Rolex is 'cooking' something big. Only THEY know what it is

[GerardoG]

P.S. LOVE the food references!!! THANK YOU!!!!!!

[Dyim]

Bad for the ADs by squeezing their margins.

[RRKnight]

Are they doing anything to increase supply and squeeze the grey market?

[jh225]

Originally Posted by GerardoG

Well, this applies to Mexico. An immediate meeting was called to HQ. In it, a nasty fight between ADs as everyone pointed fingers and proved that other ADs were selling pieces under retail. This was also confirmed by the mystery shoppers; an issue that just added fuel to the whole situation.

Effective immediately:

-LIST prices will be published online.
-NO AD is authorized to sell under retail. ZERO discounts.
-In order to impose this; sales price to the customer will remain intact, but PROFIT to the AD will be reduced. Now, if they dare to give discounts, it will be on a MUCH lower profit and also risk penalties for failing to comply. AD does not like making less profit and break the rules? He'd better look for another brand to rep.


...ahhhhhh, the letter issue arises again. A bunch of comments on that old thread; 'does it exist' 'where is it' 'if we do not see it, it is made up'... What happened? ALL ADs were hit will less product. Don't believe me? How have your last visits to YOUR AD been like? I guess their displays are NOT full, are they? Last thing I will say about the 'letter'.

So, only applies to Mexico?

Was this the big scuttlebutt from the OP, or a second separate issue and meeting?

[Rbrand]

I trust Rolex Anytime and Day they have great ideas so definitely they would come out with something Fantastic for us, Rolex All Day

[breitlings]

Originally Posted by jh225

So, only applies to Mexico?

Was this the big scuttlebutt from the OP, or a second separate issue and meeting?

I believe it would be illegal in the USA to force MSRP.

[James K]

Originally Posted by breitlings

I believe it would be illegal in the USA to force MSRP.

Not necessarily, it's more of a vendor relationship issue. There's no law that would prevent a manufacturer from discontinuing it's relationship with a retailer for selling against the corporate plan. How many apple products out there can you find that are discounted below the MSRP? Sort of a similar set up, just a bit more strict.

[Rolexatlast]

Originally Posted by James K

Not necessarily, it's more of a vendor relationship issue. There's no law that would prevent a manufacturer from discontinuing it's relationship with a retailer for selling against the corporate plan. How many apple products out there can you find that are discounted below the MSRP? Sort of a similar set up, just a bit more strict.

This would constitute anti-competitive (anti-trust in the US) behaviour, with BIG fines in Europe if proven

[Abdullah71601]

Originally Posted by James K

Not necessarily, it's more of a vendor relationship issue. There's no law that would prevent a manufacturer from discontinuing it's relationship with a retailer for selling against the corporate plan. How many apple products out there can you find that are discounted below the MSRP? Sort of a similar set up, just a bit more strict.

In a previous thread SMD said it would be an antitrust violation. He's attorney with expertise in this topic, so I'll take his word for it.