AP entering second hand market

[d11n]

older news...will be interesting to see if others like Patek and Rolex follow given the rise in grey market

https://www.reuters.com/article/us-s...-idUSKBN1F80LN

[i-know-a-bit]

The more interesting question is how they'll handle all the hot models? Do they sell them for market prices? Do they even offer them?

[jag32]

I don’t know how this will play out...


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[Aquaman]

if you try and px with an AD, they will offer you a fraction of the price , but they also cant sell that model for more than the retail

richemont might be able to sell WATCHFINDER (as they own it) models at a discount but doubt they would retail them for more

so i cant see AP dictating prices, and being able to charge more, as its only a small percentage of there models going for more than retail, and i see enough greys have there models cheaper than retail


just my opinion

[kijoe]

Interesting. The article was from last year. Anyone have first-hand experience with it?

[GreenLantern]

In my opinion, it's silly for single-brand boutiques to take in trades on their own brands because it shows customers that their own pieces don't retain value well (compared to, say, Rolex or Patek).

Richemont trying to do this in some of their single-brand boutiques will result in the same issue. Good luck selling new Langes when you take in a Lange on a trade at a 60% discount from MSRP.

[i-know-a-bit]

Where does Patek retain value if we exclude the few hot models?

[tom2517]

Originally Posted by i-know-a-bit

Where does Patek retain value if we exclude the few hot models?

They don’t, lol.

[WatchLurv]

They somehow just want a piece of the pie. I simply dont see it working out for them. How are they going to take the watches in at a huge discount and then sell them off for nearly the same MSRP after refurb? Makes no sense.

[Fat_ninja]

Originally Posted by tom2517

they don’t, lol.

+1

[Pim]

Originally Posted by i-know-a-bit

Where does Patek retain value if we exclude the few hot models?

The only watches that gain value are the SS models of Rolex and Patek. The rest devalue but Patek Philippe and Rolex keep their value far better than the other brands. My 11 years old Patek has been holding value for the last 9 years, I don't see omega pull that off

[Fat_ninja]

I think that this will provide AP

1) another revenue stream
2) provide market inteligence as they become a trading house as well
3) possibly help them support the Dow cycles...using 1 and 2 above

[GreenLantern]

Patek doesn't retain value outside of a few hot models, but the difference is Patek doesn't have single-brand Boutiques that are also *telling* the average customer that they can't get more than 55% of their value at trade-in.

It feels different to the customer when it's a multi-brand AD, in my opinion.

I'm not a fan of single-brand boutiques in general, but especially not a fan of single-brand boutiques getting into the pre-owned trade-in market.

If anything, it'll provide AP with an avenue for customer to complain to them about values. :)