What’s the Difference Between Custom and Factory Set Watches?

While custom watches and factory-set watches are both designed with real diamonds and precious gemstones of similar size, quality, and quantity, there are many distinct characteristics between the two types of watches.

A factory-set timepiece means that the stones in that watch were applied directly by the technicians of the watch brand’s manufacturer without any third-party involvement. All of the inserts were always meant to be a part of the original design. The alignment, orientation, position, strength, and proportion of the gems are precise. The amount of time and attention to detail required to meticulously create a factory-set watch means that these luxury timepieces are high priced and harder to obtain.

While Avi & Co. has a showroom located in fast-paced New York City, the watch industry operated at a very different pace. Artisans train for almost a decade to produce luxury timepieces by hand. If you are wondering why factory-set, gem-studded watches cost so much, there is your answer: Countless hours of skilled labor go into producing every single one of these unique and coveted pieces.

The client base for factory-set watches is ordinarily small, and because of this, they are created with flawless dials, bracelets, and bezels set with precious stones. Premium watch brands also rely on ensuring supply never meets demand because it adds to the idea that a person is making a luxury purchase.

Custom watches, also referred to as aftermarket watches, are watches that have diamonds added by unauthorized third parties on a preexisting timepiece. Also referred to in the industry as “iced-out,” or “blinged-out,” a custom timepiece has some replica parts, and the bracelet, case, or the diamonds set on the watch are not original.

Custom set watches are produced frequently, but they are typically considered less valuable than the watchmaker’s original, factory-set design. There are many components on a watch that can be customized depending on the specific timepiece; gemstones can be added to the case, lugs, or dial. Engraved messages can be written on the caseback, and top watch brands may even be able to customize a movement part with a special color or wheel. One of the most common forms of customization is DLC or PVD coating, which gives an all-black look to the metal for a stronger appearance.

The greatest part about customizing your watch with diamonds is that it gives the memento a flashier appearance, matching your personal style. With the advancements in technology and people wanting to keep up with the latest trends, it’s only fitting that people want to own a timepiece that is tailored to them. Designing a custom watch allows for complete creative freedom with how the customer wants their watch to look; this builds a timeless and emotional connection. Buying an aftermarket diamond piece will also cost much less than factory watches while allowing the wearer to stand out.

“A personalized approach through customization is key for high-end clients, and particularly those with a penchant for haute horlogerie,” CEO of Zenith Watch Company Julian Tornare says. “We see high demand for this service, and delivering it is part of our commitment to fulfilling client expectations. We create custom pieces for clients who are not interested in wearing watches generally available to the public; they prefer unique examples of watchmaking, a way for them to be actively involved in the creation of a timepiece. And this trend is not slowing down; on the contrary, it is rising.”

Engraving the back of a luxury watch could make any gift even more memorable; it shows that you went the extra mile in thinking of the gift recipient on their special day. While most buy watches to collect or simply tell the time, a lot of what makes a watch so meaningful is the story behind it. Add an engraving to the caseback either with the person’s name, the event’s date, or a short note for that personalized finishing touch.

While adding diamonds to a timepiece can make it more lavish, it completely changes the shape and size of its original form; the manufacturer may need to trim portions of the watch, damaging the overall quality.

If your plan is to sell or loan your luxury timepiece in the future, it’s highly inadvisable to customize your watch. Customization can not only be a costly process, but also often fails to translate to a higher resale value, like most may believe. An unaltered, original condition timepiece is worth far more than the material value of any added diamonds.

For Rolex in particular, timepieces with additional adornments are considered “fake watches” in the eyes of the brand, and they won’t service a watch with any custom parts. This creates problems when Rolex owners are trying to repair their watch and can’t find a reputable repair shop.

Finally, the quality of a watch that is customized aftermarket won’t be the same as an original factory set product. A brand’s manufacturer is careful when selecting each gemstone. A local jeweler might use economy-class diamonds to meet the needs of a customer who is on a tight budget.

Each diamond or gem should be aligned in a uniform direction, just as they would by a hand-crafted factory set watch. An iced-out watch will have proportions that don’t sit just right because they were never designed that way. Diamond accessories can also be cracked, noticeably cloudy, or feature non-white stone. If there is still any uncertainty, check the reference number of the watch. This will reveal if it was intended to have gem-set parts or not.

Many of the top watch brands have made unique watches in the past for their top clients. One of the most impressive examples was when financial banker and art collector Henry Graves turned to Patek Philippe to have the most complicated watch built. This pocket watch held the record as the world's most complicated portable mechanical watch for 56 years.

Many of today's most iconic watch collections were initially made at the request of clients. In 1931, the Jaeger-LeCoultre Reverso was released as a request from polo players who wanted a watch they could wear while playing. The IWC Portugieser was requested in 1939 by two Portuguese businessmen who wanted a highly legible watch as precise as a marine chronometer.

In the past, these types of customization timepieces were a genuine way to help brands grow. However, as technology progressed, it became more difficult to make those custom orders while keeping up with the luxury demand. The amount of time it takes to create a detailed watch is why they are also harder to obtain. For example, Richard Mille produces about 3,000 watches per year because it takes about 12 meticulous weeks to make just one watch.

Smaller brands are trying to think outside of the box to include non-traditional methods of watchmaking. With big brands not having the time to stop production for individual customized watches, smaller companies have started offering this option. For example, watch company Jacob & Co. created an Astronomia watch for Leonardo DiCaprio’s charity. “Doing bespoke (customized) work has been a part of my company since the very beginning,” Jacob & Co.’s founder Jacob Arabo says. “It’s how I set myself apart, and we continue to do this today. Nowadays, true luxury is about exclusivity, and there is nothing more exclusive than having a bespoke timepiece. I love making my clients’ dreams come true, and our company is set up to create these unique pieces.”

So, should you customize a watch you own or invest in a factory-set watch? At the end of the day, it really depends on your personal preference – but it is important to note that customized watches will typically not yield a return on your investment. A factory-set watch is considered 100% original and any customization is seen to watch collectors as negative and less appealing, as it can devalue the watch.

If you are set on finding a watch that is unique to you, then customization might be the right option. However, before you spend money on a custom watch, we would encourage you to explore the secondary market for purchasing luxury watches. More often than not, you can find incredible unique pieces that you will not see on just anyone’s wrist. And when you opt for a factory-set watch, it is more likely to hold its value for years to come.

At Avi & Co., we are a trusted watch reseller dealing exclusively in factory-set watches. We believe that the watchmakers’ original creations carry the most value, and therefore, we diligently vet each and every timepiece that passes through our hands. Explore our wide selection of luxury watches in our New York, Miami, and Aspen showrooms.

Schedule an appointment today to find the perfect factory-set watch for you.