Luxury watches are a good analogy too. A $5 watch from the gas station will give you the time just fine but there’s a market for watches costing hundreds of thousands of dollars.
My friend does some trades in watch market as he gets access to limited editions from time to time (if you know right people in dealerships you can sometimes buy a watch out of line if the original "subscribed" buyer doesn't show up).
There are quite a few people who want to buy an expensive watch or two to show off on their social media. People just really like shiny status symbols.
Shady business, potentially, but you might be underestimating how much some guys really, really need to have the most expensive watch in their friend group.
You don't even need a watch. Smartphones can tell you time (you can configure to show times for many timezones) yet there is a market for watches (luxury or normal)
Watches, are just jewelry for most people any more. There are few people that can't check their phone for whatever reason that need functional watches, the rest of society mostly uses them for fashion.
I think you're quite underestimating how many times a person takes their phone out and it's way more than they turn their wrist around to see their watch
