Another trip to the AD. Another surprise at the state of the onion.

[markrlondon]

Forgive me if i'm misreading this but with this current Rolex situation, one would assume that an AD selling to a grey dealer would charge the grey dealer MORE than RRP, not less.

Oh, absolutely not less (at least for watches that interest us here) under the current circumstances. Whether it's at, around or above RRP would, I guess, depend on the specific watch.

Grey dealers used to exist to take watches off the AD's hands to save them from the fact that they couldn't shift watches and needed to do so in order to look after their bottom line

No, grey dealers used to exist, just as they do now, to buy and sell watches at a profit (just like ADs, of course).

Now, as you say, the market dynamics have changed recently so that greys must pay at or above RRP (for the watches that concern us, at least) but the strength of the grey market has been strengthened by all this, not weakened. Whether greys buy direct from ADs or from buyers who have bought from an AD is immaterial.

Nowadays there is no situation like the above so the risk/reward for the AD swings the other way - make more margin from the watch by selling it grey, but risk getting caught by Rolex doing so.

Quite so. (But see also greys buying from people who have bought from ADs, even though in many cases these buyers would surely be likely to be 'connections' of the ADs or its employees).

For all other brands outside of Rolex, AP RO and PP though, I guess the status quo continues.

I don't think that the status quo has substantially changed: The market is the winner, as it always must be when demand outstrips supply. Only the dynamics at any particular time change.

My overall point being: If all this is intended to defeat the grey market it is failing. It is only harming the reputation and viability of smaller ADs (even though their per-unit margins are being protected for now).

[RobDad]

I contacted my AD this morning. I went on their website, ordered a limited edition watch and it’ll be here within 1-2 working days. Good old Casio.co.uk! AD? They’re called shops, and if they don’t provide the product I want I buy it elsewhere. All this pandering to companies makes my skin crawl, or is it just me?


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[apm101]

FWIW, I was in Gibraltar at Easter, and they had some precious metal sports models, including a bi-metal sub. I don't know what they will have now, but maybe worth a call?]

https://www.theredhousegib.com/

[Omegamanic]

FWIW, I was in Gibraltar at Easter, and they had some precious metal sports models, including a bi-metal sub. I don't know what they will have now, but maybe worth a call?]

https://www.theredhousegib.com/

Interesting, I’ll be working in Gib v soon and will have to check them out.

[Yeti]

Without trying to sound boastful, the AD I purchase from has been very accommodating over the last 18 months. I’ve managed to buy 2 x Batman
1 x white dial skydweller
2 x deep sea blue
1 x root beer gmt

Any watch I’ve shown an interest in has been available within a couple a months and I’ve always bought the watch whether i was 100 per cent about it or not. I figure it keeps me in good stead with the AD and I’ve been promised a steel Daytona this year but as of yet it hasn’t materialised. Only caveat is the usual no flipping within a year and the withholding of warranty cards etc. The doubles were watches my brother requested and they came with the same stipulations albeit we would both be “blacklisted” as such if any were sold within a year. AD did say to me that precious metal sports models were basically only ordered in to store now after a customer profile was sent to head office which id never experienced before and felt quite comical...

[Richy]

In reply to the comments :

The watch I am after is the no date sub. As I was retiring at the grand old age of 48, it was a retirement gift to myself. ( don’t get excited, I will have to get another job....lol ) Was not willing to put on a card, but that was my personal decision.

Only one of the AD’s (Laings) took me off the list, I spoke with them and have been re-added. Felt this was a bit unfair when they knew I wanted it in June. However me and a mate have both commented that their service levels have fallen over the last year, with other dealings we’ve had with them. imho.

[markrlondon]

I contacted my AD this morning. I went on their website, ordered a limited edition watch and it’ll be here within 1-2 working days. Good old Casio.co.uk! AD? They’re called shops, and if they don’t provide the product I want I buy it elsewhere. All this pandering to companies makes my skin crawl, or is it just me?

:-)

Not just you.

[Mystery Scott]

For my part, France is the same story as the U.K. Pas de Rolex sportifs.

I go to Parma, Bologna, Prague and Zurich semi regularly and all of these are the same story as the U.K.

In 2017 I went to India and tried on a hulk, SD and sub no date - all in the first AD I went into in Mumbai. Went back in 2018 sufficiently cashed up and the same AD said that they now have the same waiting lists as the U.K. for sports rolex.

I feel like Rolex has worked out that it’s a global market and they’re now treating their supply as such.


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[Groundrush]

Care to elaborate? I can’t find any evidence of reduced production

I seem to remember reading somewhere that Rolex had been forced to divert some of their movement production to cover the increased demand for Tudor. Can’t remember where though. If true, that would probably explain some of it.

[744ER]

I seem to remember reading somewhere that Rolex had been forced to divert some of their movement production to cover the increased demand for Tudor. Can’t remember where though. If true, that would probably explain some of it.

Nonsense, because Rolex don't make the Tudor movements. A third party movement manufacturer makes them, same as all Tudor parts.

Its worldwide demand that has skyrocketed the last 2 years, nothing else.