"Authorized Dealers"... Yea or Nay?
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  1. #1
    Member Squirrelly's Avatar
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    "Authorized Dealers"... Yea or Nay?

    For discussion:

    Paying MSRP for a new watch only at an "Authorized Dealer"... What say you?

    Is it an archaic vestige of times past in this free market world?

    Is it possibly an illegal monopoly silo of price-fixing and restraint of trade?

    What else do you purchase where you feel you have a philosophical mandate to always pay MSRP at only an “Authorized Dealer”?

    Vulcain Nautique 1st Swiss/1967 * Seiko 5 SpeedTimer 1st Auto Chrono, from Tokyo Ginza/1969 * Handful of Seiko Quartz Chronos * Heuer Re-issue 1964 Pre-TAG Carrera chrono * TAG Heuer "Carrera" Chrono * Omega "Speedmaster" Chrono * Baume & Mercier Formula S Chrono * Zenith "El Primero" HW Chrono * Mühle Glashütte Nautische Chrono * Sinn 903ST “Navitimer” Chrono * Techné SparrowHawk II Chrono * Alpina Startimer Big-Date Chrono * Zodiac Sea Dragon chrono * (2) Victorinox "Infantry Vintage" Chronos (Silver/Green) * Junkers "G38" chrono * Hamilton Pioneer Khaki chrono * Bulova Marine Star Chrono/Diver * Breitling Chronospace chrono * Dan Henry 1939 chrono * Fortuna chrono * Delbana "Silverstone" chrono * Ball Fireman "Storm Chaser" chrono * William L. chrono * Junghans Meister Telemeter Chronoscope *

  2. #2
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    Re: "Authorized Dealers"... Yea or Nay?

    Why is it that so many think you pay MSRP at AD's? I buy most of my watches from AD's because 1) there are a few convenient to me 2) the aftersales service is outstanding and 3)You actually see the watch you are buying before paying.
    I have never paid retail at an AD and this includes small local shops to big chains that begin with a T. Ask for their best selling price and work from there. If you don't ask then you should pay full MSRP.

  3. #3
    v76
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    Re: "Authorized Dealers"... Yea or Nay?

    I live in a region of the world where the ADs usually don't discount (and little, if they do). The MSRP in these ADs would be 20% to 25% more than what you would pay in the US. If I do buy from non-EU ADs, I would have to pay a 25% customs duty (at the very least) which I'm not terribly fond of doing.

    I also happen to know of quite a few reputable grey market stores in neighboring countries (especially in Germany) who offer competitive prices on the watches I like (with excellent after-sales service). It's a no-brainer for me.
    Last edited by v76; February 2nd, 2012 at 20:09.
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    Re: "Authorized Dealers"... Yea or Nay?

    Quote Originally Posted by v76 View Post
    I also happen to know of quite a few reputable grey market stores...
    I know "grey market" purchases sometimes run afoul of warranty validation. It's a gamble, especially with a high value item. But I have a sort of mentality that some don't - I don't have much angst about having a warranty or not and when something breaks and I can't reasonably get it fixed, I get to shop for something new!
    Last edited by Squirrelly; February 2nd, 2012 at 20:33.

    Vulcain Nautique 1st Swiss/1967 * Seiko 5 SpeedTimer 1st Auto Chrono, from Tokyo Ginza/1969 * Handful of Seiko Quartz Chronos * Heuer Re-issue 1964 Pre-TAG Carrera chrono * TAG Heuer "Carrera" Chrono * Omega "Speedmaster" Chrono * Baume & Mercier Formula S Chrono * Zenith "El Primero" HW Chrono * Mühle Glashütte Nautische Chrono * Sinn 903ST “Navitimer” Chrono * Techné SparrowHawk II Chrono * Alpina Startimer Big-Date Chrono * Zodiac Sea Dragon chrono * (2) Victorinox "Infantry Vintage" Chronos (Silver/Green) * Junkers "G38" chrono * Hamilton Pioneer Khaki chrono * Bulova Marine Star Chrono/Diver * Breitling Chronospace chrono * Dan Henry 1939 chrono * Fortuna chrono * Delbana "Silverstone" chrono * Ball Fireman "Storm Chaser" chrono * William L. chrono * Junghans Meister Telemeter Chronoscope *

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    Member Perseus's Avatar
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    Re: "Authorized Dealers"... Yea or Nay?

