The full year 2023 Hammertrack report on the state of the global watch auction market comes with a simple subheading: “A severe downturn”.
That’s straight-talking from The Mercury Project’s Thierry Huron, who authors the Hammertrack reports, although he clarifies that CHF 610, a 13% year-on-year drop in the total value of watch auctions covered in the study, is down from the record total of CHF 701 million in 2022 and is still the second highest total in history.
To put 2023 value of CHF 601 million in context, it is 56% higher than 2019, the last full year before the pandemic.
The drop in sales from 2022 to 2023 follows a similar trajectory to the broader secondary market for watches, which saw prices and transaction volumes for the hottest watches plummet after peaking in the second quarter of 2022.
Both declines have been exacerbated by waning enthusiasm among collectors and speculators around the world and a switch to more attractive auction markets, such as jewellery.
Most auction houses have been putting on more watch sales, both online and in person, but most events had fewer lots and a focus on the most prestigious pieces.
Overall, the total number of watches sold by the auctioneers covered by the Hammertrack report fell by 11% to 12,545.
The average price per watch sold was close to 2022’s all time high at CHF 48,600.
Competition is relentlessly increasing from pure play online marketplaces and auction sites for less expensive, high volume, watches. But the global auction houses have tightened their grip on sales of watches priced between CHF 100,000 and CHF 1 million.
Around half of all watches sold by the tracked auctioneers — Christie’s, Phillips, Sotheby’s, Antiquorum, Bonhams and Polyauction — were in this price window.
Patek Philippe dominates this part of the market, but saw a significant drop in the number of six- or seven-figure watches from 656 in 2022 to 504 last year.
Audemars Piguet’s drop was steeper with only 82 watches selling for more than CHF 100,000 last year compared to 229 in 2022.
The top 10 table of most valuable brands to auctioneers is still topped by Patek Philippe and Rolex, but independents are making an ever-greater impact in sale rooms.
F.P. Journe overtook Audemars Piguet with 171 watches selling for more than CHF 100,000, aided by The Art of F.P. Journe auction at Christie’s Geneva in May last year, which generated sales of CHF 13,665,300 for 40 lots.
Ranking watchmakers by their 2023 average selling price at auction, it is Roger Smith who leads a competitive field.
Only four of the British flag bearer’s pieces crossed the auction block but they sold for an average of CHF 1.95 million, beating Philippe Dufour’s CHF 1.16 million average across nine watches sold.
Millionaire watches
A Patek Philippe World Timer topped the charts for the most expensive watches sold at auction last year.
Patek Philippe watches took six of the top ten spots with Rolex, Philippe Dufour, Rolex, Roger Smith and Richard Mille taking the other positions.
