Buying a Rolex versus buying a Ferrari.

[fsprow]

Perhaps it would be worthwhile to mention Ferrari’s practice when one purchases a new one from a dealer. You must sign a contract stating that you will not sell the vehicle for one year, with the exception of selling it back to the dealer from which you purchased it. This allows them to greatly restrict flipping and adds up to more profit for the dealer versus the customer or a gray market dealer to which the customer could have flipped the vehicle. In this way, Ferrari dealers become their own gray market and that’s an interesting contrast with Rolexes approach, which perhaps is to discourage the gray market and not participate in it. Like Rolex, buying a Ferrari at MSRP is not easy and long term purchasers or celebrities are favored.

[1st amg]

This would work. When I purchased my Fcar almost years ago, I had to sign a "right of first refusal" with the Ferrari dealer which lasted for 18 months. I had no problem doing that. Basically, the dealer would have to pay me the current market price of the car. No problem. It would be hard for Rolex to keep the tabs on every watch they sell, which is in not the problem with a car.

[bluered]

Buy a rolex , you can't bring the Ferrari into a bar !!!

[Etschell]

A lot harder to enforce on a Rolex than a Ferrari. You gotta bring a Ferrari for service often.

[1William]

Interesting but not necessary. If Rolex would work on producing the watches that the consumers want and stop manipulating the market with supply issues it would work out much better. I would never sign an agreement that said I could not sell property I own to anyone I want, whenever I want, for whatever I want.

[Jojoshop]

Buying a Rolex is like buying a GT3RS. The only difference the dealer could charge you a premium.
I was looking for one last October and local dealer called me when I was overseas on business trip. We talked and set up a time to stop by and finalize the car specs. they asked for market price, which is basically the premium. Worst, the premium was $5k higher compared to market. It pissed me, stopped the discussion and told them they waisted my time. Besides I could get the specs I want from the market cheaper and faster. Ended up not buying the car, and not sure I would this year either. I’m enjoying my 4S for now

[Abdullah71601]

Originally Posted by 1William

Interesting but not necessary. If Rolex would work on producing the watches that the consumers want and stop manipulating the market with supply issues it would work out much better. I would never sign an agreement that said I could not sell property I own to anyone I want, whenever I want, for whatever I want.

Rolex strategy is to funnel customers through their AD network rather than grey dealers. The hot watches can now be found much cheaper from an AD. And the shortage of SS is moving slow sellers to customers instead of deeply discounting to grey dealers. Rolex is happy, the AD's are happy, and the typical status seeking customer gets a greater sensation of exclusivity.

[FTX I]

Originally Posted by Abdullah71601

Rolex strategy is to funnel customers through their AD network rather than grey dealers. The hot watches can now be found much cheaper from an AD. And the shortage of SS is moving slow sellers to customers instead of deeply discounting to grey dealers. Rolex is happy, the AD's are happy, and the typical status seeking customer gets a greater sensation of exclusivity.

Exactly

[Rolexatlast]

Wouldn’t work in the UK, where the Sales of Goods Act prevents such restrictions being placed on the purchaser

[Tomas Eriksson]

You are confirming that a F8 Tributo is a wise buy :)

[fsprow]

Originally Posted by Tomas Eriksson

You are confirming that a F8 Tributo is a wise buy :)

Yes indeed. If you were able to get one at MSRP !! I have a 488 and that tapped me out!
....... I’m car and watch poor, for sure....

[brandrea]

Originally Posted by Abdullah71601

Rolex strategy is to funnel customers through their AD network rather than grey dealers. The hot watches can now be found much cheaper from an AD. And the shortage of SS is moving slow sellers to customers instead of deeply discounting to grey dealers. Rolex is happy, the AD's are happy, and the typical status seeking customer gets a greater sensation of exclusivity.

[GoingPlaces]

Well, let's see here...Ferrari sells about 8K units per year. Rolex...800K. You think there is a difference? A lot easier to enforce and implement if you are Ferrari.

[superdog]

Originally Posted by Abdullah71601

Rolex strategy is to funnel customers through their AD network rather than grey dealers. The hot watches can now be found much cheaper from an AD. And the shortage of SS is moving slow sellers to customers instead of deeply discounting to grey dealers. Rolex is happy, the AD's are happy, and the typical status seeking customer gets a greater sensation of exclusivity.

This sure does appear to be the case.

[threeputtbogey]

Originally Posted by bluered

Buy a rolex , you can't bring the Ferrari into a bar !!!

He's talking about dealer practices of one vs the other, not considering buying one or the other...

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[piratepress]

I aspired to both all my life and recently was fortunate enough to own each. Within six months, I sold the Ferrari as it was just too darn impractical for me. I still have the Rolex. Enjoy, but remember YMMV!

[RobearH]

Originally Posted by bluered

Buy a rolex , you can't bring the Ferrari into a bar !!!

But you can get something in a Ferrari on way home from said bar!

[janice&fred]

Originally Posted by piratepress

I aspired to both all my life and recently was fortunate enough to own each. Within six months, I sold the Ferrari as it was just too darn impractical for me. I still have the Rolex. Enjoy, but remember YMMV!

that is about the best looking modern ferrari i've seen. round tail lights and all. for me the best lookers were the 246 dinos, 308's and boxers. those were some
gorgeous cars!

[Kimber007]

I think the AD should keep the warranty card for 1-2 years after you buy the watch. Then if you can produce the watch proving you still own it after the year or two then you get the warranty card back.

This seems like the best way to cut down on the flippers IMO

[MinMay]

Ferrari!

Everyone in my neighbor has a Rolex lol..

[GB-man]

Funny how many didn’t read the post as usual.

Rolex just aren’t as exclusive as a Ferrari and never will be. The day I am not free to do what I please with my watches is the day I stop buying whatever brand thinks they can force my hand.

[greggsiam]

How could either Ferrari or Rolex enforce something like that?

[fsprow]

Originally Posted by greggsiam

How could either Ferrari or Rolex enforce something like that?

It could, as a contract, be taken to court if violated (with uncertain results). But more importantly, you or a subsequent owner would not be able to have your vehicle serviced at a dealer and many parts and diagnostic equipment for recent models are not available elsewhere. Also, you could never purchase a new F car again. Obviously this would be difficult to implement for watches, but illustrates strong action to reduce flipping.

[1st amg]

Originally Posted by greggsiam

How could either Ferrari or Rolex enforce something like that?

The form I signed almost 2 years ago with the Ferrari dealer is a legal binding document. The Ferrari dealer simply wants to buy the sought after models rather than going to market. It also states they have to pay what the market value is at the time. And most importantly, if I want to continue my relationship with the dealer for future sought after models, it’s a no brainer


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[HogwldFLTR]

Originally Posted by fsprow

Perhaps it would be worthwhile to mention Ferrari’s practice when one purchases a new one from a dealer. You must sign a contract stating that you will not sell the vehicle for one year, with the exception of selling it back to the dealer from which you purchased it.

Yet there are those who sell anyway. Just as flipping Rolex watches hasn't been curtailed.

[TC94]

Originally Posted by HogwldFLTR

Yet there are those who sell anyway. Just as flipping Rolex watches hasn't been curtailed.

You CAN do it with a Ferrari. And the dealer might/might not seek legal recompense.

But you can’t do it more than once. After that, you’re blacklisted from factory orders. So it is curtailed to some extent.

[jcoltrane]

Originally Posted by greggsiam

How could either Ferrari or Rolex enforce something like that?

Ask John Cena about his Ford GT

https://www.thedrive.com/news/21623/...ng-his-ford-gt