3 AD visits in the past week - brutal

[stlwatchlvr]

Originally Posted by Bigblu10

Did they sell them to customers in the front door, or grey market watch dealers out the back door? That is the 64K question.

I have no way of knowing that. I also have no reason to suspect they would. They definitely handled my Rolex as they were supposed to. Warranty card dated and processed and tags removed. I guess that doesn't really say anything, but they have a very honest reputation in the area.

[stlwatchlvr]

Originally Posted by WatchLurv

Your AD needs to check their inventory of what they got in and what was sold. It creates an illusion that they receive 10 watches on a Friday and then they're all sold by Sunday. They were with 100% guarantee holding more stock in 2015, i.e. receiving bigger shipments from Rolex.

Their margins are bigger on the IWC given you bought it for full price. IWC's standard discount for end-user is around 35%.

Very good to know.

Any idea what the standard discount for end-user is for Tudor and Rolex?

Just curious.

[stlwatchlvr]

Originally Posted by Lt Virgil Hilts

The fact that greys have more new watches for sale than AD's, answers your question.

Wow! This looks like a fun place. I imagine one needs to donate a kidney to buy some of these, but still.

I guess it is sad. Just reinforces the value of being patient I guess. Like most...I really don't need another watch.

[V25V]

Originally Posted by Roger Lococco

Made 3 visits to ADs in the past week. Absolutely brutal.



1. Canada. Counted 73 DJs and 3 YM2s. No other watches on display. 5 SAs and 0 customers. Great service, as is always the case at this AD, even if they never have any watches that I want.



2. U.S. Well known AD chain the Southeast. 2 SAs eating take out Chinese food on the display case at the same time. Seemed slightly miffed that I actually chose to enter the store and interrupt their dinner. One of the SAs finally stood up to "greet" me reluctantly. Perhaps 12 DJs in the display. They said that was all they had in the store, nothing else. When I said my wife was interested in a YG DD (the green one), one SA (the one that stood up) got more energetic and said they might have one in their safe in the back.



3. U.S. See photo. I didn't even bother entering this store. A few SAs and a security guard.

I know where that is.....

[ckaynyc]

Originally Posted by Lt Virgil Hilts

The fact that greys have more new watches for sale than AD's, answers your question.

Yup, walked down 47th St on my way to my jeweler to pick up Valentine's Day gifts and every grey market display had dozens of Rolex and Pateks.

[V25V]

Originally Posted by FATO

I don’t think it is. I don’t recognize that SA. I bought a couple of watches from them.


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It 100% is. And I know for a fact they keep things in the back, which are already sold. At least they do not put them out there to tease people.

[exador]

Sales guy on phone ordering more blanks

[Jonah10]

Originally Posted by Lt Virgil Hilts

The fact that greys have more new watches for sale than AD's, answers your question.

This guy got these watches from AD’s so it’s definitely irritating that these could of went to people who actually want them at Msrp but instead went here something isn’t right, complete crap


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[Nikrnic]

Wow, shame of it all on your pic, that's embarassing.

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[Al1969]

Originally Posted by Nikrnic

Wow, shame of it all on your pic, that's embarassing.

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X2. Definitely not a good look. I don’t doubt inventory is being sold, but the question is to whom.

If in fact demand has outstripped supply, NO ONE would have them for sale anywhere.

[ROLEXster]

Grey has full display cases.
No stock shortage here.
.
.

[uhren917]

Originally Posted by stlwatchlvr

This is a really interesting perspective. One that I can add from personal experience is that smart ADs are leveraging this to sell other things. I recently bought my FIRST ROLEX (DJ41 Black face w/ Jubilee- LOVE IT) but in the process I’ve bought a Tudor and a IWC that they had in their cases. While not exactly a lost leader, I’m guessing the Rolex was the item they were least excited to sell me.

My AD said while they don’t like the empty cabinets they sold more Rolex’s in 2019 than they ever had. Seems to be working.


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the interesting perspective/viewpoint is some people see empty cases, from an owner perspective I see SOLD watches all of them (basically in this photo).

Rolex has NOT cut production, so therefore a reasonable assumption can be made is that the ADs now are selling ALL their stock and making more revenue than ever. Slow movers are being sold. No more discounting, except in some small instances. I bet AD owners are pleased and would rather have this state than a boutique brimming with watches anybody can get whenever they want.

For those who find empty cases pathetic looking, trying stopping by a Panerai, or Vacheron boutique. It seems at least in the case of Panerai, they are struggling and would love to have empty cases like Rolex.

Obviously, the goal of ADs is to stay in business and make money. Making customers happy is a direct correlation, but secondary to the bottom line.
It would be safe to say many Rolex owners are happy their watches are not a dime a dozen and take some effort to get.

[topgear]

I was in Kuala Lumpur International Airport and the Rolex boutique only has DJs and more DJs. No SS sports models for like the past 4 years.
Same situation in Dubai. I was told SS sports models are reserved for VVIPs.

[WatchLurv]

Originally Posted by uhren917

the interesting perspective/viewpoint is some people see empty cases, from an owner perspective I see SOLD watches all of them (basically in this photo).

Rolex has NOT cut production, so therefore a reasonable assumption can be made is that the ADs now are selling ALL their stock and making more revenue than ever. Slow movers are being sold. No more discounting, except in some small instances. I bet AD owners are pleased and would rather have this state than a boutique brimming with watches anybody can get whenever they want.

For those who find empty cases pathetic looking, trying stopping by a Panerai, or Vacheron boutique. It seems at least in the case of Panerai, they are struggling and would love to have empty cases like Rolex.

