U.S. ADs selling pre-owned above MSRP

[cfjan]

When I went to an AD in Taiwan recently, I was told that they don't have a waiting list for SS Daytona. They just sell to the highest bidder. I was surprised as I thought ADs are not allowed to do so. I was told that (probably BS?) that Rolex allows them to do so within a range.. it could be 100% made up by the sales, but that's what I was told, by an AD...

[twitch54]

Originally Posted by Bigblu10

Is that so? Didn't you see the letter from Rolex to one of their markets (don't remember which, maybe it was HK or Japan) telling AD's to not sell above MSRP? Was posted here a year ago or so.

asking and getting are two different things, those that pay above msrp are idiots, those that pay msrp are just fools .........

[dera]

Originally Posted by Tools

AD's shouldn't ask above MSRP, since they already get the full mark-up, but we hear about it a lot on newer models. It does not reflect well on the ones that do up-charge.



Yes, that was the Singapore market; things must have really gotten out-of-hand there. No such letter has appeared in any other market and Rolex now puts market MSRP on their website to discourage the practice, but AD's are independent businesses. Everybody wants 15% off, but seem to think that no Dealer can also add a percentage just as easily.

They really did get out of hand. A few years ago, I was offered a new 116520 for $19k (USD), and this was at the main Rolex store on Orchard Rd.
They call it "market price" instead of list price.

[AK797]

Originally Posted by PJ S

You have that arse about face. The UK passed law back in Maggie’s time (or Major’s) in an attempt to create pricing competitiveness by banning RRP (Recommended Retail Price), but the industry effectively got around it by changing it to MSRP (Manufacturer’s Suggested Retail Price).
There are no current laws which prevent any retailer from asking for more than what the suggested maximum price should be, but in all other sectors of retail commerce, it’s never an issue – this is a fairly recent, and new phenomenon, only affecting a select couple of brands’ models, limited to this sector.
If (when) it happens to affect white goods, etc, then the Government will need to step in with corrective measures, but until then…it’s simply business as usual.

You misread, I was only talking about Rolex Law in the UK and their retail prices, not the law and all retail prices.

[PJ S]

^
Oh… sorry.

[eco8gator]

Was at a Patek AD, they had a "used" 5131J (double sealed in sealed box) in their used section for 150k.

AD's are a business first before anything.

One solution may be to, price the Daytona, Steel Skydweller, Batman, Red SD, Hulk and any other watches higher. Reduce the profit for the AD's.

From there reduce the dealer price on the precious metal watches but not change the MSRP.