Prices Increase

[watchloversg]

Originally Posted by Mbbgysam

Here's what I'm seeing based on a handful of references I wrote down prices for earlier:

• Largest increases are on the Jumbo (8.3%) and Code Perpetual (6.4%)
• Most core Royal Oaks are in the 4-6% range
• ROO and Code 3-hander / Chrono had the lowest increases in the 2% range

Sorry I believe the chart is wrong, code 3 hander increase 6 percent not 2%

In Singapore it went from 41000 to 44000 sgd

Which is 6% not 2%

[watchloversg]

Originally Posted by Mbbgysam

Here's what I'm seeing based on a handful of references I wrote down prices for earlier:

• Largest increases are on the Jumbo (8.3%) and Code Perpetual (6.4%)
• Most core Royal Oaks are in the 4-6% range
• ROO and Code 3-hander / Chrono had the lowest increases in the 2% range

Majority of prices here wrong....

The min increase this round is 6%, up till 15% for some of the pieces, like the blue dial frosted gold 34mm

Not sure how you came up with chart

[Mini2]

Originally Posted by rtanjaya

Wondering if PP and Rolex will follow suit.

100%

Its coming

[ericl]

Originally Posted by watchloversg

Majority of prices here wrong....

The min increase this round is 6%, up till 15% for some of the pieces, like the blue dial frosted gold 34mm

Not sure how you came up with chart

From what I’m seeing in the US, the chart is correct. It’s based on USD pricing in the US market. I’ve been waiting on a new diver and it has now gone from 25400 to 25900. So that small data set tells me the other info should be correct.

[Mbbgysam]

Originally Posted by watchloversg

Sorry I believe the chart is wrong, code 3 hander increase 6 percent not 2%

In Singapore it went from 41000 to 44000 sgd

Which is 6% not 2%

Originally Posted by watchloversg

Majority of prices here wrong....

The min increase this round is 6%, up till 15% for some of the pieces, like the blue dial frosted gold 34mm

Not sure how you came up with chart

These were pulled from the US site before/after increase. The increases differ by marketplace (currency fluctuations, etc.), so I wouldn't expect the US increases to match Singapore's.

[watchloversg]

Originally Posted by Mbbgysam

These were pulled from the US site before/after increase. The increases differ by marketplace (currency fluctuations, etc.), so I wouldn't expect the US increases to match Singapore's.

My bad I’m sorry-

But wow the gulf in % is huge compared to us market

[aldyrifqi]

HK CONFIRMED

[vh2k]

Looks like the AP website is now showing adjusted pricing across all geos.

[Mbbgysam]

Originally Posted by watchloversg

My bad I’m sorry-

But wow the gulf in % is huge compared to us market

No worries . But yes, looks like the US hike was smaller this go around.

Originally Posted by aldyrifqi

HK CONFIRMED

Wow, that's massive... over 20%! I believe the old US price was $57,900, so the new price of $66,500 represents a 15% increase here 😳

[kimwizzzuuu]

Originally Posted by Mbbgysam

No worries . But yes, looks like the US hike was smaller this go around.



Wow, that's massive... over 20%! I believe the old US price was $57,900, so the new price of $66,500 represents a 15% increase here

New releases of the year 2021 have very minimal increase, Like a thousand bucks.

[yoast]

Does anyone know what MSRP was for a 15500st in Hong Kong before the price increase?

I believe 172k hkd?

New price is 187K

Thnaks

[VogelPhoenix]

Originally Posted by Mbbgysam

Wow, that's massive... over 20%! I believe the old US price was $57,900, so the new price of $66,500 represents a 15% increase here 😳

Openworked was/is underpriced. Still a giant gap to grey market prices.

[dchang81]

Originally Posted by Benzsiam

+1

It always has been this way.

i dont know if i completely agree. it was not that long ago when watches weren't so danged hard to get, and most greys were selling below msrp. there was a breaking point not that long ago when jlc, ap, patek all had price decreases because no one was buying.

