Whats Happening with Rolex?
Today we are going to be talking about our ongoing series on better watches and why they are hard to find particularly the Rolex watches. So they have not distributed any of the watches to any of their authorized dealers within the last probably year and a half close to two years. One of my friends who is an authorized dealer who we get a number of watches from told me the following: that he just got instructions from the company that whenever they are getting a request from one of their previous customers to buy a Rolex, this is now the procedure for them. They don't have any in stock, mind you. I don’t even know know if they can officially place orders because they’re so backlogged but assuming they can place an order by happen-chance they get one in: if somebody is requesting a Rolex watch now, just even to be put on the waiting list the company is requiring the dealership to check and see the watches they have purchased from the dealership in the past. So let's just say they purchased five Rolex watches in the last 8 years, various models, Mr. Jones comes into the dealership “Hi Ryan, how are you? I want to place an order for a current Rolex Men's President” Ok, so Ryan is then going to have Mr. Jones “do me a favor just one second, according to our records you purchased five different Rolexes from us in the last 8 years. The company is requesting in order for us to take your order that we verify that you are yourself a collector and owner of these watches and that you are not reselling them to any other dealers and making a substantial profit Mr. Jones can I just ask you, we have a record that you bought five watches from us over the last 8 years. Can you do me a favor, can you bring them in at your convenience and then once we verify that we’ve seen these watches we’ll be happy to place your order for the next watch you want which is the Rolex President.” What they are hoping to do is verify that Mr. Jones still in fact owns these watches. In the event he comes in with the watches and shows that he is still the owner of them and that he hasn’t sold them to anyone for substantial profits, then of course they will be happy to take his order. However, if in fact he can’t show that he is still the owner and makes various excuses that he “gave them to his kids'' maybe he sold some etc. He is not going to be permitted to take an order for a watch and this is what Rolex is doing now. We believe is going to restrict the purchase of their watches even further and make it even more difficult for dealers and the secondary market to acquire them and basically make it difficult to purchase them at retail price, we’ll call them a “verified retail customer" from the public who is actually going to be able to verify this information and be able to purchase the watches and to be able to keep them. I guess they're going to be afraid to resell them because they will lose that purchase ability to purchase more watches. It's really crazy, it's like you're going to be granted a special status of I guess an "official Rolex retail customer" that is going to permit you to buy watches not at a discount, not at wholesale, but at the full retail price which today is considered a huge privilege as the watches sell in the secondary market for considerably more. If they are successful in making this program where they can restrict the purchases only to people that are verified, it will make it even more difficult and make their watches even more valuable on the secondary market. So keep that in mind and at the same time if you are looking to buy any brand new or pre-owned Rolex’s, contact us directly because we don’t care as long as you’re a customer with us in good standing. A lot of our clients we sell to are dealers and collectors that resell the watches either soon or eventually and it’s nice to know the product you’re buying is going up and it's a beautiful investment. Contact us directly and we would be happy to serve you and help you acquire any of the watches you need whether you want to trade in anything or sell them. We look forward to hearing from you soon, until next time another blog for you thank you.