What Is The Difference Between A $500 Watch and a $5000 Watch ?

What Is The Difference Between A $500 Watch and a $5000 Watch?

In today's episode of Federico Talks Watches I talk about the differences between a $500 watch and a $5000 watch. There are significant differences in watches at those price points. Differences like movements, materials, fit and finish amongst others. What do you think are the main differences between a $500 watch and a $5000 watch. Let me know in the comment section below!

Enjoy!

Seiko SKX:

TOP 5 SWISS WATCHES UNDER $500

[pistolpete]

Similar to the wine industry, the price of the watch does not scale even close to linearly with the quality of product. Often you're paying a hefty amount for the brand itself in order to flaunt your status, which is why if I were ever to pay as much as 5k for a watch, I'd go for a Grand Seiko. Being a metallurgical scientist by training, I would also never pay significantly more for a titanium case than a stainless steel one. Stainless steel is much harder to scratch, is way cheaper to process, and although is also heavier, if you're complaining that a watch is heavy, you better get yourself to the gym.

[Audittr]

I have a couple of Rolex’s and a Speedmaster and they’re beautifully put together. Amongst others, I have a Certina DS Action Diver which cost around £620. I have to admit that this watch is a quality piece especially for the money. You get excellent quality for in the £600-£1000 but you don’t get the prestige brand which is what a lot of people are after.

[donguy]

i always remember my mentor words " a poor man with expensiv watch is still a poor man"

[ARG]

It is amazing how Federico and most watch collectors miss the point entirely. The high price point of a watch has almost nothing to do with features, details or even materials (in case it contains valuable materials). High price points are naturalised by Federico and seem to stem from all the things he mentions when the fact is that watches are luxury commodities, such as art - and luxury, due to its incredibly high margins, is not valued merely by its features or even quality (especially beyond a certain point where it gets very good). As such, the sale price of a watch is a "contract" between the brand that sells that watch and the buyer, who values the watch enough to pay that price. And the buyer does that due to a number of reasons, but usually a couple of them are most common: because they believe they need it; because they believe they are buying a quality piece; because they see it as an investment; but mainly because of many other things that are external to the object itself and that brands sell along with physical representations (i.e. watches) such as heritage, lifestyle, social prestige, sexual value, exclusivity, status, etc... The fact that a Rolex that costs 500USD to make is worth 7000 USD is merely a convention; one set by the brand (that usually holds the cards and finds every possible way to justify any value) and the general public.

[petershallis]

So glad you featured your SKX, higher prices will naturally denote higher quality but there are some watches at the lower end of the scale that just have a certain charm that belies their price point. I'm thinking Orient Bambino, Hamilton Khaki, some Seiko 5 models...etc

[rickewilde]

Personal choice and affordability is the key here.if I could afford a £5000 watch I would consider the option but it would not be the price that makes me buy.i have seen £500 watches I would sooner own.

[kyussvegas]

This is the same with guitars. A huge amount of the difference in price is fit and finish, and that's a hard thing to do well. Love the explanation!

[JogBird]

dont forget that you are paying for the marketing, eg w omega you are paying a tax for them to sponsor the olympics and paying clooney to wear omega watches, etc

[jonathanelewis]

I came across your channel by accident, and I have to say you are the most genuine person I've come across on YouTube! I am a watch collector ONLY in the sense that I like watches. No high end stuff here! Lol. Your info has helped me learn what to look for and what to avoid. Thank you! I have subscribed, and look forward to more.

[bearclooneywatches]

I think this is very useful video for anyone new in watch collecting. I am glad you touched on different levels of ETA movements, but I think you can go even further on this, as I see this subject often being misunderstood. Nice and simple explanations and I think you managed to touch all important elements that differentiate between inexpensive watch and luxury watch. I was laughing when you touched on subject of straps and "fake prints" So true! And finishing is so obvious to me! Good job Federico. Thank you!

[tendrams]

The difference amounts to about $1000 worth of actual work and dedication. The marginal returns to an additional dollar spent starts to really drop off a cliff at about $2000.

[ProenskiKaproensky]

Replace 5000 with 2000 and I concur with most of your comments

[Lukegaragozlo]

Please do a difference between $5000 and $50, 000 or something that compares the big boys to submariners or el primeros of the world. That would be fun, great video by the way buddy.

[sohailyazdani]

Federico, well done man.
A concrete wall needs plenty of water to be built but, you won’t see the actual water in the wall, years of craftsmanship, innovation, techniques in any aspect and etc. These are like a water in that concrete wall.

[-cs]

decorated movements to justify a 5000 watch is ridiculous. might as well decorate my cars engine and increase the price 1000%

[tc]

Best watch channel on YouTube.
Thanks for all your efforts.

[excelsiortrading]

I think that was a well covered video bro. I'm definitely "blue collar", sub $1000 watch collector. But I do a ton of research before I buy anything and I appreciate being able to carefully pick out watches in the $350- $600 range that offer many features of $2000- $3000 luxury watches. I enjoy bang for the buck and only really have one or two ambitions to aquire certain high end pieces years from now after much saving.

[iRepairSouthampton]

Another great video. Was hoping you were going to put a photo of the AP Royal Oak when talking about bracelet fit and finish. I have held one in the dealer and was blown away. As you said, easy to feel the quality, hard to articulate.

[eljayr]

Informative video but also I think you do pay for the brand. When buying these upper end watches you do get a feel good factor and that is part of the cost. If you have a watch that gives you lots of pleasure it doesn't matter what it costs. Your SKX is a prime example. I get just as much pleasure and satisfaction from my Orient "Sun and Moon" as I do from my Speedmaster.

[kendalltull]

Good video that nicely summarises the differences in between the price points. That Longines Moonphase you had up when discussing features is a good looking watch. Definitely one on my radar. I'd be interested in hearing your opinion on it.