Fully Paid - But AD wants me to up for Feb price increase…

[330ci]

Originally Posted by 2nastie

Most ADs taking any form of payment in any amount is typically not under a contract. It’s equivalent to a deposit.

As for your other example with the house and car. Those are usually done under a purchase and sale written contract. I’m sure all the OP got was a receipt saying they have money for a specific watch and nothing more.

He has a purchase receipt for the watch stating it was paid in full awaiting delivery. What the AD did with the money is anyone's guess, but the "reality is" they took this gentleman's money, provided him with an invoice with the agreed upon purchase price; then changed it prior to the goods physically changing ownership.

This "house" was already under contract so to speak. What happens to the market while the deal closes is irrelevant. He's holding the guys watch hostage. Who's to say it isn't already in his safe and he's just holding out for the price increase at this point. It's a very poor way of handling business.

[Benzsiam]

Originally Posted by Jamesd20

I must be in the minority here but I don’t see it’s a an issue with the AD. The way PP work is the distributor buys from Switzerland then sells to the ad. If the distributor hasn’t received as it’s stuck in customs then the AD hasn’t purchased it from them yet, they will pay the current MP, then sell on to to end user at the current RRP.

If anything the AD is guilty of anything it’s telling you too much, if your watch clears customs, local qc and delivery. By march and then they first tell you it’s arrived you wouldn’t think twice. If we all got the watches at the price at which we paid, am sure we would all be paying for everything now since it’s a safe 5-10% return every year lol.

I agree with this comment.

At Rolex boutique is the same thing, even you put 100% deposit, if the your watch came in after the price increase, you will have to pay for the new price.

[2001jesper]

Originally Posted by Benzsiam

At Rolex boutique is the same thing, even you put 100% deposit, if the your watch came in after the price increase, you will have to pay for the new price.

... But OPs invoice says "watch paid in full" and not "xx deposit payment received" - Think there is quite a difference. One is an agreement and the other is ... well a deposit and not a final payment

[Benzsiam]

Originally Posted by 2001jesper

... But OPs invoice says "watch paid in full" and not "xx deposit payment received" - Think there is quite a difference. One is an agreement and the other is ... well a deposit and not a final payment

At Rolex boutique, my SA told me that even you paid in full at that time (before the price increase) but if the price increase later at the time of delivery, customers still have to pay for the new price because ADs themselves got charged for the new price. The only option that customers have is asking for the refund if they don't want the new price.

[axljack]

.....

[CAWatchLove]

It’s annoying but I wouldn’t make an issue out of paying a bit more. You want to keep the relationship going so don’t nickel and dime them. They had to pay the increase which is why it’s getting passed on to you.

[enjoythemusic]

If you feel that bad OP, just walk away. Every time you wear it you'll have bitter feelings associated with it. This does not bring a feeling of good luck and happiness. This is Lunar New Year, very auspicious time for unlucky things to follow you through the year.

[Pimpsy]

Paid in full is self explanatory.
When the AD asks for full payment for an item they don't possess but promise to deliver, they assume the risk of market fluctuations between the time of payment and delivery.
It's a sad commentary on the state of things that it may be necessary to eat the price difference to preserve the AD relationship because it isn't fair and flies in the face of accepted business practices.

[Pimpsy]

Originally Posted by CAWatchLove

They had to pay the increase which is why it’s getting passed on to you.

It was the AD that asked for full payment in advance (no one made them do that) and they had the benefit of investing that money in the meantime.

To ask for more money now is shady and inappropriate.

Maybe they should reconsider asking for full payment for an item they don't have and for which they are unable to predict their future cost.

[Andad]

I have no doubt that this AD has paid the old cost price and is charging you the new retail.

If it is in customs the AD has already received the invoice and all the documents.

There is so much wrong with this situation.

[Jamesd20]

Originally Posted by Andad

I have no doubt that this AD has paid the old cost price and is charging you the new retail.

If it is in customs the AD has already received the invoice and all the documents.

There is so much wrong with this situation.

I guess it depends where the distributor is based, if the distributor is in a different country then it’s possible, in the UK though the customs side would be with the distributor so the AD wouldn’t have been invoiced yet.

[bogdoc]

Originally Posted by ts3

Same here.

My AD never takes a deposit too. I love their straightforward practice.

[Tricolore66]

MSRP, even with a price increase, is probably significantly less than open market pricing. Life is about picking your battles and you need to decide if this is the hill you want to die on. The way I look at it is you now have a bit more leverage for the next piece if you just suck it up.

[RollinMoses]

100% prepayment should fix the price. Partial prepayment I would not expect to lock in a final price.

If they were just securing you as a serious buyer, then a partial deposit would have been sufficient.

If they let you help them finance their working capital with a 100% prepayment and now are telling you to eat the price increase then personally I would take issue with that.

If we were talking about a special order, low demand piece that the AD will struggle to shift if the OP turns it down on arrival it might make some sense, but my understanding is that there are many people waiting on these new calatravas so that is not the case.

For those saying that the AD does not actually get billed by the distributor until delivery then it seems to confirm the AD is just borrowing money from OP at zero percent interest and taking advantage of the OPs good faith.

