If you were an AD how would you allocate watches?

[ArtNouveau]

Originally Posted by train-time

I presume you are talking about an AD that sells at MSRP. My local AD allocates by selling to whoever is willing to pay current market value.

Please tell us who this is because frankly I don’t believe you. RolexUSA would yank their franchise in a heartbeat if that could be proven.

[ArtNouveau]

For the record, I have never heard my SA(or any other random one I’ve talked to)refer to his customers as “collectors.” They are “clients.” Someone coming in stating that as their reason for wanting a new watch is basically put on ignore.

[Net-man]

Set up an afternoon reception for loyal customers and do a draw for popular items, perhaps a bi-annual event.


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[padi56]

Originally Posted by bluestreak

So many people complain about the AD “games” on here. There are daily threads about poor treatment from ADs, swearing off the brand etc.

But I have an an honest question: if you were an AD how would you allocate watches?

It’s a fact there are many more people wanting to buy these watches than there are available to sell.
Given this constraint how would you allocate watches, realizing that you’re in business to make money and you probably want to take care of your long time customers before some rando walking in off the street.

Not what should Rolex do, but what should an AD do given the fact that Rolex is unlikely to change its practices. So you’re not getting enough watches and you don’t know what you’re getting until right before it arrives.

Because no matter what you do somebody is going to be unhappy. So how who you choose who is unhappy.

I’m genuinely curious.

Simple answer like all retail business sell to anyone with the cash that enters the retail store. Afraid some of this AD game stuff is now mainly down to Rolex watches becoming little more than ££$$€€ object things,now only sold to the highest bidder.

[SpiritSoul]

Not allocate any to AD staff..... certain ones have been known to flip, denying actual customers who want the watch.

[Krash]

It’s easy to be altruistic on an online forum, but in reality, I’d probably favor my best customers when it comes to the popular, hard-to-get models, and so would all of you.


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[henrikjensen]

Genuine and polite customers who have a passion for the brand and ask for a specific piece over time, will get a watch from me. Being polite and well behaved should always be rewarded.

[nick800]

Honestly id probably figure out how to sell to the grey market. I’d bet that almost everyone that buys a Rolex at retail is going to flip it anyway. Why should I be putting money in customer’s pockets?

[1William]

My list would be based on purchase history with the total dollars spent and the time frame that it was spent in. I would create a threshold of money spent for each model. Want a SS Daytona-C, 200k spent in the last 2-5 years, etc. Then I would create a list based off that for each model with a sliding scale based on desirability. I would also not waste peoples time, nor mine or staff, when customers are inquiring about watches. If you do not qualify for a watch you would be politely told so. No phony lists creating expectations that are never going to be fulfilled. Such is the current situation and until the market shifts and availability is better that is the way it would be.

[Marcjvr]

I would bring in 10 customers at a time and alternate between push up contests, hot dog eating contests and 1 legged races around the store

Winners get Rolexes

[RedGlasses]

sell to locals, kind, polite, not obnoxious, who often pays a visit, knowledgable about the brand, who I feel is not a flipper. First time buyer for 1/3rd, loyal to the store for 2/3rd.

[EQUITYft]

Originally Posted by redglasses

sell to locals, kind, polite, not obnoxious, who often pays a visit, knowledgable about the brand, who i feel is not a flipper. First time buyer for 1/3rd, loyal to the store for 2/3rd.

+1

[enjoythemusic]

Easy Solution For ADs....

As Rolex prides itself in supporting human accomplishments. In turn, if you want to wear a Rolex you'll need to prove your 'worth' on the field of battle.

THUNDERDOME!

Six customers enter, one leaves (with the Rolex, after payment of course).

[rmwill]

Immediately blackball anyone who comes in asking about getting a Rolex "as an investment" Seems like every time I am at the AD some power tool does this. My SA says it's nonstop. I bet many of the TRF Veruca Salts who don't get a call made this mistake. Nothing screams flipper more than an "investor"

[IamJacky]

Originally Posted by VogelPhoenix

I bet that once one needed to take of rent, salaries, renovations, carrying costs for inventory, mortgage, retirement and kid's college, most of the noble intents would go out of the window quickly.

First order of business would be to take care of existing high-spend customers (in particular those buying merchandise that can't be flipped for a profit), then attract future prospects falling into the same category, then any other existing customers and new customers that are known collectors, then new customers with realistic asks, and at the very end, unknowns looking for the usual hype pieces.

Pretty much this.

[brandrea]

Probably first come first serve

[perry mason]

Performance competition (like "Got talent")

[Tricolore66]

I’d alternate my allocation between longtime VIP’s and well-vetted new local clients who I think have long term potential as ambassadors or my business and a source of future referrals and other purchases. Also hold back a few watches in the safe for that buyer who plays the “what can I do to get a Daytona now” card.

[Roli4life]

I would make them do stupid human tricks. If that didn’t work, I would just fall back to capitalism.

[rmwill]

Rolex should recreate the movie Running Man, where a Richard Dawson like emcee will orchestrate a gladiator battle for watches. Winners get a Rolex, losers die a horrific death. :)

[dnd2984]

Originally Posted by edisonstar23

I’m sure that’s happening at least to some extent. I hope that Rolex is requiring A/Ds to provide name and contact information of customer the watch was allocated to. That will help some ADs to stay honest and sell to customers.


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Nope.... Rolex does not need or want that info.

[Mendota]

Originally Posted by dnd2984

Nope.... Rolex does not need or want that info.

