Price increase

[sgfortino]

as crazy as the new MSRP sounds, every 5711 that comes up for sale on one of these forums sells at a price well over $29k so while I think it will whittle the list down some i am guessing the demand will still be there.

[HorologyK]

Originally Posted by sgfortino

as crazy as the new MSRP sounds, every 5711 that comes up for sale on one of these forums sells at a price well over $29k so while I think it will whittle the list down some i am guessing the demand will still be there.

5712 is another story.

[sgfortino]

agree. secondary for that piece is probably right at new MSRP.

[CRDMMW]

I’m supposed to get a 5712 this year. I hope it comes in before then!!


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[Vipes]

The 5712/1a price is not too far from the 5712r version.

[remz07twos]

Originally Posted by Vipes

The 5712/1a price is not too far from the 5712r version.

wouldn't be surprised to see that price artificially inflated now too.

[kilyung]

Anyone want to do a straight swap of a 5711/1a for a 5711/1r?

[bobernet]

This is a smart move. I hope Rolex does something similar.

For anyone not into guitars, Jim Olson is one of the top custom builders in the world. He might even be the Rolex of acoustic guitars.

Some years ago, Jim got peeved that people would order a guitar, wait a year to receive it, and immediately sell it on the secondary market for significantly more than they paid him. He decided if the market was valuing his product so much higher, then he should raise prices to meet the market rate and keep the profit for himself rather than for the flippers.

His used guitars now trade on the secondary market at or just slightly below his retail pricing for new.

That seems like a pretty good place to be for Rolex and Patek owners rather than the AD lottery and multi-year waits we have today.


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[Marciano490]

Originally Posted by kilyung

Anyone want to do a straight swap of a 5711/1a for a 5711/1r?

It's some weird alchemy Patek has pulled off, turning steel into gold, but, yeah, a preowned steel 5711 is probably about only 5k less than a 5711r and if the r doesn't have a corresponding price increase, the margin might shrink even more.

[remz07twos]

Originally Posted by bobernet

This is a smart move. I hope Rolex does something similar.

For anyone not into guitars, Jim Olson is one of the top custom builders in the world. He might even be the Rolex of acoustic guitars.

Some years ago, Jim got peeved that people would order a guitar, wait a year to receive it, and immediately sell it on the secondary market for significantly more than they paid him. He decided if the market was valuing his product so much higher, then he should raise prices to meet the market rate and keep the profit for himself rather than for the flippers.

His used guitars now trade on the secondary market at or just slightly below his retail pricing for new.

That seems like a pretty good place to be for Rolex and Patek owners rather than the AD lottery and multi-year waits we have today.


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the thing, at what point does it end? we'll just see more of them listed in the mid 30s. will patek next year go up to 35k for the 5711. I think the problem is still production vs cost. maybe patek says we fix the production problem by pricing people out of it even more, but at some point that bubble bursts.

[mps354]

i usually dont participate in these speculative / price increase threads, but i was just at my AD and saw the actual email from patek. I already own the 5711, so it wasn't a sales tactic. the info listed in the original post is exactly what the email stated, and that it was effective march 1st. i didn't see any info on any other model other than the 5711 and 5712.

[remz07twos]

Originally Posted by mps354

i usually dont participate in these speculative / price increase threads, but i was just at my AD and saw the actual email from patek. I already own the 5711, so it wasn't a sales tactic. the info listed in the original post is exactly what the email stated, and that it was effective march 1st. i didn't see any info on any other model other than the 5711 and 5712.

steel only?

[toucan]

I'm actually surprised, that's a huge increase and it will just push up the secondary
market even further.

[Bek]

Originally Posted by mps354

i usually dont participate in these speculative / price increase threads, but i was just at my AD and saw the actual email from patek. I already own the 5711, so it wasn't a sales tactic. the info listed in the original post is exactly what the email stated, and that it was effective march 1st. i didn't see any info on any other model other than the 5711 and 5712.

That’s what I was saying just those 2 only and rest will follow at Basel day


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[bobernet]

Originally Posted by remz07twos

the thing, at what point does it end? we'll just see more of them listed in the mid 30s. will patek next year go up to 35k for the 5711. I think the problem is still production vs cost. maybe patek says we fix the production problem by pricing people out of it even more, but at some point that bubble bursts.

I guess it ends when supply/price more closely meets demand.

It’s not like there are tons of people getting these watches at the lower MSRP anyway. When someone does, the thread seems like a celebration that someone just won the Publishers Clearinghouse Sweepstakes.

It may be that I’m overreacting to TRF, which is a microcosm of real life, but it seems like “most” people are paying the market price and a lucky few are scoring the MSRP discount.