[Jamesd20]

I doubt any AD is in need of working capital lol. With inventories at record lows and every watch they can get sold to the highest spenders they should have record cash balances

[RollinMoses]

Originally Posted by Jamesd20

I doubt any AD is in need of working capital lol. With inventories at record lows and every watch they can get sold to the highest spenders they should have record cash balances

Exactly. You only reinforce the point - they do not need 100% prepayments to finance their operations, but choose to take them anyway.

They are using highly flexible, interest free financing from willing customers to get them into a negative working capital cycle.

[daveo5]

What’s a “few hundred” to someone purchasing a Nautilus?


Sent from my iPad using Tapatalk Pro

[Partekular]

“Price : 72'860 GBP*

*Suggested retail price taxes included. Prices may be subject to alteration at any time and do not constitute a contract.”


See PATEK PRICE LIST

[Russell996]

What would you guys suggest happen to the OP in the case of a price drop - this happened a few years ago. Price fixed by payment up front or rebate to allow for the drop? It works both ways (occasionally).

[axljack]

@onthewaitlist a solution for you.

1. Pay for the watch, but cordially mention that you were surprised at the price increase being passed on despite you paying a full deposit. Hear what they have to say

2. Contact the Patek distributor and ask if this is considered normal practice, alluding to your surprise on being asked to pay the higher amount despite a full deposit.

You've let them know in a nice way that it didn't feel right, though still fulfilling your commitment. You also will have checked from official sources as to what Patek expect the AD to do. If it's considered wrong Patek will raise it with the AD, who you would've already let know that it was a surprise and will consequently right the wrong. If it's all okay, Patek will just let you know it's fine and you will know.

[scurfa]

It’s normal practice to charge the new price if you don’t have it before the date and I’ve experienced this before, I’m convinced they sit on some watches until after the increase then call you, your case is a bit different as your watch was on its way before the price increase and is now stuck in customs, it’s a tricky one and has now probably left a sour taste in your mouth

[2nastie]

Originally Posted by 330ci

He has a purchase receipt for the watch stating it was paid in full awaiting delivery. What the AD did with the money is anyone's guess, but the "reality is" they took this gentleman's money, provided him with an invoice with the agreed upon purchase price; then changed it prior to the goods physically changing ownership.

This "house" was already under contract so to speak. What happens to the market while the deal closes is irrelevant. He's holding the guys watch hostage. Who's to say it isn't already in his safe and he's just holding out for the price increase at this point. It's a very poor way of handling business.

my bad, didn't catch onto the second half of the OPs message.

Yes, it that case, fully agree.

Yikes, on the AD part. If they knew this increase was coming, they should've made a disclaimer... and accepted payment only as a deposit.

[VogelPhoenix]

Originally Posted by scurfa

It’s normal practice to charge the new price if you don’t have it before the date and I’ve experienced this before, I’m convinced they sit on some watches until after the increase then call you

When my 26331 arrived earlier than expected in the last days of 2020, the AP boutique told me to make sure to come in and pick it up before the price increase the following week. I thought that was great service.

[onthewaitlist]

Originally Posted by VogelPhoenix

When my 26331 arrived earlier than expected in the last days of 2020, the AP boutique told me to make sure to come in and pick it up before the price increase the following week. I thought that was great service.

Had the same experience with AP which is why I've been a big fan of them closing up supply to ADs and only selling through their own boutiques.

It's quite painful to deal with ADs sometimes... unless you're buying Hublots or less popular brands...

[0xalate]

OP, which AD was this? Cortina? Hour Glass? I’ve had very negative experiences with the latter

[yippie123]

Originally Posted by onthewaitlist

Had the same experience with AP which is why I've been a big fan of them closing up supply to ADs and only selling through their own boutiques.

It's quite painful to deal with ADs sometimes... unless you're buying Hublots or less popular brands...

I hv the same problem with AP boutique before, Watch paid in full but hv to top up the price diff when they delivered the watch after price increased. Your thoughts ?

[Benzsiam]

If there is a policy for fixed price if paid in full. I am willing to pay in full (at the boutique/house) even I have to wait for 2 years because I know for sure that is good deal for me, your money gain almost nothing in interest but you can save at least 5% in price.

[dannyp]

Originally Posted by Benzsiam

At Rolex boutique, my SA told me that even you paid in full at that time (before the price increase) but if the price increase later at the time of delivery, customers still have to pay for the new price because ADs themselves got charged for the new price. The only option that customers have is asking for the refund if they don't want the new price.

I think the difference is that with Rolex, allure-payments, even 100%, is considered a deposit and there’s no such thing as a “pre-purchase” per se. What happens here all depends on how that’s handled with PP and if there’s even a uniform policy.

[LJubel328]

Originally Posted by enjoythemusic

If you feel that bad OP, just walk away. Every time you wear it you'll have bitter feelings associated with it. This does not bring a feeling of good luck and happiness. This is Lunar New Year, very auspicious time for unlucky things to follow you through the year.

This.

If the watch will put a sour taste in your mouth every time you wear it then walk away. You should enjoy the watch and it should bring joy every time you look down at it.