Views on Chinese Watch Market
This is just a collection of my thoughts on the Chinese watch market. Originally I was going to finish my TR but there is a shortage of pictures so I didn't want to write it in TR form anymore.
Summary is Chinese people love watches. I traveled to my wife's hometown from Shanghai and even in this small town of 100,000 (tiny by Chinese standards), I was able to find a watch repairman in the middle of a farmer's market.
What is strange is that most of the high end watches sold in China are sold as gifts and rarely something that is bought for ones self. For example, I met my cousin in law who is recently married. His salary is probably 1/10th mine in the US, yet he wears a rose gold VC. How did he acquire a watch that costs 4 years of his salary? A gift from his father in law. I must admit I did have a twinge of jealousy flash.
The rampant consumerism in China is fairly astounding. Imported Watches sell at 120% of US prices while imported cars sell at 200% to 250% of US prices. A BMW 7 series costs $200,000. This is not even fully due to import tax. Most of the time it is due to the manufacturer knowing that demand has decoupled from price in China, or rather if there is correlation, it is in the opposite direction.
Thus, what I end up finding is a mass of watchbuyers who are not very knowledgeable about watches, but chase the priciest brands. At the very high end, you have very knowledgeable collectors but the masses base their purchase decision on price. If it costs more, it must be better.
This extends to things such as alchohol as well. Lafite sells extraordinarily well in China. When watching a Chinese TV series, if one of the main characters has "made it" the first thing he does is go to a restaurant and order a bottle of Lafite.
Back to my cousin in law. He asks me what watch I am wearing after showing me his VC. I show him the Seagull 187s. Though he studies watches, he only focuses on luxury brands and thus he does not recognize it. I tell him that its a Chinese watch made in Tianjin and he is taken aback at my choice. My other cousin in law walks overm joker that he is, and quips "man, I actually think the Chinese watch looks better".
Last edited by amoeba; 04-09-2014 at 10:20 PM.