Luxury watch prices have continued to rise sharply in 2026, driven by a combination of inflationary pressures, currency fluctuations, and strategic pricing approaches within the industry. The trend has affected a broad range of brands, from high-end makers to more accessible labels, signaling a pervasive shift across the watch market.

Porsche Design CEO Wilhelm Schmid attributed recent price hikes on select models, effective April 1, primarily to inflation and the need for regular price adjustments to keep pace with rising costs. “At the end of the day, everybody wants a bit more salary. Nothing gets less expensive,” Schmid explained.

Data from the Luxury Watch Barometer, which monitors sales at over 2,800 independent jewelry and watch retailers across the United States, confirms the upward trend. Fred Levin, its managing director, reported an approximate 7% increase in the average selling price among luxury brands—such as Breitling, Omega, Tudor, Cartier, and IWC—during the first four months of 2026 compared to the same period last year. More strikingly, the prestige segment featuring brands like Patek Philippe and A. Lange & Söhne saw its average prices jump by nearly 28% in the first quarter.

This steady escalation has surprised many collectors, especially at brands like Breitling, long known for pricing in the $3,000 to $5,000 range. “I woke up one day and all of a sudden Breitlings are $10,000,” said Michael Gong of the collector group Complecto.

Industry experts point to premiumization—a strategy aimed at bolstering perceived value to justify higher prices—as a significant factor reshaping the market. Oliver R. Müller, founder of LuxeConsult, highlighted that while many brands have moved upmarket, new opportunities are emerging in the lower tiers left behind. Brands such as Tiffany, Longines, and Frederique Constant are filling these spaces, alongside microbrands.

British company Christopher Ward is frequently cited for offering well-regarded watches below $5,000, appealing to consumers seeking quality for less. Patrik Hoffmann, chairman of Swiss brand Favre Leuba, said his company focuses on volume sales of affordable Swiss-made timepieces, targeting a price point around 1,800 Swiss francs for entry-level models.

Despite some pressure on pricing at the entry and mid-levels, established names like TAG Heuer continue to justify higher prices through enhanced technical features. Nicholas Bibeauck, TAG Heuer’s heritage director, noted that the brand’s new Monaco Chronograph, retailing at $9,350 in the U.S., incorporates a proprietary in-house movement and titanium casing, factors supporting its premium pricing.

For seasoned collectors, these developments provoke a mix of acceptance and amazement. Michael Hickcox of London observed that inflationary cycles occur roughly every two decades, often accompanied by record-breaking sales at auction houses. “There are plenty of people out there—see the collection Mark Zuckerberg has put together—who don’t care how many zeros you put at the end of that price,” Hickcox remarked, underscoring the sustained demand for high-end watches despite rising costs.