[Mbbgysam]

Originally Posted by dchang81

i dont know if i completely agree. it was not that long ago when watches weren't so danged hard to get, and most greys were selling below msrp. there was a breaking point not that long ago when jlc, ap, patek all had price decreases because no one was buying.

The pricing corrections back in 2015 were more complicated than supply/demand. It was more of a balancing act to correct for the sharp 15-20% change in CHF/EUR exchange rates. As a result, some marketplaces saw price decreases (e.g. Asia, Americas), while others increased prices (mostly EU) to even the playing field.

This article tells the story better than I can : http://www.woundforlife.com/2015/02/...rice-decrease/

[dchang81]

thanks for that article. hah forgot about that bit too. my point is just to say that greys will jack up their price accordingly does not always apply. this market is insane this is not how it has always has been. yes greys have to add their margin, but those margins have been crushed before. the demand is crazy because people see they can make automatic money buying these watches but if that margin isn't there people won't care. anyways i've been priced out of the market anyways, that's why i just buy new straps for my current collection instead.

[GW44]

Originally Posted by Mbbgysam

No worries . But yes, looks like the US hike was smaller this go around.



Wow, that's massive... over 20%! I believe the old US price was $57,900, so the new price of $66,500 represents a 15% increase here 😳

It’s 12.5% here in the Uk for the 15407st….which is chunky

Most increases here were very small (1-4%) but fully expect a larger increase for January ‘22.

New ROO Divers stayed the same as well as the ROO 43 that I bought a month or two ago - although it’s listed at £34,100 which down by £100 but that’s either a mistake or currency adjustment I guess. Will find out next week at AP House.

[Mbbgysam]

Originally Posted by dchang81

thanks for that article. hah forgot about that bit too. my point is just to say that greys will jack up their price accordingly does not always apply. this market is insane this is not how it has always has been. yes greys have to add their margin, but those margins have been crushed before. the demand is crazy because people see they can make automatic money buying these watches but if that margin isn't there people won't care. anyways i've been priced out of the market anyways, that's why i just buy new straps for my current collection instead.

I hear you, I also remember buying AP's at significant discounts from greys. Hopefully this insanity will temper soon and you can trade in some a boat load of straps for a new watch!

[GW44]

Originally Posted by WatchEater666

They should keep increasing prices until grey margin is crushed.

That sure worked with PP and the 5711 3-4 years ago.

Not….

[chiscott_29]

Originally Posted by GW44

That sure worked with PP and the 5711 3-4 years ago.

Not….

Agreed. The gap will exist as long as there are more people wanting a watch than is supplied at MSRP.

If AP raises the price of the Jumbo to $90,000 USD and they remain as difficult to attain as they are today, the grays will be asking $110,000 and likely do just fine. The premium will always be justified by those that don’t want to play the game.


Sent from my iPad using Tapatalk

[Mini2]

Originally Posted by chiscott_29

Agreed. The gap will exist as long as there are more people wanting a watch than is supplied at MSRP.

If AP raises the price of the Jumbo to $90,000 USD and they remain as difficult to attain as they are today, the grays will be asking $110,000 and likely do just fine. The premium will always be justified by those that don’t want to play the game.


Sent from my iPad using Tapatalk

I do think APs model works when there are buyers and demand but they are trying to control everything. Producer and retailer.
I would prefer the model of rolex and just be the producer, when times are great there is demand but when times are slow your retailers still have to buy product unlike when you run the whole show i.e. rents, staff wages etc and reducing outside retailers will increase risk for the brand as a whole.
I think AP trying to do this whole AP HOUSE things is somewhat greedy

[GW44]

Originally Posted by Mini2

I do think APs model works when there are buyers and demand but they are trying to control everything. Producer and retailer.
I would prefer the model of rolex and just be the producer, when times are great there is demand but when times are slow your retailers still have to buy product unlike when you run the whole show i.e. rents, staff wages etc and reducing outside retailers will increase risk for the brand as a whole.
I think AP trying to do this whole AP HOUSE things is somewhat greedy

With respect….how well do you know/up to date are you with the Rolex model here in the Uk?

