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By Gary Girdvainis

Chrono24 is a marketplace for luxury watches that offers buyers and sellers the opportunity to buy, and sell, pre-owned, vintage, and new luxury watches.

As iW recently discovered in an interview with Chrono 24 CEO Tim Stracke, Chrono24 does not consider itself strictly as a watch dealer, but instead call itself “a marketplace that provides a service with the technology to connect buyers and sellers, to provide transparency to the market and to make transactions safe through the platform.” Below we excerpt the highlights of our interview.

iW: How long has Chrono24 been in existence?

Tim Stracke: The website was established in 2003, and my partners and I took over the site in 2010. We were able to turn it into a real business at a time when online business was starting to evolve. Today, we have close to 300 employees as our headquarters in Karlsruhe, Germany, and we also have satellite offices in Berlin, Hong Kong, and New York that run Chrono24 as a global business. However, besides operating this company together, we are also very enthusiastic about watches.

The vast majority of our employees owns at least one watch that means a lot to them – altogether, we have quite a versatile watch collection. Through this, we probably reach one out of every three luxury watch lovers worldwide (including 9 million unique viewers every month), providing them access to more than 470,000 watch listings from over 100 countries.

When you took it over in 2010 – what changed?

Tim Stracke, CEO of Chrono24

For the first seven years, Chrono24 was pretty much a classifieds site where you could find watches and contact the seller, leaving the transaction entirely between buyer and seller. We converted this into a transactional marketplace, investing a massive amount of energy into make the transaction process secure. Now, the buyer transfers payment to our escrow account, and we make sure that the buyer is happy before forwarding payout to the seller.

We also offer a lot of additional services around the purchasing process. We have a magazine, as well as a lot of data you can use to easily compare prices. One of our more interesting features is the Chrono24 Watch Collection, which enables users to upload their watches and track their watch portfolio like they would their stocks.

In addition to this, we recently added two new functions to our app: The first is our Virtual Showroom, an AR tool that allows you to try on 12 very popular models virtually. These include the Rolex Submariner Date, Omega Speedmaster Professional, Patek Philippe Nautilus, and Audemars Piguet Royal Oak.

The Chrono24 Watch Scanner allows the user to simply scan any watch and automatically identify it.

Our latest addition is called the Watch Scanner, where you can simply scan any watch with your camera to automatically identify it. From there, you can add it to your Watch Collection or even create a listing.

 

How do you gather the data for estimated watch values in the Chrono24 Watch Collection?

We extrapolate the data from the tens of thousands of transactions made on our platform every per month to establish a fairly accurate range of values. For this calculation, we include actual sales prices from past sales, as well as current listing prices on Chrono24. If we don’t have enough data to make a valid estimation – for example, for rather rare reference numbers – we also include listing prices from the past. This calculation is refreshed daily and provides a representation of a watch’s performance over time.

Also, our algorithm ignores any extraordinarily high or low sales prices to avoid inaccurate estimated values. An added value for the user here is that if they’re worried about paying too much for a watch, they can follow it in a separate section of their Watch Collection and immediately see its current and historic value to help make the decision as to which watch to buy even easier. Plus, once they’ve made the purchase, they can add it to their own digital collection to monitor its financial performance over time. We’ve done this with some of our employee’s watches. It’s fun to use.

Is the condition very important?

Of course condition matters, but with watches, it is more about the rarity than the condition in many cases. This is especially true when it comes to limited editions like the Omega Speedy Tuesdays and rare vintage models; it’s quite fascinating how these timepiece perform over time. 

You also provide a Watch Scanner tool in your app. How does it work?

It’s actually pretty easy to use: Once you’ve launched the Watch Scanner tool in the Chrono24 app, simply take a picture of the watch you want to identify. The tool compares the photo with a database of around 15,000 watches and almost 2 million images from more than 6.5 million previous and current listings on Chrono24.

Based on this data, the tool can recognize the model and provides the user with other information like the reference number and its estimated market value according to the Chrono24 Watch Collection.

So far, the tool is able to identify around 15,000 different watch models, which is a lot. But that’s just a small percentage of all existing luxury watches out there. However, since it is based on a learning artificial intelligence program, the Watch Scanner is constantly evolving. We will soon be releasing an improved version that will include a feedback function and be able to identify more models. So far, the tool has been used more than a million times – and it’s only four months old.

