Bucherer do keep a very good wait list. They go to great pains to get your details right on their list. Then you never hear from them again until a future date when they tell you that the watch you were interested in (and forgot about years ago) is now, in fact, discontinued and invite you to update your details to wait indefinitely on another model. It’s a fun yet futile exercise. Their lists are the best.
A friend got on the list for a datejust at bucherer about a year ago. They told him wait time 1-2 years. Then called him 2 months later and said it was now ready for purchase. He declined because he wasnt done saving up for it yet... Anyway, why would people go along with this crap treatment instead of just buying an omega or similar with actual luxury service?
Watching this video only makes me love my Seamaster that much more. It’s like watching your ex girlfriend go through some crazy life drama and thinking “man I’m glad I’m not in that world anymore”
Omega are very old fashioned in their approach to selling their product. You can actually walk into a store and buy a watch from them. No waiting lists. Amazing.
@@Monami262well that “ controlled“ distribution keeps the value of the watch so they can go up eventually in Rolex cases most of the time . i love Omega but beeing able to buy straight ahead and losing 3k by walking out of the door is absolute dogshit .they lose so much it’s infuriating. and no Omegas should not be priced the same as a Rolex
Andrew, I have watch a lot of videos regarding this topic. Some wanted to be first to publish looking for View counts without some prep. Your content was well prepared although I am sure you tried to put something together in a timely matter but you ended up with one of if not the best video analysis so far. I agree 100% with you that this is only the beginning as part of a 10 to 20 year strategy for Rolex. I can't wait to see what will be their first high end model that will compete with AP and Patek.
I don’t think Rolex want to match Patek or AP.. They want the 30%-50% markup retailers are getting as the watches go screaming out the door. Why pay a retailer commission. Also A.D.s have no doubt being doing some under the table dealing with above MRP selling for 40% above on the grey market. How did all those watches get on the 2nd hand grey market still tagged?
I think, part of the reason, and obviously not all of it: With the popularity of watches now, and with every watch youtuber and magazine portraying Rolex as the villain of the industry, with the waiting lists and purchase history; even though as you said it's not really Rolex's fault; It is starting to impact the brand image, their biggest asset, and they need to act fast to counter this. Now more than ever, high-end watches have become very popular, and now more than ever you can see people NOT wanting their first luxury timepiece to be a Rolex.
Rolex hype is amazing to behold. But when I put my Rolex against my Breguet I can see just how silly the whole thing is. Rolex make good watches at inflated prices. Breguet make high horology that staggers the eye.
The watch world commentariat in unison declared Rolex was a “mass produced” watch. The next thing you know you couldn’t find one to buy. Still makes me smile.
One million watches per year is mass production. And in the near future the production will double. We are talking Casio, Citizen and Seiko production capability.
This makes me all the more happier that I recently purchased a Grand Seiko directly from their boutique. None of this having to book an appointment and ‘establish a relationship with the brand’ bullshit like you get with Patek, AP and the likes. Saw something I liked in the display and bought it, simple as. If an industry behemoth like Rolex want to go down that route then so be it, but I’ll probably take my business elsewhere. Some of these watch brands can take their exclusivity and shove it.
Only thing I have to say about Rolex is: As a watch enthusiast for over 10 years, I can't see them anymore. They're everywhere. Fakes and Gens. Just my opinion.
Supply is going to rise. Rolex are managing a return to (relative) supply sanity and will directly attack the profit margins of the grey and secondary markets. The flip factor is going to be managed and controlled by removing the bit of the transaction chain they can't influence. It's reputational management and puts the power back in their hands to decide and direct the market.
What I’m a bit confused about, maybe someone can touch on this, is that I thought Rolex did not have any of its own boutiques while other brands such as Omega and Vacheron and Breitling and Cartier do have their own boutiques. For example, in downtown Chicago I passed a Cartier boutique on my way to the Omega boutique and stopped at both Vacheron and Breitling. These were Omega and Breitling and Vacheron only stores, true boutiques. But Rolex never had any. So this purchase of Bucherer is just Rolex “catching up” to the rest of the high end brands to have their own stores. Right? Or no? What’s the big deal?
Scuba divers have been wearing (and need to) a diving computer since the late 1950s. So it's really funny to see how Rolex have managed to convince people that scuba divers need these types of watches. Their only valid function is some form of time backup and if they break then you are deeper than the watch limits!
This isn't the only time Rolex has bought out the important cogs and wheels of the swiss watch industry,which in other countries,would be illegal due to competition regulations.
If Rolex is hoping to move into Patek territory - wouldn’t it take more than a customer experience? Patek bangs on about their high standards and the Geneva Seal, which is a justification of their desirability. Rolex is an interesting phenomenon - what is it about its name and aspirationality? The Bucherer purchase, in my view, is a means to control not only their sales, but those of its competitors - bearing in mind that Bucherer still needs to return a profit.
Rolex is about making money. They’re not about making watches. I’m not saying that is a dishonourable motivation. Making money allows one to make good watches. I personally would choose a brand that is about making watches, say A Lange & Sohne, over a brand about making money.
I’m a big fan of A Lange & Sohne but they are arguably more about making money since they are owned by a publicly traded company. Publicly traded companies have a fiduciary responsibility to investors/share owners. Also Rolex “not making watches” is an odd statement when they, by far, manufacture the most watches every year.
@@roycedot Depends on what one means by about I suppose. My meaning implied the major emphasis of the company. Rolex seems most celebrated for its innovative business and marketing strategies as opposed to horological innovations. Sure that’s oversimplified (I know early wrist watch adapter, early waterproof watch etc.) but still a common perception . True Lange sold to a public corporation but they seemed to have retained their low production rate of finely hand finished, often complex and innovative time pieces. Luxury products are like indie bands. If too many people know about them or can access them they’re no longer cool. By manufacturing 1M watches per year Rolex flirts with the uncool.
