Patek Philippe Nautilus 5711 watch

Patek Philippe has the right to terminate the Nautilus 5711 watch Usually, the news that the watch is no longer made will not cause much noise. As far as the Patek Philippe Nautilus 5711 (here is aBlogtoWatch review), this really caused an uproar. Since Patek Philippe announced in early 2021 that it would stop producing star-shaped steel watches with a ten-year waiting list, the watch enthusiast community has hardly been able to think about or discuss anything else. It is not uncommon to discontinue production of old Patek Philippe watches. It is worth noting that, a few weeks before Patek Philippe announced that it would stop producing new products, what was the life of the 5711 product. Let’s start with some backgrounds in the luxury watch industry.

This pandemic has severely undermined the long-term planning requirements necessary for the successful manufacture of high-end watches. Now a large number of online orders have promoted the decline of traditional retail sales, but in terms of global commercial value, the men’s watch industry is still the real world. My small industry (like many other industries) is mostly quietly waiting for this pandemic, but in times of economic stress, weird things happen, such as certain identity signs and asset values ​​soaring, and at the same time that category Most other products in the fall in value. This means that despite the huge demand for specific products such as the Patek Philippe 5711, at the same time, the availability of other high-end luxury timepieces with similar functions and uses is also high. This means that people spend a lot of money on the Patek Philippe 5711, not because it has the competitive advantage of a watch, but because it has an enviable nature, it has attracted the love of others-and it is often sold on the market Rare ability. The value of the aftermarket is not just about retail value.

The watch industry can still produce highly sought-after products that in modern times (due to the viral network effect of social media) can quickly become popular all over the world at the same time. Watch collection can be a very fashionable pursuit for many people-leading to a large number of participants following the leader’s consumption behavior. To make the social part of the gathering experience interesting, watch enthusiasts who interact with each other frequently (for example, everyone on Instagram) often like to show off their hips (and sometimes even wealth) to show that they are wearing the most watched and “fresh” products .

At the same time, the depressed investment asset economy has used luxury discount watches as an alternative investment to the stock market or other traditional investor tools (discussed in detail on the blog here). The formation of a well-funded cottage industry revolved around the desire for people with cash (self or others) to use it to buy luxury watches-touted (but never promised) an asset that could add value. Most importantly, if you spend a lot of money on a rare watch today, it is acceptable, because tomorrow someone will be more desperate than you and will end up spending more money on the watch. In the past few years, the watch investment mentality has added a new flavor to the watch collection, because we have seen the rare wine and art buyers of the past see the passion of watches as the next profitable area. The behavior I mentioned does involve the sale of watches, but it is only related to the pursuit of wearing a good watch. This is because you will appreciate the well-made machinery with cultural heritage.

Patek Philippe has now found its place among many buyer groups. As a wealthy and stable company, Patek Philippe owns the luxury products it wants, and often shows a brave attitude, because they show a strong focus on making ultra-traditional and ultra-exquisite watches. This personality and character has won the prestige of Swiss watchmakers in many of the highest circles.

Traditionally, Patek Philippe has benefited from this prestigious high-end product by selling wonderfully mechanically complex and luxurious gemstone jewelry (usually ordered) to elite customers. Then, strange things started to happen. Some top Patek Philippe customers seem to be overly interested in steel bracelet watches, which are known for their unique design and high-quality polish. The loose combination of this watch with sports and the “relative” lack of conceited irony made the effect of irony a Patek Philippe Nautilus suddenly became a must-have Patek Philippe watch. Since then, once the 5711 family came out, they never stopped chasing wildly.

A good reason for popularity is that Patek Philippe replica has never really been able to meet the world’s demand for 5711, and has always been in a state of production shortage. This rarity will only increase the attractiveness of the product. The second reason for its popularity has to do with Patek Philippe’s arrogance, because Patek Philippe is one of the few watchmakers who make at least one product that can add value after it is sold. As after-market prices are starting to get out of control, it is already difficult to buy, so the popularity of the 5711 has increased. Therefore, the scarcity of original products and low output have promoted the popularization cycle, and the after-sales market prices have gradually risen.

Investors’ desire for watches that are eager to retain value, coupled with the fact that the Nautilus 5711 watch and the community that are highly inclined to “fashion” and wear popular watches are widely circulated, the price of Patek Philippe Nautilus 5711 has risen rapidly. Soon after, the 5711 version of the Nautilus watch series was discontinued. Is this planned? It is unlikely, at least when the price increase mentioned above takes effect.

In any case, please consider that the Nautilus is about to retire. Patek Philippe has been producing the same Nautilus for 15 years, which is quite a long time for the production of watch products. Patek Philippe launched 5711 as early as 2006. The watch remains competitive in many areas, but lags behind Patek Philippe in terms of the most modern materials and the latest innovations.

In addition to the Nautilus 5711 being an obsolete product, Patek Philippe’s management has another good reason to stop producing the legendary watch-in short, because it creates an unstable foam. A net result of the high popularity of a Patek Philippe product model is that consumers begin to expect the same price (or increase the price) in other Patek Philippe products. That is simply impractical, and no company (not even the legendary Swiss watchmaker) can be expected to produce retail products that usually appreciate after the initial purchase. Patek Philippe has done nothing by allowing consumers who have unreasonable expectations of their products’ behavior in the second-hand market. When consumers buy goods at retail prices, Patek Philippe will get all the profits. Any amount spent on the market that exceeds the retail price will not directly benefit Patek Philippe.

Therefore, Patek Philippe decided to shut down the production of Nautilus because it knew that the popularity of the steel watch was a bubble, and by supporting its growth, the company would contribute to the damage caused by the eventual explosion. This is the best long-term thinking in the watch industry, and may only be easily made by a private company like Patek Philippe.

Patek Philippe is not even cruel to the end of the Nautilus 5711 family. Our colleagues at WatchPro reported that Patek Philippe will immediately replace the Patek Philippe 5711 with next-generation products, and Patek Philippe President Thierry Stern promised to do better in all aspects. Many people speculate that the next product will be named Nautilus 6711, which may have a delicate case and dial, as well as a new generation of internal automatic movement. In the foreseeable future, Patek Philippe will only sell Nautilus watches for 2021 and beyond directly in its own brand boutiques. On the face of it, this helps prevent the “gray market problem,” that is, the watch intended to be worn to consumers will be sent back to be sold at a higher price.

Patek Philippe cheap will definitely make the right decision to terminate the production of aging watches, even if it can take another 15 years to produce without too much effort. Patek Philippe wisely adopted a long-term approach of flooding the market with too many products while allowing dangerous bubbles to grow. This is a bad idea. Many other members of the watch industry can also learn from Patek Philippe’s practical games. Speculators have begun to wonder whether Nautilus 6711 will trigger the same type of demand fire.