pricing of Rolex in Canada vs the US

[madmax21]

I've often gone on the internet and compare pricing from Canada to the US many times the prices are cheaper in Canada I have heard that there is a free-trade accord between Switzerland and Canada is this the main factor or is it simply supply and demand. I've never completely understood how the pricing system works

[Submariner2015]

Originally Posted by madmax21

I've often gone on the internet and compare pricing from Canada to the US many times the prices are cheaper in Canada I have heard that there is a free-trade accord between Switzerland and Canada is this the main factor or is it simply supply and demand. I've never completely understood how the pricing system works

IMO, given that business owners are in the business of making money, pricing usually works on a supply and demand logic...if:

-your supply is high and demand is low= discount

-if your supply is high and demand is high= depends

-your supply is low and demand is low=depends

-if your supply is low and demand is high= no discount

Add to the above overhead costs and Rolex required quotas to maintain AD status and you have a grey market

[Cdn328is]

The difference in pricing is due to the CAD/USD exchange rate. Canada does not have a free trade agreement with Switzerland.

[madmax21]

If I compare the used market the prices here in Canada are much cheaper, in some cases adding 30% to an already high price from the US. a good example is a two tone submariner can sell anywhere from 5000 to 8000 in Canada I was offered one out of the US for almost 10000 US it was for 2011 watch box and papers that's 13,000 Canadian. That's the price for a new one at an AD.at about 10500 at a reseller. I really don't understand it myself is it that they think we are stupid in Canada or is the supply and demand really that much of a factor

[zama]

All down to currency go back a few years and the AUD and CAD were worth more than the us (we felt like rich swiss) today we buy 75c with our $1. Sad time again to be buying watches out of our own countries. Good time for Americans to travel and buy.

[Muzz]

Originally Posted by zama

All down to currency go back a few years and the AUD and CAD were worth more than the us (we felt like rich swiss) today we buy 75c with our $1. Sad time again to be buying watches out of our own countries. Good time for Americans to travel and buy.

Is that not the absolute truth Craig!! Happened all too fast!!!

[zama]

Originally Posted by Muzz

Is that not the absolute truth Craig!! Happened all too fast!!!

Very sad, it does make some of our watches look cheap now vs US. I guess I am only in the US for work so cost are covered, and a lower $ is better for our manufacturers and tourist trade.

[johneh]

Originally Posted by madmax21

If I compare the used market the prices here in Canada are much cheaper, in some cases adding 30% to an already high price from the US.

How can the prices be cheaper, but 30% higher than the US?

[TempoKing]

In the US Rolex is a status symbol but not so in Canada
- Here even from state to state used Rolex prices are different
- ie. Wyoming vs Florida for example ...and even different within the same state !!!
...ie. North Florida vs South Florida.

Cheaper (new) sport Rolex watches you can buy in Europe at this moment (with the
euro at 1.10) where ever you see the tax free sign
But ask anyway if the store does tax free..90% do
- you get a small discount plus 20% tax return - carry cash much better deal.

Better than having money in the bank !!...You just need an experienced "coach"...

[madmax21]

I know that the dollar impacts purchases from the US and credit card charges are different as well but, I have to agree with TempoKing it must because of status symbol and it seems the US buys into the fact that Rolex is the one you need to wear to prove you're someone special or (somebody) for the same reason other watches don't hold their value. I don't think Canadians are quite to that point yet, if you buy through resellers you can get quite a big discount as high as 30 percent off when you do the math you're much better off just buying it in Canada.

[madmax21]

Please read carefully what I said John to reply to your comments its obvious you don't understand that I mean our prices are cheaper in some cases in the US or 30 percent higher than ours + exchange rate which is another 25 to 30 percent

[johneh]

Originally Posted by madmax21

I mean our prices are cheaper in some cases in the US or 30 percent higher than ours + exchange rate which is another 25 to 30 percent

Is this what you're trying to say:

I mean our prices are cheaper, in some cases in the US they are 30 percent higher than ours + exchange rate which is another 25 to 30 percent.

Possibly by using the correct words and mixing in some punctuation, it might be easier for you to get your point across.

[brandrea]

It must be a nightmare for Rolex trying to come up with list pricing, with all the currency fluctuations. The CDN dollar and almost every currency has slid dramatically over the last year vs. the USD.

[snowvapor]

Originally Posted by madmax21

If I compare the used market the prices here in Canada are much cheaper, in some cases adding 30% to an already high price from the US. a good example is a two tone submariner can sell anywhere from 5000 to 8000 in Canada I was offered one out of the US for almost 10000 US it was for 2011 watch box and papers that's 13,000 Canadian. That's the price for a new one at an AD.at about 10500 at a reseller. I really don't understand it myself is it that they think we are stupid in Canada or is the supply and demand really that much of a factor

I live in Canada, where do you shop for your rolex? I haven't seen those prices here in Montreal

Sent from my D6503 using Tapatalk

[Tools]

Originally Posted by madmax21

I've often gone on the internet and compare pricing from Canada to the US many times the prices are cheaper in Canada I have heard that there is a free-trade accord between Switzerland and Canada is this the main factor or is it simply supply and demand. I've never completely understood how the pricing system works

There is no universal or magic Rolex price that every country adjusts to.

