Buying SS BLRO on the grey market

[Banks]

I have my heart set on a 126710 BLRO but as most can imagine it is proving to be a difficult acquisition.

I have a relationship with all three ADs in Ireland in terms of past purchases but have been effectively told it’s not going to happen and for the most part and based on past experiences I know that allocation of very hard to get models are typically allocated at the head buyer or store owner’s discretion to VIPs and big spending locals.

This brings me to the decision of whether I should consider paying the grey premium. Retail in euros is €8650 and lowest grey price I’ve seen so far is €15000. Will obviously wait until after Baselworld but I’m not sure if I see the price getting much lower in the next year or so.

I can afford the premium yes but do I want to is the question.

Therefore my question to the group is for those that have bought watches at a grey premium how have you rationalized the purchase and similarly for those who strongly considered it but in the end decided against going that route what was the thought process.

I fully expect many people to say never pay above retail, wait, etc etc but I know this myself already so no need to drill this point home unless there is an accompanying reason beyond why generally it’s stupid to buy a mass produced watch at such a high premium!

Thanks

[Lifeisarolliecoaster]

I’m in the same boat as you I could buy grey but I have no wish to especially as it’s my first Rolex I’m purchasing. I’m certain the premium will tail off but I wish I knew when. I would rather fly halfway around the world to get one from AD than pay over the odds. You hit the nail on the head when you say it’s mass produced. For all we know your AD could have one in the safe and because he/she doesn’t deem you as worthy to have it. It’s crazy but that’s life. The premium makes it worth considering TT but wait they are in demand as well. I doubt I will be a high spender in one go but I am a loyal customer and I will be patient

[Rocket launcher]

Look at this another way
You will think nothing on paying
15000 for a car then in 4 years you will have lost 10000 in depreciation and servicing etc

At least with your watch you will not have lost 10000 it may be 5000 or it may have even gone up

If you can afford it why not..
Or go into an AD and ask if you can get 15k of watches such as the BLRO...plus a lesser wanted watch....see what they say..
At the worst you go to plan A...the grey

[Harry-57]

The Hulk is my grail. I couldn't get on a wait list so it was a simple choice: pay grey or essentially forget it. I paid £2k over MSRP 12 months ago. I would not pay the grey difference now. The tipping point is different for each of us. I wouldn't pay the grey premium for a SS BLRO at today's prices. It strikes me as ridiculous, but it's just another data point on a graph I am on with my Hulk. Each to our own means, wants and limits.

[acfcheung]

Where I'm from, more people pay a premium than those who dont have to.

To me it's simple, can you get it at MSRP? If not, then its not a matter of MSRP vs grey price, its actually no watch vs MSRP.

So if you really like the watch and can afford it, I say get it. You won't make too much a loss if you decide to sell later on anyway

Sent from my LYA-L29 using Tapatalk

[TswaneNguni]

Grey BLRO prices exist because people are prepared to pay those ridiculous pricing.

I will pay for Rolex at mrsp or at a discount .Period.

Collectors love the Grey's and their buyers,keep the value of our collections high .

[Banks]

All good opinions, thanks.

[Lifeisarolliecoaster]

I’m on the list apparently for a SS BLRO and I’m keen to see the TT Rootbeer 126711 as it is a tempting proposition. I have no wish to fuel the grey market madness as the flipping provides little assurance that Rolex will honour the guarantee.

[timeldn]

I have paid premium for models which have been discontinued so I am no stranger to paying premium prices. Also note that most of the advertised premium prices do not actually sell at the listed price.

I would not purchase unwanted watches from an AD just to build up a relationship as in the end it could even be costly. If you really want it, I would say do your research on the premium market (grey/trusted dealers) and compare the prices with at least 5 dealers and negotiate for the best price. You could also trade in a watch you do not really wear plus cash.

[Banks]

Originally Posted by TswaneNguni

Grey BLRO prices exist because people are prepared to pay those ridiculous pricing.

I will pay for Rolex at mrsp or at a discount .Period.

Collectors love the Grey's and their buyers,keep the value of our collections high .

There will always be people willing to pay the grey prices.

In terms of ridiculousness of the prices, from an objective standpoint they are indeed, subjectively though it depends.

The prices are relative to a person’s perceived worth of the underlying item. Take for example in the UK and central London specifically (or other major cities) there is a high concentration of wealth. People earn bonus which can be from 40% to in excess of 100% of their high salaries. Dropping 2X MSRP on an 8K item is no big deal.

