Question on buying Daytona C. 40% deposit

[JUSTIFIED]

Reaching out to the community is definitely a wise move. However, it indicates some doubt on your part. Listen to that little voice...if it's telling you not to do this, then there is your answer.

[jon_jon]

Originally Posted by arizonapaul

Hi, I am in the states and have bought watches from this Jeweler in the past. They are in Europe.
They are AD's for many lines, but not Rolex. I do trust them as they have a brick and mortar store and have had good service in the past. Bought 2 watches in past year at great prices.
So, they are asking for a 40% deposit, and I can get one of the first ones that they get. They claim it will probably be September at the earliest, and they have a great supplier. I can buy the watch at MSRP.
Do I do this deal?? Will it void the warranty?(I guess I can ask them this question).
I think I should go with it. Also, never paid any duty fees or anything last time.

There are many ADs around the world that struggle to sell their allotment from Rolex and are at risk of losing their dealership if they don't sell a certain volume. This can happen in the US as well as in Europe or anywhere else in the world. They are typically located in small or medium sized cities that do not have a large population with disposable income and very few visitors from out of town. These ADs have to sell their watches at a discount to survive and maintain their Rolex AD status. So what are they to do? They will sell to gray dealers and other re-sellers including other watch stores that are located in larger cities with enough traffic to sustain their business.

If the above is the scenario that OP is dealing with, I do not see any problem unless the watch store that OP has previously done business with has a shady past. Without knowing the full story, the rest of us can only speculate.

[GB-man]

Originally Posted by texex91

No.

Paul, what if I told you I could get you a new 458 speciale for msrp! All I need is your SS#, CC #, Address and DOB. Guaranteed delivery by 2037

[benzng]

short answer would be no. i think its better to be safe than sorry. i would have no problems with this if they issue a receipt acknowledging the deposit and they are an AD of Rolex of which they are not.

[Danny83]

Since you have done business with them before sure why not

[AzHadEnuf]

You know, you just never know what's going on behind the scenes of another mans business. So here's my cynical scenario. There's a jewelry store that is experiencing financial difficulty. You find 50 past customers willing to advance you $5,000. September 1st your store in empty. Your inventory was been melted for scrap. The phones and lights are off and in addition to your hasty liquidation you have a quarter of a million dollars, cash, in you pocket from 116500 deposits.

Like I stated I'm a cynic, but as said before, what AD is going to sell to gray market dealer, at a discount, the hottest watch on the market right now. Your store is not an AD. Nothing prevents them from selling the watch to any of their current clientele above MSRP. The market will support the premium. How about offering them a grand over MSRP (which by the way would be a great deal this early on the gray market) with no 40% deposit? It's not like if you don't buy it they will be stuck with it. If the $5,000 has no impact on you in then event of a loss, go for it. Personally I'd drive up the road from you and roll the 5 grand at Talking Stick Casino on a crap table or a weekend in Vegas.

Good luck.

My vote would be to pass.

[Singslinger]

I'd agree with Ralph (AzHadEnuf), although I would never pay a premium over MSRP.

[1William]

If you have to ask you are questioning the deal. Short answer, don't do it. It does not sound right and you have very limited legal recourse should the deal go south. The new Daytona is a regular production watch. Get on some lists, call some smaller AD's in small markets.

[Mfrankel2]

Lots of scenarios possible but as to the questions as to why an AD would sell below MSRP to a second dealer on a sought after reference: I've bought many pieces from non-AD sources (Trusted sellers here, diamond district in NYC, etc.) that at the time were in short supply at AD's and I paid no more than list. Often AD's package those pieces with slow movers and sell at a discount to keep inventory (and cash) moving.

The decision to do this deal should be based on your relationship with and knowledge of the seller.

[arizonapaul]

Originally Posted by GB-man

Paul, what if I told you I could get you a new 458 speciale for msrp! All I need is your SS#, CC #, Address and DOB. Guaranteed delivery by 2037

I would tell you, im holding out for the 488, but seriously been there, done that, had a 360 conv a few years back, and loved it.
I am asking them the right questions, just waiting on answers now.

[liu_watch]

My biggest fear with deposits is that the dealer may file bankruptcy and walk away. I have a similar experience but in different product. That risk is minimum for the short window though. If you can trust them and they are a large dealer then why not.

[arizonapaul]

Originally Posted by AzHadEnuf

You know, you just never know what's going on behind the scenes of another mans business. So here's my cynical scenario. There's a jewelry store that is experiencing financial difficulty. You find 50 past customers willing to advance you $5,000. September 1st your store in empty. Your inventory was been melted for scrap. The phones and lights are off and in addition to your hasty liquidation you have a quarter of a million dollars, cash, in you pocket from 116500 deposits.

Like I stated I'm a cynic, but as said before, what AD is going to sell to gray market dealer, at a discount, the hottest watch on the market right now. Your store is not an AD. Nothing prevents them from selling the watch to any of their current clientele above MSRP. The market will support the premium. How about offering them a grand over MSRP (which by the way would be a great deal this early on the gray market) with no 40% deposit? It's not like if you don't buy it they will be stuck with it. If the $5,000 has no impact on you in then event of a loss, go for it. Personally I'd drive up the road from you and roll the 5 grand at Talking Stick Casino on a crap table or a weekend in Vegas.

Good luck.

My vote would be to pass.

Love talking stick, especially the buffet, all you can eat Alaskan King Crab, strap the feedbag on---lol

I would call my credit card company as well, and get the details on paying a deposit, but from all I know I would be protected, just not sure for how long.

[NafizAliKhan]

Originally Posted by L55HEM

I always pay a deposit to jump the queue for a Rolex as really impatient and always paranoid prices will go up before I get. To jump queue for BLNR I've paid the full price already

Im pretty impatient too. I called around to several ADs until I found a BLNR. Most of them said I could be on a waitlist from 2-6 weeks.

[modee]

About fifteen years ago, some scammer on eBay collected about ten grand from me for a Rolex and shipped me...nothing. It was only after the FBI got involved that he got scared and returned my money to me. I was told that he was later arrested for continuing the scam with others who weren't strong enough to intimidate him into refunding their cash.

On the other hand I have wired money to watch sellers before and the above is the single problem I have had. It does come down to trust, although you're talking about both paying up front and waiting some months, which isn't the greatest combination.

As far as their willingness to sell the watch at MSRP, I think they know or believe that come September there will be enough of these new Daytonas available such that they won't be worth any premium, so that alone doesn't ring any alarum bells for me anyway.

[427_Monster]

Originally Posted by arizonapaul

Love talking stick, especially the buffet, all you can eat Alaskan King Crab, strap the feedbag on---lol

I would call my credit card company as well, and get the details on paying a deposit, but from all I know I would be protected, just not sure for how long.

You're assuming the store doesn't go belly up...