Generation Z’s Spending Habits on Luxury Watches: A Generation of Watch Enthusiasts
Generation Z, born between 1997 and 2012, is entering the earning phase of their lives and making a splash in the luxury watch market. These 18- to 26-year-olds are not just spending frivolously; they are demonstrating a deep passion for timepieces.
A recent report from Watchfinder & Co. revealed that 41 percent of Gen Z acquired a luxury watch in the past year, with an average spend of $10,870. This is a significant increase compared to millennials, who spent around half that amount. Gen Z’s enthusiasm for watches extends beyond new purchases; they are also actively participating in the pre-owned watch market, spending between $7,500 and $10,000 on average.
Gen Z’s love of watches is not only reflected in their spending habits but also in their watch collections. According to the report, Gen Z is buying an average of 2.4 new watches per year and 1.43 pre-owned watches. This suggests a growing trend of watch collecting among this generation, with many individuals owning multiple timepieces.
How is Gen Z affording these expensive purchases? The report found that Gen Z is 21 percent more likely than previous generations to use dealer financing options and 48 percent more likely to sell something else before buying a watch. This indicates a willingness to go into debt or part with other possessions to acquire the watches they desire.
Gen Z’s taste in watches is influenced by current trends and celebrity sightings. Rolex remains the most popular brand among Gen Z, followed by Cartier, which has gained momentum in recent years due to endorsements from celebrities like Jacob Ilordi and Donald Glover. Smaller and discreet models like the Crash and the Tank are particularly popular among Gen Z consumers.
Interestingly, Gen Z’s influence may shape future watch design briefs. Watch brands are taking note of the preferences of this generation and considering how to incorporate smaller dial sizes and styles that complement current fashion trends.
The luxury watch market has long been dominated by older generations, but Gen Z is now making its mark. Their passion for timepieces, willingness to spend, and unique taste are reshaping the industry landscape. As Gen Z continues to grow in wealth and influence, it is likely that their impact on the luxury watch market will only increase in the years to come.
