Rolexman Posted January 10, 2007 Report Share Posted January 10, 2007 (edited) I recently read an article about incomes in China, Shanghai and other Asian countries. Then it hit me! Let's say a dealer here on the board sells 10 watches every day (I know they have more channels to sell their watches and they probably sell more) but let's say on average 10 per day. I also read in the Guangzhou report (here on RWG) about the $95 Rolex Daytona .... so let's say that the average profit on a watch is $100,- (and again I know it's a lot more). If we do the math: 10 watches * $100 = $ 1000 (each day!) .....* 25 days (taking into account some days off ) = $25,000!!!! Compare that against the average monthly income in China (around $100~150 max.). And don't forget this is an underestimation. Personally I think the monthly income could also easily hit the $100,000 With this kind of money involved I do think our dealers are millionaires (even if it's only relative).... they earn an average monthly salary with one watch! What do you guys think?.... thoughts, insides, opinions? Edited January 10, 2007 by Rolexman Quote Link to comment Share on other sites More sharing options...
fitmic Posted January 10, 2007 Report Share Posted January 10, 2007 I don't mind them making dough. Remember it is an illegal business, which includes risk of all sorts.... Quote Link to comment Share on other sites More sharing options...
linkukbora Posted January 10, 2007 Report Share Posted January 10, 2007 Bingo.....to your calculations and do you still remember those old days at RWG I that Paul even confessed openly he's made millions in this trade? Quote Link to comment Share on other sites More sharing options...
swdivad Posted January 10, 2007 Report Share Posted January 10, 2007 I don't believe no Guanghou report and doubt *most* of them are millionaires... But I reckon they make pretty good money ^^ Good for them, I would never be able to put up with all the [censored] and the risks they take! Quote Link to comment Share on other sites More sharing options...
Rolexman Posted January 10, 2007 Author Report Share Posted January 10, 2007 (edited) Bingo.....to your calculations and do you still remember those old days at RWG I that Paul even confessed openly he's made millions in this trade? Yes, I remember! Paul was one crazy dude Edited January 10, 2007 by Rolexman Quote Link to comment Share on other sites More sharing options...
TJGladeRaider Posted January 10, 2007 Report Share Posted January 10, 2007 With this kind of money involved I do think our dealers are millionaires (even if it's only relative).... they earn an average montly salary with one watch! What do you guys think?.... thoughts, insides, opinions? I hope you're right. It would plumb tickle me to death that people I like dealing with who have treated me well are getting rich at it. Bill Quote Link to comment Share on other sites More sharing options...
Rolexman Posted January 10, 2007 Author Report Share Posted January 10, 2007 Please know that it doesn't bother me that they're making money out of it... it is merely an observation. Quote Link to comment Share on other sites More sharing options...
lovepanerai Posted January 10, 2007 Report Share Posted January 10, 2007 great if they are making millions with it - without them we wouldn't have all those nice watches Quote Link to comment Share on other sites More sharing options...
KB Posted January 10, 2007 Report Share Posted January 10, 2007 Maybe they are or maybe theres are lot that hasn't been factored in all I know is that I'm struggling to break even. Ken Quote Link to comment Share on other sites More sharing options...
Usil Posted January 10, 2007 Report Share Posted January 10, 2007 More power to them. I agree with several comments here that with the risks they take, the fact that to provide service to us they have to take the hit against losses in the mail, customs seizures and replacements for poor quality - that measured against the great reps we get - I am happy they are making money. Usil Quote Link to comment Share on other sites More sharing options...
The cack Posted January 10, 2007 Report Share Posted January 10, 2007 I believe i also redmember "Paul" stating that he spent approximately 10,000 US securing his interests trough various agencies and officials. Quote Link to comment Share on other sites More sharing options...
Thor Posted January 10, 2007 Report Share Posted January 10, 2007 I would say the average profit per watch will be around $10 to $30... maybe $50... but this depends on the watch... if you pay $150 for Submariner with ETA the dealer has to pay the Express-shipping... so there are only ~$120 left... the ETA movement isn't for free too... lets charge $30 for it so you have $90 left without the additional costs for the case, the guys who dropship the watches, the packing and so on... Quote Link to comment Share on other sites More sharing options...
Watchmeister Posted January 10, 2007 Report Share Posted January 10, 2007 Somehow, I don't think they make as much as you think. Otherwise more of our dealers would be quitting their day jobs. But as long as we are getting what we want with the service we want I am happy. That is what makes capitalism great. Quote Link to comment Share on other sites More sharing options...
Dani Posted January 10, 2007 Report Share Posted January 10, 2007 Its have it all works. If they make 25k-100k i dont mind since i now they work alot to get that money and thaking some small risk. I can easy set up a marked here and countrys around and make 10k$ just by importing the goods As an small exampel i can buy here on rwg a Ferrari Panerai watch(150$max) and sell it for 250€ easy.. Cheers, Dani Quote Link to comment Share on other sites More sharing options...
Romp Posted January 10, 2007 Report Share Posted January 10, 2007 Its have it all works. If they make 25k-100k i dont mind since i now they work alot to get that money and thaking some small risk. I can easy set up a marked here and countrys around and make 10k$ just by importing the goods As an small exampel i can buy here on rwg a Ferrari Panerai watch(150$max) and sell it for 250€ easy.. Cheers, Dani Im sure they probably DO make these kinds of profits ... there is a huge difference between the PERCEIVED value of something and its actual value. For example - I was in the jewellery trade. A $150 strand of freshwater pearls you see in your average jewellery store would cost me tops of $4 in materials. Of course there is labour and overheads and insurance etc to factor in to the price .. but still the markup on stuff is huge. Im quite sure the profit on reps is a nice size - BUT I am happy to pay because of the service and risk involved to these dealers and I cant get these reps elsewhere! Quote Link to comment Share on other sites More sharing options...
