Up-and-Coming Auction Site Grailzee is Changing Watch Transactions - An Interview

Starting a successful watch auction site in the current market? Seems impossible. Since 2022, it seems that the watch market has been in a constant downturn. And with that, we have seen both independent watch resellers as well as larger operations struggle (and even disappear).  So, maybe starting a new watch auction site in 2022 doesn’t seem like the best endeavor. But in just a few years, Grailzee has made a name for itself in the industry. Perhaps this is due to their wide inventory or the fact that they have one of the lowest selling costs in the industry. Whatever the reason, we always believe that having more options than just Chrono24 or eBay is always a good thing, for both buyer and seller.

We had a chance to talk to Chase Jacobs, Grailzee’s Vice President of Sales, to learn more about the platform, and why it has been able to grow in popularity in just a few short years.

Wrist Enthusiast: As serial investors, why did Grailzee founders Kian, Arash and Bryson decide to move into the watch space, specifically the secondary market with Grailzee?

Chase Jacobs: Our founders shared a passion for watch trading and collecting but faced challenges in finding a safe and efficient platform for transactions. Major platforms often presented various issues, such as significant discrepancies between asking prices and wholesale values, which resulted in collectors losing excessive money when selling pieces. Additionally, the secondary watch market poses a huge risk for buyers due to frequent misrepresentations of pieces. After one of our founders narrowly avoided purchasing a counterfeit Audemars Piguet, they decided to create a secure platform where collectors could purchase directly from each other.

WE: What makes Grailzee different from all the other secondary market sellers/auction houses out there, including Chrono24, Loupe This, and even eBay?

CJ: At Grailzee, we offer the most secure buying and selling experience, coupled with the lowest fees in the market, where buyers pay only 5% of the purchase price. Upon agreement of a deal, the seller ships the watch to our authentication partner for verification of its description, and condition. Once the watch passes inspection, it is held in escrow until the buyer completes payment to the seller. This ensures that both the buyer and seller are both fully protected every time. 

WE: What year was the business founded and how has growth been over the years?

CJ: Grailzee was founded in 2022, since then, we have successfully sold over 15,000 watches. And our platform has over 100,000 registered users. 

WE: How has Grailzee dealt with the downturn in the market over the last year and a half? Has Grailzee seen less people selling their watches through the platform?

CJ: Grailzee is not directly affected by market pricing. Our primary objective is to provide collectors with a secure platform for buying and selling watches. Regardless of whether prices are rising or falling, there will always be buyers and sellers & the demand for timepieces remains consistent.

WE: What is Grailzee’s plan for growth? Will they expand the platform or are they more focused on growing the inventory?

CJ: Our primary objective is to cultivate awareness within our community. A growing number of sellers naturally attracts more buyers, and conversely, an expanding pool of buyers encourages greater participation from sellers. We place significant emphasis on the power of word-of-mouth promotion, reflected in the fact that over 50% of our clientele are repeat customers—a testament to their satisfaction.

In terms of platform expansion, we’ve introduced standard listings with fixed asking prices. However, we continue to maintain a bartering system with these listings, as we deeply value the negotiation process. Additionally, we've introduced more buying and selling options. 

WE: Why does Grailzee think social media marketing is such an important part of growing the brand?

CJ: As Grailzee's user base grows, its effectiveness in facilitating watch transactions improves. More sellers mean better deals and selection for buyers, while more buyers attract additional sellers. Leveraging social media as a powerful tool, we strategically build brand awareness within the watch collecting community. 

WE: What watches seem to sell the quickest on the platform?

CJ: Based on our sales data, Rolex, Panerai, Tudor, and Omega are the brands that sell the quickest on our platform. Within these brands, the most popular models are:

Rolex: Datejust, Submariner, Explorer, GMT-Master II

Panerai: Luminor

Tudor: Black Bay

Omega: Speedmaster, Seamaster

These models consistently move fast due to their high demand and exceptional reputation in the watch community.

Thank you to the Grailzee team for taking the time to answer our questions. You can check out Grailzee and see their inventory here.