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China's newly rich buy chunky gold watches but the old rich in coastal cities prefer discreet models
A measure of any Asian businessman is the time he keeps and, far more importantly, the watch he wears to mark it. A handshake can be soft or firm but will likely soon be followed by a glance to the wrist to see the watch wrapped around it, especially in China.
A heavy slab of gold could be a marker that the person is from an inland city. A more expensive, understated watch could be a sign that they're from the coastal cities of Shanghai, Shenzhen or Beijing.
New money, in Chinese terms, versus old. Around 10 or 15 years ago, the coastal cities would also just go for gold; a chunky watch with a meaty gold strap, said watch enthusiast Harry Qin.
"In Asia probably more than in Europe or North America, a watch is something that can hint the status," the Shanghai private equity investor, who has a US$250,000 (S$318,000) collection of 18 timepieces, told AFP.
"But many businessmen just wear a gold ROLEX. Especially in less developed cities inland, a gold ROLEX is still a very easy way to show other people that you've got money."
Taste for fine watches has developed over time, said Mr Qin, who is just one of the many enthusiasts and serious collectors in Asia who helped make last year the second best year in the Swiss watchmaking industry's history.
Not bad, in the middle of a severe global downturn. Mr Jean-Daniel Pasche, president of the Federation of the Swiss Watch Industry, estimates export sales for brand new watches for last year should be "slightly better" than the 2007 figure of US$16.5 billion. Only 2008 was better, at US$18 billion.
Over half of those exports went to Asia.
"It is our first market," he told AFP. "For the first 11 months of last year, 52 per cent of our Swiss watch exports in value went to Asia.
"Asian markets, except Japan, are generally growing faster and stronger than other markets due to the positive economic situation in these countries."
Sales were up almost 55 per cent in mainland China and almost 46 per cent in Hong Kong. The main driver behind the market is simple: hundreds of thousands of Chinese people now have serious money to spend.
According to the Hurun Rich List, the Chinese equivalent of the Forbes or Sunday Times rich lists, there are now 875,000 Chinese worth over a million US dollars. And almost 200 of these are billionaires.
Favourite brands
Hurun also compiled a list of what brands are favoured by China's ultra-rich. Patek Philippe is the top luxury watch, followed by Vacheron Constantin, then Cartier. Resellers also had a good year. Christie's notched up more than US$90 million globally in watch sales, the auctioneer's highest ever figure for watches - US$27 million of that figure came from the firm's Hong Kong auctions.
Mr Su Jia Xian, a watch collector who helps run the PuristSPro.com dedicated watch website, said Chinese buyers now have specific preferences.
"At the top end of the market, Vacheron Constantin and Blancpain are notably popular. Each derives 50 per cent or more of its sales from China," he told AFP.
At watch auctioneer Antiquorum's Hong Kong offices, 452 rare and expensive watches are splayed out across tables and cabinets and stacked in boxes as staff catalogue, price and number them for a Feb 26 auction expected to raise around US$4 million.
Top of the range is a Patek Philippe 'Celestial', which tracks the northern hemisphere's stars as well as tell the time. It might take at least an hour to set but it's expected to sell for US$200,000.
The most expensive timepiece Antiquorum has ever sold was a Patek Philippe pocket watch, bought in Geneva in November 2009 by a Taiwanese buyer for US$4 million. Mr Qin, the Shanghai private equity investor and watch enthusiast, was in Hong Kong on business but also to have the staff inspect his US$13,000 Chopard watch. And to check out the wares, he often bids online for fine watches.
"I buy watches to wear," he told AFP. "I also like to keep a few in my drawer to admire and to wind. I have loved watches for a long time, it is the mechanical side I like. Their movement. Their sound.
"I hope they will appreciate in value over time but that is not the main reason. I love them. There is something very special about a good watch."
[This article is lifted from The New Paper today. Hope you enjoy the read.]
A measure of any Asian businessman is the time he keeps and, far more importantly, the watch he wears to mark it. A handshake can be soft or firm but will likely soon be followed by a glance to the wrist to see the watch wrapped around it, especially in China.
A heavy slab of gold could be a marker that the person is from an inland city. A more expensive, understated watch could be a sign that they're from the coastal cities of Shanghai, Shenzhen or Beijing.
New money, in Chinese terms, versus old. Around 10 or 15 years ago, the coastal cities would also just go for gold; a chunky watch with a meaty gold strap, said watch enthusiast Harry Qin.
"In Asia probably more than in Europe or North America, a watch is something that can hint the status," the Shanghai private equity investor, who has a US$250,000 (S$318,000) collection of 18 timepieces, told AFP.
"But many businessmen just wear a gold ROLEX. Especially in less developed cities inland, a gold ROLEX is still a very easy way to show other people that you've got money."
Taste for fine watches has developed over time, said Mr Qin, who is just one of the many enthusiasts and serious collectors in Asia who helped make last year the second best year in the Swiss watchmaking industry's history.
Not bad, in the middle of a severe global downturn. Mr Jean-Daniel Pasche, president of the Federation of the Swiss Watch Industry, estimates export sales for brand new watches for last year should be "slightly better" than the 2007 figure of US$16.5 billion. Only 2008 was better, at US$18 billion.
Over half of those exports went to Asia.
"It is our first market," he told AFP. "For the first 11 months of last year, 52 per cent of our Swiss watch exports in value went to Asia.
"Asian markets, except Japan, are generally growing faster and stronger than other markets due to the positive economic situation in these countries."
Sales were up almost 55 per cent in mainland China and almost 46 per cent in Hong Kong. The main driver behind the market is simple: hundreds of thousands of Chinese people now have serious money to spend.
According to the Hurun Rich List, the Chinese equivalent of the Forbes or Sunday Times rich lists, there are now 875,000 Chinese worth over a million US dollars. And almost 200 of these are billionaires.
Favourite brands
Hurun also compiled a list of what brands are favoured by China's ultra-rich. Patek Philippe is the top luxury watch, followed by Vacheron Constantin, then Cartier. Resellers also had a good year. Christie's notched up more than US$90 million globally in watch sales, the auctioneer's highest ever figure for watches - US$27 million of that figure came from the firm's Hong Kong auctions.
Mr Su Jia Xian, a watch collector who helps run the PuristSPro.com dedicated watch website, said Chinese buyers now have specific preferences.
"At the top end of the market, Vacheron Constantin and Blancpain are notably popular. Each derives 50 per cent or more of its sales from China," he told AFP.
At watch auctioneer Antiquorum's Hong Kong offices, 452 rare and expensive watches are splayed out across tables and cabinets and stacked in boxes as staff catalogue, price and number them for a Feb 26 auction expected to raise around US$4 million.
Top of the range is a Patek Philippe 'Celestial', which tracks the northern hemisphere's stars as well as tell the time. It might take at least an hour to set but it's expected to sell for US$200,000.
The most expensive timepiece Antiquorum has ever sold was a Patek Philippe pocket watch, bought in Geneva in November 2009 by a Taiwanese buyer for US$4 million. Mr Qin, the Shanghai private equity investor and watch enthusiast, was in Hong Kong on business but also to have the staff inspect his US$13,000 Chopard watch. And to check out the wares, he often bids online for fine watches.
"I buy watches to wear," he told AFP. "I also like to keep a few in my drawer to admire and to wind. I have loved watches for a long time, it is the mechanical side I like. Their movement. Their sound.
"I hope they will appreciate in value over time but that is not the main reason. I love them. There is something very special about a good watch."
[This article is lifted from The New Paper today. Hope you enjoy the read.]
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