San Antonio AD

[Humble michael]

Well another ad bits the dust .Morreti’s in San Antonio Tx closed forever . Not that they would sell me anything. They were AD’s for Rolex and Patek. I have given up on trying to establish a relationship w any Patek AD even though I have 6 very desirable PP ‘s . After buying a 5990 and a 5711R from my AD in Baltimore Fred Brown, PP closed the door on him - out of business now. Even though I have over half a million dollars in Patek’s , no ad will put me on a wait list to add to my collection, sadly. Michael in San Antonio Tx

[codecow]

Welcome to the club!

[jon_jon]

There is probably a common theme for why these ADs are losing their Patek AD license. There is a separate long thread on Shreve of SF.and more detailed discussion and speculation there. But quite a few Patek ADs in the US lost their AD license over the past 5 years. I remember not too long ago, the total number of US ADs was close to 100. It is probably down to 2/3 that number now.

[dauster]

Originally Posted by jon_jon

There is probably a common theme for why these ADs are losing their Patek AD license. There is a separate long thread on Shreve of SF.and more detailed discussion and speculation there. But quite a few Patek ADs in the US lost their AD license over the past 5 years. I remember not too long ago, the total number of US ADs was close to 100. It is probably down to 2/3 that number now.

someone posted in another thread that he heard way more ADs will lose patek by the end of the year - unsure of the source but sounds ominous

[Vipes]

Originally Posted by dauster

someone posted in another thread that he heard way more ADs will lose patek by the end of the year - unsure of the source but sounds ominous

My Patek SA told me the same thing last week. Don’t know how true it is though.

[0xalate]

Originally Posted by codecow

Welcome to the club!

This, lol

[Ubiquitous1984]

I would like to hear something official from Patek on what is happening with the decline in AD’s. There may be an innocent explanation. But for those of us who have worked hard to build a relationship with a single AD, these are worrying times.

[Calatrava r]

Originally Posted by Vipes

My Patek SA told me the same thing last week. Don’t know how true it is though.

From what I hear the ADs have no available inventory and what little does come is pre-sold. Hard to justify all the ADs if there is not enough to stock them.

[LJubel328]

Originally Posted by Ubiquitous1984

I would like to hear something official from Patek on what is happening with the decline in AD’s. There may be an innocent explanation. But for those of us who have worked hard to build a relationship with a single AD, these are worrying times.

It makes you wonder why they tell you to build a “relationship” with your local AD.


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[codecow]

You figure with Shreve with a relationship as old as that you’d be fine, but nope. Flushed down the toilet!

[kaiserphoenix]

I think it just not enough inventory to go around. Too many ADs in the world with very little watches to go around. I think its unfortunate but inevitable that this happens.

[Daytonaman799]

Brown is where I got my 5712 back when they were easy to get. I am afraid I will lose my new AD… I don’t understand why Rolex and PP are concentrating their distribution in the hands of a few large retailers. This will come back to bitenover time as conditions of the last few years are not Normal. They will regret not having a more diversified distribution network.

[llngoc]

Originally Posted by kaiserphoenix

I think it just not enough inventory to go around. Too many ADs in the world with very little watches to go around. I think its unfortunate but inevitable that this happens.

But the production number has not gone down so even with the same number of ADs, each AD should still be able to get the same number of allocations.

For ALS, FPJ, AP who are going boutique model, I can see that ADs will be cut off but Patek does not have a boutique model yet. But still we are seeing fewer and fewer ADs each year.

[dauster]

Originally Posted by llngoc

But the production number has not gone down so even with the same number of ADs, each AD should still be able to get the same number of allocations.

For ALS, FPJ, AP who are going boutique model, I can see that ADs will be cut off but Patek does not have a boutique model yet. But still we are seeing fewer and fewer ADs each year.

I’m guessing some of the ADs also can’t afford to renovate their stores for millions


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[Donjo]

I received great service from them. Sad to hear. They sold me a 5712 and 5711r before they were hard to obtain.

[kaiserphoenix]

Originally Posted by llngoc

But the production number has not gone down so even with the same number of ADs, each AD should still be able to get the same number of allocations.

For ALS, FPJ, AP who are going boutique model, I can see that ADs will be cut off but Patek does not have a boutique model yet. But still we are seeing fewer and fewer ADs each year.

Sorry obviously i forgot to mention that demand has increased massively also.

[Calatrava r]

Originally Posted by llngoc

But the production number has not gone down so even with the same number of ADs, each AD should still be able to get the same number of allocations.

For ALS, FPJ, AP who are going boutique model, I can see that ADs will be cut off but Patek does not have a boutique model yet. But still we are seeing fewer and fewer ADs each year.

How do you know the production numbers have not gone down. Patek makes general type statements but as a private concern does not release production numbers. My sense is that deliveries are down to ADs. Just my sense, nothing more.

[Pimpsy]

Originally Posted by kaiserphoenix

I think it just not enough inventory to go around. Too many ADs in the world with very little watches to go around. I think its unfortunate but inevitable that this happens.