When Bucherer were forced to purchased the used watches from Rolex were they aware of the allegations that some of the watches were stolen watches that were sent by authorities back to Rolex but never returned by Rolex to their owners even though they were traceable by serial number?
Is there any proof of this? I can’t imagine it being true. The potential damage to their reputation seems too high, if the watches came from Rolex. But I thought Bucherer bought the watches from the open market and had them serviced. To my knowledge you can still sell your watch to Bucherer’s preowned.
The other revenue stream not being discussed much is that Bucherer is the the main Rolex Certified Pre-Owned reseller. That is a multiple stream of reselling revenue stream for a single time piece multiplied by all of the Rolexes ever sold. Example below: - A buyer purchases a Rolex Certified Pre-Owned piece from Bucherer. - He later sells this piece back to Bucherer at below resell market value to purchase another Rolex or any other brands within Bucherer (This is standard practice for all grey market dealers). - Bucherer services this timepiece and resells it at a higher margin. - Multiply this by the lifetime of this timepiece, multiply this over all of the Rolexes in circulation.
They deserve each other. Bucherer will probably shrink their stores and a lot of their garbage sales reps will be let go. Having a smaller set of more knowledgeable sales reps will be a plus for customers.
If it leads to a more consistent merit based customer treatment then it could be a good move. Anyone should be able to buy a watch and given a ‘queuing time’. If this happens it would also deflate the grey market which thrives on people’s insecurity that they will NEVER get a watch.
There will always be "preferred customers" rightly or wrongly, that's why you see certain celebs with all the off catalogue fancy pieces etc. Rolex won't do away with this IMO. It happens with all brands, if you buy so many Patek's you get offered a unique piece for example. They all do it.
I believe this is Rolex’s first step in destroying the grey market and ADs. They are increasing production and have now purchased one of the worlds biggest retailers. Rolex can now put Rolex sales people, in Rolex stores and reduce the amount of watches going out the back door to grey market dealers, which is happening at the ADs all the time. They will increase their prices, start to take their place in the holy trinity and prop up Tudor as the Rolex replacement and the gateway into Rolex, allowing people to create a purchase history.
Please! Rolex is not scaring any of the holy trinity. I’m looking to get Patek, Audemar, or Vacheron. Rolex is all hype and advertisement. One of the Holy Trinity of watches are my aspirations.
Your intellect is delightful! The mere thought that Rolex might soon play “how badly do you want it” with the very same ADs that have been using an identical tactic against their own customers is… delicious.
Sharf did what he called a brain dump video on the takeover, saying Rolex would do better to buy a grey market dealer like LB for instance. He'd have done better to just take a dump!!
@@jamese1596 You must be very new to watches, or simply not know a single other brand. No luxury brand can be bought "on the spot" for the "hot" models, the difference is that the likes of Omega and IWC can only produce one "hot" model while for Rolex it is just about 70% of their offering. Go try buying Omega snoopy or IWC ingenieur and tell me how it went.
Based on Rolex market share, they basically don't have any competition. As a result, the other brands should not be worried about this. The retailers should.
@@Cohen.the.WorrierChance are they have already other brands, it's a rare indy AD which is Rolex only, both for feed brands but to spread risk, the 80/20 rule, but Rolex is the anchor brand, nothing else compares.
@@roycedot It's not as clear cut as that, the 70% contains dozens of companies, the problem is the next biggest competitor is less than a third of the size of them: "Retail market share of the leading Swiss watch brands worldwide in 2022 Rolex 29.2% Omega 7.7% Cartier 7% Patek Philippe 5.1% Audemars Piquet 4.7% Longines 3.9% Richard Mille 2.7% IWC 2.6% Breitling 2.6% Vacheron Constantin 2.2%" So Omega, Cartier, Patek Philippe, Audemars Piquet and Longines together are the size of Rolex!
@@GM-ii8gs I know but the “next biggest competitor” being less than 1/3 of Rolex doesn’t mean Rolex doesn’t have competition. You even mentioned there are dozens of other companies. Those companies are competitors grabbing 70% of the market
Rolex has damaged its company image beyond repair, too little too late. They are the most disliked watch manufacturer and that will not change until anyone can walk into a store and buy at regular retail price. Anything else is wishful thinking.
... the best customers of any AD has always been the Re-Sale (Grey Market) Dealers from the years of them purchasing unsold pieces. Therefore, many of us are no longer able to buy even a DateJust at retail since 2016 or so. Therefore, now Rolex should have more control in serving the end users. Keyword being "should"...
The last Bucherer sold his store because he has no heirs. The other manufacturers are objecting to it because they won’t want to have they watches handled by Rolex. So if it goes through the anti trust, they’ll probably drop Bucherer as a distributor. Nothing will change for consumers. Rolex is a snobbery brand, even if it’s distribution goes 100% to its own boutiques. They’ll want to give potential customers a financial colonoscopy (with a very large camera).
I don’t blame Rolex one bit, good move to take more control of their products. A lot of grey market dealers are now collectively crapping themselves . We shall see what happens next
It doesn't impact them because people still buy Rolex to flip on the grey market. Bucherer ain't going to be buying back a watch they just sold for 30% more lmfao!
@@thegornyou have a good point. But I believe this is Rolex’s first step in destroying the grey market. They are increasing production and have now purchased one of the worlds biggest retailers. Rolex can now put Rolex sales people, in Rolex stores and reduce the amount of watches going out the back door to grey market dealers, which is happening at the ADs all the time. They will increase their prices, start to take their place in the holy trinity and prop up Tudor as the Rolex replacement and the gateway into Rolex.
@@Cohen.the.Worrier they’re probably attacking it on multiple fronts I imagine, cut the grey market off from a supply perspective and reduce the amount of AD’s. Then capitalise on the second hand market with their second hand program, the issue will be flippers.
