I didn’t know much about Richard Mille’s buy in the emerging brands before. I remember that the output is small, and the starting price is high. The entry-level price is 500,000 to 600,000.
Because of the high cost, Richard Mille’s cheapest watch also called “billionaire admission ticket”! In the past two years, it has been said that only premiums are available, and there are no watches available for purchase under one million.
The ratio of the waiting list of specialty stores is 3: 1. I’ve always been interested in the myth of mass communication, so I specifically researched to see if RM watches are a value-preserving artifact?
The founder, Richard Mille, was not a technical watchmaker. His career began in 1974 with watchmaker Finhor.
After Matra acquired it in 1981, Mille promoted to company manager with his marketing knowledge. Seiko later acquired the company. When Richard Mille left the company in 1992 to set up a watchmaking department for jeweler Mauboussin, he proved that he could successfully develop a watchmaking company.
In 1999, the Frenchman Richard Mille founded his company of the same name; in 2001, the first product RM 001 was launched, which established the essential characteristics of RM watches:
Sandwich case
The most striking and iconic of the Richard Mille Dubai watch is the sandwich-type wine barrel case, which consists of three panels-the front and back bezels, and the middle part-each component is curved to fit the wrist. The three curved surfaces must be Work carefully to prevent moisture or dust from entering.
Most of the traditional watches are regular rounds, and a few are square (rectangular or square). Barrel-shaped watches are the shells revived by Famouran in the 1990s, and they are very recognizable.
Avant-garde high-tech materials
The second element is that RM always uses the case and floor materials typically used in the fields of Formula One, aerospace and racing.
Even in industries other than watchmaking, the materials used are cutting-edge. Carbon nanotubes, tempered ceramics, NTPT carbon fibers (initially developed for racing), silicon nitride, gold fused with carbon and quartz, perfluoro elastomers, and all other alchemist fantasies with uniqueness and order, impressive. RM is also the first watch brand to use a sapphire case.
Non-traditional movement version
Compared with the traditional trinity (PP AP VC) polishing the conventional movement technique, RM will never prevail. The change of RM comes from the APRP workshop belonging to the Audemars Piguet and Vaucher movement factory of Parmigiani.
Mille has never entered the classical world of Geneva stripes, and decorations-his watch movements coated with PVD (Physical Vapor Deposition) or Italy. The movement parts are usually a mixture of titanium alloy and other materials.
The overall appearance is just like the appearance of the F1 engine, which is a sophisticated, technical, and sporty look.
Richard Mille is brilliant. He has found a niche market: the compelling demand of young rich (the second or wealthiest generation), the historical accumulation of PP AP VC is too large, and the threshold for second-hand use is shallow.
For tens of thousands of dollars, you can find a gold watch. The second generation cannot recognize the reel disguised as a rich man at a glance. A high-priced sports watch with a high profile, and exaggerated design is the best choice. Of course, the core still forced.
They coupled with Richard Mille’s advertising around the living space of young. Vibrant people: sponsoring various sports stars-such as tennis star Rafael Nadal, sprint star Yohan Blake, F1 racer Romain Grosjean, sponsoring different adrenaline stimulating games.
The San Barto Regatta signed a 10-year contract with McLaren-Honda, established a partnership with Aston Martin.
I became the leading partner and official timer of the Le Mans Classic and became the first official of Manchester City Football Club Timing partner.
And all kinds of crazy market endorsement fees will eventually translate into high selling prices. In essence, RM is to help the productive second-generation group to create a new era’ masonic ring’.
So, do Richard Mille fake watches keep their value?
Watch value preservation depends on the second-hand market. This time I mainly look at the auction market.