Many ADs see the writing on the wall and know the end is near, so they are stashing watches in the safe instead of passing them on to customers. The general lack of product is bad enough but ADs stashing product is clearly making things worse.

[LJubel328]

Originally Posted by Pimpsy

Many ADs see the writing on the wall and know the end is near, so they are stashing watches in the safe instead of passing them on to customers. The general lack of product is bad enough but ADs stashing product is clearly making things worse.

Do you have any proof of this? Otherwise, this is just a wild speculation and unfair to put on ADs losing their PP license.


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[jon_jon]

One of the things with low inventory for sale is that they are "pre sold". The question really is: who are they pre-sold to? If they are pre-sold to a lot of flippers and/or resellers and end up on the secondary market shortly after they are sold, Patek frowns upon this. I suspect many ADs have profited throughout the past few years from this phenomena. But I suspect many are losing their Patek licenses due to this phenomena as well. Purely my speculation, but if you read the Shreve thread, that seems like a common speculation theme.

[codecow]

I wasn’t going into Shreve really other than for jewelry since 2019, the last watch I had bought was a 5212 I ordered at a Patek event at the store and then the pandemic happened and I stopped paying attention.

I heard Nautilus went insane on the prices and I checked 5712 and my jaw hit the floor. I sold mine to a trusted seller here for $70k or so (bought at MSRP from SF store) when a friend had looked at it and passed as a maybe. I always liked it so I bought it, scratched it somehow, and then ended up not wearing it much. So I thought I was a genius selling it, hahaha…

Anyway I still have not gotten used to the market. Shreve used to have a bunch of Calatrava and for a long time even white dial Nautilus, TT Nautilus, 5170s, various perpetual calendars, all sitting in the case and in some cases for years.

Same with Rolex. Want a DJ? 50 to choose from.

Go into the store now and it’s just exhibition pieces unless you’re a known customer.

Maybe I’m old, but Patek used to seem to value the relationship that a retailer had with their clients and now they seem to be flushing it down the toilet. As long as demand is high they can do whatever they want; but it wasn’t that long ago where demand was not high.

[unotaz]

I know two more dealers got cut as well, one in SoCal and one in UK.

[Tachycardia]

Originally Posted by unotaz

I know two more dealers got cut as well, one in SoCal and one in UK.

Which socal AD?

[llngoc]

Originally Posted by jon_jon

One of the things with low inventory for sale is that they are "pre sold". The question really is: who are they pre-sold to? If they are pre-sold to a lot of flippers and/or resellers and end up on the secondary market shortly after they are sold, Patek frowns upon this. I suspect many ADs have profited throughout the past few years from this phenomena. But I suspect many are losing their Patek licenses due to this phenomena as well. Purely my speculation, but if you read the Shreve thread, that seems like a common speculation theme.

At my AD, I provided a wishlist and he told me what is possible and what is not. And I think he has one or two meeting with Patek rep each year and at that time he would try to order the pieces on my wishlist and if it got approved, he would consider it sold to me with a deposit. I guess this is a pre-sold? And I don't think Patek frown upon it as I have an established history with the AD and from what he implied to me, the Patek side actually is aware of me and what I have wish listed.

[uniqueMR]

Fewer ADs, more control by Patek.
Simple..

[Vasco]

I'm sorry to hear that Michael and from other members of the forum. I hope Patek and the decreasing market will help you deal with a new one.

Regarding ADs and bundles. The "bundle" sales from ADs have I think made a lot of harm to Patek and it's also a reason why I think Patek gets rid of ADs. What does Patek get from an AD increasing its sells by using a Patek to sell another brand together or jewellery? Nothing except irritation from the buyer toward Patek. Those ADs sometimes are strong locally, but can't be "controlled", i.e. manage who they are selling to and the way the Salons do.

A Salon rewards the old buyers (which is understandable as they were faithful to the brand at a time when watches weren't as "hot", or because they have a wide collection), even if now they want to promote future good clients (and younger) as well. A new client can have a non-Nauti/Aqua as a first watch even if it means being served before an older one. This has changed very lately as they know that when the market is low, they might "need" the clients they did serve and manage well back.

Hence, I think that those stories I read about here, with sometimes "bad" bundles is a real problem of image on the long run for Patek. I'm glad they try to solve the problem.

[Rolle PP]

I meet the CEO Claude Peny for Patek last week. They will close down 90 AD around the world this year....

[dauster]

Originally Posted by Rolle PP

I meet the CEO for Patek this week. They will close down 90 AD around the world this year....

Holy moly that’s a lot so you are saying you met TS this week? Was this part of a speech or a private conversation? Any reasoning given ?


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[Rolle PP]

TS is President....A lot of reason, mostly that the haven't fokus on local market

[Vasco]

Originally Posted by Rolle PP

I meet the CEO Claude Peny for Patek this week. They will close down 90 AD around the world this year....

Thanks for the heads-up, I hope you enjoyed your time there :)