Do you envision a physical location (permanent or pop-up) as part of the Chrono24 formula?

Looking back ten years ago, I never could have imagined that Chrono24 would be as big or as relevant as it is today. We acquired one of our retail partners about a year ago. We did this mainly to learn what life is like on the other side of the “screen,” so to speak. We also see the potential for other services. We have partnered with Fratello Watches, and we now sell limited editions through Fratello.

As of today, we are not looking for retail locations; instead, we count on our partners and look to help them sell online. That said, we are an agile business, so it’s hard to predict the future.

What are the strongest markets for Chrono24?

Historically, Germany was our strongest market, but this was obviously due to the fact that that is where Chrono24 started. Today, Chrono24 is a global entity, with the United States and Europe leading the way, followed by Asia, which is growing very fast. That being said, the United States is one of our top-three markets in many aspects, including sales and visits. We are very proud that we have around 900,000 unique visitors from the United States every month and that there are more than 120,000 American user accounts on Chrono24.

Does Chrono24 sell more new or used watches?

It’s about two-thirds pre-owned – or “pre-loved,” as we like to call it – and one-third new watches.

Is Chrono24 a tool to help dealers move aging inventory?

We work with close to 3,500 dealers worldwide and dedicate entire teams to these strong and important partners. While many of our partners have existing storefronts, Chrono24 is becoming a more relevant part of their business, and some of our partners actually sell exclusively through Chrono24. Most dealers offer all of their inventory on Chrono24, and not only aging pieces. 

What trends do you see in the U.S.?

Overall, we see a polarization of price points. The very high end remains strong –especially among well-known and recognized brands like Rolex, Omega, and AP – while the lower end of luxury watches (let’s say under $1,000) is not as strong as it could be. Also, our American users mostly buy from sellers that are also based in the United States – more than sixty percent of all U.S. sales are domestic. Surely one of the reasons for this is the high number of American dealers on our marketplace.

Globally, it’s a different picture: Approximately seventy percent of sales on Chrono24 are made across international borders.

Chrono24 keeps tabs on global watch market. Here are just a few results of last year’s pre-quarantine figures.

What about smartwatches on Chrono24?

Based on what we are seeing, smartwatches are acting like a gateway into more traditional mechanical watches. That said, not many people are searching for Apple watches on Chrono24. It seems our customers are searching for something special, and when they want to buy a smartwatch, they go elsewhere to do their research and make purchases.

How has buying a luxury watch online evolved over the last decade or so?

I remember before Chrono24 started I would spend hours and hours researching watches online and feeling like the platforms at the time made had more of a flea market atmosphere. You would have to search site after site and numerous retailers. If each site had a few hundred options, you might have to search for a long time to find the watch you really wanted to have.

You also needed to have a lot of confidence that the individual or company that you were buying from was legitimate. We are now in a situation where we can provide global transparency, a huge selection, and create a platform that makes for secure and comfortable purchases.

How safe is it to buy a watch from Chron24 with regard to authenticity?

Authenticity is our number one priority, as is the safety and security of the entire transaction from placing to order to when it’s on your wrist. First of all, our global sales team verifies and vets every dealer before we let them on the platform – and not everyone meets our high standards.

Second, we created Trusted Checkout, a free escrow service. Once you’ve found your dream watch on Chrono24 and have come to an agreement with the dealer, you transfer the amount due to an escrow account. We only release the funds to the seller once you have received the watch and are happy to keep it.

If there are issues, our multi-lingual support team is there to help buyers and sellers and guarantee a smooth transaction. Should conflicts arise, we even have a mediation team to guide buyers and sellers toward a mutually satisfactory solution. At this time, we don’t perform physical checks of the watches; instead, we offer a no-questions-asked return policy as part of Trusted Checkout to safeguard ultimate safety for the transaction.

Do you consider Chrono24 a disruptor in the industry?

This is our role: changing the industry, changing the way people purchase watches, especially pre-owned and vintage watches. Considering our global transparency, huge inventory, and market data paired with the low cost for the service of selling a watch, I would say we are creating a new and possibly disruptive platform for buying and selling watches. Several years ago, industry leaders wouldn’t even talk to us, but this has quickly changed as they have seen the service we provide – and probably also the passion for luxury watches we share.

