Former AD Ask Me (almost) Anything

[AK797]

Originally Posted by EDL7

I think I finally get the Grey thing..
Greys are not prejudicial or show favoritism....anyone can buy from them..anyone...that wants the watch..and has the cash..
Unlike AD's..
Blame Rolex for that..all of it..

Bitcoin is more to blame than Rolex.

[David5807]

Originally Posted by M1166

These lists are not governed by Rolex SA so an AD can pretty much do what they want. As long as the AD does not sell to people whom have been blacklisted by Rolex.

Most sold: Datejust 36mm steel.

How do you become blacklisted by Rolex?

Please delete this comment. The question in this post has been answered already.

[yhzdude]

Originally Posted by seadweller43

heard of someone said they bought hard to get ss models like SD43
at a premium at an AD. is it really happening?

i did. first purchase i ever made at that store.
i even walk ed away and came back a week later, since it was not the watch i had in mind.

[al1786]

Originally Posted by Valhala

60%... so of course they have wiggle room even for stainless

Wiggle room yes, but why would they wiggle when they can easily sell at full price.


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[wytrader]

Originally Posted by longimanus88

I have been dreaming about specific models for YEARS (first, SD 16600, then 116600 and 116660 D-blue), I know their history, I have been diving for years, etc. So I guess I might qualify! Moreover, it will be the marker of an achievement (graduating as MD and entering residency), so emotional and symbolic purchase!

This was me -10 years. I grew up ogling every sub on any wrist. Then saw someone with a sub with date but no cyclops and he explained why and how and that it was called a Sea-Dweller and explained what the side valve was for, from that moment on I was sold. FF 25 years (Rolexless) and a Daytona caught my eye. After maybe 20 visits to the AD he knew who I was and somehow I was able to buy it.
Later that year the 16600 was discontinued so I ordered one just on time. There were huge amounts of threads detailing that the M serial was the final SD and that it was going to be such an investment. When mine came in it was a V serial. I was happy wearing the Daytona so left the SD in its coffin where it has been ever since, and ironically my first SD is the only watch I have never worn. I've been lucky enough to buy every SD since and my AD knows who to call when the two new Deep Sea's come in.
My point of sharing is that sure the AD's are looking out for themselves and their future first and foremost but given a choice between making a guy happy that can share that experience and story with all of his family and friends might be more valuable than giving it to the guy that just says order me the watch, I'll be a loyal customer.

[fskywalker]

Thanks for sharing!

[JTL31]

Originally Posted by M1166

I do apologise for wanting to sleep.

Now I like you even more ~ thanks for contributing!!

[lhawli]

Originally Posted by M1166

Very good question! It is better to have a relationship with one store and one person. I used to know my clients by heart and their families, dogs, interests. If something came in a delivery and I remembered a conversation with Mr X about Mrs X's birthday I would ring and offer that to him. It helps us to know you over a long period of time to better gage what we can do for you. Otherwise you are as much of a stranger to me as I am to you!



Larger companies understand that you might want to shop in a different branch if they happen to have more stock available. My advise: 1 store, 1 person if your aim is to build a relationship.

I agree with the 1 store 1 person approach, which is what I have also. But that 1 person needs to be an owner or family business ties with owner.

A regular sales person, just like you would end up in multiple AD and then on this form and all someone built relationship wise would be lost.

So it’s key to pick the right “1 person” and an AD that is stable, reputable and been around for years.


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[Canforfair]

Originally Posted by Dusko.Popov

That was supposed to say “60% of msrp.” I edited my original response. But yes that is a nice margin.

Remember shop rates / rent. Wages - you’ve obviously never run a business!!!


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[tyler1980]

Originally Posted by Canforfair

Remember shop rates / rent. Wages - you’ve obviously never run a business!!!


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exactly. Plus people are acting like these AD's are selling 50 watches a day or something. Most are not and i bet some small AD's sell a watch or two maybe on average.

Im sure insurance isnt cheap either

[longimanus88]

Originally Posted by wytrader

This was me -10 years. I grew up ogling every sub on any wrist. Then saw someone with a sub with date but no cyclops and he explained why and how and that it was called a Sea-Dweller and explained what the side valve was for, from that moment on I was sold. FF 25 years (Rolexless) and a Daytona caught my eye. After maybe 20 visits to the AD he knew who I was and somehow I was able to buy it.
Later that year the 16600 was discontinued so I ordered one just on time. There were huge amounts of threads detailing that the M serial was the final SD and that it was going to be such an investment. When mine came in it was a V serial. I was happy wearing the Daytona so left the SD in its coffin where it has been ever since, and ironically my first SD is the only watch I have never worn. I've been lucky enough to buy every SD since and my AD knows who to call when the two new Deep Sea's come in.
My point of sharing is that sure the AD's are looking out for themselves and their future first and foremost but given a choice between making a guy happy that can share that experience and story with all of his family and friends might be more valuable than giving it to the guy that just says order me the watch, I'll be a loyal customer.

Sick collection man!!! My interest for the SD partly comes from a very close family friend who has been a Comex diver back in the 80's. Unfortunately, his Comex watch was stolen while working on an offshore platform........

[DahMan]

I just have to ask, you mentioned back in the day 5% commission was around and today, 1%. You also made reference of the importance of knowing your customers,which takes effort and timely follow up.
So a typical sale at $10k, is a $100, you have to sell a large volume of watches, to maintain a certain standard of living...my thoughts are a guy can’t make a good income on Rolex alone...all that said....
What is a typical annual Rolex sales dollars per year, for an AD, ....$3M is $30K, if you sold them all.
Because I saw a question about tipping an AD, and now I wonder if I should.?