In the current climate, buying certain models at MSRP or a discount is near impossible for many, especially those who are more newcomers to the watch world be it through age or otherwise and don’t have the years and years of buying history that some of the established collectors would have.

[TswaneNguni]

Originally Posted by Banks

The prices are relative to a person’s perceived worth of the underlying item. Take for example in the UK and central London specifically (or other major cities) there is a high concentration of wealth. People earn bonus which can be from 40% to in excess of 100% of their high salaries. Dropping 2X MSRP on an 8K item is no big deal.

I work for myself.I am not salaried.I am very thankful for that.

[jezza17]

Great question OP. In fact, I would consider your situation identical to mine. I have thought long and hard about a 126710 also so I am interested in making a decision, one way or another. Opinions will obviously vary however I am leaning towards paying the premium as I really don’t see the prices will even drop a little. I have expressed my interest with a few AD’s but here in Australia we have no chance unless we spend six figures a year. Good luck with your choice. Go with your heart...

[Banks]

Originally Posted by TswaneNguni

I work for myself.I am not salaried.I am very thankful for that.

Maybe I have missed your point, but was there a point to this or more so a statement? No offence intended!

[tyler1980]

Originally Posted by Banks

There will always be people willing to pay the grey prices.

In terms of ridiculousness of the prices, from an objective standpoint they are indeed, subjectively though it depends.

The prices are relative to a person’s perceived worth of the underlying item. Take for example in the UK and central London specifically (or other major cities) there is a high concentration of wealth. People earn bonus which can be from 40% to in excess of 100% of their high salaries. Dropping 2X MSRP on an 8K item is no big deal.

In the current climate, buying certain models at MSRP or a discount is near impossible for many, especially those who are more newcomers to the watch world be it through age or otherwise and don’t have the years and years of buying history that some of the established collectors would have.

MSRP is detached from the market. Like it or not its a made up number disconnected from demand. People want to pay this made up number when the market is hot and dont want to pay that number when the market is cool.

A discount on a non hot watch is attempting to get a product at a price more in line with what the market will bear.

Its hypocritical to be pro discount and anti premium. As both are a purchase of a watch at a going market rate. The cost is different obviously but the principle is the same.

[unknown]

one thing I want to say.
About 3 years ago a Nautilus 5711A was about euro 22K at the AD but is was difficult to get. Friend of mine bought one for euro 30K.
I told him I would not have done it.

Today he still has the watch and he can flip it in a heartbeat for euro 45K

I won't tell the Rolex pepsi will even become more expensive .. but sometimes paying the premium is not that bad after all

[ilovethiscity]

I totally agree it’s all circumstantial. Honestly if I had a spare £50k in my bank account right now I would stand up walk out my front door get in an Uber to the city and buy one of the 20 BLRO’s sat in the window in London’s “Grey” Hatton Garden right now. Unfortunately I have 2yr old twins instead hahaha but it was a nice dream in my head. Life is too short if it’s affordable go get and enjoy it!!!

[Mini2]

Originally Posted by acfcheung

Where I'm from, more people pay a premium than those who dont have to.

To me it's simple, can you get it at MSRP? If not, then its not a matter of MSRP vs grey price, its actually no watch vs MSRP.

So if you really like the watch and can afford it, I say get it. You won't make too much a loss if you decide to sell later on anyway

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I agree

Its not like there is only 500 in the world - Its a mass produced watch.

If you can get the watch at RRP get it if not just wait.

However like the post I've quoted, if you like the watch that much, can afford the premium then buy it but personally no watch is worth a premium in my eyes.

When you consider not too long ago a lot of the so calle din demand pieces were sitting idle gathering dust in the glass and now these pieces are getting reserved for VVIPs makes me laugh.

Also, Ive seen them cheaper than 15000 euro BNIB

What goes up must come down as the saying goes and we just don't know whats round the corner, for sure they won't be going up any more unless Rolex has a price increase in iRELAND/UK

[Banks]

Originally Posted by tyler1980

MSRP is detached from the market. Like it or not its a made up number disconnected from demand. People want to pay this made up number when the market is hot and dont want to pay that number when the market is cool.

A discount on a non hot watch is attempting to get a product at a price more in line with what the market will bear.

Its hypocritical to be pro discount and anti premium. As both are a purchase of a watch at a going market rate. The cost is different obviously but the principle is the same.

