How much does it really cost to make a ROLEX watch???

[bodybump]

Hi guys ive been thinking on my way home to ask this question...How much does it really cost to make a Rolex watch??? We are all crazy paying a huge amount of money..crazy money but how much does it really cost?? Example a Daytona..we are all paying for $9925 on our ad's...minus AD's com how much do you really think the watch cost??? $2,000?? $3,000??..please share some info if you guys have one...

[cody p]

i don't have the answer, but i've often wondered that myself.

[mretzloff]

I think the 18K gold watches are mostly profit. The 16610 Submariner is $6000. The 116618 Submariner is $27,250. I highly doubt the 116618 has $21,250 worth of gold in it.

For SS models I'd say most is profit also, but not as much as the 18k gold Rolexes.

[meloncap78]

This might put an interesting twist on the question at hand. If we were to find out that say, a 16610 Sub actually only cost 1k to make (just an example), would we all still pay 4, 5, and 6k for one or would we boycott the price??

[bodybump]

Originally Posted by mretzloff

I think the 18K gold watches are mostly profit. The 16610 Submariner is $6000. The 116618 Submariner is $27,250. I highly doubt the 116618 has $21,250 worth of gold in it.

For SS models I'd say most is profit also, but not as much as the 18k gold Rolexes.

so the cost to make the watch is $6000 and Rolex sells it $27,000??? WHEW!!! that is some PROFIT!!!!

[bodybump]

Originally Posted by meloncap78

This might put an interesting twist on the question at hand. If we were to find out that say, a 16610 Sub actually only cost 1k to make (just an example), would we all still pay 4, 5, and 6k for one or would we boycott the price??

HAHAHAHA I WONDER TOO JOSHUA!!! But i think nobody will care because if we dont buy it somebody will hahahah

[mretzloff]

Originally Posted by bodybump

so the cost to make the watch is $6000 and Rolex sells it $27,000??? WHEW!!! that is some PROFIT!!!!

No...I meant that the difference in price between a SS watch and an 18K gold watch isn't all for the gold; most if for profit.

[astcell]

The markup by the AD is 40% across the board. A $10,000 watch costs your AD $6,000.

But they need that $4,000 for advertising, payroll, rent, insurance, etc.

Now when they send Rolex the other $6,000, how much of that is profit? Well when you think about it, the metal in the watch is about worthless on the SS models. You pay for the thought, design, prototype, testing, production, distribution, and warranty of the metal.

[meloncap78]

Originally Posted by bodybump

HAHAHAHA I WONDER TOO JOSHUA!!! But i think nobody will care because if we dont buy it somebody will hahahah

I think I still would. The feel of my LV on my wrist, the way that it slinks around with it's light clicking noise, the almost candy-like look of it's absolute sickening quality, and last but not least, what I think is a Rolex trademark that no counterfeit can accomplish, the smell of the high nickel content in the bracelet.

[bodybump]

Originally Posted by astcell

The markup by the AD is 40% across the board. A $10,000 watch costs your AD $6,000.

But they need that $4,000 for advertising, payroll, rent, insurance, etc.

Now when they send Rolex the other $6,000, how much of that is profit? Well when you think about it, the metal in the watch is about worthless on the SS models. You pay for the thought, design, prototype, testing, production, distribution, and warranty of the metal.

Ummmm intresting Robert..now you make me think how much my watch really cost hahahaha

[bodybump]

Originally Posted by astcell

The markup by the AD is 40% across the board. A $10,000 watch costs your AD $6,000.

But they need that $4,000 for advertising, payroll, rent, insurance, etc.

Now when they send Rolex the other $6,000, how much of that is profit? Well when you think about it, the metal in the watch is about worthless on the SS models. You pay for the thought, design, prototype, testing, production, distribution, and warranty of the metal.

I saw a guy here posting a pic of a submariner and another bezel and ask him.."where did you get that extra bezel?? and he said in my AD they called rolex and send him one for $350 and he said its authentic..I was like "Rolex will never send a bezel and be bought by somebody more so the bezel alone

[shoppy]

Yes Rolex will sell you parts, especially here in europe. You can pretty much get what you want.

[B Square]

Someone splain to this old boy how the AD pays $6000, marks it up 40%, and comes up with $10,000. Is that what they call fuzzy math? Seems more like a 66% mark up to me....

[Art161]

Originally Posted by astcell

The markup by the AD is 40% across the board. A $10,000 watch costs your AD $6,000.

But they need that $4,000 for advertising, payroll, rent, insurance, etc.

Now when they send Rolex the other $6,000, how much of that is profit? Well when you think about it, the metal in the watch is about worthless on the SS models. You pay for the thought, design, prototype, testing, production, distribution, and warranty of the metal.

Something's wrong here, Robert.

If the AD marked up the cost by 40% on a watch that cost the AD $6,000, then the watch would retail for $8,400.

If the AD sold a watch for $10,000 that cost the AD $6,000, the markup would be approximately 68%.