Rolex participates in grey market purchases. They will sometimes act as counterparty to the sale and then source the item back to the AD that originally sold it. This has been discussed in multiple watch industry articles over the last few years. Nobody knows how often they do this or in which market they will participate next. It's also rumored that they may be counterparty to rare watch auctions, as well, creating further talk about the brand. Genius level marketing. Bob's Watches recently had an interview with Kevin O'Leary of Shark Tank fame, who is a fervent watch collector himself, and they discussed a lot of this.

[Mendota]

Originally Posted by enjoythemusic

Easy Solution For ADs....

As Rolex prides itself in supporting human accomplishments. In turn, if you want to wear a Rolex you'll need to prove your 'worth' on the field of battle.

THUNDERDOME!

Six customers enter, one leaves (with the Rolex, after payment of course).

Ha ha! Genius!

[Cloudchaser]

I would identify the 20% of my customers who provide 80% of my business revenue and then prioritize them to the fullest. In the process, I'd surely alienate the 80% who drive the other 20% of my revenue, all of whom I'd be encouraging to buy my diamonds (so that I can make more money and they can join the VIP 20% group).

I would also hold back a few prime pieces so that I ALWAYS had the negotiating strength needed to close the sale on a 4+ ct diamond. With any luck, the diamond scarcity and prices might trend alongside Rolex scarcity and prices until I can constantly play the two against each other to my benefit.

With more good fortune and strategy, an unprecedented demand for both Rolex and diamonds would create an amazingly strong market that was inconceivable only five years prior. The result would be that while the 80% hate me, the 20% would love me to a level I never before thought possible.

Of course, I'd be more profitable and popular than ever before, so I'd be able to live with the hate. Plus, I'm sure I could get very creative in the stories I told that 80% group; I may even be able to get them to buy some things with false promises and stories about the difficulty of allocation.

Feel guilty? Nah, all the customers would be lying to me too, so no need to feel guilty (demand in this hypothetical scenario would be so strong that some people would lie about their dad having a terminal sickness even).

If all went to plan, I'd be able to cut staff and other overhead because I'd only be calling my favorite customers when inventory arrived, which would result in my hands getting greased in some cool way (the people who can afford to be my 20% seem to share big networks and amazing bartering opportunities; most customers won't fly me to Hawaii and let me use their condo there, but they will).

I know this all sounds entirely fictional and could never play out this way but the OP did ask.

[macrowatch]

Originally Posted by VogelPhoenix

In the US? I have seen that in parts of Asia, but was told that that is frowned upon by Rolex USA. Is that through bundling or straight cash? Do they provide proper receipts?

I have seen a new scheme which is where they want you to trade in a hot piece at cost too them so they can sell at market, but they allocate you a new hot piece.

[Robf52]

Originally Posted by Krash

It’s easy to be altruistic on an online forum, but in reality, I’d probably favor my best customers when it comes to the popular, hard-to-get models, and so would all of you.

This. Repay loyalty with loyalty.

[Cwillis0001]

Yeah, who the hell am I kidding. I'm sure I'd figure out some scam to get a piece of the market price. And of course I'd take bribes.

[Mendota]

Originally Posted by Cloudchaser

I would identify the 20% of my customers who provide 80% of my business revenue and then prioritize them to the fullest. In the process, I'd surely alienate the 80% who drive the other 20% of my revenue, all of whom I'd be encouraging to buy my diamonds (so that I can make more money and they can join the VIP 20% group).

I would also hold back a few prime pieces so that I ALWAYS had the negotiating strength needed to close the sale on a 4+ ct diamond. With any luck, the diamond scarcity and prices might trend alongside Rolex scarcity and prices until I can constantly play the two against each other to my benefit.

With more good fortune and strategy, an unprecedented demand for both Rolex and diamonds would create an amazingly strong market that was inconceivable only five years prior. The result would be that while the 80% hate me, the 20% would love me to a level I never before thought possible.

Of course, I'd be more profitable and popular than ever before, so I'd be able to live with the hate. Plus, I'm sure I could get very creative in the stories I told that 80% group; I may even be able to get them to buy some things with false promises and stories about the difficulty of allocation.

Feel guilty? Nah, all the customers would be lying to me too, so no need to feel guilty (demand in this hypothetical scenario would be so strong that some people would lie about their dad having a terminal sickness even).

If all went to plan, I'd be able to cut staff and other overhead because I'd only be calling my favorite customers when inventory arrived, which would result in my hands getting greased in some cool way (the people who can afford to be my 20% seem to share big networks and amazing bartering opportunities; most customers won't fly me to Hawaii and let me use their condo there, but they will).

I know this all sounds entirely fictional and could never play out this way but the OP did ask.

It sounds fabulous in theory until you look at the demographics. At some point this sliver of customers will either move away, die, retire, divorce, lose their primary source of income, change their spending habits, their interests change, or a combination of all of the above. Like in any other sales organization, you always have to be drawing in new clients to replace the ones you will always lose for one reason or another due to no fault of your own.

[Laostuh]

Originally Posted by epicurus

out the back door like the rest of them. lol

this

[mikelprz]

I would buy them myself Lol


If not, since these are so difficult to get theses days, I think i would have a email mailing list of customers and blast out an email notifying of the latest arrivals.
I think treating all customers properly and equally is a good way to go.
All customers should be valued. From browsers to buyers.

Trying to cater to one customer, could make another customer unhappy.


Just my