Why Rolex prices not coming down??

[Lucifer]

unlike stocks and crypto why Rolex prices are not coming down are these better investments than Stocks??

[WCHROLX]

REALLY! is that the best question to ask now..

[raclaims]

I've seen Rolex prices dropping on the used market just not as fast as I'm sure many would like but there is def a % drop

[Ny325]

The demand surpasses supply. And Rolex knows that. Just look on this forum, you see people are on a waiting list.

[kieselguhr]

[WS9D]

There are a lot of reasons. For one, people haven't really hit the panic button yet and started selling off. Once that happens, the flood gates will open. Another reason is since Rolex is shut down and there is no manufacturing, there is no brand new incoming supply to flood the market. You want a watch, the greys have it. ADs are shut down so you can't go there. Greys can charge what they want on their current inventory.

So the demand is still greater than the supply, for now.

Watches should never be viewed as an investment.

[danny1305]

First you make a post about trying to get 40% (ALMOST HALF OFF) a new DD40, and now this? Lmao. The reason is that most people that can afford these watches still can easily, so prices won’t come down much at all

[garbanzo]

Under severe economic distress, nothing is more obsolete than luxury.

[golfgrouch]

There's about a dozen other threads on the same topic in this forum. So why was this particular one started?

[jinikari01]

Lol.

[Marcjvr]

I certainly see Sub prices start to dip. Maybe not the big greys but seen a few 114060s going for $8200-$8400 from private sellers

[Rolexatlast]

Because there is no trading

Grays are scaring off sellers by low offers

Flippers and low income aspirational buyers will have given up on Rolex, which will destroy waitlists, but as ADs are shut, that is not apparent

Once the ADs are open, and waitlists have gone, and stock becomes available at MRSP, then prices may drop

[Calatrava r]

Simply supply and demand. The after market may soften a little but that is about it.

[enjoythemusic]

Why are prices not dropping?

Because everyone is getting $100 Trillion from the treasury :)

[MercedesHand]

Rolex is shut down. No new supply.

AD's shut down. No retail supply. Of course they may be selling to Grey's their remaining vault goods.

Grey's alive and well with back log inventory. And they're not about to take a haircut.

Yet.

Unless the Chinese lose they're appetite for "luxury" in the future in a BIG way, I dont think you're going back to pre 2017 days where you could roll into your local AD and pay MSRP. Save for Daytona of course.

Look at whats happening with N95 masks. Exactly the same thing as with Rolex watches. Pure supply/price arbitrage.

And since Rolex doesnt answer to shareholders, they can do whatever they like with supply.

[Ny325]

That’s a good one.

[Milsub114060]

Global job losses = empty Rolex boutiques and grey dealers
Global recession = empty Rolex boutiques and grey dealers
Global fall in demand for flipping watches = they’ll be calling you not you calling them
Simple economics

[enjoythemusic]

[EEpro]

Originally Posted by enjoythemusic

But but but it's different this time. Market is fixed. Buy all the things!

[JRique]

We are in the denying phase, all AD's are basically closed, so the market prices we are seeing right now are from Grey sites, which are holding so much inventory and trying to unload it fast, but without dropping listing prices.

Its the same as real estate, in stock you see prices changing every second, in real things it takes time, but don't be a fool, it will drop massively.

[Likestheshiny]

Prices are definitely softening. I don't know how anyone could expect a giant plunge, though. Even a solid downward trend will take a while to play out.

[Explorer2polar]

Originally Posted by Lucifer

unlike stocks and crypto why Rolex prices are not coming down are these better investments than Stocks??

My 2 cents ...........Yes Rolex is bomb proof - Think how difficult it is to buy them from AD's, the Massive demand and the action of the Grey dealers.

Any person who has a desirable Rolex in their collection is ahead of the market and game.

[hcivic91]

Approximately 10.1% of the US workforce has filed for unemployment benefits in the last 3-weeks, and the job losses are not done. Add that the the 4.4% already employed and we are looking at April/May unemployment of 15%. There is a lot of pain on Main Street and supply will exceed demand for the large majority of goods for the next 12-months. The majority of trade has halted, and as always, prices are sticky. When the market clears prices will adjust.

-Econbro

[Beauregard]

I'm laughing as I see guys posting new-ish Subs for sale (116610ln) at $10,000.

Uh yeah. Perhaps someday, but not today. Or tomorrow. Prices are falling and will continue, I truly feel for the grey market sellers full of inventory bought at February prices.

[nick800]

Are you not paying attention? Look at the sales forum. It’s a bloodbath

[kumar75203]

Apparently we're going to do this everyday.

I have no idea how much prices will drop. I don't think we'll be seeing white Daytonas or blue Skydwellers at or near MSRP. But I do expect some decline and am waiting until July or August to buy my next piece. It doesn't make sense to me to spend $22-24,000 for a stainless Rolex when you can get a PM for a little more.

[Dougiebaby]

Originally Posted by Lucifer

unlike stocks and crypto why Rolex prices are not coming down are these better investments than Stocks??

Actually, they have been coming down (BLNR, Hulk, Pepsi, even Daytona). But they have not dropped dramatically - maybe 10-20%.

It will take more time for them to drop more substantially. However, I do think they will continue to drop. Greys will try to keep pricing up over the next few weeks/months but will ultimately succumb to market forces.

If COVID19 and recession are still here for the foreseeable future, I would expect the type of price drops you are wanting around July.

[Rado63]

Why Rolex prices aren't coming down? Rolex prices haven't changed a penny as far as I know. The secondary market is a market that prices according to the demand. Rolex hasn't announced a decrease to MSRP. Still not seeing discounts at my AD. Rolex isn't supplying more pieces. When the AD calls and offers a discount then we all know the price is down. Of course, in an economic retraction, the demand from a segment of consumers will be down. At the moment, However, world wide demand for Rolex, remains greater than supply.

[AK797]

Because the grey market is an oligopoly and prices are set by the big greys who have resources, so they will not allow the market to collapse easily, it will take a sustained period of time before they do, and they won't while govts are signalling they are opening up their economies in a month or two as many are now indicating. However the private sellers market with all the risks involved will behave more like a free market.

[nachopc]

Rolex is a share today, a good one, it’s performing better than the stock market. The collapse hasn’t arrive but if it comes, I would like to buy more only if I can.


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