Price Increases --- Will this affect the secondary market?

[anton]

Some food for thought...

A similar thread was started in the Panerai forum...but now that it has been widely speculated that most major Swiss manufacturers will follow suit with price increases of around 10-15% starting in April.

Of course, one of the biggest reasons is that what one US Dollar would buy A Swiss Franc and some change, the situation had been put in reverse. Thus making the US Dollar not so lucrative anymore.

Add that to the rising costs in materials (one manufacturer reported that the cost of a ton of stainless steel used to price at 800 CHF last year; now it is at 1,300 CHF), manufacturing, and the increasing labor conditions in other countries have driven up the cost on non-related items as well.

Now that the gen market will see these increases in price, how will this affect the secondhand gen market? Will collectors and dealers alike follow suit and price them accordingly? What will this mean to you, as a consumer?

And if you are a collector, will you hoard watches at the current price only to "flip" them once the price hikes are in effect?

[slai]

And if you are a collector, will you hoard watches at the current price only to "flip" them once the price hikes are in effect?

I can barely afford to keep up with my own addiction. Hoarding is definitely right out.

[PAMman]

IMO the recent Panerai price increases will have little direct impact on the secondary market as it is the collectability of certain models which sets the price. However, there are a number of factors relating to the current models, in addition to the price increase, which are likely to combine to make the earlier models more attractive. I expect that the value of cared for preA and A series 'T' dials will increase significantly over the next 12 months as these will look a more attractive proposition and will ultimately be more exclusive than any of the current models.

TIP: Buy a 2A or 2B 'T' dial in minty condition complete with all papers, boxes etc.