– You get Norway cheap – E24

With the rise in euro and dollar prices, it is becoming increasingly interesting for Norwegian watch collectors to turn to foreign countries to sell them. According to one long-time enthusiast, a lot can now be gained from the move.

The three watches you see above all recently disappeared overseas.

Many watch enthusiasts are now telling E24 that there is a clear trend in the used luxury watch market, with people choosing to turn to foreign countries when selling more expensive watches.

Due to the weak krone exchange rate, selling abroad is more attractive, because you then get money in euros and dollars, calculated in Norwegian krone.

-We see that more people are thinking about this now than before, and that many people believe that focusing on overseas sales is a smart decision.

That's what Kevin Kolletmueller, administrator of the Klokkeriet Facebook group, and a long-time watch enthusiast and collector, tells E24. The Facebook group now has around 90,000 followers and is one of the most widely used and popular viewing forums in Norway.

– Pays off especially with more expensive watches

Return to the three bells at the top of the case. They have all been sold abroad by Frederick Norling recently. Respectively, Hong Kong, England and Germany.

Norling has been collecting watches since the early 2000s, and has been trading watches steadily.

– When the krone exchange rate is very weak, you get better salaries abroad than in Norway. If you sell overseas, the market for some special watches is also much larger, he says.

According to Norling, there are also many other people in his circle in the “current environment” who are now thinking the same thing.

– He says that it has become appropriate to ask yourself the question of how much profit is made from selling the watch outside the country instead.

The krone exchange rate has been at historically weak levels since the pandemic hit the global economy. The euro has not gone below 10 Norwegian kroner since September 2022, and the dollar has barely fallen since the beginning of last year. The euro and dollar cost 11.3 NOK and 10.5 NOK respectively today.

Typically, you get paid less when you sell watches abroad. This is because the buyer then has to pay customs duties and taxes on the watch. This typically makes up 25 percent of the sales price. As a result, willingness to pay is often lower abroad than in Norway.

But now, according to Norling and Kultmüller, the krone has become so weak that selling it abroad has become more profitable, even if the buyer has to pay customs costs.

– Now it has become especially profitable to sell the most expensive watches, preferably vintage and special watches. You cannot extract the true values ​​here at home due to the tightness of the market. It helps to get paid in euros or dollars, says Norling.

– You can buy a Rolex with a month's salary

During the pandemic, many people had spare money because borrowing money was cheap, and people stopped traveling and eating out.

This opened the eyes of many Norwegians to collecting watches. This also led to an increase in the prices of some models, both in this country and internationally. High prices have been referred to as a bubble, also in E24.

– Now you see that a lot of people are trying to sell these watches, so the prices have dropped a little. It also makes it better to sell abroad. Because you are then dealing with a much larger market.

Norling has witnessed a sharp rise in the prices of the most popular models since the interest and hobby began about 24 years ago. Today, he sells surgical equipment, including implantable devices for brain surgery.

– When I started, you could easily buy a Rolex Submariner for a month's salary or a bonus. Then it costs about 15 to 20,000 NOK. Now the cost of such a watch is several hundred thousand kroons. Buying such watches now requires greater priorities and more thought, he says.

– Norway at a cheap price

Olaf Chen, head of global personalization and attention at Storebrand, is not surprised by the trend.

– It stands to reason that you will now get better pay if you sell expensive watches abroad. You see the same thing in the tourist flows that are now coming to Norway. This is believed to be the same type of effect.

– Now Italians and Spaniards are filling Norwegian planes and coming to Norway because they have gained much stronger purchasing power here after the fall of the krone. Frankly, they are now getting Norway on the cheap, says the economist.

Chen explains that this trend clearly follows exchange rates.

– This is something we have seen for a long time, and there are several examples that illustrate this effect. Among other things, he says, it is the Danes who are now buying cabins in Norway.

– When it comes to the clock example, this is purely economic logic. It's no wonder you now get more from a sale if you are paid in euros, or especially dollars. He adds that it would be a kind of currency arbitrage.

Chen says it's important to point out that watch sellers now get bigger salaries if you calculate in Norwegian krone.

-If they use the sale money on a holiday in Europe, it also becomes much more expensive than before.