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Price inflation 2000 - 2014
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Author:  Dracha [ Mon Mar 17, 2014 11:25 pm ]
Post subject:  Price inflation 2000 - 2014

Came across this little list on a french forum
Quite the increase , must be inflation compensation and the swiss franc getting stronger :-/

Image

Author:  bozman52 [ Mon Mar 17, 2014 11:49 pm ]
Post subject:  Re: Price inflation 2000 - 2014

Really interesting. I'd say that increase is slightly larger than inflation :wowzers .

It makes me feel slightly stupid for paying what I do for watches.

Author:  Roffensian [ Tue Mar 18, 2014 1:53 am ]
Post subject:  Re: Price inflation 2000 - 2014

Interesting to see the variations within a brand from model to model. Also noteworthy that Breitling is relatively more expensive than Omega and Rolex compared to 2000.

Author:  Dracha [ Tue Mar 18, 2014 2:02 am ]
Post subject:  Re: Price inflation 2000 - 2014

I think a large part of the Breitling increases are due to the inhouse chrono movement ?

Author:  Roffensian [ Tue Mar 18, 2014 3:26 am ]
Post subject:  Re: Price inflation 2000 - 2014

Could be, which makes it a rather unfair comparison. Can't think of a model offered in 2000 that is still offered today without changing significantly - guess that says a lot.

Author:  Driver8 [ Tue Mar 18, 2014 1:57 pm ]
Post subject:  Re: Price inflation 2000 - 2014

This is part of the reason I've been buying far less watches than I used to : the prices are now so far out of kilter with general inflation and wages, it's just not as much fun as it was.

It doesn't seem like that long ago that a brand new SO was £800! Watch buying was a lot more fun in those days.......

(Or maybe I'm just getting old)

Author:  BoneDoc [ Tue Mar 18, 2014 5:05 pm ]
Post subject:  Re: Price inflation 2000 - 2014

Driver8 wrote:
This is part of the reason I've been buying far less watches than I used to : the prices are now so far out of kilter with general inflation and wages, it's just not as much fun as it was.

It doesn't seem like that long ago that a brand new SO was £800! Watch buying was a lot more fun in those days.......

(Or maybe I'm just getting old)

:yeahthat to ALL statements :poke:

Author:  Scott [ Tue Mar 18, 2014 8:47 pm ]
Post subject:  Re: Price inflation 2000 - 2014

So based on the above, the Type XX is kind of a deal? Maybe i'm not done with Breguet yet.

Author:  P51 [ Tue Mar 18, 2014 11:39 pm ]
Post subject:  Re: Price inflation 2000 - 2014

I guess this is for France. If the list is for RRP including taxes then I wonder if the explanation is more than currency fluctuations and Cost of Living (CPI). Of course, not sure all buyers are actually paying this increase. :wink:

Author:  Tim S [ Wed Mar 19, 2014 10:56 am ]
Post subject:  Re: Price inflation 2000 - 2014

That's an interesting list indeed, thanks for sharing. I too am surprised at the increase in watch prices over the past several years, particularly given the economic crash of FY'07. It has meant I've changed my approach to buying watches - I'm a lot more choosy now - which is both good and a shame, as some watches that were 'affordable' several years ago are just simply out of reach now. The market drives pricing so there's either a lot more people with higher levels of discretionary income than there were years ago or costs have risen (excluding e.g. Breitling going to in-house movements which naturally cost more). I wonder if this is going to stop anytime soon.
Scott wrote:
So based on the above, the Type XX is kind of a deal? Maybe i'm not done with Breguet yet.

I agree Scott. With Breitling, Omega and others increasing base prices, watches that seemed a lot more expensive several years ago (IWC, JLC, Breguet) suddenly appear quite affordable.

Author:  sharkman [ Wed Mar 19, 2014 2:31 pm ]
Post subject:  Re: Price inflation 2000 - 2014

Breitling prices increases up x2 over Omega, JLC, IWC, etc...? Is the difference mostly the cost of gearing up for and using in house movements? It doesn't make sense any other way. The sales (or rather the COSC) numbers haven't evidenced meaningful increase in demand. Couple that with pressure on ADs to reduce discounting and the picture is not a serene one.

Author:  Driver8 [ Wed Mar 19, 2014 3:46 pm ]
Post subject:  Re: Price inflation 2000 - 2014

BoneDoc wrote:
Driver8 wrote:
This is part of the reason I've been buying far less watches than I used to : the prices are now so far out of kilter with general inflation and wages, it's just not as much fun as it was.

It doesn't seem like that long ago that a brand new SO was £800! Watch buying was a lot more fun in those days.......

(Or maybe I'm just getting old)

:yeahthat to ALL statements :poke:

I'd love to feign offense at this Boney, but it's sadly true! :lol:

Author:  P51 [ Wed Mar 19, 2014 7:49 pm ]
Post subject:  Re: Price inflation 2000 - 2014

sharkman wrote:
Is the difference mostly the cost of gearing up for and using in house movements? It doesn't make sense any other way.


I'd like to believe that, but.... Businesses have a few ways of introducing new product features and the costs associated with them, and one is to amortise the cost over the foreseeable sales period and thereby reducing abrupt changes in the asking price of their products. Sometimes savings can be made elsewhere because of those new features, (cost savings by moving to different arrangements) and that may offset some of the cost increases. We don't know the year on year rise here either, and perhaps some annual increases may have been small, leaving some years with larger cost increases and for good reasons that are not clear.

Does this list include local taxes that might have been raised higher in (say) France than elsewhere? Would that distort the increase? Were some other models in the Breitling range not so affected by changes in price, and these listed ones being the worst in the period, offered for sale?

Like you, I wished it was a bit clearer where this increase calculation came from.

Author:  sharkman [ Wed Mar 19, 2014 10:36 pm ]
Post subject:  Re: Price inflation 2000 - 2014

Chronomat on Pilot SS

-2000 Chronomat -- $3221.

-2009 Chronomat Evo -- $5840. (Plus 81% in 9 years)

-2011 Chronomat 01 (Manufacture Movement)-- $8200. (Plus 40% in 2 years)

--Average Annual Increase Over 11 years = 14% per year (9% per year pre manufacture movement; 20% per year post manufacture movement).



Superocean on Pro SS

-2000 -- $1825

2009 -- $2854. (Plus 56% in 9 years)

2011 -- $3395 (plus 29% in 2 years)

--Average Annual Increase Over 11 Years = 7.8% per year

Author:  P51 [ Thu Mar 20, 2014 2:04 am ]
Post subject:  Re: Price inflation 2000 - 2014

Wow, that's incredible. Thank you Sharkman. Look at that rate of change after the manufactured movement is introduced, its double year on year. :shock:

At that rate can we safely say that for every Breitling changed over to an in house movement, prices will rise exponentially? That will put Breitling into a different price point ballpark altogether on just about all models.

OK, I can see where thats going I think, and its different to where I thought they were going.

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