Well yes, but this has not impacted (new) higher end luxury watch sales as much as one might have expected. Companies like JLC and others have been doing direct website sales for a while now but Rolex is still holding out, and B&M ADs are still part of the chain in this area.
However, now that new Rolexes sell themselves with no sales skill required... cutting out the sales people looks more and more practicable. That just leaves B&M ADs as a place to hand over the watch and take the money, and maybe as a showroom to try on 'exhibition only' pieces. So maybe direct sales are beginning to look more and more culturally feasible even for the likes of Rolex.
Who knows.
I am certain that we'll see even Rolex selling direct online eventually.
So why make out that I really want one if you already know that I don’t?
It may be hard to understand but some people simply don’t want or need a Rolex.
This may be for a variety of reasons - which those who do want one should celebrate as it effectively increases availability for them!
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I'm not so sure. These are more boutiques than shops and all part of the luxury retail experience.
One thing I don't understand is the grey market dealers. Several people have suggested here that Rolex turn a blind eye to ADs selling to resellers. Why? Is it to to keep liquidity in the market and/or to show that they are undervalued at RRP? With each watch carrying a "serial" (except randomised, because Rolex) number it would be easy for HQ to see which ADs are leaking. To be honest the whole thing is so far removed from any normal business practice as to be unfathomable to me, a mere mortal.
Just to share my experiences.
I jumped on a massive watch-purchasing binge in 2016-2018. These included 4 SS Rolex’s but also many others as well.
- Ceramic Sub from AD
- YM Blue dial from AD
- Ceramic Daytona white dial from a Grey. I paid £11.5k for this (+£2k over AD if you could get one)
- An Oyst Perp 26 for the good lady (tactical gift for various reasons).
The Sub. I never really gelled with it as a fav. Will keep, maybe give to my Son?
YM. Love this watch – especially on a RubberB Blue strap. I do like the YM/Daytona case over the Sub case and will never sell unless forced.
The Daytona. Sold this to WF for £24k in September. Made on it big but see this as nothing but Tulip mania. Was I interested in making a profit? No. But it became clear that wearing opportunities were becoming limited and if people think this is worth 24-27k, I think their priorities are wrong. Good enough for me to sell and think I’ve done well without the greed.
Do I think people who buy at 24-27k will make +12k? No. I think current owners will do well to retain value going forward. I think putting food on the table will become a higher priority soon for most of us.
What did I learn? Well I rode the hype somewhat and arguably got off at the right time. Guilty and sorry. However, my purchases now are more about what I really like to wear than an “investment”. I spend most of my time enjoying a Freak X and Reverso more than any Rolex I own or want. I still scratch my head over the marketing, hype and escalating prices. Emperors’ new clothes and all that.
This is a mad game for what are relatively ordinary watches and Im convinced many will get burnt very soon.
Started out with nothing. Still have most of it left.
Pics of the Freak X in the next Friday thread please guycord!
Phenomenal watch - one of the earlier models would be on my unlimited funds list.
Would be good to see the reverts too. Very underrated and super quality watch.
Someone speaking out and telling it how is it...
https://youtu.be/VHD2rU0XJcQ
That video has just confirmed that market value is now the predominant factor in the market. It always happens eventually.
The message is clear, if you don't like the way Rolex operate, buy another brand.
I’d say good luck to the ‘professional’ flipper interviewed; £100,000 tax free over a couple of years (on top of your day job) seems like a reasonable incentive so long as people are willing to pay such a premium for ownership.
I’ll also bet that the ‘professional’ flippers are not the ones left with stock on their hands at below book value when the bubble bursts
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I would have thought some kind of easing of values over say 3-5 years.
Interest rate rises/mortgage costs
Increased taxation to pay for furlough/covid etc ( got to be paid for somehow and even inflation will take a long time to erode the debt with this one, surely)
Other indicators such as ftse/bonds
Energy costs- the current elephant in the room.
I certainly won’t be paying “overs” for anything atm.
I know things can change but in nearly every case, providing you sit on your Rolex for a year or two, you can resell and show a profit. So buying a Rolex isn't the act of a fool.
The RRP is now a myth, if you buy and sell at the going rate, it will be quick, painless, enjoyable and profitable. If you are determined to buy at RRP, you will have a long drawn out struggle on your hands.
The bad publicity only comes from those who moan about the "market hype". One day they will latch on to the fact that one one really cares what they think and their best bet, for their own happiness, is to forget that Rolex even exists.
I’m calling bull**it, there are a number of inconsistencies in his story and you have to ask yourself why ADs would be so desperate to accommodate him when they can quite easily sell to as many genuine buyers as they get watches who, most likely being local, are far more likely to return to the shop for other items.
I wouldn’t be surprised if Paul Thorpe had written it himself and just pressed auto read!
Yes some models are more difficult to obtain from the AD's than other but certainly not impossible if you are prepared to wait a few months. Also all that keeps the prices above retail is "market hype" and people needing to have the new hyped model immediately.
I am certainly not complaining as I have personally done very well from it but there is no way it will last...
The concept of holding on to a watch for a couple of years - even a Rolex - and making a profit when it comes to resale really is still a relatively new concept.
A few years ago I was actually told by a Rolex representative that you never lose money on their watches. It just so happened that I had a pending sale of an Explorer so asked if they would care to put their money where their mouth was.
They declined - it lost money as predicted
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Last edited by David_D; 27th December 2021 at 12:38.
In the ‘interview’ I thought he said that he buys to sell on to dealers whereas Milton or Mark Worthington already sell to the public.
As such, they are more of a middle man.
When it comes to tax evasion - that’s another issue altogether!
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This is a bit left field but thought it apt here.
I took my daughter to Chanel New Bond Street in London last week and they flagged a lady who was buying multiple bags and this time monitored her during the convoluted process and worked out she was buying as an agent for her customer and immediately took it off her and banned her from any future purchases.
They now require photo ID either a passport or driving licence which they save on file to flag up anyone buying more than 1 bag every 60 days.
I wish Rolex AD's would do this and ban the serial flippers who are preventing people who actually want one for themselves to keep and treasure rather than purely as a tax free investment opportunity.
I wouldn't normally watch something like that but I'm at a loose end until 3pm and so I sat through it ... I'm not sure I believe that ... 3 SS Daytonas ??? ADs don't need flippers to shift their stock.
As if any AD is going to be impressed by some guys job ... celebrity endorsement maybe but nothing more ...
And if he’s such a successful/famous person, why does he need (and how does he have the time) to go round buying loads of watches he sells at a loss to get others to sell at a profit?!
More I think about it, the more it looks like one for the Didn’t Happen Of The Year awards.
Ye. Load of rubbish that video.
He got all these watches because he was friendly with the AD. 2 years ago sounds like he was right at the start of the real hype.
I'd imagine the first AD would of been a little annoyed when he came in for a 2nd sub two weeks later after selling his to a mate
That video seems bogus. If you can afford to buy a date just and sub in close proximity why would you be tempted by making a quick £500. Doesnt ring true
Last edited by David_D; 27th December 2021 at 19:05.
Clearly there are some ADs complicit. A £30k stickered Daytona suggests so, anyway.
https://www.ebay.co.uk/itm/Rolex-Daytona-Mens-Panda-White-Dial-Watch-116500LN-Immaculate-Condition-/194671735745
Could have got a batman for 7k a couple of years back. don't regret not pulling the trigger but I doubt I ever will with this madness anyway