The collaboration between Chronext and Vogue Business provides a comprehensive overview of the current trends and challenges in the luxury watch market. The focus is on the strategies of leading brands, which are reaching new audiences and strengthening existing ones through a combination of tradition, innovation, and targeted marketing. Particular emphasis is placed on engaging Generation Z and the growing importance of female consumers. Additionally, the report highlights the rapid expansion of the secondary market for luxury watches and the increasing significance of digital brand perception, especially through social media.
CHRONEXT x VOGUE Business Index Watches 2024
Market Development - The Secondary Market as a Growth Engine for the Industry
The secondary market for luxury watches is experiencing extraordinary growth and now accounts for more than half of the industry’s total revenue. Platforms like CHRONEXT play a key role in this growth by fostering transparency and trust. Leading brands such as Rolex, Cartier, and Omega have also responded by introducing certified resale programs. These not only preserve the value of their products but also enhance consumer confidence.While traditional markets such as Europe face challenges, regions like Japan and the United States continue to drive strong growth. In these regions, the demand for high-quality watches remains consistently high.
Top luxury watch brands
Cartier leads the industry with its unique fusion of jewelry design and watchmaking craftsmanship. The brand appeals not only to traditional collectors but increasingly to female buyers as well. Close behind are Rolex and Omega, with Rolex standing out for its brand recognition and strong customer loyalty.
Innovation remains a critical success factor: brands like Audemars Piguet and Omega are experimenting with new models and strategic partnerships to strengthen their market position. Despite regional declines, particularly in Europe, global demand remains robust, underscoring the enduring appeal of high-quality timepieces.
Consumer Sentiment - New Target Audiences in Focus
The consumer landscape is evolving. Women and Generation Z are increasingly emerging as important target audiences. While women are placing greater emphasis on craftsmanship and quality, Generation Z is showing a growing interest in luxury watches, despite their currently limited income potential. The challenge for brands lies in catering to the diverse needs of these groups. Older consumers continue to value classic designs, whereas younger buyers are seeking unique, collectible models. The key is to blend tradition with modern aesthetics and innovation.
Digital & Socials - Gamechanger Social Media
Social media significantly shapes the brand perception of luxury watches. Platforms like Instagram, TikTok, and YouTube have become essential tools for reaching and engaging with target audiences. Cartier, Omega, and Rolex, in particular, lead in digital presence, with Instagram remaining the most widely used platform.
However, TikTok’s potential is far from fully realized, especially when it comes to connecting with younger consumers. Influencer collaborations, content marketing, and prominent brand ambassadors play a central role in this strategy. Additionally, sports sponsorship remains a key lever for increasing visibility.
Innovation
The future of the luxury watch market lies in innovation, whether in products, communication, or business models. New technologies, such as blockchain-based product passports for tracking or the use of augmented reality in marketing, are setting new benchmarks. At the same time, the industry is placing greater emphasis on sustainability and ethical practices.
Despite all the innovations, brand heritage remains crucial. Brands that successfully blend tradition with modernity while appealing to a young and diverse audience will continue to lead the industry.
The report by CHRONEXT and VOGUE Business reveals that the luxury watch market is on the cusp of a golden era, where dynamic strategies and a keen understanding of consumer desires will define success.