Adding to the drama: 116619LB @ Costco Mtn View, CA

[superdog]

Whoah. Just read the thread.

Would not have expected all that...

[brandrea]

Originally Posted by superdog

Whoah. Just read the thread.

Would not have expected all that...

It's been entertaining .

[lzz73]

So, I'm curious is this an arrangement that has been agreed to mutually by Rolex and Costco?

If so, then Costco is neither an AD nor a grey market dealer - rather, like a "grey AD" if you will, between the two. A new type of business model for selling Rolex.


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[Aceldama]

Should we expect weekly threads about Rolex's availability at Costco? They're there. We get it. Move on.

[CRM114]

I've never been inside a Costco. I've never even seen one. But this thread makes me want to find one and take pictures of PM Rolexes being sold next to ironing boards or Cheetos or whatever it is they sell there.

[superdog]

Originally Posted by Aceldama

Should we expect weekly threads about Rolex's availability at Costco? They're there. We get it. Move on.

[abovedeck]

If you think that Costco selling a Rolex cheapens the brand, the same can be said for the people who wear them.

A Rolex is a Rolex, people. Doesn't matter who sells 'em or who wears 'em, I love all of mine. Get over the "elitist" approach.

[superdog]

Originally Posted by abovedeck

If you think that Costco selling a Rolex cheapens the brand, the same can be said for the people who wear them.

A Rolex is a Rolex, people. Doesn't matter who sells 'em or who wears 'em, I love all of mine. Get over the "elitist" approach.

Agree. And that's my thought process for a luxury brand. Hurts the brand. I don't think that's elitist at all. It's just the way markets work.

Louis Vuitton actually burns whatever doesn't sell. I think that's crazy and extreme. But they do it to protect the brand, as much is as possible.

It is the world we live in

[Patton250]

Originally Posted by superdog

Agree. And that's my thought process for a luxury brand. Hurts the brand. I don't think that's elitist at all. It's just the way markets work.

Louis Vuitton actually burns whatever doesn't sell. I think that's crazy and extreme. But they do it to protect the brand, as much is as possible.

It is the world we live in

I did not know that about LV. Where did you hear that?

I would think that 99% of people walking through Costco would look at the price of a Rolex and think people who buy them are crazy. IMHO

[abovedeck]

Originally Posted by superdog

Agree. And that's my thought process for a luxury brand. Hurts the brand. I don't think that's elitist at all. It's just the way markets work.

Louis Vuitton actually burns whatever doesn't sell. I think that's crazy and extreme. But they do it to protect the brand, as much is as possible.

It is the world we live in

Originally Posted by Patton250

I did not know that about LV. Where did you hear that?

I would think that 99% of people walking through Costco would look at the price of a Rolex and think people who buy them are crazy. IMHO

That is somewhat of an incorrect rumor. LVMH has an employee program that offers discontinued merchandise to employees at close to 90% off. They do not "burn" unsold items unless the item has been unsold for at least three years.

[Star Ferry]

Originally Posted by superdog

Agree. And that's my thought process for a luxury brand. Hurts the brand. I don't think that's elitist at all. It's just the way markets work.

Markets work by equating supply and demand. Does selling a Rolex at Costco affect either?

The supply was already out there, and the demand remains high. Maybe it could hurt the demand side if the association with a discount retailer lowered the perception of the brand's value, but prices don't suggest that this has happened.

If Rolex really thought that this threatened their brand, they could shut down the entire gray market. They could tell ADs that they can only sell watches for 95% of MSRP or above. They could ask that unsold watches be sent back to Geneva and that a sales receipt be supplied for every watch sold.

[Livermoron]

Have not seen them up here at the livermore store. Maybe I will need to cruise down there to check them out. I used to work a block away from the MV store but I wasn't interested in rolexes at the time. I was there for the $1.50 pizza and coke lunch

[superdog]

Originally Posted by abovedeck

That is somewhat of an incorrect rumor. LVMH has an employee program that offers discontinued merchandise to employees at close to 90% off. They do not "burn" unsold items unless the item has been unsold for at least three years.

How is it incorrect?

And why the quotes on "burn"?

Yes, they offer discounts to employees. And YES, when items are not sold they do burn them.

I know this for a 100% fact as I have built parts of one of their north jersey distribution centers.

[superdog]

Originally Posted by Star Ferry

Markets work by equating supply and demand. Does selling a Rolex at Costco affect either?

The supply was already out there, and the demand remains high. Maybe it could hurt the demand side if the association with a discount retailer lowered the perception of the brand's value, but prices don't suggest that this has happened.

If Rolex really thought that this threatened their brand, they could shut down the entire gray market. They could tell ADs that they can only sell watches for 95% of MSRP or above. They could ask that unsold watches be sent back to Geneva and that a sales receipt be supplied for every watch sold.

When you flood a market with a exclusive product, it reduces the exclusivity.

Take tag heuer and Movado as examples.

[AK797]

OK so we know that only 3 months warranty applies to electronics. The same has been mentioned for luxury watches here before, so can anyone confirm this or are Rolexes still under a lifetime return guarantee?

[ICUdR]

Originally Posted by Patton250

I did not know that about LV. Where did you hear that?

I would think that 99% of people walking through Costco would look at the price of a Rolex and think people who buy them are crazy. IMHO

That's exactly what my father in law said haha :p

[Livermoron]

They are abaible at the livermore store. Only one they had 12/2/15

[Pix]

Who cares about Rolex when you can pick up a barrel of Jack, they also have 60 yr old Macallan for 17K

[tkerrmd]

Originally Posted by Patton250

I did not know that about LV. Where did you hear that?

I would think that 99% of people walking through Costco would look at the price of a Rolex and think people who buy them are crazy. IMHO

probably a better question is how many PM Rolex watches does Costco sell a year?

[kirksingleton]

Here is what I saw today...

[kirksingleton]

And this one

[goin camping]

Originally Posted by superdog

When you flood a market with a exclusive product, it reduces the exclusivity.

Take tag heuer and Movado as examples.

Is Rolex flooding the market?

One or two Gray market Rolex's in a Costco doesn't strike me as a tidal wave.

Besides after you pay for the platinum Daytona you can grab a slice of pizza and a coke for $1.50.

It's rare one gets to savor irony to such a degree in life.

[lzz73]

Costco is full of what appears to me to be well-to-do retired folks that would be the types to purchase, e.g., a PM Sub.


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[CRM114]

Originally Posted by Pix

Who cares about Rolex when you can pick up a barrel of Jack, they also have 60 yr old Macallan for 17K

Hmmm. This Costco place appears to be awesome! I may just have to venture into one someday.

[LuminousMaximus]

Sorry if I missed this here but, if Costco does the Repairs, how do they get Rolex parts, say 15 years down the road...?

[Flstfirider]

Originally Posted by LuminousMaximus

Sorry if I missed this here but, if Costco does the Repairs, how do they get Rolex parts, say 15 years down the road...?

.....outside of warranty, Rolex will service these watches and charge normal service rates. Therefore, no issue 15 years down the road.

[Bobsolanki]

I bought the same date just II from my local authorized dealer for $7850 a few months ago. Still haven't had a chance to wear it. I'm wonder if I should go back since I feel like I been cheated. At least ask for the difference toward another watch or lose business from a family who been going to them for the past 25 years.


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