Armando Zuccali's Veblen 2.0 idea is full of holes. Good macro analysis, dodgy framework, and a case study that contradicts its own thesis. Classic SDC fodder.
I don't think there is anything wrong with having different formulations of Veblen buyers. They can co-exist. I think there are at least four different types not just Veb 1.0 and 2.0
What are the four types? (I think more generally, I am saying there is no v2.0 here anyway, because it’s still just v1.0 which applies as intended… let alone v3 and 4!)
Remember Bourdieu? I don’t think Zuccali does… under his logic, SDC should be renamed “Freud 2.0” because your mental models are better predictors of collector behavior than general psychology
"in a way which might even confuse the LLM which wrote it". Oh no - you didn't... Yeah - you did.
I must note that I didn't read the WatchPro article, but I know they are the type of outfit who can't be bothered to correct $50,000 to $15,000, nor recognize t from the beginning that the initial figure is an error. (See "Meylan and Moser loves Margins" ). https://www.screwdowncrown.com/p/sdc-weekly-140
I agree with your take that it is a mistake to refer to Journe auction results as a Veblen 2.0 favoring creativity over high prices and I think you are more generous than necessary in your interpretation that in today's age an FPJ acquisition indicates "you’re signalling ‘I’m knowledgeable enough and connected enough to own a Journe.’ The currency may have changed from money to taste, but the game is no different."
The very reason people are paying high prices for FPJ on the secondary market is because of the high prices FPJ commands on the secondary market! As for demand for primary acquisitions from FPJ boutiques, did multiples more watch enthusiasts fall develop watch knowledge from 2019 until today which made them love FPJ more than any other watch maker such that they spend outsized effort to "get on the list?" No, the majority of enthusiasts new to FPJ and trying to get on the list are there because of the secondary market pricing, even if the second order effect is "you’re signalling ‘I’m knowledgeable enough and connected enough to own a Journe."
Said another way, Veblen 1.0 is alive and well.
We're at a point at which you can't discuss FPJ watches without having the secondary market pricing be part of the conversation overtly or at the very least front and center in one's consciousness. And that again is Veblen 1.0.
It's part of the game which adds spice to this pursuit.
“The very reason people are paying high prices for FPJ on the secondary market is because of the high prices FPJ commands on the secondary market!” - well played, sir. 🤣
I agree with you about India. I was just there for three weeks and my wife travels there often for work. I rarely see a luxury watch unless it's on a foreigner's wrist. Not never, but not often. My wealthy friends there who are interested in watches seem to go very high up in the market.
I don't think there is anything wrong with having different formulations of Veblen buyers. They can co-exist. I think there are at least four different types not just Veb 1.0 and 2.0
What are the four types? (I think more generally, I am saying there is no v2.0 here anyway, because it’s still just v1.0 which applies as intended… let alone v3 and 4!)
I get you. I probably mean the motivations not the outcome. The 4Ps from years ago. (what I called 'logo, quiet, tribe, reward')
Remember Bourdieu? I don’t think Zuccali does… under his logic, SDC should be renamed “Freud 2.0” because your mental models are better predictors of collector behavior than general psychology
"in a way which might even confuse the LLM which wrote it". Oh no - you didn't... Yeah - you did.
I must note that I didn't read the WatchPro article, but I know they are the type of outfit who can't be bothered to correct $50,000 to $15,000, nor recognize t from the beginning that the initial figure is an error. (See "Meylan and Moser loves Margins" ). https://www.screwdowncrown.com/p/sdc-weekly-140
I agree with your take that it is a mistake to refer to Journe auction results as a Veblen 2.0 favoring creativity over high prices and I think you are more generous than necessary in your interpretation that in today's age an FPJ acquisition indicates "you’re signalling ‘I’m knowledgeable enough and connected enough to own a Journe.’ The currency may have changed from money to taste, but the game is no different."
The very reason people are paying high prices for FPJ on the secondary market is because of the high prices FPJ commands on the secondary market! As for demand for primary acquisitions from FPJ boutiques, did multiples more watch enthusiasts fall develop watch knowledge from 2019 until today which made them love FPJ more than any other watch maker such that they spend outsized effort to "get on the list?" No, the majority of enthusiasts new to FPJ and trying to get on the list are there because of the secondary market pricing, even if the second order effect is "you’re signalling ‘I’m knowledgeable enough and connected enough to own a Journe."
Said another way, Veblen 1.0 is alive and well.
We're at a point at which you can't discuss FPJ watches without having the secondary market pricing be part of the conversation overtly or at the very least front and center in one's consciousness. And that again is Veblen 1.0.
It's part of the game which adds spice to this pursuit.
“The very reason people are paying high prices for FPJ on the secondary market is because of the high prices FPJ commands on the secondary market!” - well played, sir. 🤣
All I know is that trees don't grow to the sky, tastes change, and so does perceived value.
As always, thanks for a thoughtful note and analysis.
Glad you woke up and chose to bitchslap!! 🤣 👏🏼👏🏼👏🏼👏🏼
I agree with you about India. I was just there for three weeks and my wife travels there often for work. I rarely see a luxury watch unless it's on a foreigner's wrist. Not never, but not often. My wealthy friends there who are interested in watches seem to go very high up in the market.
Data seems thin and the products are niche.