2024 Luxury Watch Market – Industry Insights Await

With the first modern wristwatch dating back to 1868, it’s clear to see that we’ve come a long way in terms of luxury watches.

While the desire to own a stylish and sophisticated timepiece remains alongside ever-evolving consumer tastes and preferences, the question for many, however, is “How will the global luxury watch market grow in 2024 and beyond?”

Experts note that in 2024, the global luxury watch market is set to achieve a remarkable revenue of $49.8 billion. While Western Europe will hold the largest stake in that growth, consumers worldwide will continue to seek high-quality, premium watches from industry players like Cartier, Rolex, and Patek Philippe.

In this exploration of the luxury watch market, we’ll explore the key elements driving this expansion and what consumers, investors, and business owners can expect from the future of the industry.

Luxury Watch Market Size by Region

Region	Projected Revenue 2024	Best Selling Brands	Typical Buyer Profile
North America	$6.51 billion	Rolex, Omega, Cartier	Collectors and affluent professionals
Europe	$14.26 billion	Rolex, Patek Philippe, Audemars Piguet	Luxury goods enthusiasts and wealthy elites
Asia-Pacific	$27.29 billion	Seiko, Citizen, Casio	Rising middle class and young professionals
Middle East	$2.89 billion	TAG Heuer, IWC, Breitling	Wealthy individuals and luxury goods collectors
Oceania	$550 million	Rolex, Omega	Upper-middle class and status-conscious consumers
South America	$204 million	Rolex, TAG Heuer	Upper-middle class and luxury collectors
Africa	$263.10 million	TAG Heuer, Seiko	Emerging affluent and luxury goods collectors

Luxury Watch Market Segmentation

Understanding how the global luxury watch market will grow starts by understanding how the market is segmented.

Complications

Complications like simple time displays, chronographs, calendars, and tourbillions are performing at a relatively steady pace.

Chronographs, which are known for their calendar functions and multiple sub-dials, are particularly popular.

Meanwhile, Tourbillions offer a more complex design, perfect for those seeking out the best in timepiece artistry.

The Tourbillions market is set to increase at a CAGR of 3-5% by 2031.

Materials

Though 18k gold remains the most popular material for luxury watches, steel continues to be a standard choice for its classic look, durability, and scratch resistance.

Precious metals like gold and platinum are highly favorable for their luxurious status, while ceramic is slowly gaining traction for its lightweight characteristics.

From industrial sapphire to forged carbon, many luxury watch brands are beginning to think outside the bounds of traditional materials.

Brand Focus

In terms of brand focus, the luxury watch market divides into three umbrella segments, including:

• Heritage Brands: With classic, time-tested designs and a strong emphasis on craftsmanship, brands like Patek Philippe and Rolex are some of the biggest players in the Heritage segment.
• Sporty Brands: Active consumers who are still luxury-leaning often opt for brands with more robust models, such as Omega and TAG Heuer. Many of these watches offer advanced features like water resistance.
• Fashion Brands: Last, we have trend-setting fashion brands, such as Gucci and Louis Vuitton, which focus more on younger consumers.

Movement

Finally, the movement segment divides into two major categories: mechanical and quartz.

Mechanical watches fall more under the ‘heirloom’ status, thanks to their complex designs and highly intricate engineering.

Some of the brands best-known for their mechanical watches include Jaeger-LeCoultre, Patek Philippe, and Rolex.

On the other hand, younger and more active consumers are searching for quartz watches.

They offer more minimalistic maintenance, accuracy, and affordability.

Grand Seiko and Citizen offer some of the most popular and intrinsically accurate quartz options on the market today.

Top Luxury Watch Companies Leading the Industry

While there are several luxury watch brands, there are five dominating the current market today.

Rolex

Rolex is still one of the most dominant forces in the luxury watch market, seen as a fashionable and durable investment.

These timepieces can pass down from generation to generation.

In 2023, the brand generated around $11.4 billion in revenue, with its Subarminer Date ‘Smurf’ topping its lines.

Patek Philippe

Patek Philippe is another stalwart in the high-end watch market, and as of 2024, it has retained its formidable presence among time-telling investments.

It has a 5.6% market share, and though it’s a long way shy of Rolex’s 30.3% market share, it still amassed a revenue of $2.05 billion in 2023.

Some of the brand’s most consistently purchased pieces include the Nautilus and the Aquanaut.

Audemars Piguet

Since 1881, Audemars Piguet has remained an independent, family-owned luxury timepiece manufacturer, and a leading force in the luxury watch market.

In 2024, it has a 4.9% market share, and over the course of 2023, the brand brought in $2.7 billion in revenue, much of which was fueled by Gen Z buyers. 

Some of the most prominent models include the Royal Oak Jumbo and the Royal Oak Offshore.

Omega

As the official timekeeper for almost every Olympic game since 1932, it’s surprising that the luxury watch brand Omega only blew up recently compared to other major players.

It has a current 7.5% market share and brought in $2.9 billion in revenue in 2023.

One of the standouts in the brand’s lineup is the Seamaster Diver 300M.

Buyers often refer to it as the “Bond Seamaster,” thanks to its association with James Bond.

Cartier

Over the past few years, Cartier has made quite a name for itself as a Parisian luxury brand, coming close to Rolex in terms of overall brand recognition.