The ironic thing is that although we dont realise it, we want the scarcity. It's the scarcity marketing that makes you want what you can't have. As soon as you can walk into a Rolex boutique and buy a Pepsi GMT - you probably wont..... Which means Rolex will never let that happen.
Customisation has always been a part of old Rolex which I hope returns. My father in the past was able to change the dial of a watch he was buying to another dial he would prefer and etc.
I’d like to be a fly on the wall in that Swatch group boardroom the day after the announcement. To see customer money for their product going into the pockets of Rolex is going to be a bitter pill to swallow.
I went to WoS to buy a watch, having checked on line it was available, I lined up finance, all was good and that was it. I have returned to that store 6 times in last 12 months, and not bought a single item, yet my collection has gone from 1 to 7 in that time , all 6 brands are available at WoS but nobody gave a ..it . The 3 local London boutiques got all my money and I am a happty bunny, ps not a Rolex in sight .
Well then, perhaps Rolex isn't complicit in their AD's goof ball games after all and has finally decided to stop their image from being further tarnished. I for one got tired of the BS and went Omega for my most recent watch. I'll keep my Speedmaster forever most likely and when the day comes I can buy a GMT Batman or Girl at retail with no smelly games, I will.
As an MBa in sales and marketing , I agree with you, this is a game changer, just look at the WoS share price. going vertical requies an additional skill that Bucherer will provide. But they must continue to create great watches ??
Rolex is obviously taking control of their product from factory to store. I can’t wait to laugh in my AD’s face, when he loses his Rolex franchise. I wonder if his favored customers will still overpay for his junk jewelry?
It'd be interesting if Rolex dictated to Bucherer a new "waiting list" system. What would be the most consumer-friendly system? Rolex could insist on it. Spitballing: No individual gets more than 1 watch per year. Put in your name for the model you most want and when it comes in either we go first-come first-served or we randomly pick someone from the list. They could offer full transparency. e.g., "You're number 4 on the list. We expect your wait time to be 9 months." I don't know what the most fair system is, but it's interesting to think that Rolex could force it to happen.
You can buy up all the key 'outlets' to promote and sell your products, however as long as you still only produce roughly the same quantity, about 1 million pieces annually, what is the point ? There must be something else in the pipeline as a long term strategy as with everything else Rolex. All of it however still out of my grasp at any AD no matter what the name on the shop front. Nice bedtime story however.
5:11 You just stated why none of the retail shenanigans will change. When they agree upon the contract, independent operation is baked in. Unless there is a contract renegotiation, then who cares? The only thing this ostensibly changes is that they gain the ability to claim vertical integration, and they can make money off the retail markup.
A sound business move by Rolex. Joe's Jewelry Shop selling Rolex as an AD will come to an ignominious end. It has to. Jos was responsible for the back door, waiting list , playing favorites knowing full well where those sales would end up. The Grey Market. If i were a Rolex exec, i wouldnt be happy. Having my brand run through the mud tends to give Rolex execs a rash and when they get a rash itches will be scratched hence Bucherer. Youre right Andrew this is just the beginning. Wait till they scratch the grey market itch ohhhh boy ! Cheers🍻
Question: I'm looking to buy a new Datejust at some point between now and 2 years times. Is there any merit in waiting to approach my AD? Might the wait times dramatically reduce when Rolex start working this new retail option?
Yes. My buddy got a sub in ~2 years. You can absolutely buy that watch you’re dreaming about.. a lot of the complaints about Rolex have more to do with waiting for an exorbitantly priced product in the first place than the wait itself imo. That at and certain watches they make are impossible to ever see at an AD 🤣🤣 Some dealers I’ve been to don’t have waiting list, and are first-come first serve. I’ve seen plenty of date Justs for retail that way.. if you’re ever traveling I recommend always checking out an AD in that area.
Still not sure why they buy Bucherer when they could have built up their own stores for cheaper. I'm sure they've done their due diligence, but from a business standpoint the wisdom of buying Bucherer at the height of luxury valuation remains to be seen. What makes a little more sense is Bucherer wanted out, and Rolex bought them in a mostly defensive move to prevent Swatch or LVMH or another group from crowding them out or having any influence. Rolex ownership is driven by ego and they could never stand for that!
We don't know how much they've been bought for, if Mr Bucherer apparently doesn't have heirs then, let's be frank, he's not going to need too much money where the 86 year old is going... Plus I guess Rolex are also picking up Carl F Bucherer, the factory, the skill set, and all the high horology movements. Who knows it could be like the Wilsdorf Foundation where the company was transferred for free or 1 CHF...
Long term, this will probably lead to likes of Swatch Group, Richemont, LVMH to follow the same model as Rolex. Retailer such as Watches of Switzerland will struggle, eventually become a target of M & A by one of the major watch conglomerate or become part of a past history. I can also foresee smaller independent brands may be forced to consolidate with larger conglomerates. When said and done, this would probably rewrite an entire luxury watch retail model.
Whoa whoa whoa. Rolex is absolutely the source of dealer BS. Rolex forces dealers to buy large quantities of watches (sight unseen) that nobody wants. How else can they move them without tying their purchase to more popular watches? How dare you absolve them.
Like Father Christmas, Rolex have made a list of all the naughty or nice AD children. Using a modified Bucherer as model , they are going to show how they want customers to be treated i.e. you still won't be able to get a watch, but you won't be ritually humiliated in the process. Or maybe there is scope to increase production significantly whilst maintaining exclusivity.
I think this all depends on how naïve the customers are? Rolex are just another watch. Yes they're very shiny. But there's so much more to watches than that. People: start being a bit more creative and discerning in your watch choices.
Of course this is a strategic move! Why else would they do it? I think you’re spot-on by saying “it’s only the beginning” and that they plan to track towards AP and Patek. Totally makes sense. Good for them. But I think bad for us normal folk. I think our local family-owned ADs will be more limited in allocation, forcing us to compete in a larger pond in big cities at Bucherer, thus losing real local relationships with our family jewelers. It’s a shame really.