PureTime Posted January 10, 2007 Report Share Posted January 10, 2007 Maybe most of the dealers are rich, but I am not , so please buy more from me Quote Link to comment Share on other sites More sharing options...
Pugwash Posted January 10, 2007 Report Share Posted January 10, 2007 What do you guys think?.... thoughts, insides, opinions? I've met two of our dealers and they didn't seem to be millionaires to me. I think your maths are sideways. Quote Link to comment Share on other sites More sharing options...
AMK000 Posted January 10, 2007 Report Share Posted January 10, 2007 Only thing I have to say is ..... Even if they make 15,000 USD net (tax free ) a month ..... that's a lot of money. On the other hand, Paul ... used to say that the rep watches business is similar to drug business (lots of money ..... but risky .... police / customs / maybe chinese mafia too , etc....). ...... I am sure though that they can affort an extra discount to us. Quote Link to comment Share on other sites More sharing options...
mossanti Posted January 10, 2007 Report Share Posted January 10, 2007 Definitely day are rich...why talk about police custome and all that department...all this people they can buy..their friends..this is like wild wild west..the only thing that they are affraid off..is the 'Internal Affairs 'people....the police ?? nahh..the custom..ermm dont worry baout that...they have people inside..to do all that.. the same goes to indonesia,vietnam,china, thailand Quote Link to comment Share on other sites More sharing options...
rower Posted January 10, 2007 Report Share Posted January 10, 2007 If they make that much on each replica, then about how much does Rolex, Iwc, Omega, etc. makes on each watch. That thought will really drive you crazy. It is all relative...I would much rather help these kind gentlemen out then I would some big company. These guys offer great customer service based on what we pay. I have a gen sub and my AD is really hard to work with and then they charge me an arm and a leg. I spent over $500 to have my sub from 1987 serviced which included new dial hands and bezel. I did it because it didn't glow any more. What I didn't realize is that they kept my -T<25 dial and would not give it back to me. To make matters worse, they left dust on the dial and took over 5 weeks to do it. For this privaledge, I had the oportunity to pay them $500. Thankfully I was able to get the bezel and the hands back from them. My hope is that someday I can use them in an MWB...if I can find one. I would rather have 1-2 gens and multiple good reps. Just my humble opinion. Quote Link to comment Share on other sites More sharing options...
fotoman Posted January 10, 2007 Report Share Posted January 10, 2007 Somehow, I don't think they make as much as you think. Otherwise more of our dealers would be quitting their day jobs. But as long as we are getting what we want with the service we want I am happy. That is what makes capitalism great. Which one of our dealers have day jobs? at least the older established ones The markup on the watches is probably in the 80-100% range, but that does not include all of the costs, shipping, seizure, the 30% of crap that rolls from the factory that they have to deal with. and the higher end stuff, probably is in the 60% range - just a guess, but based upon all of my reading and the "reports" from guanzu In the end, High Gross doesn't mean high net, but i'm sure they are making enough to keep it going I'm happy with what i'm paying for reps - i'm happy they can make money at it so i can keep buying them Quote Link to comment Share on other sites More sharing options...
FxrAndy Posted January 10, 2007 Report Share Posted January 10, 2007 I think the general consensus here is if they are making a buck or 2 then fair play to them, they take the risks and provide a GOOD service to us. Thank you to all the dealers here that make this hobby what it is. Let us also not forget the fact that if we want 1-1 reps they have to get hold of the gen just look at what jay is doing! Quote Link to comment Share on other sites More sharing options...
Dario33 Posted January 10, 2007 Report Share Posted January 10, 2007 I think it's great they make good money doing this -- continuing to bring better rep's to market and meet our ever-increasing demands (it seems). Out of curiosity, does anyone have an estimate on what a general markup might be? For a dealer to pull in lots of profit, either markup is quite high or they are selling tons of watches. How much does it cost the dealer to sell us a $300 rep? Quote Link to comment Share on other sites More sharing options...
sashwatch Posted January 10, 2007 Report Share Posted January 10, 2007 i have to clarify that not every dealer can sell 10 watch a day.. at least not me.. Quote Link to comment Share on other sites More sharing options...
jfreeman420 Posted January 10, 2007 Report Share Posted January 10, 2007 This is one of the most ignorant threads I have ever read. It is nobody's business or concern how much any dealer makes selling watches. If the average salary in china really is $100 to $150/month (which I doubt) I am glad to contribute to a business that helps families have a better life. I used to sell genuine watches on ebay ranging from $200 to $7,000. I know even if I could make $1,500 on a Rolex DD that a third of that went to overhead. I also was general manager of a company that grossed $14 million in 2004. Our net profit was about 12%. My point is, this type of discussion can easily breed jealousy and resentment in certain people who have no idea what it takes to run a business (and yes selling replica watches is no longer a hobby, but a business and dealers are entitled to make money). There have been quite a few assholes through the years that have tried and succeeded in taking advantage of some of our dealers. However much money they make, good for them. I hope they all live very well. No amount of money could persuade me to be in a business with whiny customers who expect a $200 watch to be on point with its' $6,000 counterpart and have to answer as many questions with that $200 purchase as if they were buying a new house. I applaude you guys. You must really love what you do. I'll keep sending you my money as long as the prices stay fair. It's better than giving it to those rich ass BMW driving girls at the tittie bar. Quote Link to comment Share on other sites More sharing options...
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