[RossInIllinois]

I would say a 10K watch is about $2500 no more. The only fluctuating factor is Gold prices. A Stainless case is the same cost Casio and Timex Pays. You know the movement isn't more than $500.00 You can buy similar ETA movements for next to nothing so even if the Rolex movement costs 3X more its still not a lot. I bet an all Stainless Datejust isn't more than $700 cost. A Stainless GMTII maybe $1200

[The Mole]

I am sure that the costs are quite high actually. If you have seen the videos on Rolex.com most of the machinery seen in those videos are "one-of" applications costing tens of millions of dollars in infrastructure. Every bit of that will factor into the base cost of every watch.

That doesn't even touch the talent and manpower they employ full time.

Combine that with the 14 months it takes to manufacture a movement, and I think most Rolex's should cost more.

P.S. It costs Rolex more on the outlay to make a steel watch than a gold one. When 904L was first proposed inside the company, the technology for the massive 250 ton press used to stamp out the Oyster cases did not even exist and needed to be made from scratch! This is why most manufactures do not use 904L.

[G.J]

Originally Posted by The Mole

Combine that with the 14 months it takes to manufacture a movement,

Are you sure...

[gmh1013]

Originally Posted by The Mole

I am sure that the costs are quite high actually. If you have seen the videos on Rolex.com most of the machinery seen in those videos are "one-of" applications costing tens of millions of dollars in infrastructure. Every bit of that will factor into the base cost of every watch.

That doesn't even touch the talent and manpower they employ full time.

Combine that with the 14 months it takes to manufacture a movement, and I think most Rolex's should cost more.

P.S. It costs Rolex more on the outlay to make a steel watch than a gold one. When 904L was first proposed inside the company, the technology for the massive 250 ton press used to stamp out the Oyster cases did not even exist and needed to be made from scratch! This is why most manufactures do not use 904L.

I thought they were a mass produced watch like a Seiko!
They make 1 million a year?
If a 10k watch sells to AD for 6k I would guess about 2k a watch or less
is what production per watch would cost and im sure its a secret that
if you knew what true cost were they would be forced to bump you off....
im sure my DJ was about 500 bucks to make

[Nigel Tufnel]

$39.99 with the balance for marketing and distribution.

[scottschoe]

Originally Posted by Nigel Tufnel

$39.99 with the balance for marketing and distribution.

Seems about right.

[The Mole]

Originally Posted by G.J

Are you sure...

As quoted from the Rolex USA product training manual;

"All Rolex movements are completely manufactured in-house and have an average value of several thousand dollars. Rolex continually compares each part produced with a "perfect" computer generated image of that part. Each movement takes 14 months to produce. Over 200 technicians will work on the movement effectively combining "High Tech" with "High Touch"."

[bodybump]

Originally Posted by RossInIllinois

I would say a 10K watch is about $2500 no more. The only fluctuating factor is Gold prices. A Stainless case is the same cost Casio and Timex Pays. You know the movement isn't more than $500.00 You can buy similar ETA movements for next to nothing so even if the Rolex movement costs 3X more its still not a lot. I bet an all Stainless Datejust isn't more than $700 cost. A Stainless GMTII maybe $1200

Ypu have a point Ross..SS cost cheap and the movement would be the same too...the gold that makes it higher and the demand...

[RossInIllinois]

Originally Posted by bodybump

Ypu have a point Ross..SS cost cheap and the movement would be the same too...the gold that makes it higher and the demand...

Lets take it one more step. You can buy an automatic Fake Rolex for $350 with a Swiss ETA movement, same size same SS just thats its a fake. Think about that one!


click here edit: We Don't Link To Fake Sites Here........

[Art161]

Originally Posted by The Mole

Combine that with the 14 months it takes to manufacture a movement

Originally Posted by G.J

Are you sure...

That probably includes coffee breaks.

[bodybump]

Originally Posted by shoppy

Yes Rolex will sell you parts, especially here in europe. You can pretty much get what you want.

because i was with my AD awhile ago and ask that question and they said you cant..ummmm i wonder why not here in florida..

[scottschoe]

Originally Posted by bodybump

because i was with my AD awhile ago and ask that question and they said you cant..ummmm i wonder why not here in florida..

We're not in Europe.

[bodybump]

Originally Posted by scottschoe

We're not in Europe.

so every bezel and parts they sell here in the US are from Europe??

[wuzzzer]

Originally Posted by bodybump

so every bezel and parts they sell here in the US are from Europe??

For some reason the phrase "Swiss Made" comes to mind...

[wuzzzer]

Originally Posted by RossInIllinois

Lets take it one more step. You can buy an automatic Fake Rolex for $350 with a Swiss ETA movement, same size same SS just thats its a fake. Think about that one!

And...? How much is a Ferrari kit car based off a Pontiac Fiero compared to a real Ferrari?
Do a little research into the brand before you start calling them out.

[Jedi]

Originally Posted by wuzzzer

For some reason the phrase "Swiss Made" comes to mind...