Bread, coffee, cars and Rolex watches always cost differently in different economies.

[Sammk]

I have to disagree on this. The Tax in Canada of 13% is way too much and takes the price much higher than in the US

Originally Posted by madmax21

I've often gone on the internet and compare pricing from Canada to the US many times the prices are cheaper in Canada I have heard that there is a free-trade accord between Switzerland and Canada is this the main factor or is it simply supply and demand. I've never completely understood how the pricing system works

[brandrea]

So I searched out trusted sellers here for a BNIB Submariner, Probably the most popular and easiest to search model for sale. All things being equal (including exchange rate) the pricing is about the same.

[madmax21]

Without saying the exact price I paid my GMT Master 2 approximately 8500 Canadian brand new box papers stickers on. What would the same watch cost in the USA in US dollar?

[brandrea]

You can do a quick search here in the for sale section and then covert to USD. The rate today is 1.306

[CK_]

Originally Posted by brandrea

So I searched out trusted sellers here for a BNIB Submariner, Probably the most popular and easiest to search model for sale. All things being equal (including exchange rate) the pricing is about the same.

I totally agree. Before buying my Sub at the beginning of the month, I ran the numbers comparing local ADs, grey market sellers, and even tax free shopping in Europe. I found the difference to be negligible and ended up buying from a local AD.

[brandrea]

Originally Posted by CK_

I totally agree. Before buying my Sub at the beginning of the month, I ran the numbers comparing local ADs, grey market sellers, and even tax free shopping in Europe. I found the difference to be negligible and ended up buying from a local AD.

When the dollar was at par it was a different story .... I hope one day we get back to that. Wishful thinking

[Maiden]

Same here, even when I price against solid trusted sellers on the forum I can usually get a BNIB from a local AD for less then a LNIB from a trusted seller. And that does not include the customs and duty.

[GarageBMW]

For us Canadians, it's not worth it even buying outside Canada. I just got a new in box sub with 5 year warranty and all taxes paid for the same amount I would have paid for a use one not even taking into consideration the import fees.

The motto is shop right and at the right place. I have bought many watches from USA and imported them with all customs paid in the past and was worth it when dollar was on par. For the past 5 watches I bought, all from the same AD and building a relationship always pays in the long run.

[SMD]

Originally Posted by brandrea

You can do a quick search here in the for sale section and then covert to USD. The rate today is 1.306

Not sure what you are looking at, but the rate has never been 1.306 anytime in the last five years. The highest it has been is 1.28 on March 13, 2015.

[SMD]

Originally Posted by madmax21

Without saying the exact price I paid my GMT Master 2 approximately 8500 Canadian brand new box papers stickers on. What would the same watch cost in the USA in US dollar?

I paid approximately 7000 USD all in when the C$ was 1.15. Currencies move faster than price adjustments. Simple as that. BNIB full warranty.

[novan3]

Originally Posted by TempoKing

In the US Rolex is a status symbol but not so in Canada

If you can please elaborate.

[brandrea]

Originally Posted by SMD

Not sure what you are looking at, but the rate has never been 1.306 anytime in the last five years. The highest it has been is 1.28 on March 13, 2015.

Posted rate as of today using Td securities:
http://Www.tdcanadatrust.com/product...ices/rates.jsp

[SMD]

Originally Posted by brandrea

Posted rate as of today using Td securities:
http://Www.tdcanadatrust.com/product...ices/rates.jsp

You do realize that you are looking at effectively a bid/ask spread right? TD will charge you 1.30 of you want to convert C$ to US$ but will only give you 1.23 if you want to sell USD to them. The difference is the spread that TD takes as a commission.

If you want an accurate FX rate you should look at the Bank of Canada website:

http://www.bankofcanada.ca/rates/exc...n-rates-5-day/

[~JJ]

Retail is higher in Canada due to the decrease in their dollar; however, dealers are more open to discounts so their grey market is more saturated dropping price. When you take the ADs discount plus the U.S. to Canada exchange rate their are deals to be had. Please note, they have a higher sales tax, plus customs duties help equal the playing field. Plus, driving thru customs is never fun and they love sticking a camera in my arss when I make the trip... Even when I play by the book and declare everything up front.

[brandrea]

Originally Posted by SMD

You do realize that you are looking at effectively a bid/ask spread right? TD will charge you 1.30 of you want to convert C$ to US$ but will only give you 1.23 if you want to sell USD to them. The difference is the spread that TD takes as a commission.

If you want an accurate FX rate you should look at the Bank of Canada website:

http://www.bankofcanada.ca/rates/exc...n-rates-5-day/

I indeed do realize there is a difference between the bid and ask. There are also fees when transacting in foreign currencies to take into account. Hence why when use TD securities we we calculate foreign exchange.