Lmao Rolexes most complicated movement is a chronograph, and the 3235 cal has issues with the jewels going dry in a year. Putting them in the same sentence as AP and Patek is comical.
@@andrewmccann2700 I completely agree. However, if Rolex has taught us anything, it’s that perception not reality is the rule. They will continue to market market market themselves and continue to push to be the most “luxurious” brand in the world, which certainly means different things to different people.
My thoughts are that I'm not picking up the phone to my Rolex AD because I don't have one. I'm about as interested in owning one of those as I am in a hole in the head, I'm afraid. They are the Volkswagen of the watch industry, dutifully selling me the same golf as they did in 1976, but this time a bit more squarish. :)
How is this not going to anger other Rolex retailers? Unless they make sure they treat Burcher as all others with respect to supply and watch prices (sticking to msrp across the board), this will only hurt them. Logically they likely will give supply preferences to Burcher and as mentioned will tick off existing retailers
Other Rolex ADs fall into two categories, WoS who have shareholders and can't afford to tell Rolex to sling their hook, and small indy's with one to five doors, and would see a noticeable loss of income if they lose this anchor brand, so while they'll be much gnashing of teeth, they will have to suck it up.
Bucherer do keep a very good wait list. They go to great pains to get your details right on their list. Then you never hear from them again until a future date when they tell you that the watch you were interested in (and forgot about years ago) is now, in fact, discontinued and invite you to update your details to wait indefinitely on another model. It’s a fun yet futile exercise. Their lists are the best.
That’s impressive. Most lists you hear crickets, it’s a miracle if you get a call out of the blue.
Haha this happened to me a few months ago
Very true 😂
How exciting
A friend got on the list for a datejust at bucherer about a year ago. They told him wait time 1-2 years. Then called him 2 months later and said it was now ready for purchase. He declined because he wasnt done saving up for it yet...
Anyway, why would people go along with this crap treatment instead of just buying an omega or similar with actual luxury service?
Watching this video only makes me love my Seamaster that much more. It’s like watching your ex girlfriend go through some crazy life drama and thinking “man I’m glad I’m not in that world anymore”
Exactly right!
Makes me want a Rolex even LESS!!
Well said
Great! Grand Seiko is a "keeper" too.
great self justification for not being able to have the one you like in both terms, price and allocation
Say what you want about Omega, but at least they are reasonably priced and even more importantly, AVAILABLE TO BUY
They USED to be reasonably priced. So many price hikes now take them to over inflated
Omega are very old fashioned in their approach to selling their product. You can actually walk into a store and buy a watch from them. No waiting lists. Amazing.
People want Rolex because it’s not available to buy. Sad to say but that is the hard truth. Another marketing win by Rolex
@@Monami262well that “ controlled“ distribution keeps the value of the watch so they can go up eventually in Rolex cases most of the time .
i love Omega but beeing able to buy straight ahead and losing 3k by walking out of the door is absolute dogshit .they lose so much it’s infuriating.
and no Omegas should not be priced the same as a Rolex
In the end, sweet Omega tucks our wallets in for the night
Andrew, I have watch a lot of videos regarding this topic. Some wanted to be first to publish looking for View counts without some prep. Your content was well prepared although I am sure you tried to put something together in a timely matter but you ended up with one of if not the best video analysis so far. I agree 100% with you that this is only the beginning as part of a 10 to 20 year strategy for Rolex. I can't wait to see what will be their first high end model that will compete with AP and Patek.
I don’t think Rolex want to match Patek or AP.. They want the 30%-50% markup retailers are getting as the watches go screaming out the door. Why pay a retailer commission. Also A.D.s have no doubt being doing some under the table dealing with above MRP selling for 40% above on the grey market. How did all those watches get on the 2nd hand grey market still tagged?
And blank warranty cards
I think, part of the reason, and obviously not all of it: With the popularity of watches now, and with every watch youtuber and magazine portraying Rolex as the villain of the industry, with the waiting lists and purchase history; even though as you said it's not really Rolex's fault; It is starting to impact the brand image, their biggest asset, and they need to act fast to counter this.
Now more than ever, high-end watches have become very popular, and now more than ever you can see people NOT wanting their first luxury timepiece to be a Rolex.
The vips and famous people will get the watch easily so we peasants are forever stuck to be buying it for an overinflated price on grey dealers.
Now we have more places to get on a wait list!
Many more watches to not get!
Rolex hype is amazing to behold. But when I put my Rolex against my Breguet I can see just how silly the whole thing is. Rolex make good watches at inflated prices. Breguet make high horology that staggers the eye.
Different animals completely. Each have their place.
Hold your horses, Rolex now gets Carl F Bucherer, so access to some HH movements and manufacturer, anticipate a HH range in the next 3 years.
The watch world commentariat in unison declared Rolex was a “mass produced” watch. The next thing you know you couldn’t find one to buy. Still makes me smile.
One million watches per year is mass production. And in the near future the production will double. We are talking Casio, Citizen and Seiko production capability.
In Denmark Omega pulled out of bucherer 6 months ago
This makes me all the more happier that I recently purchased a Grand Seiko directly from their boutique. None of this having to book an appointment and ‘establish a relationship with the brand’ bullshit like you get with Patek, AP and the likes. Saw something I liked in the display and bought it, simple as. If an industry behemoth like Rolex want to go down that route then so be it, but I’ll probably take my business elsewhere. Some of these watch brands can take their exclusivity and shove it.
Exactly how I felt when I bought my Grand Seiko as well.
1000%
Lucky you
You are right that's why I own Breitling, Omega and Longines Watches. Well said
@@TheJlrc07 Absolutely. Exclusivity and value retention are so overrated.
"THIS IS ROLEX!" as he kicks the ADs down the well.
