In the classic car market you can count the top international dealers worldwide on perhaps one hand. One of them is Simon Kidston, based in Geneva, Switzerland.
Celebrating this year his 25th in the business, Kidston is simply everywhere in the classic car market.
Being the commentator and advisor to Europe’s most prestigious concours d’elegance at the Villa d’Este Concorso d’Eleganza, Mr. Kidston is also the commentator at the most famous car rally of them all, the Mille Miglia, in Italy.
Fluent in several languages, Mr. Kidston travels the world to find the top cars for his international clientele (that includes LME). There is hardly a model that Mr. Kidston has not sold and he has arranged new caretakers for cars like the Ferrari 250 Cal Spyder, the 250 LM, 250 SWB, Aston Martin DB4GT Zagato, and numerous significant Lamborghinis to name but a few.
In between arranging ‘Private Treaty Sales’ for his clients Mr. Kidston also writes monthly columns for ‘Classic Cars’ magazine and Keith Martin’s ‘Sports Car Market’. What sets Mr. Kidston apart from others in the business is that he is also a collector at heart and can be seen driving his 300 SL Gullwing, Porsche Carrera 2.7 RS and Lamborghini Miura SV regularly.
For a feel for the classic car market and where it’s heading – please read on:
LME: How do you see the classic car market developing this year, 2013?
Kidston: I think that contrary to my own expectations of the beginning of the year, the strong auction results at Arizona have clearly set the tone: new records were broken and I see the classic car market looking bullish for the foreseeable future.
How do you see the market in 2020? Where is demand coming from? Which brands will be sought after? Same as today?
Kidston: Between now and 2020 I believe we may well see a correction in the market: when, I don’t know, but no market goes only one-way forever. Longer term I’m optimistic. The top ranked collectible cars like the 250 GTO, the 8C 2.3 and 2.9 Alfa Romeo will remain saleable and I expect that values for those cars will be higher in 2020 than now.
In 2020 demand will be coming from China, the Middle East and Russia which is just now starting to appreciate collectable cars. The brands that will be sought after are the usual suspects: Mercedes-Benz, Aston Martin, Ferrari. These brands are strong, have a rich history and are recognisable to new collectors.
You have been in this business now for more than 20+ years. What has changed in this time frame?
Kidston: The business of buying and selling classic cars – these fundamentals are very much the same.
Ownership history or provenance, originality of the car, brand name and model- these factors still determine the value of the car.
What has changed is the balance of power. Where England used to lead the collector community , the US has taken over – because of the enormous wealth created in finance, real estate and technology. Of course the Internet has changed the way people are doing research and purchasing cars (probably for the worse).
Today people with an internet connection claim to be experts on Ferrari, for example, and have little hesitation in spreading misinformation. The personal touch has been eroded with the internet, but this applies less to the top end of the market where deals are still done between people, not computers.
Did you always know you that your profession would involve classic cars?
Kidston: No. When I was young I was more interested in music, although it was the 1980s and you didn’t have to play an instrument to be in a band. That idea didn’t last long. It was only after leaving school that I become more interested in classic cars rather than new ones.
My father was a lifelong ‘car guy’ and this influenced me, but he always bought the newest and fastest (but never flashiest). If a new model came out that was more efficient than the car he had, he would buy the new car. When I was young I was given a modest budget which allowed for a Renault 5 or, as I discovered, a (very) second hand Aston Martin. When I inquired about the insurance cost for a 17 year old with a new driving licence and a 150mph Aston- that dream quickly faded.
What was the most memorable car (s) you have ever sold?
Kidston: In 1992 I sold a 250 LM at Coys which was my first big auction sale of one of my dream cars. My first big private sale was a 250 SWB Competition berlinetta for £440k on Valentine’s Day in 1992. I also sold one of the many Batmobiles from the 1960s- that was fun, as my boss was arrested driving it down Knightsbridge (not a good idea with no licence plates and a Bat Chute scaring followers). The police confiscated the car…
You have a special relationship with Mercedes-Benz. You own a 300SL gullwing. What is so special about this car?
Kidston: My father had one new and he reminisced fondly about it. The 300SL Gullwing was a car I dreamt about when I was a teenager. I then realized my dreams seven years ago and bought a 300SL Gullwing in factory black.
There is some concern among collectors because the classic car market is so strong that some buyers today are not passionate collectors but investors looking to profit from the high prices. Do you see this as a concern?
Kidston: I think there is a lot more speculation than people admit. The speculators however are mostly focused on certain brands- especially Ferrari. The 275 GTB/4, California Spyder, Daytona Spyder and of course the 250 SWB. In a strong market like we have today, people forget that down the road there may be risks lurking. At the moment everyone is making money in this market, not just the dealers but also the owners, and people have short memories.
Do you see value in the classic car market? Maserati comes to mind? What other brands?
Kidston: Pre-war cars like Rolls-Royce offer excellent value. They are rare and beautifully built. Maserati also comes to mind. In the 1950s and 1960s, Maserati cars were built just as well as Ferrari. It is just that the brand today is less an obvious choice than Ferrari. A ‘count’ would drive a Maserati back then whereas the ‘playboy’ probably drove a Ferrari.
My blog is about watches and cars. Do you like watches as well?
Kidston: Yes, I love watches. I received a lovely 1950s Patek from my father which I sold to buy a car (a FIAT Dino Spyder). In the meantime the watch is worth ten times more than the car. I am still learning!
Patek in the watch world occupies the Nr 1 position in terms of records achieved at auction. Ferrari occupies the similar position in cars. Why is that? What does Ferrari have the causes people to be so emotional about the brand?
Kidston: The Ferrari brand is very strong because it is well managed but also because it has a colourful, single-minded history behind it thanks to its founder. Ferrari has been good at benefiting from rising prices and their Classiche department (the classic car arm of Ferrari) has given new collectors confidence- at a price. Today people buy brands and people stick to names they trust- Ferrari fits this way of thinking very well.
In finance there is the Dow Jones 30 Industrial Average with 30 of the blue chip stocks. How would a blue chip car index look like? (300SL, 275 Ferrari, DB5 etc)?
Kidston: All of the above and Bugatti 35 Type, Alfa Romeo 8C 2300 Spyder, Ferrari 250 GTO, Ferrari 250 SWB (this list is by no means complete).
Today with the availability of the internet people can do much of the research themselves rather than rely on expertise from outsiders. What makes your services special? Why do so many collectors (including LME) still rely on expert advice?
Kidston: A good buyer will make an informed decision and that involves speaking to other collectors, speaking to trustworthy experts. They should seek informed and objective advice.
With investments, if I want advice I do not go to the internet to get it. I go to different banks or asset managers, preferably those recommended by friends, and seek expert opinion. The same should be the case with the classic car collector looking to buy a car. He should seek trusted advice from a professional, and personal recommendation is worth more than any advertisement or website.
Sooner or later the collector will find the right expert with whom he can build a long term relationship, and then the enjoyment really begins.
Now I ask Kidston to respond spontaneously. He can chose one or the other or both:
- A day with Enzo Ferrari or Ettore Bugatti? Ettore Bugatti
- Sean Connery or Roger Moore as 007? Roger Moore
- 250 GTO or a 250 LM? Both
- To see Goldfinger or Thunderball? OHMSS
- To have lunch with M. Thatcher or W. Churchill? Churchill
