ADs and USD to CAD conversion

[MONTANTK]

Currently a U.S. resident living in close proximity to Canada. Given the current exchange rate, it seems there are some good deals to be had on brands such as Breitling, Omega, Tudor, and FC.

Does anyone have any familiarity with Toronto area ADs and these brands. Am I better off converting my USD to CAD or can I use USD. If using USD, would it be unreasonable to ask for an additional discount assuming they’re honoring the exchange? I know it’s a fairly specific question but figured I’d ask.

[logo]

I have no idea, but I’d imagine a Canadian AD would not care about any currency other than their own and I do not think the USD has the buying power you think it has in Canada, which has held the most steady of all currencies relative to the USD. The USD-CAD exchange rate is like 10% over what it’s been the past few months, which previously has been on par with historical averages. On a $10,000 CAD watch, what used to be $7,800 USD is now $7,200 USD. In Ontario, tax will be 13% compared to whatever your state tax is - assuming NY, so 7-8%? Plus add in travel costs. Unless you’re talking about a 100k piece, there isn’t really any legitimate savings to be had that’s worth the hassle IMO.

[MONTANTK]

Originally Posted by logo

I have no idea, but I’d imagine a Canadian AD would not care about any currency other than their own and I do not think the USD has the buying power you think it has in Canada, which has held the most steady of all currencies relative to the USD. The USD-CAD exchange rate is like 10% over what it’s been the past few months, which previously has been on par with historical averages. On a $10,000 CAD watch, what used to be $7,800 USD is now $7,200 USD. In Ontario, tax will be 13% compared to whatever your state tax is - assuming NY, so 7-8%? Plus add in travel costs. Unless you’re talking about a 100k piece, there isn’t really any legitimate savings to be had that’s worth the hassle IMO.

Correct me if I’m wrong but isn’t the current conversion 1 USD is equivalent to $1.38 CAD? If that’s true then I feel like there could be savings there if I were to exchange cash at the border. The tax brings up a good point. Not sure if Canadian ADs are as willing to do cash deals as US ADs are

[MONTANTK]

Originally Posted by logo

I have no idea, but I’d imagine a Canadian AD would not care about any currency other than their own and I do not think the USD has the buying power you think it has in Canada, which has held the most steady of all currencies relative to the USD. The USD-CAD exchange rate is like 10% over what it’s been the past few months, which previously has been on par with historical averages. On a $10,000 CAD watch, what used to be $7,800 USD is now $7,200 USD. In Ontario, tax will be 13% compared to whatever your state tax is - assuming NY, so 7-8%? Plus add in travel costs. Unless you’re talking about a 100k piece, there isn’t really any legitimate savings to be had that’s worth the hassle IMO.

Just did the conversion and realized you are correct. I was doing to math wrong in my head. Appreciate the help!

[GB-man]

So prices will be higher in CAD vs USD and you have the 13% tax. You will also be subject to tax when coming back over the border, if the agent chooses to ring you for it. By far the way to do it is with a credit card that has no foreign transaction fees. Nobody wants to deal in cash and you get closer to the true FX rate than a borderside booth.

About 8 years ago I use to buy all my Rolex in Canada. Yes the exchange was a factor but honestly the biggest difference was that Canadian ADs were willing to discount almost anything 25% back then. I was never charged at the border and always disclosed the purchase with receipt. Most times you just get border patrol laughing under their breathe at what you spend on jewelry.

Today I think even on second tier brands like Breitling (a favorite of mine) you will struggle to find any real savings. I’ll admit I had considered doing the same for a Vacheron then figured the watch probably wasn’t in stock anyway etc

Tl;dr The savings won’t be substantial and you can do just as well getting these pieces 25% off in the states. If you’re just looking for a reason to visit TO then by all means.

[brandrea]

Originally Posted by GB-man

So prices will be higher in CAD vs USD and you have the 13% tax. You will also be subject to tax when coming back over the border, if the agent chooses to ring you for it. By far the way to do it is with a credit card that has no foreign transaction fees. Nobody wants to deal in cash and you get closer to the true FX rate than a borderside booth.

About 8 years ago I use to buy all my Rolex in Canada. Yes the exchange was a factor but honestly the biggest difference was that Canadian ADs were willing to discount almost anything 25% back then. I was never charged at the border and always disclosed the purchase with receipt. Most times you just get border patrol laughing under their breathe at what you spend on jewelry.

Today I think even on second tier brands like Breitling (a favorite of mine) you will struggle to find any real savings. I’ll admit I had considered doing the same for a Vacheron then figured the watch probably wasn’t in stock anyway etc

Tl;dr The savings won’t be substantial and you can do just as well getting these pieces 25% off in the states. If you’re just looking for a reason to visit TO then by all means.

^^^ I’d listen to this, he’s lived it

[enjoythemusic]

Agree with GB-man, it's a combination of currency arbitrage and (mainly) discounts combined. Sometimes manufacturers are slow to update their pricing due to the widely variable illusion of currency 'value' over time.