It has a current 7.5% market share in 2024 and brought in $6.1 billion in 2023.

The Cartier Tank and Santos De Cartier remain two of the brand’s most popular models.

Distribution Channel of Luxury Watch Market

The luxury watch market utilizes two main segments for distribution channels: offline distribution and online distribution.

Offline Distribution

Offline is the fastest-growing segment in the industry, as it makes it much easier for producers to market their goods to a global audience.

Consumers can get better insight into a watch’s weight, dimensions, and other features from brick-and-mortar locations, such as:

• Brand Boutiques: These brick-and-mortar locations provide a more customized experience, offering personalized services connected to the prestige of the brand.
• Authorized Dealers: Consumers in 2024 want a more tangible buying experience, and through an authorized dealer, they can closely examine their watches before buying.
• Department Stores: The beauty of department stores is that they offer a range of luxury watch brands under one roof, offering better accessibility.

Online Distribution

While not as prevalent as offline channels, online platforms are set to nearly double in terms of sales.

Some of these channels include:

• Brand Websites: When buyers want detailed history, product information, and customization options, they head to direct-to-consumer brand websites.
• E-Commerce Platforms: With more competitive pricing and a more diverse range of brands, e-commerce platforms are expected to double by 30% by 2030
• Auction Houses: In the secondary luxury market, auction houses are top-tier, offering rare and vintage timepieces for collectors.

Luxury Watch Market Drivers

There are several factors driving people toward luxury brands and watches beyond aesthetic appeal.

Status Symbol

Using high-end clothing and accessories as status symbols has long been one of the drivers in the luxury industry.

To this day, brands like Patek Philippe and Rolex are symbols of success and sophistication, and many buyers purchase their watches as measures of achievement.

This is especially true in the Asia Pacific region, where an increase in the status of the upper-middle class is prevalent.

Investment Potential

Many affluent buyers see luxury watches as worthwhile investments, especially since esteemed brands tend to have models that appreciate over time.

In fact, many investors purchase timepieces from luxury brands for the sake of potential financial returns, especially with such a robust release market.

This driver goes hand-in-hand with the growing pre-owned market, which is estimated to grow CHF 35 billion by 2030 (almost half of what we see in the primary market).

Shifting Demographics

Shifting demographics are also shaping the luxury watch market, especially with growing affluence throughout the Asia-Pacific regions, such as India and China.

This is especially true among younger consumers with new wealth that are discovering a taste for luxury goods.

We’re also beginning to see an increased interest among women in highly complex, male-only luxury watches.

In fact, women represent nearly 40% of the overall market.

Trends in the Luxury Watch Market

Over the past year, the demand for high-end products like luxury watches has reached an all-time high.

Let’s look at a few of the main trends steering this demand.

Rising Demand in Luxury Watches

One of the main trends in the luxury watch market is the overall rise in demand.

This is especially true in regions like Brazil, China, and India, where we’re seeing an increase in disposable income.

The same can be said for the demand for women’s luxury watches.

Booming Pre-Owned Market

The pre-owned market is also booming, especially with a growing demand for investment-grade watches.

With sites like Watchfinder and Watchbox on the forefront, the pre-owned watch market is estimated to have an annual growth rate of 9.2% from 2024 to 2030.

Increased Focus on Customization and Personalization

Most luxury customers want customized and personalized timepieces that reflect their unique aesthetic preferences.

This new trend is driving demand for luxury watches with features like interchangeable straps, engraving options, and bespoke designs.

Luxury Watches as Investment Pieces

Certain luxury watch brands and models appreciate in value over time, increasingly positioning them as viable investment pieces.

Investors and collectors want rare and limited edition models, and it’s these same consumers who play a considerable role in driving demand.

Omnichannel Distribution with Online and Offline Presence

Omnichannel retail is the future of luxury e-commerce, as it combines the best of both online and offline channels.

With multiple touchpoints for exploration and purchase, brands that are hopping on the omnichannel train know just how effective combining convenience with tangibility can be.

In fact, luxury brands that have integrated the omnichannel approach have seen a near-10% jump in customer retention.

Smartwatch Competition

The rise of smartwatches has been both an opportunity and a challenge for traditional luxury watch brands.

While smartwatches certainly offer a more technology-rich approach, they don’t offer the same emphasis on heritage and craftsmanship that luxury brands can offer.

On the other hand, some luxury brands are joining the smartwatch movement, such as Louis Vuitton and Garmin.

Growing Focus on Sustainability

Sustainability is a major focus for many luxury brands now, especially as new affluent consumers are prioritizing eco-friendly materials and production.

Now, luxury watchmakers are transitioning toward sustainability in order to take steps toward a greater environmental commitment while retaining the scarcity that gives them high demand in the first place.

Final Thoughts

The luxury watch industry is poised for growth in 2024 and beyond, fueled by an expanding pre-owned market.

There is also an increased focus on customization and investment potential.

Additionally, the industry is prioritizing sustainability.

If you’re looking to help your luxury watch brand capitalize on these trends and expand its digital footprint, having a detailed digital marketing strategy is important.

Get in touch with our team here at Mediaboom to see how we can help you reach a broader audience in this competitive market.