Buy back warranty

[ohl]

Came across this term while visiting some pre own shops and some posts in this forum also got mention. What is buy back, how does it work and how do you know determine a good one? Thanks.

[triton]

i will attempt to figure out what it is meant by buy back warranty from preown shop

i will take it that the preown will confirm buy back the watch from buyer. however at what price will be determine by the preown watch shop.

it is better for buyer to check with preown watch shop what will be the buy back price. is it based on a percentage of the buyer's purchasing price or otherwise. is the condition of the watch a factor in buy back price?

having a buy back clause works to both preown shop and buyer advantage. for buy back, it is more like paying "rental" for the use of the watch. it may appeal to those who flip watches regularly and there is no need to sell the watch on their own because the preown shop will be buying back. for preown shop, once they buy back, they can "lease" the watch out again.

however, who stand to gain more? you have to decide if the "rental" fee is acceptable.

[danheng1]

It means that the shop will take back the watch you bought and pay you back your money minus some cash (typically it is 80% of the original purchase price). Most shops offer this within a year of purchase. Means you can bring back the watch anytime within one year of purchase and the shop will take it back and refund 80% of the purchased price to you. Of course the condition of the watch must be as close to the condition when it leaves the shop. Different shop will have different terms of condition.

[gracious cat]

buy back?

[Oceanklassik]

I have come across a few pre-owned watch shops with this scheme. Simply, it is to buy back your watch at a lower price than you bought it and within various periods. The buy-back price varies from shop to shop too. Some would offer 15% less on the price you bought and within 12 mths' period. After 12 mths, the buy-back price would drop. The condition of the watch would also affect the resale price.

But one thing you really need to note - always get some form of black-n-white, or document these conditions upon your purchase. Otherwise, the shop may not honor their buy-back pricing when you decide to re-sell the watch back. I have seen this happened. This shop my relative went to promised to buy back the watch at a 85% take-in price and within 12 mths of purchase. When my relative returned to sell back the watch to the shop at the 11th mth, she was offered only 75% of the price. There was no documentary proof and merely verbal. So, if the shop make a certain offer or promise, get the staff to commit in writing.

[Ryuden]

Most pre owned shops "buy back" at 80% and it seems to be the market magical number nowadays.

In my own humble opinion, this is just another marketing gimmick from shops. Example.


Lets say you buy a Deepsea M/V serial from the shop at $11,000. Price is always a bit on the high side for the serial cause its a shop. Then the shop offered a buy back scheme at a rate of 80% within 12 months from the date of purchase. If you calculate, the 20% rental fee for 12 months use is ridiculous!

Purchased Price : $11,000
Buy Back Price : $8,800 (after deducting 20% from purchased price) !
12 Months Rental : $2,200 !!!


You are better off tying to offload it via the net through forums than getting "trap" with all these marketing gimmicks. And even at 85% buy back, its really really not worth it.

Lets say you try to offload, the example for this instance, the Deepsea at $10,000 which is pretty attractive, surely there will be buyers available and your so called rental fee is greatly reduced to only $1,000.


Again, this is my humble opinion. I don't have anything against pre owned shops offering these kind of scheme as they are in the business of making money, just like any other businesses, and I know a few who are my friends.

Cheers.

[triton]

thanks for sharing. very good advice given - always get some form of black-n-white

But one thing you really need to note - always get some form of black-n-white, or document these conditions upon your purchase. Otherwise, the shop may not honor their buy-back pricing when you decide to re-sell the watch back. I have seen this happened. This shop my relative went to promised to buy back the watch at a 85% take-in price and within 12 mths of purchase. When my relative returned to sell back the watch to the shop at the 11th mth, she was offered only 75% of the price. There was no documentary proof and merely verbal. So, if the shop make a certain offer or promise, get the staff to commit in writing.