[verse214]

Originally Posted by mps354

i usually dont participate in these speculative / price increase threads, but i was just at my AD and saw the actual email from patek. I already own the 5711, so it wasn't a sales tactic. the info listed in the original post is exactly what the email stated, and that it was effective march 1st. i didn't see any info on any other model other than the 5711 and 5712.

Did your AD have a 5711 in stock so that it could come off as a sales tactic? If so, please msg me your AD's info!

[remz07twos]

Originally Posted by bobernet

I guess it ends when supply/price more closely meets demand.

It’s not like there are tons of people getting these watches at the lower MSRP anyway. When someone does, the thread seems like a celebration that someone just won the Publishers Clearinghouse Sweepstakes.

It may be that I’m overreacting to TRF, which is a microcosm of real life, but it seems like “most” people are paying the market price and a lucky few are scoring the MSRP discount.

I'd say thats more of a failure on the part of Patek allowing their ADs to continue to sell off their most requested SKUs to people who will make an extra buck. That's like saying the next time we see a time only steel piece from an exhibit it'll be sold for $50k.

are that many people really paying 30-35k for their 5711? at some point every crazy person that would spend 5-10k more will have theirs demand will dry up. Or am I missing something and the world is making a killing on second hand 5711s?

[bobernet]

Originally Posted by remz07twos

I'd say thats more of a failure on the part of Patek allowing their ADs to continue to sell off their most requested SKUs to people who will make an extra buck. That's like saying the next time we see a time only steel piece from an exhibit it'll be sold for $50k.



are that many people really paying 30-35k for their 5711? at some point every crazy person that would spend 5-10k more will have theirs demand will dry up. Or am I missing something and the world is making a killing on second hand 5711s?

At some point, I’m not sure the incremental cost (unless it’s huge) even phases people. If you’re already emotionally committed to spending $30k on a new watch, are you going to bail out because it’s $35k?

[Marciano490]

Originally Posted by remz07twos

I'd say thats more of a failure on the part of Patek allowing their ADs to continue to sell off their most requested SKUs to people who will make an extra buck. That's like saying the next time we see a time only steel piece from an exhibit it'll be sold for $50k.

are that many people really paying 30-35k for their 5711? at some point every crazy person that would spend 5-10k more will have theirs demand will dry up. Or am I missing something and the world is making a killing on second hand 5711s?

No. People are paying 36-40 for their 5711's. That's the reality of the market right now.

[remz07twos]

Originally Posted by Marciano490

No. People are paying 36-40 for their 5711's. That's the reality of the market right now.

this has gotten really out of hand. damn.

[Vipes]

Originally Posted by bobernet

At some point, I’m not sure the incremental cost (unless it’s huge) even phases people. If you’re already emotionally committed to spending $30k on a new watch, are you going to bail out because it’s $35k?

Yup. I think the new norm is 30-40k for a steel Nautilus. The trusted sellers on here have no trouble selling the 5711 and 5712 at inflated prices. Patek realizes how much these pieces are going for in the gray market so why not raise prices to get more profit.

[tng11]

Originally Posted by Vipes

Yup. I think the new norm is 30-40k for a steel Nautilus. The trusted sellers on here have no trouble selling the 5711 and 5712 at inflated prices. Patek realizes how much these pieces are going for in the gray market so why not raise prices to get more profit.

I do wonder that with this price increase, will we just see a corresponding increase in the 5711/5712 market price. 45K-50K 5711 anyone?

[mps354]

Originally Posted by remz07twos

steel only?

the email i saw just mentioned those two references, in steel

[mps354]

Originally Posted by verse214

Did your AD have a 5711 in stock so that it could come off as a sales tactic? If so, please msg me your AD's info!

hah, nothing in stock. they arent even taking names anymore

[kultschar]

As long as it doesn't apply to the 5164 lol

[remz07twos]

Originally Posted by kultschar

As long as it doesn't apply to the 5164 lol

exactly how i feel about the 5167. i hope this stays a nautilus only issue

[Marciano490]

Is this US only? Could be a response to the weak dollar and the decrease from a few years back.

[thomaspp]

Makes sense. Raise prices, produce more of those two references: would make many people happy.

[Defiancekofb]

My SA confirmed it through an email also. March the price increase takes effect. While I would never consider selling my 5711. If gray market prices hit $50-60k range, then I might have to re evaluate. lol

[Marciano490]

Originally Posted by thomaspp

Makes sense. Raise prices, produce more of those two references: would make many people happy.

That'd be a brilliant strategy if they planned it that way - create hype and scarcity around a few pieces so that they go for exorbitant amounts on the secondary market. Wait a year or two. Institute a massive price increase that seems tame given demand and the grey market. Flood the market with the once-rare pieces and sell them at much higher margins to grateful customers who thought they'd be waiting years or paying even higher prices.