Omega watches to see price increases

Omega, the renowned Swiss watchmaker, is preparing for another round of price hikes following a previous increase earlier this year. Swatch Group AG, the owner of Omega, has been closely monitoring the luxury market, where entry-level Rolex prices have skyrocketed, often reaching twice the cost of an Omega timepiece.

Omega contributes around 60 percent of the group's turnover, which also encompasses brands like Swatch, Tissot, and Longines.

According to Bloomberg, some analysts view these price increases, ranging from 2 to 8 percent depending on the market, as a sign of weakness rather than strength. The move could potentially impact sales volumes for Omega, the third-largest Swiss watch brand by revenue, as other watch brands within the Swatch Group struggle to boost their revenue.

Morgan Stanley suggests that Omega's sales volumes may be affected as scarcity is not a factor and their models remain widely available. This stands in contrast to Rolex, where most models trade at a premium, while Omega watches often trade below their retail price on the secondary market, as per data from WatchCharts.