Quote:
Originally Posted by gerry100
Assuming 600 watches a year and an average of $5k margin per unit, the AD enjoys $3 million in margin for a product that sells itself.
Understandable that they would protect this product line and not risk their status to support flippers.
Also understand that smart business would be to leverage this for their total business results.
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Indeed! Rolex is instant money in the bank for an AD. The profit margin is 40% and requires virtually no sales effort. In fact the special Rolex rooms ADs are forced to install are basically for exhibition pieces. My last AD joked they could sell Rolex out of vending machines (note that they had lost AD status and were talking frankly). All the AD can do is use the steel professional models as a carrot to leverage sales of other even higher margin trinkets in the store, as we're all aware. If you're just wanting the Rolex, it'll be a long time generally without any "relationship". Cheers!