Resale Value - Panerai

[Ryuden]

...panerai itself does have its unique feature - the case. when you see the case, you know it is a panerai. maybe they are trying to move panerai the Rolex way?

remember i ask you before several years back at a coffee shop in marine parade? i ask you if panerai goes the rolex way, will panerai survive? i believe it will. the coffee shop that we met is no longer there. things evolve and change.

the motto - the fittest survive.

Yes, you were one of the few close ones I shared my thoughts and yes I remembered that coffee shop and a pity it have to make way for new development.

Panerai if they adopt the Rolex way, putting couple of main models and repetitive exp: Pam 000,111,210 and 233 (EXAMPLE ONLY) as a main models like Rolex putting Submariner, Submariner Date, Gmt and Explorer, perhaps...just perhaps their brand wouldn't be as diluted as it is now. But that's just theoretically speaking.

All they could have done is to keep the models to a minimum. Since 1998 till maybe 2010, the amount of Special Edition have been very very very limited. Maybe around 2 to 3 MAX a year. And that makes the acquiring of SE models the highlight of the brand and for those who doesn't get one, the normal models are as good as they can get. Which is a perfectly fine business model.

But once they decided to released 7 to 11 SEs a year, it seems like acquiring the SE doesn't seems to be unrealistic anymore as buyers are spoilt for choices and since one can buy any SEs, what's the lure for getting the normal models then?

Thus their own killer, I feel, was their very own success...the Special Editions. With too many coming out, there's so much one can recycle the design and look and similarity it seems is the Panerai way.

Surviving? Not really...they are actually thriving...they have never gotten as popular as they are right now. Which is great. They need not care about how much their watches fetch and selling in the secondary market. They don't make anything from the secondary market thus what they do is to produce similar and at times remakes of past converted models which directly affect the preowned models. Why buy used preowned when you can get similar one brand new? They want you to spend money on new retail models than used secondary models.

Surely for Panerai, it's not the fittest survive...it's the "laboratory of ideas" if you get what I mean.

[amitabh]

Yes, you were one of the few close ones I shared my thoughts and yes I remembered that coffee shop and a pity it have to make way for new development.

Panerai if they adopt the Rolex way, putting the couple of main models and repetitive EXP: Pam 000,111,210 and 233 (EXAMPLE ONLY) as main models like Rolex putting Submariner, Submariner Date, Gmt and Explorer, perhaps...just perhaps their brand wouldn't be as diluted as it is now. But that's just theoretically speaking.

All they could have done is to keep the models to a minimum. Since 1998 till maybe 2010, the amount of Special Edition have been very very very limited. Maybe around 2 to 3 MAX a year. And that makes the acquiring of SE models the highlight of the brand and for those who doesn't get one, the normal models are as good as they can get. Which is a perfectly fine business model.

But once they decided to released 7 to 11 SEs a year, it seems like acquiring the SE doesn't seem to be unrealistic anymore as buyers are spoilt for choices and since one can buy any SEs, what's the lure of getting the normal models then?

Thus their own killer, I feel, was their very own success...the Special Editions. With too many coming out, there's so much one can recycle the design and look and similarity it seems is the Panerai way.

Surviving? Not really...they are actually thriving...they have never gotten as popular as they are right now. Which is great. They need not care about how much their watches fetch and selling in the secondary market. They don't make anything from the secondary market thus what they do is to produce similar and at times remakes of past converted models which directly affect the preowned models. Why buy used preowned when you can get similar one brand new? They want you to spend money on new retail models than used secondary models.

Surely for Panerai, it's not the fittest survive...it's the "laboratory of ideas" if you get what I mean.

explained really well. However, one key factor in making a purchase at the given price points at which Panerai operates is the resale value. Your argument makes perfect commercial sense but if you think from a Brand lens....the reality is the rarity of the model is part of the appeal. I was in a christies auction recently ...almost all the PAMs were unsold except a few of them which were either made with precious metal or special material like ceramic. This impacts buyers sentiments..unless they want to be Hublot (if they are already not) in the future. Your understanding of their modus operand is perfect ...whether that succeeds or not ..at the cost if their fans ..remains to be seen.I can bet they would have to rethink sooner than later.

