Coinspeaker
Ronaldo Buys Stake in Luxury Watch Trading Website Chrono24
Ronaldo is investing in Chrono24, an online watch trading platform, which exposes him to a market he loves to patronize. The deal puts him among the Chrono24 shareholders, like private equity firms and LVMH chairman Bernard Arnault’s family.
Ronaldo, in a statement, said:
“As a long-term watch collector and regular user of Chrono24, it’s a pleasure for me to become a shareholder in the company now. Chrono24 unites millions of watch lovers from all around the world to share their passion together – that global unification is something I know well and am thrilled to be a part of.”
Chrono24 is an online marketplace dedicated to buying and selling luxury watches. It was founded in Germany in 2003 and has since garnered a strong reputation in the watch industry. The company is currently the largest dedicated online marketplace for luxury watches. The marketplace comprises dealers and private sellers seeking to sell their products, and Chrono24 earns commissions on their transactions.
The amount Ronaldo paid for the stake was not made public. However, Chrono24’s co-chief executive officer, Tim Stracke, said the amount invested by Ronaldo is significant for the company.
Ronaldo has been a fan of luxurious wristwatches, as he has been seen with brands including Rolex, Jacob & Co., Frank Muller, and Girard-Perregaux. Recent reports by the Daily Mail stated that the football star has a Frank Muller worth £1.6 million, a Van Cleef & Arpels timepiece with 464 diamonds, a one-of-a-kind Hublot worth £800,000, and many more. He is a lover of luxury wristwatches.
The Surge and Decline of the Luxury Watch Market
Although the second-hand luxury watch market had a significant surge in 2021 and 2022, it is currently going through a correction, which made the prices of luxury items fall sharply. Some analysts believe that the price has also been affected by higher interest rates, the decline in economic growth, and the collapse of cryptocurrencies.
According to Statista, the total revenue expected for the second-luxury wristwatch market at the end of the year is still expected to reach $1.3 billion, which is higher than the $1.1 billion generated in 2022. The market will keep increasing, reaching around $2.2 billion in 2027.
The Gradual Recovery of the Luxury Watch Market
Chrono24 laid off 13% of its staff in January after a decline in revenue in 2022. The layoff was to restructure its operation mode amid the revenue reduction. However, its CEO Stracke mentioned that the price of some watches, like Rolex, is stabilizing while others are still declining, but at a slower pace than they did last year. The slight price recovery is also due to the reduced supply of some luxury items in the market. The rise in the price of some watches and a slowing in their reduction could be signs of a major market recovery.
