What do AD’s make

[Marlin01]

Hi guys, just intrigued to know. What does a typical AD make on the sale of a new Rolex sold to a customer - is it something that’s know or a trade secret lol.

[GoingPlaces]

Originally Posted by Marlin01

Hi guys, just intrigued to know. What does a typical AD make on the sale of a new Rolex sold to a customer - is it something that’s know or a trade secret lol.

Why do you care?

[brkn]

Originally Posted by GoingPlaces

Why do you care?

none of your business.

[GoingPlaces]

Originally Posted by brkn

none of your business.

Thin skinned much?

[michaelodonnell123]

Originally Posted by GoingPlaces

Why do you care?

"Why he cares" is not your concern. Just answer the question.

[MrGoat]

Originally Posted by michaelodonnell123

"Why he cares" is not your concern. Just answer the question.

No. It’s an entirely relevant question. We aren’t forced to answer any questions on a public forum, nor are we forced to comment on them. You’re the problem if you think questions can’t be asked about ones query.

Who are you to determine what ones concern is either?

Then, who are you to demand others to do yours or the ops will on a thread that’s not even yours?


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[brkn]

Originally Posted by MrGoat

No. It’s an entirely relevant question. We aren’t forced to answer any questions on a public forum, nor are we forced to comment on them. You’re the problem if you think questions can’t be asked about ones query.

Who are you to determine what ones concern is either?

Then, who are you to demand others to do yours or the ops will on a thread that’s not even yours?

Sent from my Apple privacy invasion product

that is an entirely irrelevant question asked in an aggressive manner. That question wasn't asked in good faith. that is what people call toxic behavior, and you are trying to defend that.

[MrGoat]

Originally Posted by brkn

that is an entirely irrelevant question asked in an aggressive manner. That question wasn't asked in good faith. that is what people call toxic behavior, and you are trying to defend that.

“Why do you care?” Is toxic to you?

Really?

Like, it makes you feel oppressed or something?

It’s a question that’s relevant. I’m very sorry if you or anyone else was offended by it.

Obviously we need mandatory sensitivity training here before posting.


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[GoingPlaces]

Originally Posted by brkn

that is an entirely irrelevant question asked in an aggressive manner. That question wasn't asked in good faith. that is what people call toxic behavior, and you are trying to defend that.

You are delusional if you think my question was aggressive. Perhaps some sensitivity training is in order if you are so easily offended. Thin skin indeed.

It was a simple question inquiring what is the motive for the question. This is a forum that allows for open discussion. If you don't have anything positive then perhaps you should stay on the sidelines. Personally I would like to know why the question was posted. OP has the right to answer or not. It's that simple.

[Vantablack]

Originally Posted by GoingPlaces

Why do you care?

god this forum can be toxic.

[Golfbone]

Originally Posted by GoingPlaces

Why do you care?

What a stupid response. Really moronic.

[GoingPlaces]

Originally Posted by Partanon

Why do you answer if you are gonna be a dck? Lol these entitled people.

Some more class here.


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[ArtNouveau]

I think dealer invoice is 63% of MSRP…give or take a few percentage points.

[Easy E]

About 35% on a Rolex, about 300% on the crap they make you bundle to “build a relationship.”

[Big Tex Rolex]

Originally Posted by easy e

about 35% on a rolex, about 300% on the crap they make you bundle to “build a relationship.”

lol !!

[Cwillis0001]

Originally Posted by Easy E

About 35% on a Rolex, about 300% on the crap they make you bundle to “build a relationship.”

Good one.

[just1time]

Originally Posted by Easy E

About 35% on a Rolex, about 300% on the crap they make you bundle to “build a relationship.”

[TswaneNguni]

Considering market conditions,ADs make too little and the secondary/grey/used/ pre-owned market too much .

[bob sims]

Originally Posted by Easy E

About 35% on a Rolex, about 300% on the crap they make you bundle to “build a relationship.”

[Quamby]

Originally Posted by Easy E

About 35% on a Rolex, about 300% on the crap they make you bundle to “build a relationship.”

Very true especially the latter point about bundling. I was recently referred to a salesman at the Hongkong jewellery chain/Rolex AD. I asked for a green submariner and the salesman came back to me with a bundle offer of HK$35,000 of their own branded diamond jewellery (I’m not even allow to pick what to buy) and a dogshxt Tudor of no less than HK$30,000. So HK$65,000 on top of the green submariner (HK list price: HK$82,800).

I declined the offer as the HK$35,000 of diamonds is probably worth HK$25,000 at most and I probably can’t give the makeweight Tudor away for free.

[worldofoyster]

32%

[Big Tex Rolex]

I read somewhere once that there was a “40% markup”, so who knows … it seems we are all over the place on this one.

Whatever it is, it must be worth it to them to go through all of this !!! Startup cost, dedicated store square footage, disgruntled / frustrated customers …

[Cloudchaser]

It has traditionally been a wholesale cost of 62% of MSRP.

[brandrea]

Originally Posted by ArtNouveau

I think dealer invoice is 63% of MSRP…give or take a few percentage points.

Originally Posted by Cloudchaser

It has traditionally been a wholesale cost of 62% of MSRP.

In and around here is what we’ve seen here on the forum.

Frankly, I’m surprised it’s so low considering the overheads that many of these dealers have to absorb, especially the boutiques where they don’t have other product lines to sell

[Devildog]

Originally Posted by brandrea

In and around here is what we’ve seen here on the forum.

Frankly, I’m surprised it’s so low considering the overheads that many of these dealers have to absorb, especially the boutiques where they don’t have other product lines to sell

Interestingly I've just checked my local AD's financials. Not a boutique (that's operated by WOS)

They are an independent AD for Rolex, PP, Tudor and Panerai + some others as well as jewellery. 2 locations, Glasgow and Edinburgh.

Profit after all taxes, etc, for the year to May 2021 (basically the first year of Covid which had many periods of closure) was 4 times that of the prior year. That's an incredible performance reflecting the £2m increase in turnover in that period.

[brandrea]

Originally Posted by Devildog

Interestingly I've just checked my local AD's financials. Not a boutique (that's operated by WOS)



They are an independent AD for Rolex, PP, Tudor and Panerai + some others as well as jewellery. 2 locations, Glasgow and Edinburgh.



Profit after all taxes, etc, for the year to May 2021 (basically the first year of Covid which had many periods of closure) was 4 times that of the prior year. That's an incredible performance reflecting the £2m increase in turnover in that period.

I believe it Scott, with Jewelry especially, the margins are huge.

In a boutique only scenario, the overheads are the same but the margins are thinner (assuming the 63%) is correct)

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[RKunz]

Of all the watch brands the big R is the smallest margin for ADs.

[Edfrozen]

37.5% is the correct amount

A typical Rolex dealer sells over $10,000,000 a year in Rolex watches
Do the math. $3,750,000 in gross profit

[wiem0014]

Originally Posted by Edfrozen

37.5% is the correct amount

A typical Rolex dealer sells over $10,000,000 a year in Rolex watches
Do the math. $3,750,000 in gross profit

This is really interesting info that I have not heard before. Out of curiosity, where did you get the $10m Average data from? Do you have any idea what the average number of watches they sell to get to $10m?

[VogelPhoenix]

Originally Posted by wiem0014

This is really interesting info that I have not heard before. Out of curiosity, where did you get the $10m Average data from? Do you have any idea what the average number of watches they sell to get to $10m?

Rolex' annual revenue was reported to be USD 13 billion in 2021. That would make it $20B for the dealers. There's about 2000 ADs, giving $10M revenue on average.