[Ryuden]

...one key factor in making a purchase at the given price points at which Panerai operates is the resale value. Your argument makes perfect commercial sense but if you think from a Brand lens....the reality is the rarity of the model is part of the appeal...

This is exactly what Panerai was all about up till 2009/2010. The resale value of Pams were still strong. Why? Because there were just a couple of models here and there and the SEs were so hard to get that it command premium prices. Matter of fact, the resale value of SEs exceed what the company make by triple fold. Dealers, auction houses, consumers, everyone wanted a Panerai. But it was so few available that those who wants one don't mind paying premium for this exclusive huge wrist clock.

Surely Panerai have thought about it don't they? But...they didn't make any move...yet. Not until more voices were echoed via the most popular unaffiliated Panerai forum...Paneristi.com.

Everyone in that forum kept telling Panerai to produced more so that they don't have to be a victim of resellers selling at crazy prices and this is a known fact that Panerai monitor the forum closely. And what Panerai did, hell yeah, make more! But wait, isn't rarity the Dna of Panerai? Ok done. We will make more SEs and create a perception of scarcity and oh, at the same time release a regular limited production model that looks similar to the SEs...nah, these chaps won't say a thing...we be fine.

And when there's so many of these rare models and similar regular ones...one would wonder what's rare then?

So yes, Bonati have looked through his lens when he ate his own words during a press interview about the 382 being the ONLY bronze piece the company will ever produced.

..a christies auction recently ...almost all the PAMs were unsold except a few of them which were either made with precious metal or special material like ceramic. This impacts buyers sentiments..unless they want to be Hublot (if they are already not) in the future...their modus operand is perfect ...whether that succeeds or not ..at the cost if their fans ..remains to be seen.I can bet they would have to rethink sooner than later.

There's already an impact, else we won't be here discussing about this. Not comparing them with Hublot cause in my view, Panerai is still the master of limited production and Special Edition. It was too successful that other brands are foolish not to copy their successful recipe.

I would agree with you that sooner or later they have to rethink...but for now. They are doing very well...capturing new markets and new consumers (matters not they are losing the hardcore fans that once breath and live the brand)...don't think they are looking back now.

Based on recent released, they are recreating themselves into a horological manufacture.

[wlover]

I was in orchard rd yesterday. Spotted at least 5 panerais in takashimaya in less than 3 hrs. Myself included then 6 pams.

Was having dinner at UE square last evening. There's table of PRCs with rolex and pams.

[FullHouse]

I was in orchard rd yesterday. Spotted at least 5 panerais in takashimaya in less than 3 hrs. Myself included then 6 pams.

Was having dinner at UE square last evening. There's table of PRCs with rolex and pams.

Very common to see it even when taking MRT, at least 3 to 4 persons wearing Pams too.

Hence, this brand is popular and easy to be seem on the wrists.

[Chronopals]

Popular means good resale.

[rolexbaby]

i truly hope panerai resale value drop like a bomb so i can pick up at cheap price LOL

[undertaker]

hahaha. me 2 waiting for a good price

[SGMagpies]

Well. Totally agree.

The talk on the grapevine to get from the secondary market since there are quite a number of collectors giving up on the brand. This is because they no longer see any basis for brand loyalty given how much prices have fallen and how Panerai messed up with the number of SEs and similar looking models flooding the market.

For new entrants, probably a good time to get some pieces at decent prices.

[FullHouse]

Resale Value

As usual, OP has suffered a sales drop in term of value, loyalty, love from watch collectors all over the world.
Nevertheless, there is still a pool of "hardcore" supporters since day 1.
Even though , the brand is getting recognized by new owners' or collectors' due to good marketing strategy by Richmont group.
Let's hope that the prices of the older models will remain stable otherwise, it's very sad to hear and see that most collectors' are letting-off their collection.😊

[VeeLee]

I saw quite a lot of cheap pam at carousell

[geoteow]

Anyone got badly burnt by Panerai?

[wlover]

Get Rolex if u r afraid of getting burned. Get Pam if u wanna look awesome.

[FlyingTiger]

Very common to see it even when taking MRT, at least 3 to 4 persons wearing Pams too.

Hence, this brand is popular and easy to be seem on the wrists.

Well, only issue if you take a closer look: most of them are fake!

[amitabh]

I feel improved a bit , may take some time before it stabilizes . However i feel the worst is over for this brand