Ok. This has been by far the best analysis so far.
Only thing I have to say about Rolex is: As a watch enthusiast for over 10 years, I can't see them anymore. They're everywhere. Fakes and Gens. Just my opinion.
Supply is going to rise. Rolex are managing a return to (relative) supply sanity and will directly attack the profit margins of the grey and secondary markets. The flip factor is going to be managed and controlled by removing the bit of the transaction chain they can't influence. It's reputational management and puts the power back in their hands to decide and direct the market.
What I’m a bit confused about, maybe someone can touch on this, is that I thought Rolex did not have any of its own boutiques while other brands such as Omega and Vacheron and Breitling and Cartier do have their own boutiques. For example, in downtown Chicago I passed a Cartier boutique on my way to the Omega boutique and stopped at both Vacheron and Breitling. These were Omega and Breitling and Vacheron only stores, true boutiques. But Rolex never had any. So this purchase of Bucherer is just Rolex “catching up” to the rest of the high end brands to have their own stores. Right? Or no? What’s the big deal?
Scuba divers have been wearing (and need to) a diving computer since the late 1950s. So it's really funny to see how Rolex have managed to convince people that scuba divers need these types of watches. Their only valid function is some form of time backup and if they break then you are deeper than the watch limits!
Stop press : Wos opens new Rolex superstore in London with no stock lol
I visited the Bucherer shop in Caesars Palace in LV, that was formerly Tourneau. No more Patek there.
I think that it means we have 2-3 years max before all Tudors retail over £5000
And the Rolex will all start at 20K
I agree with both of you.
I hope not, because I want to buy more Tudor, not Rolex. But sadly, I think you are probably right.
@@lukedavies3732 I'm hearing another price rise for Tudor on Friday the 1st Sept in UK, you might want to hit the plastic sooner than later...
Best take on the bucherer acquisition so far
This isn't the only time Rolex has bought out the important cogs and wheels of the swiss watch industry,which in other countries,would be illegal due to competition regulations.
The first dive watch was introduced in 1932 by .......Omega
Rolex, Rolex that. There is more to the watch game than bloody Rolex!!! 😤
💯 agree
If Rolex is hoping to move into Patek territory - wouldn’t it take more than a customer experience? Patek bangs on about their high standards and the Geneva Seal, which is a justification of their desirability. Rolex is an interesting phenomenon - what is it about its name and aspirationality? The Bucherer purchase, in my view, is a means to control not only their sales, but those of its competitors - bearing in mind that Bucherer still needs to return a profit.
Rolex are bullerproof without a geneva seal, its weird how they achieve that with ugly movements
As a fan or Tudor, I worry Rolex leaves the line to retailers who relegate it to displays in the back, next to quartz Bulovas.
Rolex is about making money. They’re not about making watches. I’m not saying that is a dishonourable motivation. Making money allows one to make good watches. I personally would choose a brand that is about making watches, say A Lange & Sohne, over a brand about making money.
Agree!!!
I’m a big fan of A Lange & Sohne but they are arguably more about making money since they are owned by a publicly traded company. Publicly traded companies have a fiduciary responsibility to investors/share owners. Also Rolex “not making watches” is an odd statement when they, by far, manufacture the most watches every year.
@@roycedot Depends on what one means by about I suppose. My meaning implied the major emphasis of the company. Rolex seems most celebrated for its innovative business and marketing strategies as opposed to horological innovations. Sure that’s oversimplified (I know early wrist watch adapter, early waterproof watch etc.) but still a common perception . True Lange sold to a public corporation but they seemed to have retained their low production rate of finely hand finished, often complex and innovative time pieces. Luxury products are like indie bands. If too many people know about them or can access them they’re no longer cool. By manufacturing 1M watches per year Rolex flirts with the uncool.
So Carl F. Bucherer is now the sister brand of Rolex just like Tudor? 😂
Gets Rolex some HH movements, can't see any downsides on this deal for Rolex, it's just win, win, win...
Well Rolex and Bucherer have always been like a “brother from another mother”. But ya, now they are sisters.
When Bucherer were forced to purchased the used watches from Rolex were they aware of the allegations that some of the watches were stolen watches that were sent by authorities back to Rolex but never returned by Rolex to their owners even though they were traceable by serial number?
Is there any proof of this? I can’t imagine it being true. The potential damage to their reputation seems too high, if the watches came from Rolex. But I thought Bucherer bought the watches from the open market and had them serviced. To my knowledge you can still sell your watch to Bucherer’s preowned.
The other revenue stream not being discussed much is that Bucherer is the the main Rolex Certified Pre-Owned reseller. That is a multiple stream of reselling revenue stream for a single time piece multiplied by all of the Rolexes ever sold. Example below:
- A buyer purchases a Rolex Certified Pre-Owned piece from Bucherer.
- He later sells this piece back to Bucherer at below resell market value to purchase another Rolex or any other brands within Bucherer (This is standard practice for all grey market dealers).
- Bucherer services this timepiece and resells it at a higher margin.
- Multiply this by the lifetime of this timepiece, multiply this over all of the Rolexes in circulation.
They deserve each other. Bucherer will probably shrink their stores and a lot of their garbage sales reps will be let go. Having a smaller set of more knowledgeable sales reps will be a plus for customers.
I was in there today in Zurich, a young girl served us, she knew her stock, knew the products and was good, we didn’t buy as I didn’t love any of them
If it leads to a more consistent merit based customer treatment then it could be a good move. Anyone should be able to buy a watch and given a ‘queuing time’. If this happens it would also deflate the grey market which thrives on people’s insecurity that they will NEVER get a watch.
The only merit is oddly and obviously based upon what you spend.
There will always be "preferred customers" rightly or wrongly, that's why you see certain celebs with all the off catalogue fancy pieces etc. Rolex won't do away with this IMO. It happens with all brands, if you buy so many Patek's you get offered a unique piece for example. They all do it.
no one has an inalienable right to buy a luxury watch.