At LVMH Watch Week in mid-January, Zenith debuted a new Defy collection made specifically for women. 

Called Defy Midnight, the line of 36mm steel watches is wide-ranging, with a selection of star-flecked dials on gradient blue, grey and mother-of-pearl dials. Every watch includes a steel bracelet and three additional leather straps, a set that represents a level of customization previously not found with any Zenith collection.    

We spoke with Zenith CEO Julien Tornare about Zenith’s path to the Defy Midnight collection. Read his comments below, in which Tornare also teases us just a bit about upcoming Zenith debuts.  

 

iW: Why launch a new collection for women? 

Julien Tornare: From the moment I came on board at Zenith, I was asked about creating new watches for women. This took time because first we addressed changes needed in the Elite and Chronomaster collections. I couldn’t do it all at the same time for many reasons, but we did address those once we saw that the Defy collections were a success. 

For women, we had models in Elite and in the Pilot collection.  But for a long time we didn’t have a complete strategy on women’s watches. 

 

What were your primary considerations when approaching the Defy Midnight design? 

My first thought was to create watches for women of the 21st-century, for today. That meant we needed to do that within Defy, which is our modern-focused collection. We needed to combine emotion and something rational. By that I mean a good tool for 21st century women.  

We worked within the ‘Time to Reach Your Star’ Zenith marketing concept, which focuses on achievement, being someone very active. To represent that we wanted to have the sky on the dial, so we have the sky and the stars on the dial. And among these stars is your star, the one you are looking for – the one you want to grab, to reach. This could be in your private life or in your business, your sports or your arts. We all have stars we want to reach.  

This is the emotion of the collection, the story. So first I wanted to have this dimension to the new collection.

Then we realized that women of the 21st-century often have four lives in one. My wife reminds me of this quite often, that women are quite better at multitasking than men. So I wanted a watch that women could use in different circumstances.  

We did not invent interchangeability for straps.  But we may be the first to sell the watch with a bracelet and an additional three straps. 

A woman of the 21st-century has many lives, and her day moves quickly.  Perhaps going to the gym wearing the bracelet, then changing it to the strap for a cocktail in the evening. We are offering four watches in one.

 

What about the technical aspects of the watch? 

I have always been against using quartz movements only for women’s watches and mechanical movements for men’s models. I think that is totally old-fashioned and wrong.  We do have more and more women telling us they want a mechanical watch, something sophisticated, and not with a battery. 

For the Defy Midnight Dials, we first thought about the starry sky that you can see when you visit our manufacture. And, our logo is a star. So we placed a sky on the dial in several colors, but it’s always with the stars. The star symbol is very positive around the world in many different areas. Ratings are given in stars.  Hollywood has stars. Zenith is lucky to have a star as its logo. We want to capitalize much more on that. 

 

How will you support the collection in your marketing?

‘Dream Her’ is a concept we’ll be doing this year in which we invite women who have achieved great things in very different fields to discuss their lives.  We will host events where this takes place. We are going to accompany these events with huge exhibitions. We will do these around the world, and they will each last about a week. 

 

(Zenith’s Elite Classic )

How have you changed the Elite collection?

We needed to update the design of the Elite collection. As you know I used to work for a classic brand, so I know what I wanted for Elite. It was a good thing that we had a successful Defy collection, which gave us the time to work on Elite, as well as Chronomaster. 

If you want to do a classic watch, which by the way can be the most difficult to design, we have to go for elegance. If you buy a watch like that, it is because you want an elegant watch. 

We worked on the case, the lugs, and looked within our own history. We refined the lugs and made a thin case– and added more value to the dial.  I thought that some of the earlier models were a bit flat and without emotion.

This is why we settled on a sunburst dial that is actually quite costly to create. I am so happy to relaunch this, because I believe there are always clients for an elegant watch. 

(Zenith’s new Elite Moonphase)

Can you offer our readers a peek at upcoming Zenith debuts? 

This will be a very interesting year for Zenith. Remember that last year we had all the 50th anniversary celebrations where we launched all of the revival limited editions for Chronomaster. The massive interest in Chronomaster leads us to our April debuts this year. 

You will also see another version of Defy coming this spring. This is the collection where we can play with colors and with limited editions. But Chronomaster must be linked to our history, so it will remain as you know it.  

