But at the same time, the Submariner’s price hiked up to £6,780 in 2022, from £6,136 at the end of 2021. This is an increase of 10.5%.

 

Increased scarcity in the future

In the coming years, Rolex does not plan to increase its production capacity. This means that the supply shortage will keep growing, further inflating the price of the watches.

In an official statement, Rolex has told its fans that the short supply is not of their own making.

They state that the “… current production cannot meet the existing demand in an exhaustive way, at least not without reducing the quality of our watches – something we refuse to do.”

Rolex further maintains that “… this level of excellence requires time, and as we have always done, we will continue to take the necessary time to ensure that all our watches not only comply with our standards of excellence but also meet the expectations of our customers in terms of quality, reliability, and robustness. Rolex does not compromise on what it takes to produce exceptional watches.”

Over time, the presence of a brand becomes so monumental that fans are ready to pay whatever the brand asks for.

Rolex is not an exception to that. They can see that their customers want to get their hands on a Rolex no matter what. Thus, instead of engineering a scarcity of their watches, Rolex straight up increased their price.

 

What Rolex watches increased in value in 2022?

 

1. Rolex Daytona 18ct Yellow Gold Green Dial 116508 

 

 

MODEL

Daytona

REFERENCE NUMBER

116508

CASE MATERIAL

Yellow gold

DIAL

GREEN

PRICE 2018, AUGUST

£22,919

PRICE 2019, JULY

£32,693

PRICE 2020, AUGUST

£35,760

PRICE 2021, SEPTEMBER

£59,720

PRICE 2022, MARCH

£102,838

 

The Rolex Daytona 18k saw an increase in its price from £22,919 in 2018 to over £102,838 in 2022. This is a dramatic increase of about 348%.

That’s the equivalent of having your money more than tripled in less than 5 years. But Daytona’s price is skyrocketing for good reason.

Cosmograph Daytona's primary purpose is to be a tool for racing drivers. It has an officially certified tachymetric scale that can be used by professional racers to calculate the average speed of a lap.

This scale has been designed with optimal legibility. It makes the Daytona an ideal tool to measure velocities of over 400 units per hour, expressed in kilometers or miles.

 

2. Rolex GMT-Master II 18ct Everose Gold 126715CHNR

 

 

MODEL

GMT-Master II

REFERENCE NUMBER

126715CHNR

CASE MATERIAL

Rose gold

DIAL

Rose gold

PRICE 2018, AUGUST

£28,461

PRICE 2019, JULY

£28,000

PRICE 2020, AUGUST

£29,500

PRICE 2021, SEPTEMBER

£34,200

PRICE 2022, MARCH

£52,000

 

The price of the GMT Master went up by 82% over the last five years. It used to cost £28,461 in 2018. Although over the next year, it saw a decline in its price to £28,000, it experienced a consistent increase upwards after that, reaching a price tag of £52,000 by 2022.

This beautiful timepiece from Rolex is made out of Oystersteel and Everose gold. This makes it one of the most gorgeous and classy times pieces in the entire watchmaker industry.

 

3. Rolex Daytona Platinum Ice Blue Dial 116506

 

 

MODEL

Daytona

REFERENCE NUMBER

116506

CASE MATERIAL

Platinum

DIAL

Platinum

PRICE 2018, AUGUST

£45,200

PRICE 2019, JULY

£50,200

PRICE 2020, AUGUST

£60,100

PRICE 2021, SEPTEMBER

£98,000

PRICE 2022, MARCH

£170,000

 

The Daytona Platinum Ice Blue’s price rose by 276% between 2018 and 2022. The 2.76 times increase in its price makes this particular Daytona an excellent investment.

The special thing about this watch is the ice blue dial. This is Rolex’s signature dial for their platinum watches.

These blue dials are found exclusively in Day-Date models and the Cosmograph Daytona. Any avid Rolex collector would be able to spot this watch and guess its worth right away.

 

4. Rolex Sky-Dweller 18ct Yellow Gold 326938

 

 

BRAND

ROLEX

MODEL

Sky-Dweller

REFERENCE NUMBER

326938

CASE MATERIAL

Yellow gold

DIAL

 

PRICE 2018, AUGUST

£28,400

PRICE 2019, JULY

£30,000

PRICE 2020, AUGUST

£32,000

PRICE 2021, SEPTEMBER

£40,100

PRICE 2022, MARCH

£51,200

 

This particular Sky Dweller rose from £28,400 to over £51,200. That’s a whopping 80% increase in the price of the watch.

This Rolex is for travelers. It contains a red triangular indicator on the dial that marks the user’s preferred reference time. This could be the time at home, your workplace, or really anything you choose.

The champagne-colored dial also features a longer-lasting Chromalight display with enhanced luminescence.

This watch also has a feature that can tell you the current month. However, you need to make an adjustment every year just once: on 1st March. This depends on whether that particular year was a leap year or not.

 

5. Rolex Day-Date 40 18ct Everose Gold 228235

 

 

MODEL

Day-Date

REFERENCE NUMBER

228235

CASE MATERIAL

Rose gold

DIAL

​​Rose gold

PRICE 2018, AUGUST

£23,500

PRICE 2019, JULY

£23,800

PRICE 2020, AUGUST

£27,800

PRICE 2021, SEPTEMBER

£36,300

PRICE 2022, MARCH

£54,000

 

This beautiful Everose gold Day-Date saw a relatively slow increase in its price. However, by 2022, its price has reached an all-time high of £54,000.

It started from £23,500, which makes this increase an incredible 129%.

With its olive-green dial and 18 karats Everose gold, this timepiece can easily be confused for a work of art.

It comes with its signature fluted bezel, a day display, and even a little hole with a magnifying glass.

 

What does the 2022 Rolex price increase mean?

 

Increased scarcity leads to greater exclusivity of Rolex. This makes Rolex even more appealing to its fans. Hence, the reseller community can expect returns on their Rolex investments in the coming years.

At the end of it all, it’s the fans that are fanning the flames of hiking Rolex prices. This could be because of three main reasons:

  1. Investment Potential: People are beginning to see Rolex watches as an investment instead of a luxury. Thus, many people are starting to put their money into them. They do it with the intent of reselling the watches later when the price hikes (just like you would with cryptocurrency).
  2. FOMO: FOMO, fear of missing out, is exactly what the name suggests. People want to buy a Rolex simply because of their popularity and they do not want to be left out.
  3. Status Symbol: It’s clear that you can’t buy a $50,000 watch if you are not filthy rich. Rolex watches, more than anything, are a status symbol. If you spot anyone wearing a Rolex, you can automatically assume that they are well-to-do.

The Rolex price hike can also be attributed to several other factors: inflation, the price of materials, and the geopolitical situation - in the broader sense.

In today’s world, where most of us live half of our lives on social media, having a Rolex can make us iconic.

Being able to flaunt wealth is, and always has been, everyone’s primary reason for getting a Rolex.

 

Where can you get your own rare Rolex?

 

Now that you know all about how expensive - and investment-worthy - Rolex is, you might be wondering where you can get your hands on one.

Sure, you could visit their official website for all the models that are currently being marketed. But those are not rare, vintage watches.

For authentic, rare collectibles, you need a trustworthy source that can get you exactly what you pay for.

Look no further! Time4Diamonds brings you an intimate collection of luxury watches, with their specialty being the king of them all: Rolex.

They have all their beautiful timepieces up for grabs. The best part is, some of these watches are on sale. This means you can have your profit increased by a couple thousand pounds when the price inevitably goes up.

So, what are you waiting for? Head over to Times4Diamonds and get your gorgeous Rolex, or make your triple return investment right now!