AD's wiggle room on pricing

[anuradha]

Turning 55 this year. Hence the two tt ones.4th and 5th

[Zack1978]

Originally Posted by sugaray

I believe luxury items should be bought with cash, or atleast a layaway with a good down payment.

with Rolex ADs being a dying breed, discounts are a hit and miss. My AD gave that my family knew for over 50 years ,me 22% off of a SS DJ a few years back, sadly he closed shop. I was looking around and my closted AD for an Explorer 39mm and inquired about a discount. I was then told "this is a Rolex, you are aware of that" Went with a breitling instead due to price and at a different dealer too due to a snob.

Why are AD's a dying breed?

[caprebels]

I'm from the VA area so this might help. I went to all the AD Rolex AD dealers around the DC/MD/VA, the standard is about 5% off some SS models. 5% was off of the Explorer II, DateJust II w/o Gold, and GMT LN. They wouldn't budge on the Subs or GMT II BLNR. If you want one with precious gold (white or yellow), they tend to discount about 10-20% b/c those don't move as fast.

I was very close to buying a DateJust II smooth bezel w/ sticks Blue dial. I was offered 7.5% but when I found the GMT BLNR, I jumped on it. Of course, no discounts but I felt lucky that I was able to see it in person and buy it. I paid retail and shipped out of state to save 6% VA tax. PM if you need help or have questions to which AD I bought from.

[Danny83]

10 to 20% at a mom and pop AD

[jon_jon]

Originally Posted by Zack1978

Why are AD's a dying breed?

Smaller mom and pop ADs often struggle with cash flow and many close during harsh economic times. However for the same reason, they may also be a better source for a discount compared to huge chain store ADs located in malls.

[sugaray]

Originally Posted by Zack1978

Why are AD's a dying breed?

With In the past 5-10 years Rolex withdrew a good portion of their Ad's status

[sond86]

Originally Posted by sugaray

With In the past 5-10 years Rolex withdrew a good portion of their Ad's status

Very true 4 out of 8 ads within about an hour of me lost accounts.

Most of the remaining 4 have remodeled stores to be almost like boutique.

[Lordofrolex]

Never have gotten more than 10% at an AD. And in Beverly Hills the tax is 9.5% so pretty much the only discount there giving me is tax free purchase.

[rolexFL]

Between 5-10% on SS models has been my experience.

[mattinva]

Locally I have found 6.5% But on highly popular sports models 5% Tax is 6% so its about a wash.

Grey markets seem to knock down 20%, interestingly enough. with some you get the warranty and papers depending on the AD they source from.

I never understood that, if the AD can sell to a GD at more than 20% why they don't sell direct at the nearly the same discount.

Omega won a suit against Costco because they where grey marketing there line.

[ronricks]

Originally Posted by Zack1978

Why are AD's a dying breed?

Most brick and mortar stores are becoming a dying breed doesn't matter the industry. People go in them to try things on or test them out then purchase them on the Internet for a discount and no taxes. It is an outdated business model to be honest. Look at all the companies out there struggling because they didn't adapt. It is only going to get worse. It isn't just watches. It is a lot of things. Just the current World we live in.

[TickTockChuck]

Depends on local economies, demand and AD-Customer relationship. I agree with the approx 40% profit margin for AD's when sold at MRSP. Professional models have the least discount due to ongoing demand. I've had anywhere from O% (Hulk) to 15% (GMT IIc black). If you have a waiting list, why discount? If you indicate you would like to build a loyal relationship for future prchases with a particular salesperson, that may help leverage a discount. Good luck!

[returntorolex]

Originally Posted by mattinva

Omega won a suit against Costco because they where grey marketing there line.

Maybe I'm wrong.....I thought Omega LOST that lawsuit.

[Spartacus]

Would Rolex be Rolex if every Joe nobody off the street could get them 40% off?

[ayah777]

Here in Singapore AD's have lots of wiggle room on the price - upwards. Some models selling for 30% above list.