@@djones1304 word
What’s Merit based treatment mean
can't wait to be truly humbled and blessed, and still not bother to join a retailers wait list
I believe this is Rolex’s first step in destroying the grey market and ADs.
They are increasing production and have now purchased one of the worlds biggest retailers. Rolex can now put Rolex sales people, in Rolex stores and reduce the amount of watches going out the back door to grey market dealers, which is happening at the ADs all the time.
They will increase their prices, start to take their place in the holy trinity and prop up Tudor as the Rolex replacement and the gateway into Rolex, allowing people to create a purchase history.
Next move: Tudor buys Watches of Switzerland while their stock is suppressed.
£1.31m capitalisation on Friday, Rolex has more than that in the spare change tray in it's car.
Please! Rolex is not scaring any of the holy trinity. I’m looking to get Patek, Audemar, or Vacheron. Rolex is all hype and advertisement. One of the Holy Trinity of watches are my aspirations.
I doubt Seiko will be bothered. 😁
That’s the same philosophy as Zara. The brand owns all the stores and the sellers have even to pay a rent for it.
They got this from supermarkets, like Tesco, where you have to buy on eyeline shelf space.
Your intellect is delightful! The mere thought that Rolex might soon play “how badly do you want it” with the very same ADs that have been using an identical tactic against their own customers is… delicious.
Rolex opens the war against the gray market, nice move. Here in Switzerland, buying a Rolex is always via Bucherer store anyway.
Fly to Asia and get multiple pieces of sports models in street corner shops in hk , Japan and small shops in sg malls.
Genuine pieces
@@Mega-zi7ys yeah a nice superclone, perfect box and warranty card😂
@@donaleeesio your ignorance is mind baffling... you best delete your post it's shamefully ignorant
That’s only mostly true. There are other ADs, but Bucherer is certainly the largest and most well known.
@@donaleeesioNot in Hong Kong or Japan.
Thailand and Singapore is filled with fakes
Sharf did what he called a brain dump video on the takeover, saying Rolex would do better to buy a grey market dealer like LB for instance. He'd have done better to just take a dump!!
Yep, buying up grey dealers will tarnish their image, plus they is 1800 (-100 for Bucherer) ADs to start on first.
rowleks would have nothing to do with the trash used watch salesmen like sharf.
@@WatchReporter As The Pontiff would say "The Guy's a delusional fantasist". 😂😂😂😂
sharf is a just a trash backpack dealer on a larger scale. he should merge his business w anfernee and prune face. then squalee would buy him.
@@WatchReporter 😂🤣😂
Options are good. I’d like the option to substitute lume-free hands for lumed ones.
I’d just like to be able to go into a store and buy a watch. Whatever makes that happen without markups and wait list. Sounds good to me.
Timex is waiting for you
So are every other luxury watch maker on the planet. If Rolex can’t get its 5hit together, then none of this hype matters.
@@jamese1596 You must be very new to watches, or simply not know a single other brand. No luxury brand can be bought "on the spot" for the "hot" models, the difference is that the likes of Omega and IWC can only produce one "hot" model while for Rolex it is just about 70% of their offering. Go try buying Omega snoopy or IWC ingenieur and tell me how it went.
@@rem9011 get a hobby mate. Genuinely
@@HRM.H I do have a hobby. Its called watch collecting, hence I am on this channel. Why are you here then mate?
Based on Rolex market share, they basically don't have any competition. As a result, the other brands should not be worried about this. The retailers should.
Is it a good move for Rolex to have their AD's worried? Imo no, they'll be looking to add other brands to their line-up.
@@Cohen.the.WorrierChance are they have already other brands, it's a rare indy AD which is Rolex only, both for feed brands but to spread risk, the 80/20 rule, but Rolex is the anchor brand, nothing else compares.
Rolex has 30% marketshare. They definitely have competition - 70% of the market
@@roycedot It's not as clear cut as that, the 70% contains dozens of companies, the problem is the next biggest competitor is less than a third of the size of them:
"Retail market share of the leading Swiss watch brands worldwide in 2022
Rolex 29.2%
Omega 7.7%
Cartier 7%
Patek Philippe 5.1%
Audemars Piquet 4.7%
Longines 3.9%
Richard Mille 2.7%
IWC 2.6%
Breitling 2.6%
Vacheron Constantin 2.2%"
So Omega, Cartier, Patek Philippe, Audemars Piquet and Longines together are the size of Rolex!
@@GM-ii8gs I know but the “next biggest competitor” being less than 1/3 of Rolex doesn’t mean Rolex doesn’t have competition. You even mentioned there are dozens of other companies. Those companies are competitors grabbing 70% of the market
This may be great news for Rolex, but not for customers. I don't want a boutique experience (and certainly don't want to pay for it) I want a watch.
Rolex has damaged its company image beyond repair, too little too late. They are the most disliked watch manufacturer and that will not change until anyone can walk into a store and buy at regular retail price. Anything else is wishful thinking.
They are the most disliked watch company but sell over a million watches a year....yeah that makes complete sense 😂
A sucker is born every minute. @@HS-ed3dz
... the best customers of any AD has always been the Re-Sale (Grey Market) Dealers from the years of them purchasing unsold pieces. Therefore, many of us are no longer able to buy even a DateJust at retail since 2016 or so. Therefore, now Rolex should have more control in serving the end users. Keyword being "should"...
The last Bucherer sold his store because he has no heirs. The other manufacturers are objecting to it because they won’t want to have they watches handled by Rolex. So if it goes through the anti trust, they’ll probably drop Bucherer as a distributor. Nothing will change for consumers. Rolex is a snobbery brand, even if it’s distribution goes 100% to its own boutiques. They’ll want to give potential customers a financial colonoscopy (with a very large camera).
