Not sure if this has been mentioned yet,

[Mosco]

but AP is slashing dealer discounts by 5% for all SS RO's and ROO's as of January 1st, 2014. So, if there is a model you're after, I wouldn't recommend waiting.

[sleddog]

Thanks Greg!

[cdnyc]

The trend continues. I'm sure it will continue to continue too..

[Hairdude1]

Thanks

[subtona]

Whew, made it:)

[Demonoid]

Thank you Greg for looking after us.

[HL65]

Thanks Greg...Good intel!

[travisb]

Thanks for the info.

[AMCK87]

Whew, made it!


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[TAKUYA]

i heard it will be 5%-10% on SS RO models only?

[00pumpkin]

Just great. Knew it would be coming soon....

[00pumpkin]

So, I was thinking: This is just a reduction in discounts, not an actual price increase right? So we could see an increase in addition to that...

[texex91]

My AP AD confirmed the same...time to shop :-)

[mdtddd2007]

Yes is true...got the information by a very reputable seller who email me yesteday. AD 35% cost msrp.

[HKRolexFans]

Thanks for the information but just wonder if this discount reduction policy applies to all ADs across the world

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[bayerische]

I guess good discounts from AD's are soon a thing of the past.

[iim7v7im7]

I heard that ADs will be paying an additional 10% on steel models.

This is part of APs attempt to gain retail (and gray) pricing control to boost brand equity. It is an effective way of culling the extent of pricing consideration. It also is designed to minimize pricing differences between ADs and boutiques to bolster their direct supply channel. Other luxury brands have also minimized the number of pieces out at ADs to minimize gray market exposure (watches are supplied only when a customer has ordered it).

[texex91]

Originally Posted by iim7v7im7

I heard that ADs will be paying an additional 10% on steel models.

This is part of APs attempt to gain retail (and gray) pricing control to boost brand equity. It is an effective way of culling the extent of pricing consideration. It also is designed to minimize pricing differences between ADs and boutiques to bolster their direct supply channel. Other luxury brands have also minimized the number of pieces out at ADs to minimize gray market exposure (watches are supplied only when a customer has ordered it).

Short term will hurt my pocketbook if I want a new piece, but long term it's a good thing for the brand. Smart to do it right before SIHH!

[s14roller]

Originally Posted by iim7v7im7

I heard that ADs will be paying an additional 10% on steel models.

This is part of APs attempt to gain retail (and gray) pricing control to boost brand equity. It is an effective way of culling the extent of pricing consideration. It also is designed to minimize pricing differences between ADs and boutiques to bolster their direct supply channel. Other luxury brands have also minimized the number of pieces out at ADs to minimize gray market exposure (watches are supplied only when a customer has ordered it).

Your 10% cost increase to the AD seems
to conflict the 5% increase the OP posted. Just saying. The other stuff I agree with and has been in the works for the industry for a few yrs now.

[iim7v7im7]

Originally Posted by s14roller

Your 10% cost increase to the AD seems
to conflict the 5% increase the OP posted. Just saying. The other stuff I agree with and has been in the works for the industry for a few yrs now.

For what its worth, I spoke to my friend who is the owner of an AP AD for decades before I even saw this thread regarding this subject. This upcoming change in dealer pricing was shared with me in the context of a broader conversation regarding the changes going on in the business. I thought that I would chime in because it was inconsistent with the original posting.

[B. Doggy]

Just glad I got my 15300 when I did. Has done nothing but good things in terms of value since then.

[Shikar]

So the forged carbon and non SS models will not see a price increase?

Regards.


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[mb23]

Just an FYI, I am also hearing a 10% hike in dealer cost. I would think the increase is on all remaining models FC, Steel, Ceramic, would only make sense.

[00pumpkin]

So, 5% or 10%?

[VICI]

Yet they dropped $ on gold models earlier this year

[bayerische]

Originally Posted by Alex_NYC

Yet they dropped $ on gold models earlier this year

I think that was an opposite move. Keeping the dealer cost the same while lowering the customer cost. Reducing discount levels. Makes sense as the price of gold has been deteriorating lately.

A true high-end brand shouldn't be offering discounts. (Think Patek) I think this is something AP is trying to fight at present, just like Rolex and Omega are doing.

[iim7v7im7]

Originally Posted by Alex_NYC

Yet they dropped $ on gold models earlier this year

That was more focused on bolstering Jukes Aidimars sales. They also simultaniously asked dealers to send back unsold inventory on some pieces to limit gray market exposure. AP JA line-up was being outsold by ALS, PP and VC. This was not a reflection of a drop in material costs, but an attempt tostimulate a faultering part of their line-up in my view.