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AD pricing?
https://www.breitlingsource.com/phpBB2/viewtopic.php?f=1&t=20593		 Page 1 of 2
Author:  boogiebot [ Tue Jun 29, 2010 8:45 pm ]
Post subject:  AD pricing?
Ok if this has been asked recently i appologize. But i am curious....what do you guys think the AD mark up is? I am going to take a guess here and say they mark up at least 100%. so if the watch retails for 5,000 then they pay 2,500 from Breitling. Am i completely wrong on this?
Author:  jadanf [ Tue Jun 29, 2010 8:54 pm ]
Post subject:  Re: AD pricing?
Yeah you are very wrong. Everybody thinks that there is some great, mysterious mark up at the AD, but it is just not true.

Depending on the brand, the percentage changes.. for example, Cartier 63-37% split. Cartier takes 63%, not the AD.
Author:  boogiebot [ Tue Jun 29, 2010 8:59 pm ]
Post subject:  Re: AD pricing?
jadanf wrote:
Yeah you are very wrong. Everybody thinks that there is some great, mysterious mark up at the AD, but it is just not true.

Depending on the brand, the percentage changes.. for example, Cartier 63-37% split. Cartier takes 63%, not the AD.


so what do you think the numbers are like on B'lings? the reason i ask is i am just curious.
Author:  boogiebot [ Tue Jun 29, 2010 9:01 pm ]
Post subject:  Re: AD pricing?
jadanf wrote:
Yeah you are very wrong. Everybody thinks that there is some great, mysterious mark up at the AD, but it is just not true.

Depending on the brand, the percentage changes.. for example, Cartier 63-37% split. Cartier takes 63%, not the AD.


hey bud i noticed in your sig that you have a motors t speed. awesome watch i have one too. i wanted to ask....do you get a full 42 hours of power reserve? the reason i ask is that on a full wind 40 turns my watch only runs for 35 hours. so i was wondering if you had this issue too>?
Author:  jadanf [ Tue Jun 29, 2010 9:55 pm ]
Post subject:  Re: AD pricing?
You know, honestly, I haven't payed attention. Every time I wear it, I have to reset, now that I think about it...

I'll wind it and just let it run to see how long it lasts and I will let you know.
Author:  RJRJRJ [ Tue Jun 29, 2010 11:56 pm ]
Post subject:  Re: AD pricing?
boogiebot wrote:
jadanf wrote:
Yeah you are very wrong. Everybody thinks that there is some great, mysterious mark up at the AD, but it is just not true.

Depending on the brand, the percentage changes.. for example, Cartier 63-37% split. Cartier takes 63%, not the AD.


hey bud i noticed in your sig that you have a motors t speed. awesome watch i have one too. i wanted to ask....do you get a full 42 hours of power reserve? the reason i ask is that on a full wind 40 turns my watch only runs for 35 hours. so i was wondering if you had this issue too>?


Regarding your question, I think breitling ADs have about a 40% profit window. Forgot where I heard that and I could be wrong.

Power reserve: Try winding it 60 times. 40 full turns of the crown is not necessarily 40 of your turns.
Author:  Roffensian [ Wed Jun 30, 2010 4:57 am ]
Post subject:  Re: AD pricing?
Here in Canada ADs still pay 55% of list price, that's just increased in the US. Not sure about Europe but believe that it's broadly similar.
Author:  Jamooche [ Wed Jun 30, 2010 5:34 am ]
Post subject:  Re: AD pricing?
I heard that ADs pay around 60% of MSRP.
Author:  avers [ Wed Jun 30, 2010 6:34 am ]
Post subject:  Re: AD pricing?
Jamooche wrote:
I heard that ADs pay around 60% of MSRP.


It has to be less than 60%, probably closer to 50%.

I was recently shopping for new Chronomat Evolution. List price for the watch is $4,850 and I was offered watch for $3,000 brand new with all paperwork filled from the dealer.

60% from $4,850 is $2,910, which leaves $90 to the dealer. I highly doubt the dealer was going to make only $90 on the watch.
Author:  Roffensian [ Wed Jun 30, 2010 6:58 am ]
Post subject:  Re: AD pricing?
avers wrote:
Jamooche wrote:
I heard that ADs pay around 60% of MSRP.


It has to be less than 60%, probably closer to 50%.

I was recently shopping for new Chronomat Evolution. List price for the watch is $4,850 and I was offered watch for $3,000 brand new with all paperwork filled from the dealer.

60% from $4,850 is $2,910, which leaves $90 to the dealer. I highly doubt the dealer was going to make only $90 on the watch.



60% of MSRP - in other words, 40% discount.
Author:  MacApple [ Wed Jun 30, 2010 9:32 am ]
Post subject:  Re: AD pricing?
I was told its about 45 to 50%.. Some watches the Ad's may not make much on at all. I know my ad has quite bit of inventory and wants to move whats in the cases at a substantial discount, some of the watches can sit in the cases for a couple years.
Author:  mingoglia [ Wed Jun 30, 2010 9:50 am ]
Post subject:  Re: AD pricing?
I could see it being somewhere between 40 and 50%. I base my theory on the prices of gray market watches. These watches obviously came into this world through AD's that are trying to reduce inventory and are more than likely NOT moving the inventory at a loss to them to the gray market. My theory could certainly be wrong as I'm only basing it on this observation. I'm a newcomer to the luxury watch ownership/buying community so I have no other experience to draw from.
Author:  Roffensian [ Wed Jun 30, 2010 9:54 am ]
Post subject:  Re: AD pricing?
They will move pieces at a loss if they have to - in order to keep their status as an AD they have to maintain a certain level of sales, which is the real driver behind sales to grey market sellers.

In some cases they will actually reduce discounts on certain older models - gold typically. Usually an AD has to keep at least one gold piece in inventory so if they sell it they then have to buy a replacement as the current pricing. That can easily work out more expensive than keeping the piece that they already have. I know of one store in Canada with a gold Headwind that they have had for years and they won't give anyone a good deal on it because it would likeloy cost them more than they bring in to replace it.
Author:  onewatchnut [ Wed Jun 30, 2010 10:20 am ]
Post subject:  Re: AD pricing?
Roffensian wrote:

60% of MSRP - in other words, 40% discount.


I hate to nitpick, but the OP's question was about markup. This example would equate to a 67% markup. For a $100 item the AD pays $60. He then adds $40 to get to the original MSRP. 40 is 67% of 60 and that's the markup figure. If the AD pays $50 for a $100 item, the markup is 100%.
Author:  Roffensian [ Wed Jun 30, 2010 10:28 am ]
Post subject:  Re: AD pricing?
onewatchnut wrote:
Roffensian wrote:

60% of MSRP - in other words, 40% discount.


I hate to nitpick, but the OP's question was about markup. This example would equate to a 67% markup. For a $100 item the AD pays $60. He then adds $40 to get to the original MSRP. 40 is 67% of 60 and that's the markup figure. If the AD pays $50 for a $100 item, the markup is 100%.


Yeah I get that, I interpreted avers post differently and that was the one my comment was based on - but heck I've been wrong many times before :roll:
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