Nobody is objecting to anything yet
I don’t blame Rolex one bit, good move to take more control of their products. A lot of grey market dealers are now collectively crapping themselves . We shall see what happens next
It doesn't impact them because people still buy Rolex to flip on the grey market. Bucherer ain't going to be buying back a watch they just sold for 30% more lmfao!
@@thegornyou have a good point. But I believe this is Rolex’s first step in destroying the grey market.
They are increasing production and have now purchased one of the worlds biggest retailers. Rolex can now put Rolex sales people, in Rolex stores and reduce the amount of watches going out the back door to grey market dealers, which is happening at the ADs all the time.
They will increase their prices, start to take their place in the holy trinity and prop up Tudor as the Rolex replacement and the gateway into Rolex.
Wasn't the CPO program going to take care of the grey market?
@@Cohen.the.Worrier they’re probably attacking it on multiple fronts I imagine, cut the grey market off from a supply perspective and reduce the amount of AD’s.
Then capitalise on the second hand market with their second hand program, the issue will be flippers.
@@Cohen.the.Worrierno, the CPO price is higher than gray for most pieces and CPO also is only for watches made within a certain timeframe
Bucherer on 57th street in NYC is my AD. I’m just concerned with the other brands.
The ironic thing is that although we dont realise it, we want the scarcity. It's the scarcity marketing that makes you want what you can't have. As soon as you can walk into a Rolex boutique and buy a Pepsi GMT - you probably wont..... Which means Rolex will never let that happen.
Rolex must employ full time psychologists, because the marketing illusion/delusion runs deep; that's how the entire luxury goods market works.
Speak for yourself as their marketing strategy doesn't make me want to buy a Rolex, far from it.
Customisation has always been a part of old Rolex which I hope returns. My father in the past was able to change the dial of a watch he was buying to another dial he would prefer and etc.
There is No Rolex Dealer where I live in Tasmania /Australia the second oldest discovered state in Australia.
I’d like to be a fly on the wall in that Swatch group boardroom the day after the announcement. To see customer money for their product going into the pockets of Rolex is going to be a bitter pill to swallow.
Same as Richmond group owning watchfinder
I went to WoS to buy a watch, having checked on line it was available, I lined up finance, all was good and that was it. I have returned to that store 6 times in last 12 months, and not bought a single item, yet my collection has gone from 1 to 7 in that time , all 6 brands are available at WoS but nobody gave a ..it . The 3 local London boutiques got all my money and I am a happty bunny, ps not a Rolex in sight .
Best video on this topic by a country mile… 👍
Well then, perhaps Rolex isn't complicit in their AD's goof ball games after all and has finally decided to stop their image from being further tarnished. I for one got tired of the BS and went Omega for my most recent watch. I'll keep my Speedmaster forever most likely and when the day comes I can buy a GMT Batman or Girl at retail with no smelly games, I will.
As an MBa in sales and marketing , I agree with you, this is a game changer, just look at the WoS share price. going vertical requies an additional skill that Bucherer will provide. But they must continue to create great watches ??
Used to be a Torneu store here in Vegas, now it's Bucherer and it sucks. Bummer
Could not help but notice that subtle but clever reference to another brand. 😊
Rolex is obviously taking control of their product from factory to store. I can’t wait to laugh in my AD’s face, when he loses his Rolex franchise. I wonder if his favored customers will still overpay for his junk jewelry?
If I'm the other watch brands I would just pull out of Bucherer
They can buy all the retail chains, if there are still silly wait list times then nothing has changed.
Have you considered offering your content in an audio-only/podcast format as well? It could suit that alternative format quite well.
Excellent reporting.
"according to Rolex ... nothing will change".
Right... that's why you make a move like that... to keep things just the way they are... :)
Lets hope bucherer spreads to more countries and rolex get rid of these backdoor dealing AD'S.
Bucherer is well known to be one of the ADs with the most watches ending up in grey.
@@rem9011no they arent. stop spreading miss information and acting like you know it all. 😂
Bucherer staff are equally corrupt .. so does not matter
I’ll stick with Omega thank you.
It'd be interesting if Rolex dictated to Bucherer a new "waiting list" system. What would be the most consumer-friendly system? Rolex could insist on it. Spitballing: No individual gets more than 1 watch per year. Put in your name for the model you most want and when it comes in either we go first-come first-served or we randomly pick someone from the list. They could offer full transparency. e.g., "You're number 4 on the list. We expect your wait time to be 9 months." I don't know what the most fair system is, but it's interesting to think that Rolex could force it to happen.
You can buy up all the key 'outlets' to promote and sell your products, however as long as you still only produce roughly the same quantity, about 1 million pieces annually, what is the point ? There must be something else in the pipeline as a long term strategy as with everything else Rolex. All of it however still out of my grasp at any AD no matter what the name on the shop front. Nice bedtime story however.
5:11 You just stated why none of the retail shenanigans will change. When they agree upon the contract, independent operation is baked in. Unless there is a contract renegotiation, then who cares? The only thing this ostensibly changes is that they gain the ability to claim vertical integration, and they can make money off the retail markup.
I’m part of a Rolex group called F Rolex AD. Buying a luxury item and feeling like a peasant to those sale associates.
This is like Luxottica and Lenscrafters in the world of designer Eyewear, back in 1995!!
A sound business move by Rolex.
Joe's Jewelry Shop selling Rolex as an AD will come to an ignominious end. It has to. Jos was responsible for the back door, waiting list , playing favorites knowing full well where those sales would end up. The Grey Market. If i were a Rolex exec, i wouldnt be happy. Having my brand run through the mud tends to give Rolex execs a rash and when they get a rash itches will be scratched hence Bucherer. Youre right Andrew this is just the beginning. Wait till they scratch the grey market itch ohhhh boy ! Cheers🍻
I predict this sets off a chain reaction of similar moves, culminating with Pagani Design buying AliExpress.
