How much % profit an AD make?

[paijo]

Just read this info in other forum:
__________________________________________________ ______________
All new in box:
16613 18K/SS Sub blue or Black MSRP $9300 only $6450
16613 18K/SS SUB SERTI Silver or Champagne MSRP $11,700 only $8100
16623 18K/SS Full size Yacht-Master all color dials MSRP $10300 only $6,995
16622 SS/PLATINUM FULL SIZE YACHTMASTER $9450 COST $6600
116713 18K/SS GMT MASTER II GREEN HAND RETAIL $10350 ONLY $7700
16570 SS EXPLORER II BLACK DIAL RETAIL $5925 for only $4150
16610 SS Submariner With date MSRP $6,000 wow ONLY...$4,850
14060M SS SUBMARINER NO DATE RETAIL $5,450 only $3,950
16610LV SS SUBMARINER GREEN BEZEL RETAIL $6,400 only $4,950
116234 SS DateJust 18k W/G BEZEL Jubilee bracelet MSRP $6,500 only $4,500
116200 SS DateJust SMOOTH BEZEL Oyster Brac. $5450 only $3950
16600 SS SeaDweller ...Special pricing...$5250
114600GV Milgauss.....Special Pricing....$6500
116710 SS GMT-Master II-C....Special Pricing $5,999.99..
__________________________________________________ ______________

If I take 16570 Expy II as an example, and assumed that he has made minimum 20% profit when he sell at 4150 USD, then his actual cost from Rolex is around 3300 USD, which mean if an AD manage to sell Expy II at MRSP (without discount-5925 USD) then they will make a profit of around 80%.
Does it sound a right calculation?

[ohlins]

assumed that he has made minimum 20% profit when he sell at 4150 USD, then his actual cost from Rolex is around 3300 USD

this assumption is over generous, i think......

[seiko.citizen]

not that much profit........ but it is definitely enough for the ADs to still stay in business.

[R-oyster]

I think it has been documented that the difference between the wholesale and recommended retail price is about 42 per cent.

This is based on data collected a few years ago...which I suppose may still be correct if we assume similar escalation in both the wholesale and RRP.

[limtedd]

TS, All price stated in USD? or SGD?

wah, i should have bumped to this post before my purchase ****, too late now...

[Oceanklassik]

USD la bro. Else, I

[exxondus]

hmm, does it matter?

i mean, why trouble yourself over the cost, manufacturing price, AD special price, etc?

personally, I think just do my own homework and then if price in the current mkt at the point of purchase is what i feel good, buy and 4get about it le.

otherwise, imagine this.

1) Rolex manufacturing cost e.g 2000
2) Sell to AD at 4000
3) AD sell you at 6000

even if you have the facts above, the question is, would u have been able to get the watch at 4000? or even at 2000? why make yourself sad haha..

[Oceanklassik]

What you'd said is true only to a certain extent. Why?

This is an evolutionary process. A new buyer may not have enough knowledge to understand pricing and buys his/her first branded watch based on market values, thinking that "it is worth it". When this buyer later realises how pricings are like (as such), he/she may decide against pursuing the particular brand, or worse, stop the hobby of watch collection totally.

From personal experience, I started this hobby thinking that well, buying a $3k TAG Heuer is "sure worthy". Was I correct or wrong? And now, I'm many months into the hobby and will I still spend $3k on a TAG Heuer watch?

Share experience la..

[Oceanklassik]

This is just like how people perceived this watch brand called "Panerai". Is a pam worth the buy? I need not explain more. There has been much discussion and I leave it as that.

Then it comes back to the topic in question: Is ROLEX worth the buy? I only have this to say, ie if you happen to find out the real-real, actual price of a ROLEX watch, you wouldn't even think of buying any.

[exxondus]

This is just like how people perceived this watch brand called "Panerai". Is a pam worth the buy? I need not explain more. There has been much discussion and I leave it as that.

Then it comes back to the topic in question: Is ROLEX worth the buy? I only have this to say, ie if you happen to find out the real-real, actual price of a ROLEX watch, you wouldn't even think of buying any.

v v v v v v v vtrueeeeeeeeeee

actually same for all watches..

thats y ignorance is bliss in this case

[daveevan]

This is just like how people perceived this watch brand called "Panerai". Is a pam worth the buy? I need not explain more. There has been much discussion and I leave it as that.

Then it comes back to the topic in question: Is ROLEX worth the buy? I only have this to say, ie if you happen to find out the real-real, actual price of a ROLEX watch, you wouldn't even think of buying any.

true, recently went to RSC to verify my watch and the aunty at the counter said:" I will not spend this amount of money on this kind of watch." ( the tone she used seems to imply that rolex is a cheapo watch ). bl***y old b***h

[limtedd]

hmm, does it matter?

i mean, why trouble yourself over the cost, manufacturing price, AD special price, etc?

personally, I think just do my own homework and then if price in the current mkt at the point of purchase is what i feel good, buy and 4get about it le.

otherwise, imagine this.

1) Rolex manufacturing cost e.g 2000
2) Sell to AD at 4000
3) AD sell you at 6000

even if you have the facts above, the question is, would u have been able to get the watch at 4000? or even at 2000? why make yourself sad haha..

no lah bro, the damage already been done, i won't be sad now lah... now enjoying every moment of it...

but it does no harm to gain extra knowledge mah... in case in future wanna buy even more rollies, hahaha....

[limtedd]

true, recently went to RSC to verify my watch and the aunty at the counter said:" I will not spend this amount of money on this kind of watch." ( the tone she used seems to imply that rolex is a cheapo watch ). bl***y old b***h

bro, can understand one lah... no need to be so pissed... the aunty can definitely use the $$$ for better purposes lah...

[weizhen77]

How come no pricing for Explorer I? Too cheap?

[exxondus]

true, recently went to RSC to verify my watch and the aunty at the counter said:" I will not spend this amount of money on this kind of watch." ( the tone she used seems to imply that rolex is a cheapo watch ). bl***y old b***h

don understd. u mean the RSC old lady? she saying her own company's watch not worth the money ah keke..

btw, simi watch u trying to verify?