[pilotjim]

Originally Posted by DahMan

I just have to ask, you mentioned back in the day 5% commission was around and today, 1%. You also made reference of the importance of knowing your customers,which takes effort and timely follow up.
So a typical sale at $10k, is a $100, you have to sell a large volume of watches, to maintain a certain standard of living...my thoughts are a guy can’t make a good income on Rolex alone...all that said....
What is a typical annual Rolex sales dollars per year, for an AD, ....$3M is $30K, if you sold them all.
Because I saw a question about tipping an AD, and now I wonder if I should.?

I'd say selling Rolex is only a small part of a jeweler's business.

[Dusko.Popov]

Originally Posted by Canforfair

Remember shop rates / rent. Wages - you’ve obviously never run a business!!!


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Fair points. And I haven’t run a business. With that said, an Ad will make $2,500 - $3,500 on the sale of a standard stainless steel Rolex. The sale of that one piece, I would think, pays for rent for the month.

[ian6988]

Originally Posted by Dusko.Popov

Fair points. And I haven’t run a business. With that said, an Ad will make $2,500 - $3,500 on the sale of a standard stainless steel Rolex. The sale of that one piece, I would think, pays for rent for the month.

Rent for a decent sized store is more than $2,500-3,500/month at a high traffic mall that’s why ADs try to push PM watches more.

[DahMan]

Well, now your talking money vs 1%. I too would be very proactive and customer oriented at $2.5K per transaction. Please pass on my best wishes to the wife and kids.......

[pilotjim]

Originally Posted by DahMan

Well, now your talking money vs 1%. I too would be very proactive and customer oriented at $2.5K per transaction. Please pass on my best wishes to the wife and kids.......

I believe the 1 percent figure was the sales person's commission, not the store's profit margin.

[rebel_1]

My AD sells around 400 pieces per year. I’d guess that equals around 4 - 6 million. I have no idea of the commission though. I would guess that a good AD that sells Rolex and jewelry sells A LOT of Her Too stuff!

[yhzdude]

i think you guys are answering your own questions, OP is missing in action.

[Paul_I]

Originally Posted by yhzdude

i think you guys are answering your own questions, OP is missing in action.

I mentioned this before and it didn't go well.

[Navarino]

Originally Posted by yhzdude

i think you guys are answering your own questions, OP is missing in action.

Was about to say... He's gone AWOL on us for a few pages now!

[ttomczak]

Originally Posted by DahMan

I just have to ask, you mentioned back in the day 5% commission was around and today, 1%. You also made reference of the importance of knowing your customers,which takes effort and timely follow up.
So a typical sale at $10k, is a $100, you have to sell a large volume of watches, to maintain a certain standard of living...my thoughts are a guy can’t make a good income on Rolex alone...all that said....
What is a typical annual Rolex sales dollars per year, for an AD, ....$3M is $30K, if you sold them all.
Because I saw a question about tipping an AD, and now I wonder if I should.?

Don’t confuse what the ‘former AD salesperson’ indicated, no business would would sell 3 million in gross sales and only make 30k, they would lose almost 3% for every CC transaction made. While we might never know, it’s much higher than 1%. And he did indicate that that was his commission, which is still seems low for a high value product.

[SMD]

Originally Posted by ttomczak

Don’t confuse what the ‘former AD salesperson’ indicated, no business would would sell 3 million in gross sales and only make 30k, they would lose almost 3% for every CC transaction made. While we might never know, it’s much higher than 1%. And he did indicate that that was his commission, which is still seems low for a high value product.

Don’t mix up sales commission with store profit margin.

[ttomczak]

Originally Posted by SMD

Don’t mix up sales commission with store profit margin.

Which is what I was trying to convey in replying to the persons post.

[DoctorA]

I don’t want to sound bad but have been following his thread and all the OP answers are almost laughable! But what amazes me is that people believed and started asking questions as he/she continued to give answers a lot of which made no sense to me!
Now that he’s MIA it confirms my skepticism!


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[brandrea]

Originally Posted by DoctorA

I don’t want to sound bad but have been following his thread and all the OP answers are almost laughable! But what amazes me is that people believed and started asking questions as he/she continued to give answers a lot of which made no sense to me!
Now that he’s MIA it confirms my skepticism!


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He’s still asleep

[Paul_I]

Originally Posted by brandrea

He’s still asleep

[HK Islandboy]

Originally Posted by Dusko.Popov

Fair points. And I haven’t run a business. With that said, an Ad will make $2,500 - $3,500 on the sale of a standard stainless steel Rolex. The sale of that one piece, I would think, pays for rent for the month.

Rent here is 20x that....plus paying staff, and the capital cost of carrying a couple of million in inventory

[EDL7]

30% to 40%..profit margins..is bad news for a business owner..
3% credit card fees on the entire sale ..the govnt takes its share of the profits..the town and state takes their share....then there are expenses and inventory to purchase..
The real $$ made are in jewelery etc...not watches..
That $2500- profit per watch..turns to dust..quicker then you might think..
That's why the Grey market is a better option to make bux...no card fees to pay..low overhead..little to no employees..no state tax to charge..

[watchmework]

Originally Posted by DoctorA

I don’t want to sound bad but have been following his thread and all the OP answers are almost laughable! But what amazes me is that people believed and started asking questions as he/she continued to give answers a lot of which made no sense to me!
Now that he’s MIA it confirms my skepticism!


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+1 been saying this since the beginning of the thread...was obvious he didn’t have the experience he was claiming based on his answers, most of which were common knowledge.