Rolex UK are absolutely ruling the retail delivery to market (retail and consumer) in every way as the retailers cannot afford to lose the brand and attendant margins/halo effect.

And as a result they are strangling the distribution channel and dictating new terms on purchasing by all customers to all the AD’s.

And yes AP have been doing that for a while but from a much lower volume or retail exposure to the market which befits the more exclusive nature of the brand compared to Rolex.

It’s all a game and it’ll get harder before it gets any easier…

[Chiboy]

Originally Posted by chiscott_29

Agreed. The gap will exist as long as there are more people wanting a watch than is supplied at MSRP.

If AP raises the price of the Jumbo to $90,000 USD and they remain as difficult to attain as they are today, the grays will be asking $110,000 and likely do just fine. The premium will always be justified by those that don’t want to play the game.

The kink in your argument happens when there aren't buyers at, in your example, $110,000. At some point, enough potential buyers leave the market or get something else because they either can't afford the new, higher price, or just don't think it's worth it.

[macrowatch]

Originally Posted by Chiboy

The kink in your argument happens when there aren't buyers at, in your example, $110,000. At some point, enough potential buyers leave the market or get something else because they either can't afford the new, higher price, or just don't think it's worth it.

While I agree in a pure textbook economics, in the real world 2021 I know people who have had large government free money, think 1M USD plus in grants, business turned around, and now they are thinking of ways to spend 1M USD. If they decide to spend on watches, they aren’t very price sensitive to 110 vs 150 vs 175.

“Worth it” enters into some weird ways of thinking in these cases.

[chiscott_29]

Originally Posted by macrowatch

“Worth it” enters into some weird ways of thinking in these cases.

“Worth it” will always be yes in this environment.

Until the environment changes, which I have ever increasing doubts it ever will in the foreseeable future, prices will at worst remain relatively constant and at best continue to increase. Add to that latest developments we see in the market, such as speculating what is discontinued and the pop that occurs when they do, and honestly what does anybody have to lose by paying market prices?

I want to be clear I’m not saying things WILL NOT change. More along the lines that when things do change, I think the least of our concerns will be the value of watches on the secondary market.


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[VogelPhoenix]

Originally Posted by chiscott_29

I want to be clear I’m not saying things WILL NOT change. More along the lines that when things do change, I think the least of our concerns will be the value of watches on the secondary market.

Yes! Always baffled by people who are sooo convinced they will be the buyers left standing when everything comes crashing down...

[macrowatch]

Originally Posted by VogelPhoenix

Yes! Always baffled by people who are sooo convinced they will be the buyers left standing when everything comes crashing down...

Vogelpheonix, I promise you will always have a standing offer of 30NT from me to buy your RO. I’ll even throw in a free beer.

But yes I agree, let’s hope current century doesn’t go from pandemic to global warfare like the last century and everyone keeps their fingers off red buttons.

[Images and Words]

So US prices on 15500st from 22.9k to 23.9k…without sales tax.

[VogelPhoenix]

Originally Posted by macrowatch

Vogelpheonix, I promise you will always have a standing offer of 30NT from me to buy your RO. I’ll even throw in a free beer.

I'll keep that in mind when the zombie apocalypse arrives

[Vince_76]

Originally Posted by Images and Words

So US prices on 15500st from 22.9k to 23.9k…without sales tax.

I’m just happy the increase was sub-5%

[TunaTuna]

Originally Posted by Chiboy

The kink in your argument happens when there aren't buyers at, in your example, $110,000. At some point, enough potential buyers leave the market or get something else because they either can't afford the new, higher price, or just don't think it's worth it.

I don't think the retail price matters, as most buyers are flippers and the greys will keep buying and raising their prices too. Only some real buyers may be priced out, but it doesn't matter, the flippers will keep buying everything. Flippers don't care about the price increases