The three major auction houses retrieved it. Christie’s has auctioned 80 RM since 2011. Sotheby’s has auctioned 81 RM since 2005. Yi Si has taken 33 RMs since 2008. To see the panther, let’s first look at Christie’s past auctions:
In 2011, four RMs were auctioned, with an average transaction price of 588,000 Hong Kong dollars (converted into Hong Kong dollars for easy comparison), and the average premium rate relative to the original retail price was 46.05%;
Thirteen RMs. Sold in 2012 with an average transaction price of HK $ 1.017 million, with an average discount rate of 50.81% relative to the retail price;
Seven RMs sold in 2013, with an average transaction price of HK $ 1.1468 million, an average discount rate of 54.72% relative to the retail price;
Seven RMs sold in 2014, with an average transaction price of 624,700 Hong Kong dollars, an average discount rate of 69% relative to the retail price;
Five RMs sold in 2015, with an average transaction price of 1.39 million Hong Kong dollars, an average discount rate of 61.45% relative to the retail price;
In 2016, 8 RMs were auctioned, with an average transaction price of 1.0745 million Hong Kong dollars, an average discount rate of 81.26% relative to the retail price;
9 RMS was sold in 2017, with an average transaction price of HK $ 2.3973 million, with an average discount rate of 66.60% relative to the retail price;
In 2018, 18 auctioned RMs, with an average transaction price of HK $ 1.679 million, an average discount rate of 130.93% relative to the retail price;
9 RMS was sold in 2019, with an average transaction price of HK $ 1.861 million, with an average discount rate of 125.49% relative to the retail price;
From the above data, it can see that the auction market of Richard mill for sale before 2018 is a healthy discount market.
If you deduct the auction fee, the seller will be within half the price. Also, it is particularly important to point out that the auction in 2017 Richard mill for sale UK’s most expensive RM056 sapphire watches prototype-the limited edition worn by Wang Shoufu’s son.
Although the public price is the most costly and the quantity is scarce, the auction did not exceed the limited amount of the limited edition, only about 73%.
Since 2018, the Richard Mille auction price has suddenly pulled up. The average auction price has exceeded the public pay for two years, and it has become a premium market, but I judge that the possibility of market making is relatively large;
the most obvious is November 2018. On the 26th, Hong Kong’s exquisite watch auction, almost 7 RM011 with color materials sold, nearly all of them sold two times as high as the previous year, but the discount rate of the Richard Mille buy011 auction in the past few years was only between 0.48-0.70.
The three RM011 discount rates are only between 100-140%, and the closing auctions in 2018 and December 2019 are estimated to be foreign holiday factors. One or two Richard Mille buy of the scattered sales has directly turned into a discount of less than 50%. Rate.
I went to see the auction of Rich Artists, which was very interesting. The Richard Mille buy in the sale, in mid-2019 , sold at more than the public price, and a piece of RM003-V2 was sold on December 10 at the end of the year, with a retail price of $ 380,000. It only took 200,000 US dollars.
Regardless of whether it is market-making or naturally hot-fried after the auction market rises, the brand specialty stores have gradually transitioned from discounted sales before 2017 to the two years without stock waiting for normality.
In the past two years, the overall watch market has also risen across the board. The popular RM-011-03 has doubled, and it has become a new myth, replacing the previous PP questionnaire myth.
At the moment, the new myth is continuing.
The trend of Richard Mille buy premium should not change in one or two years, but the medium and long-term risks are still not small:
First, Richard Mille will become more and more independent;
In the early Richard Mille buy, the models in the world were barrel-shaped models with high-precision and sophisticated functions. APRP’s strength was still full, and it was easy for others. I can’t imitate it, but in recent years the proportion of Vaucher movements has become larger and larger, but the plywood hollowing makes it look “complex”.
Such RM has already had a lot of Swiss counterparts, such as Hublot’s barrel-shaped watch in these two years, who can tell whether it is RM or Hublot from 5 meters away?
Second, the output of Richard Mille buy is growing too fast;
In 2015, it was still 3200 yuan per year. In 2019, it increased to 5,200 yuan. In recent years, the average growth rate has exceeded 25%.
Brands playing premium speculation cannot control their production sooner or later. It’s a cool song, which has been confirmed by many old-timer brands — It’s easy to understand that the second-generation older man is not so fast!
Third, whether the product quality can keep up;
I have always paid tribute to the basic movement with a long history and colossal production — without him, it is reliable and durable. Richard Mille buys Shennong tried all kinds of high-tech materials like a hundred herbs and the amount of each material.
The production quantity is so small that no one will have sufficient reliability tests.
Only the wearer can be a mouse. And consumers are easily misled by the Richard Mille buy advertisements, thinking that Richard Mille buy watches are omnipotent in the sky. In that case, consumer reputation will accumulate in a few years.