I agree with this, particularly the last paragraph.

[Lifeisarolliecoaster]

Originally Posted by timeldn

I have paid premium for models which have been discontinued so I am no stranger to paying premium prices. Also note that most of the advertised premium prices do not actually sell at the listed price.

I would not purchase unwanted watches from an AD just to build up a relationship as in the end it could even be costly. If you really want it, I would say do your research on the premium market (grey/trusted dealers) and compare the prices with at least 5 dealers and negotiate for the best price. You could also trade in a watch you do not really wear plus cash.

I may seem like I’m backtracking but the above makes sense. If this is a watch you must have then why deny yourself it. You could set yourself a deadline for getting it with an AD and in the meantime negotiate the best price you can on the premium market. At least you will get the watch and you can justify why you paid the additional amount

[Lifeisarolliecoaster]

Originally Posted by ilovethiscity

I totally agree it’s all circumstantial. Honestly if I had a spare £50k in my bank account right now I would stand up walk out my front door get in an Uber to the city and buy one of the 20 BLRO’s sat in the window in London’s “Grey” Hatton Garden right now. Unfortunately I have 2yr old twins instead hahaha but it was a nice dream in my head. Life is too short if it’s affordable go get and enjoy it!!!

For that money would be looking for a BLRO but in WG ref 116719

[ilovethiscity]

Originally Posted by Lifeisarolliecoaster

For that money would be looking for a BLRO but in WG ref 116719

Haha yes I know me too sorry I just meant like if I had £50k spare then the £15k doesn’t hit me or hurt me it’s just a perfectly justifiable purchase for the SS model. I love the watch I will get one one day for sure.

[Roleplay]

It's okay to go grey and pay the premium for a SS BLRO, because for some of us in different parts of the world have different situations and sometimes it is just not possible to get one at an AD at all - just impossible. Just go grey and enjoy the watch!

[Cryten]

A grand or two over MSRP is a premium, and I'd need to be desperate to even pay that. Double MSRP isn't a premium, it's a dealer seeing how far they can push it. Anyone paying that needs their head checked (but good on the dealer if he can find someone who thinks paying twice is a good idea).

[trips]

If you love the watch and do not have the relationship with an AD to secure one at MSRP, why not if you can afford it? It's either that or have no watch. I find it interesting how people post and one of the first things they say is they got at MSRP, as if it's a badge of honor. Plus, who knows where the prices will go. Could go down, or could go up. Nine months ago I was helping an acquaintance get a Batman from my grey dealer, he balked at the 10,000 price tag. He reached out to me just last week, saying he's ready to proceed. Guess what, it's 13k now. If you can afford it and it's the only way you can get one, go for it and enjoy! Best, Tom

[mk2jag]

I have never paid a premium on a watch. Even so, I would if I wanted something bad enough. I plan on buying a 126711CHNR later this year. If the AD can't come through (I'm pretty sure he will) then ill pay the premium if necessary.

[Naked]

Some very insightful comments in this thread. My opinion is a little more simple: what's the worst that can happen by paying grey prices? What is OP actually worried about? Worst case scenario, the market shifts a bit and his watch isn't quite worth what he paid for it? OK, but he would still have his watch that he really likes at the moment. I don't personally understand the anguish over whether or not to pay market value for something OP really wants.

[Roger Lococco]

The retail price is artificial. The grey market price reflects the current market value.

Moreover, if you love the BLRO and can afford it, buy it. If you somehow have the opportunity to buy at retail later, you could probably sell your then used one for a profit and have a new version again.

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[aleeboy]

The answer is simple... pay the premium to any reseller wishing to take advantage of you.

If you are unwilling to do so, please add yourself to a waiting list that extends for years.

[tyler1980]

Originally Posted by aleeboy

The answer is simple... pay the premium to any reseller wishing to take advantage of you.

If you are unwilling to do so, please add yourself to a waiting list that extends for years.

if you sell your house for twice what you paid because the market is up are you taking advantage of the buyer? i think not.

Makes no sense to sell something below the going rate... unless you are an AD who can't participate in this same free market. It's rent control for watches at the AD.

[Cryten]

Originally Posted by Roger Lococco

The retail price is artificial. The grey market price reflects the current market value.

That may be true, but lets not forget the watches are entering the market at MSRP, all you are doing is padding someone's pocket when you pay double that.