Obviously, the goal of ADs is to stay in business and make money. Making customers happy is a direct correlation, but secondary to the bottom line.
It would be safe to say many Rolex owners are happy their watches are not a dime a dozen and take some effort to get.

How do you know this?

[cda555]

Are you sure it wasn't closing time for that last AD? I know that the shop I go to moves all of their watches to the back just before closing up. I find it hard to believe that all of the cases are empty.

[VEK]

Was the last picture taken a minute before they closed?

[rolehex]

Well they probably don't need the security guard.

[Roger Lococco]

Originally Posted by VEK

Was the last picture taken a minute before they closed?

No. Around 1 pm.


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[MTdweller]

Yikes. Wasn’t too many years back those cases would have been mostly full.

[WatchLurv]

Originally Posted by stlwatchlvr

Very good to know.



Any idea what the standard discount for end-user is for Tudor and Rolex?



Just curious.

Depends what Rolex and Tudor model. They all have different classifications. Like a pearlmaster is -15 and a platona is -5-10

[Overwound]

Just setting the mood.

[Zakalwe]

Originally Posted by WatchLurv

How do you know this?

You’re right in that it’s not possible to know Rolex hasn’t cut production, but it can be inferred, from an admittedly limited data set.

The Rolex Watch Company (UK subsidiary) accounts show turnover as follows, in millions sterling:

2015 - 190
2016 - 268
2017 - 330
2018 - 366

As far as I know the company only makes money selling new watches to AD’s and servicing used ones. One can assume the latter did not make up the bulk of a near doubling in turnover in four years. Some of it can be explained by price rises, but clearly not all of it. It’s possible that Rolex SA decided to increase the proportion of watches sent to the U.K. market whilst simultaneously cutting average worldwide supply, but that doesn’t make much sense considering the U.K. has been one of the cheapest markets for buying Swiss watches in recent years - and therefore one of the least profitable for Rolex SA. It also doesn’t match the experience of the U.K. market being one of the earliest and hardest hit by “the shortage”. Maybe the supply of PM watches has increased massively whilst SS has dropped by an even greater amount?

The simplest explanation though is that Rolex are producing more watches of all hues than ever.

[Fleetlord]

Rolex = Sold

Complete market domination.

People will line up at Rolex AD with empty cases, just to speak to SA about what is possibly available....clamoring for it...all the while walking past Omega (and others) stores packed full of watches.

In my opinion, Panerai's with dust on the them in the display case is way worse than an empty Rolex case. Yes, I have seen dusty Panerai's at a major AD. Haven't been touched in a long time.

[Geckobros]

Originally Posted by Fleetlord

Rolex = Sold

Complete market domination.

People will line up at Rolex AD with empty cases, just to speak to SA about what is possibly available....clamoring for it...all the while walking past Omega (and others) stores packed full of watches.

Just an observation.. I am seeing more people interested in Omega then I have ever seen -- At least on the forums I frequent, accompanied by wrist shots of new acquisitions.

[Bigblu10]

Originally Posted by Fleetlord

Rolex = Sold

Complete market domination.

People will line up at Rolex AD with empty cases, just to speak to SA about what is possibly available....clamoring for it...all the while walking past Omega (and others) stores packed full of watches.

In my opinion, Panerai's with dust on the them in the display case is way worse than an empty Rolex case. Yes, I have seen dusty Panerai's at a major AD. Haven't been touched in a long time.

Pams aren't even in the same league as Rolex. Let me know when you see dust on the Pateks, APs and Omegas.

[jrs146]

I was surprised to see a Two-Tone Sea Dweller at my AD in the case yesterday. I figured that one was still an allocation piece.

[1Zach1]

I had a lunch meeting in Tysons today, and I just had to check out the ADs (per usual of an addict). That picture of Lenkersdorfer is bad, but the inside of the store is actually pretty normal for the area. Cases with PM non-sport models, and a single case with a few sport pieces shown below. That’s actually the most sport pieces I’ve seen in a single display around here in a while.

I don’t know why they decided to face the only completely empty case towards the window out the store, I guess they aren’t expecting people to be taking that close of a look through the window displays.

The other two ADs in Tyson’s were about as normal as always. Both had a couple gold Skydwellers, a YMII, and one had a gold Daytona.

So to the OPs point, yeah it’s bad out there at ADs.

[Tavli3]

Every AD looks the same. Empty cases. Not a problem. You have a problem if your cases are empty and everybody else's are full.

Don't worry for the ADs they are having their best sales numbers in years. The watches are in back out of sight for their best customers. Just like any other business with a product in demand. The tables at the hottest restaurant goes to the best customers not the guy who walks in off the street while on vacation and never to return or the guy who comes in and orders 1 entree for two people with no drinks, desert or coffee.

Same concept the white Daytonas and the Blue Sky Ds, they're going to the AD's customers who are the best now and who the AD feels will be the best customers in the future. Seems like some people have difficulty grasping this concept. Businesses are in business to make money and they make money by taking care of their best customers.
Having said that its not to say that some ADs have questionable business practices and or policies.

Omega & Brietling would give their eye teeth to have the Rolex empty case problem!

[Tavli3]

Originally Posted by ROLEXster

Grey has full display cases.
No stock shortage here.
.
.

My goodness, take away the front counter and it looks like a grocery store. The display cases look like refrigerated cases with bottles of beer lined up.

[Gdoc26]

I really think Rolex should abandon the retail outlet model and open their own website, take orders, assign a priority number and wait time. Take a non-refundable deposit and cut out the middle man. I would feel much better knowing that I was number 3,495 on the list with an expected delivery in 3 years than being insulted by some hourly wage idiot in a wrinkled JC Penney suit laughing at me when I ask about a stainless steel submariner.