During LVMH Watch Week, Bulgari made it clear that women are a priority audience for the brand, even as many of its recent award-winning Finissimo watches are targeted to male collectors. This explains in part why Bulgari debuted a new set of Serpenti watches during the debut event. 

But Bulgari also took the opportunity to enhance its offerings to women with a renewed attention to technical breakthroughs that in some ways match the cutting-edge thinness of Finissimo. 

Indeed, Bulgari’s highlight debut earlier this month, the Serpenti Seduttori Tourbillon, features the world’s smallest tourbillon, a technical coup that does double duty for the jeweler and watchmaker. In addition to emphasizing its collections for women, the new watch symbolizes Bulgari’s plans to expand the use of mechanical movements within a broader range of its feminine collections.

 As Bulgari Managing Director, Watch Business Unit Antoine Pin explains below, “Since we are a fully integrated manufacturer, why shouldn’t we make high-end complications for ladies?”

We discussed this and other topics with Pin during the Watch Week debut event.

(The new Bulgari Serpenti Seduttori Tourbillon features the world’s smallest tourbillon.)
   

iW: Why is it important to place mechanical movements inside watches for women?

Antoine Pin: We have two important reasons.  First, Serpenti was born with mechanical movements. And today there are very few mechanical movements in small sizes.

Secondly, we have built up incredible experience in micromechanics in our quest to reduce the size of movements while maintaining their performance. With this experience comes the appetite to go further. To see what we can do.

 

Why focus for now on complicated movements? 

It is somewhat easier to work on a small size tourbillon in limited numbers then to work on large mechanical movements. It is more technically complicated, but because of the production process, the questions you are tackling are different. 

Being a fully integrated high horology company, we have a better understanding sometimes of these smaller volume, highly complicated movements. Underlining this is the fact that we have a majority of clients who are women.  And since we are a fully integrated manufacturer, why shouldn’t we make high-end complications for ladies?

(The new Bulgari Divas’ Dream features a peacock feather dial and a mechanical movement.)

Some would say that there are no clients for this, but we get requests for this. We especially saw this with the Divas’ Dream. So what we are trying here very much fits in with our philosophy.

 

(Bulgari’s Divas’ Dream Lapis Lazuli)

Will you extend this work into additional, simpler movements?

We should clearly. It makes sense. Yes, a few movements of the small size do exist, from Rolex and Jaeger-LeCoultre, but these are very limited.

Will you continue with movements like the thin repeater inside the Divas Dream Finissima Minute Repeater?  

We will arrive with new innovations every year. It is also a matter of matching new markets.  But again, there is no market until there are products to offer. This is something we are monitoring. We do have demand for simpler complications, mechanical pieces with one or two functions. It is less of a collector’s spirit and more of a regular users spirit.

The new Bulgari Octo Finissimo Automatic in Black Sandblast and Polished Ceramic.

How did you decide to launch the new steel Octo Finissimo Automatic? 

It was obvious.  We have this amazing success with the titanium Finissimo collection and we had pushed to the ultimate stage in the innovation. 

The Finissimo has such high recognition from all of our partners, so there was no question of the idea to expand the product to meet the today’s standards with steel on steel, gold on straps, which are basics in ninety-five percent of watch company collections. It is also a way for us to expand our reach with watch connoisseurs. 

 So we have launched this well-known category of products while maintaining our standards for the Finissimo collection. This is also another way to introduce Bulgari as a watchmaker.  This gives our staff more possibilities to present Bulgari as the watchmaker against other watchmakers in the same classic categories.

 

Can you offer us any hints as to the April Bulgari debuts?

We have additional debuts in April and in September. We are now showing you pieces that are available very soon, not many months down the line. Clients can get confused when they hear about new products but don’t see them in stores.  

We will be debuting more jewelry pieces, plus new pieces in the other collections as well. 

What is interesting about the pieces we are showing right now is that they highlight our capacity to innovate both from a design perspective and from a mechanical perspective. We are not a jeweler making watches; we are true Swiss-born watchmakers making watches for more than 100 years, including more than forty years in Switzerland.  

The leadership we have on micromechanics like the small tourbillon is a way to say look at us for what we are.  We are a watchmaker with a different origin, with a different perspective on watchmaking that gives us new designs. We have a talent for creating designs that are different.