Rolex price increase ?

[Timetaker34]

I think JLC and Omega are in for a bad awakening. These prices aren’t going up because of demand but them trying to artificially elevate the brand status. I think it’s foolish and not a viable strategy. To me the low prices and high quality made it a cheaper, viable option compared to Rolex. Now it’s simply ridiculous. People are going to ask themselves whether they should buy a 10k Reverso or Sub or DJ for the same price. They should’ve spend more resources in better designs and sizes while keeping that price sweetspot.

VC I also honestly don’t understand… I know I‘m extremely biased but I personally love the Overseas and a bunch if their designs but their dress watches are so overpriced as it is. Compared to Patek I just don’t see why I‘d ever pick VC instead. What I also always disliked is the lack of a free sprung balance in their movements which is just incredibly annoying to me personally. They also have that issue like Omega where in my opinion, they‘re generally too big, broad and too thick with their sports watches - except the few high end ultra thin pieces they have of course.

[Tavli3]

Guys Richemont is a public company so it’s not about trying to raise their profile via higher prices but rather increasing margins and profits to support the stock price and to show sales growth even though unit count will suffer they will be able to report higher revenue due to price increases. Could backfire but that’s the game they’re playing. Rolex reports to no one so they don’t have to play that game. But they are not immune to the forces of inflation, higher labor cost, higher energy costs and rising commodity prices either.


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[Bmats]

I have several JLC watches and I like them a lot. I do think the price increase are going to hurt them. I disagree that reversos were overpriced several years ago; I felt they were right or slightly undervalued (I think it’s not right to look at secondary market pricing per se, where JLC does super poorly).

The new prices are a bit off putting in my opinion. I could maybe justify a reverso with a decent AD discount. But the basic Polaris and Master Control lines seem a hard sell. Not much movement finishing and now prices creeping up there. And they just feel more basic. Plus they (unlike a reverso) lack the uniqueness and feel closer to just another watch.

My fear for them (I do like the brand) is they’re going to be in no man’s land. Outpricing themselves for some customers but in a range where others will just spend several $k more for something of a higher level.

[AJMarcus]

Originally Posted by Bmats

I have several JLC watches and I like them a lot. I do think the price increase are going to hurt them. I disagree that reversos were overpriced several years ago; I felt they were right or slightly undervalued (I think it’s not right to look at secondary market pricing per se, where JLC does super poorly).

The new prices are a bit off putting in my opinion. I could maybe justify a reverso with a decent AD discount. But the basic Polaris and Master Control lines seem a hard sell. Not much movement finishing and now prices creeping up there. And they just feel more basic. Plus they (unlike a reverso) lack the uniqueness and feel closer to just another watch.

My fear for them (I do like the brand) is they’re going to be in no man’s land. Outpricing themselves for some customers but in a range where others will just spend several $k more for something of a higher level.

Agree. Well said. Wouldn’t be the first time a brand got destroyed because of poor corporate decisions.

[lmcgbaj]

I think Omega offers extremely good value on the secondary market. Even from an AD, a brand new Speedmaster is at the price of a smooth Datejust. In comparison, a Daytona is double at retail. How is Omega overpriced?

I think JLC and especially VC went a little overboard. The last increase on the OC was around 15%

[Edfrozen]

I believe all the brands are going up INCLUDING ROLEX .
These companies are not stupid or immune to the greater economy.
They are raising prices IMHO because they have to.
I also believe all companies will raise prices in the next couple of months .
They know something we don't.

[Guppydriver]

$10k Polaris.

GMAFB.

With regards to Omega …

There used to be a certain sense of satisfaction in picking up a 300 M for half the price of a Sub if unable to obtain one at retail. Now , not so much.

[Omarion07]

Originally Posted by lmcgbaj

I think Omega offers extremely good value on the secondary market. Even from an AD, a brand new Speedmaster is at the price of a smooth Datejust. In comparison, a Daytona is double at retail. How is Omega overpriced?

I think JLC and especially VC went a little overboard. The last increase on the OC was around 15%

The TI NTTD Seamaster is € 11000.. if that’s not overpriced, I don’t know what is.


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[Auric Goldfinger]

Omega used to offer significant discounts to help soften the blow of the depreciation when you walked out of the boutique/AD. I know last year at one point they increased the wholesale prices that ADs pay to stock inventory but didn’t raise retail MSRP in order to discourage ADs from offering any discounts.

[Calatrava r]

These watch companies are making a huge mistake rising prices so aggressively in this economy. What is the cost of goods sold on a Swiss SS, largely machine produced, watch? $800 or so? All this will lead to discounting down the road as cases fill up everywhere. Not good for the brands long term.