The boutique only model hasnt helped AP improve that experience...
One place for the “wait list” instead? That could be very convenient. Best of luck.
Another one of your best!
Question: I'm looking to buy a new Datejust at some point between now and 2 years times. Is there any merit in waiting to approach my AD? Might the wait times dramatically reduce when Rolex start working this new retail option?
Yes. My buddy got a sub in ~2 years. You can absolutely buy that watch you’re dreaming about.. a lot of the complaints about Rolex have more to do with waiting for an exorbitantly priced product in the first place than the wait itself imo. That at and certain watches they make are impossible to ever see at an AD 🤣🤣
Some dealers I’ve been to don’t have waiting list, and are first-come first serve. I’ve seen plenty of date Justs for retail that way.. if you’re ever traveling I recommend always checking out an AD in that area.
Still not sure why they buy Bucherer when they could have built up their own stores for cheaper. I'm sure they've done their due diligence, but from a business standpoint the wisdom of buying Bucherer at the height of luxury valuation remains to be seen.
What makes a little more sense is Bucherer wanted out, and Rolex bought them in a mostly defensive move to prevent Swatch or LVMH or another group from crowding them out or having any influence. Rolex ownership is driven by ego and they could never stand for that!
Bucherer has 130+ years of retail experience. Rolex has none.
We don't know how much they've been bought for, if Mr Bucherer apparently doesn't have heirs then, let's be frank, he's not going to need too much money where the 86 year old is going... Plus I guess Rolex are also picking up Carl F Bucherer, the factory, the skill set, and all the high horology movements. Who knows it could be like the Wilsdorf Foundation where the company was transferred for free or 1 CHF...
so Bucherer now will sell just Rolex, no more Cartier and JLC? if they still do, how then Cartier and JLC feel about that?
Cartier and JLC already have their own boutiques
Long term, this will probably lead to likes of Swatch Group, Richemont, LVMH to follow the same model as Rolex. Retailer such as Watches of Switzerland will struggle, eventually become a target of M & A by one of the major watch conglomerate or become part of a past history. I can also foresee smaller independent brands may be forced to consolidate with larger conglomerates.
When said and done, this would probably rewrite an entire luxury watch retail model.
Did you watch the video? Swatch, Richemont, LVMH, Patek already have their own boutiques
@@roycedotI understand that. So does Rolex. There will be further consolidation to eliminate the conflict of interest and overlap.
So I wonder how Tudor fits into this strategy...
Like before, feeder brand and Bucherer has 50 odd Tudor doors.
I really like Andrew's videos with only the microphones. Those videos were different and beautiful than any other watch review videos
Whoa whoa whoa. Rolex is absolutely the source of dealer BS. Rolex forces dealers to buy large quantities of watches (sight unseen) that nobody wants. How else can they move them without tying their purchase to more popular watches? How dare you absolve them.
WRONG! Unless you back it up with inventory means absolutely nothing! You cant sell from an empty store!
What will the other brands do... Omega stay in Rolex owned store?
Like Father Christmas, Rolex have made a list of all the naughty or nice AD children. Using a modified Bucherer as model , they are going to show how they want customers to be treated i.e. you still won't be able to get a watch, but you won't be ritually humiliated in the process. Or maybe there is scope to increase production significantly whilst maintaining exclusivity.
Don't worry you will get a watch, a CPO watch, while your name sits on the better managed new watch wait list.
I think this all depends on how naïve the customers are? Rolex are just another watch. Yes they're very shiny. But there's so much more to watches than that. People: start being a bit more creative and discerning in your watch choices.
Of course this is a strategic move! Why else would they do it? I think you’re spot-on by saying “it’s only the beginning” and that they plan to track towards AP and Patek. Totally makes sense. Good for them. But I think bad for us normal folk. I think our local family-owned ADs will be more limited in allocation, forcing us to compete in a larger pond in big cities at Bucherer, thus losing real local relationships with our family jewelers. It’s a shame really.
Lmao Rolexes most complicated movement is a chronograph, and the 3235 cal has issues with the jewels going dry in a year. Putting them in the same sentence as AP and Patek is comical.
@@andrewmccann2700 I completely agree. However, if Rolex has taught us anything, it’s that perception not reality is the rule. They will continue to market market market themselves and continue to push to be the most “luxurious” brand in the world, which certainly means different things to different people.
how does Rolex continue to pretend to be non-profit after this?
Strange to think that 99% of the words population will never own any of these brands.
NOW "Rolex Certified Pre-Owned Official Jewelers second-hand timepieces that are certified and guaranteed by the brand."
Excellent! Watching from Retro, vacation day 30.
Nice video Andrew, thank you 🙂👍
Just buy an Oris. Okay, not a Rolex, but their boutique in Zurich is so nice and the staff are great.
Thankfully this doesn't change anything in Canada.
My thoughts are that I'm not picking up the phone to my Rolex AD because I don't have one. I'm about as interested in owning one of those as I am in a hole in the head, I'm afraid. They are the Volkswagen of the watch industry, dutifully selling me the same golf as they did in 1976, but this time a bit more squarish. :)
How is this not going to anger other Rolex retailers? Unless they make sure they treat Burcher as all others with respect to supply and watch prices (sticking to msrp across the board), this will only hurt them. Logically they likely will give supply preferences to Burcher and as mentioned will tick off existing retailers
Other Rolex ADs fall into two categories, WoS who have shareholders and can't afford to tell Rolex to sling their hook, and small indy's with one to five doors, and would see a noticeable loss of income if they lose this anchor brand, so while they'll be much gnashing of teeth, they will have to suck it up.
Rolex retailers are the problem. Yes, they'll be angry. Their kickbacks will slow down. Honest ADs? Sucks for them, truly.
Rolex is a young watch brand compared to competitors. Soo, will Rolex now add the long coveted "1888" on their dials? 😉
Lol, like it