[MONTANTK]

Originally Posted by GB-man

So prices will be higher in CAD vs USD and you have the 13% tax. You will also be subject to tax when coming back over the border, if the agent chooses to ring you for it. By far the way to do it is with a credit card that has no foreign transaction fees. Nobody wants to deal in cash and you get closer to the true FX rate than a borderside booth.

About 8 years ago I use to buy all my Rolex in Canada. Yes the exchange was a factor but honestly the biggest difference was that Canadian ADs were willing to discount almost anything 25% back then. I was never charged at the border and always disclosed the purchase with receipt. Most times you just get border patrol laughing under their breathe at what you spend on jewelry.

Today I think even on second tier brands like Breitling (a favorite of mine) you will struggle to find any real savings. I’ll admit I had considered doing the same for a Vacheron then figured the watch probably wasn’t in stock anyway etc

Tl;dr The savings won’t be substantial and you can do just as well getting these pieces 25% off in the states. If you’re just looking for a reason to visit TO then by all means.

Appreciate the advice! I did some more research and if I did get dinged for duty then it probably wouldn’t be worth the trek. That said, I might still go just for the sake of seeing some different stuff.

[brandrea]

Originally Posted by MONTANTK

Appreciate the advice! I did some more research and if I did get dinged for duty then it probably wouldn’t be worth the trek. That said, I might still go just for the sake of seeing some different stuff.

Welcome to Canada (in advance)

I might suggest the Yorkdale Mall (In north Toronto). They pretty much have all the brands you mentioned under one roof, and they have a nice VC and Panerai boutiques as well

[MONTANTK]

Originally Posted by brandrea

Welcome to Canada (in advance)

I might suggest the Yorkdale Mall (In north Toronto). They pretty much have all the brands you mentioned under one roof, and they have a nice VC and Panerai boutiques as well

I was there right before COVID and I was like a kid on Christmas. Came across a boutique edition tag I regret not buying. I was blown away by the Hublot and VC boutiques

[brandrea]

Originally Posted by MONTANTK

I was there right before COVID and I was like a kid on Christmas. Came across a boutique edition tag I regret not buying. I was blown away by the Hublot and VC boutiques

It is kind of a watch geeks wet dream

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[GB-man]

Originally Posted by brandrea

It is kind of a watch geeks wet dream

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Was going to go last week then envisioned myself miserable in QEW traffic lol

[brandrea]

Originally Posted by GB-man

Was going to go last week then envisioned myself miserable in QEW traffic lol

That's gotta be one of the worst stretches of freeway in North America

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[GB-man]

Originally Posted by brandrea

That's gotta be one of the worst stretches of freeway in North America

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It’s not great. I can’t tell you how many times I’ve coughed up the 20 bucks to save 15 minutes on the 407 lol my wife hates me every time.

[brandrea]

Originally Posted by GB-man

It’s not great. I can’t tell you how many times I’ve coughed up the 20 bucks to save 15 minutes on the 407 lol my wife hates me every time.

Don't get me started ... the 407 has to be the most expensive toll road in North America

You can't win either way

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[Phrank]

Originally Posted by GB-man

It’s not great. I can’t tell you how many times I’ve coughed up the 20 bucks to save 15 minutes on the 407 lol my wife hates me every time.

I sold my 550i GT, just can't face sitting in traffic anymore in a twin turbo V8. They killed the exits off the Gardiner to the Beach, so sitting on the Lakeshore, yea, just not gonna do it anymore...anytime I go anywhere now, if it's downtown it's TTC or Uber, and if we must hit the highway, it's only 407....

[Kinnakeet]

I would forget the idea. I once had problems at the border. Another time was charged over $3000 in Canadian fees while my watch sat at YYZ. Me just taking my watches to my home in Fla from Canada has been an issue.

[Kinnakeet]

Originally Posted by MONTANTK

Correct me if I’m wrong but isn’t the current conversion 1 USD is equivalent to $1.38 CAD? If that’s true then I feel like there could be savings there if I were to exchange cash at the border. The tax brings up a good point. Not sure if Canadian ADs are as willing to do cash deals as US ADs are

Some won’t take a CC either. I once purchased two PM watches and had to get a bank cheque for the purchase.

[Kinnakeet]

Originally Posted by GB-man

It’s not great. I can’t tell you how many times I’ve coughed up the 20 bucks to save 15 minutes on the 407 lol my wife hates me every time.

That’s the only sensible way to go. Last winter I had my Florida tagged car on the 407 and they sent me a bill to Fla

[GB-man]

Originally Posted by Kinnakeet

That’s the only sensible way to go. Last winter I had my Florida tagged car on the 407 and they sent me a bill to Fla

Haha yeah they bill me like a month later in NY. I also get those bills from alligator alley like a month later with a nice little picture proving I was there and owe them.