How much does the precious metal justify the price increase

[Ckci]

If I compare SS to paying AD retail I figure I could buy 2.3# of gold Krugerrands or 5.3#'s of platinum Canadian Maple Leaf billion coins with the savings. Another option is 5 SS LNIB for the savings from the WG GMT which I looked at yesterday. Or 10 SS Rolexes to the savings from a platinum Daytona at retail from the AD. It's not that one is better than the other. They are just options. For me if I get into PM Rolexes heavy I'm pretty sure I'll buy LNIB from a trusted seller on TRF. I don't want to pay $25k for pulling stickers off of my platinum Daytona for example. I'd rather buy 3 more SS Rolexes. I received this one from FedEx yesterday. I still need to get it sized.
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[Star Ferry]

I think margins on PM models are similar to margins on SS models. If a SS model is sold at 6x cost (estimated figure) then PM materials also will be sold at 6x cost.

Since Rolex customers have limited disposable income, it wouldn't make sense to cannibalize SS sales with sales of a lower margin product

In fact, one family friend was on the board at Richemont and corroborates my theory, but he won't talk specific brands or numbers

[ratty]

Originally Posted by Evad3

I have a crisp £20 note here, buy your SS at scrap value + a beer

I don't drink so how about £20 plus a diet Coke?

[Mystro]

X3

Originally Posted by ratty

how do you justify the cost of a ss rolex?

[rudegar]

Originally Posted by crowncollection

I have to say there is no correlation IMHO


Sent from my iPhone using Tapatalk

The only correlation is "more"

[AK797]

Originally Posted by benlee

Fiscally speaking, the gold content alone doesnt justify the high price. But luxury watches are not logical but emotional purchase. The "feel good" factor is high for precious metal watches for most people, hence the higher price.

That reminds me of the nice line in Everybody Loves Raymond when Debra's mum explains to Marie that while eating at a fine restaurant is not a necessity, a little luxury once in a while is necessary. I miss that show, as well acted an ensemble comedy as there ever was.

Originally Posted by kilyung

Really? Most of the brands use the same movements for multiple models including PM. The 324 is used by any number of models at Patek. The ROO line is a case study in repackaging. VC pretty much uses the same base movement. I won't even go into ETA supplied models. Obviously complicated movements are the exception.

Here's my and Mike's future 324 in RG. Interestingly the price of the Nautilus RG is double the SS's as opposed to a similar RG Rolex which is around 4 times higher.

I think the margins on Rolex PM pieces are greater but the SS's sell at a much faster rate from what I see at my local ADs, so I imagine the SS's are probably more profitable overall.

[Jack T]

If you can figure out some rational economic justification for charging $5,000 for a Chanel handbag, a precious metal Rolex would fall in to the category of 'essentials'.

[GolfPunk]

Originally Posted by AK797

That reminds me of the nice line in Everybody Loves Raymond when Debra's mum explains to Marie that while eating at a fine restaurant is not a necessity, a little luxury once in a while is necessary. I miss that show, as well acted an ensemble comedy as there ever was.



Here's my and Mike's future 324 in RG. Interestingly the price of the Nautilus RG is double the SS's as opposed to a similar RG Rolex which is around 4 times higher.

I think the margins on Rolex PM pieces are greater but the SS's sell at a much faster rate from what I see at my local ADs, so I imagine the SS's are probably more profitable overall.

Is just the rotor in gold purely for the exhibition caseback?

[GolfPunk]

Also, if you buy a gold wedding band, the price at the jewellers will be around 5 times (and if Cartier or Tiffany it's more like 10 x plus) what the scrap value is, as you are also paying for the goldsmiths expertise in crafting the ring. In the case of watches, you're paying for the quality and skills of the watchmaker and their immaculate and beautiful end product.

[Etschell]

Originally Posted by GolfPunk

Also, if you buy a gold wedding band, the price at the jewellers will be around 5 times (and if Cartier or Tiffany it's more like 10 x plus) what the scrap value is, as you are also paying for the goldsmiths expertise in crafting the ring. In the case of watches, you're paying for the quality and skills of the watchmaker and their immaculate and beautiful end product.

i bought a tungsten ring for $20 on amazon. my brother in law paid the jeweler $200 for the same ring......

[kilyung]

Originally Posted by Jimbob247

Yes really, I said several not most...

I can't think of any off hand... I'd be interested to learn more. Can you name them?

[jrs146]

Originally Posted by AK797

Gotta pay to play at most high luxury levels. Key for me tho, and largely due to this forum, is to make sure you research and buy right even on such expensive items.

Boom! Could not have said it better myself. There is no rhyme or reason with luxury items... Yet still we give our money to the companies for their goods because we love what they offer. If you love it... You will pay for it!

[Jimbob247]

Moser, Lange, Breguet (maybe one or two exceptions) do Patek use steel apart from sport watches? Several other HH brands.

[kilyung]

Originally Posted by Etschell

id argue the 3135 is the best, non complication, movement ever made and i'd probably be right.

For its designed purpose, I would heartily agree. However I think the ETA 2824 movement would give the 3135 a run for its money in terms of a workhorse movement champ.

I was responding more to the statement that some brands may reserve a movement specifically for a PM model vs utilizing the same movement across multiple models (including PM).

[Lordofrolex]

I love a PM watch. It just feels different. Yes its a high price for getting the same watch in SS just in a gold housing but the feel of it on just does something to you.

[kilyung]

Originally Posted by Jimbob247

Moser, Lange, Breguet (maybe one or two exceptions) do Patek use steel apart from sport watches? Several other HH brands.

Ah. Not brands you normally associate with SS models. In fact, I'd be hard pressed to name any SS models from those brands. I thought you were talking about brands that offer both SS and PM models.

[Jimbob247]

No quite the opposite. I mention Rolex because you can make those comparisons.

[kilyung]

Originally Posted by GolfPunk

Is just the rotor in gold purely for the exhibition caseback?

Actually using gold in the rotor has the functional benefit of providing mass to the rotor for the purposes of winding the watch. It's not just aesthetic although it is very pretty.

[Jimbob247]

Sure. Tungsten would be better and much cheaper though. ;)

[kilyung]

Originally Posted by Jimbob247

Sure. Tungsten would be better and much cheaper though. ;)

Iridium would be even better.

There's a fine line between nicely weighted and too much stress on the movement though.

[Etschell]

Originally Posted by kilyung

For its designed purpose, I would heartily agree. However I think the ETA 2824 movement would give the 3135 a run for its money in terms of a workhorse movement champ.

I was responding more to the statement that some brands may reserve a movement specifically for a PM model vs utilizing the same movement across multiple models (including PM).

i just meant the reason why it is used across PM and SS models is a good one, its a damn good movement. to me it seems the changes in movement have to do more with complications than with the metal composition of the exterior casing and bracelet.