    I don't like paying MSRP on anything. I almost always ask for a discount, you'd be surprised the places that work with you. I almost asked for a discount on my dog! The price was already terrific and the breeder was an older lady so I held off.

  7. #6
    v76
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    Re: "Authorized Dealers"... Yea or Nay?

    I know of a few "grey market" stores in Germany who are staffed by "real" watchmakers. These same stores also happen to service and re-sell vintages, so they're quite legit. So, out-of-warranty service is not a worry for me.

    Quote Originally Posted by Squirrelly View Post
    I know "grey market" purchases sometimes run afoul of warranty validation. It's a gamble, especially with a high value item. But I have a sort of mentality that some don't - When something breaks and I can't reasonably get it fixed, I get to shop for something new!
    Collection:
    A few of this and some of the other ...


    "I worked my way up from nothing to a state of extreme poverty" - Groucho Marx

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    Re: "Authorized Dealers"... Yea or Nay?

    The free market world includes ADs. The principles of capitalism dictate what the going price is, and if you're willing to pay a little extra for better service + a factory warranty + new merchandise than you buy from an AD so there's no risk of getting a used or reconditioned item. Sometimes you can get grey market prices from an AD if you know what you're doing. Negotiation is a skill, you either have it or you don't. I have no clue what you're talking about with that "philosophical mandate" crap.

  9. #8
    Member Squirrelly's Avatar
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    Re: "Authorized Dealers"... Yea or Nay?

    Free market world? Principles of Capitalism? While I have no concrete examples, I’ve heard reports where an AD can loose their privilege to sell a product if they don't strictly adhere to the manufacturer's pricing policies.

    Vulcain Nautique 1st Swiss/1967 * Seiko 5 SpeedTimer 1st Auto Chrono, from Tokyo Ginza/1969 * Handful of Seiko Quartz Chronos * Heuer Re-issue 1964 Pre-TAG Carrera chrono * TAG Heuer "Carrera" Chrono * Omega "Speedmaster" Chrono * Baume & Mercier Formula S Chrono * Zenith "El Primero" HW Chrono * Mühle Glashütte Nautische Chrono * Sinn 903ST “Navitimer” Chrono * Techné SparrowHawk II Chrono * Alpina Startimer Big-Date Chrono * Zodiac Sea Dragon chrono * (2) Victorinox "Infantry Vintage" Chronos (Silver/Green) * Junkers "G38" chrono * Hamilton Pioneer Khaki chrono * Bulova Marine Star Chrono/Diver * Breitling Chronospace chrono * Dan Henry 1939 chrono * Fortuna chrono * Delbana "Silverstone" chrono * Ball Fireman "Storm Chaser" chrono * William L. chrono * Junghans Meister Telemeter Chronoscope *

  10. #9
    Member Blue bird's Avatar
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    Re: "Authorized Dealers"... Yea or Nay?

    Quote Originally Posted by Squirrelly View Post
    Free market world? Principles of Capitalism? While I have no concrete examples, I’ve heard reports where an AD can loose their privilege to sell a product if they don't strictly adhere to the manufacturer's pricing policies.
    Depending on where you are, that really isn't a true or complete statement. The manufactuers pricing policy allows AD's to discount but only to a certain extent.

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    Re: "Authorized Dealers"... Yea or Nay?

    Quote Originally Posted by Blue bird View Post
    Depending on where you are, that really isn't a true or complete statement. The manufactuers pricing policy allows AD's to discount but only to a certain extent.
    Correct to a point. Legally, once a dealer owns an item (paid for, in stock) they can sell it for whatever they want. If necessary they can call it a "clearance" sale and claim they're discontinuing a brand or even a specific model. If a particular dealer is consistently breaking an agreement made with the manufacturer on pricing, then the manufacturer can stop doing business with them. But the signed agreement is in place before the manufacturer ever ships product and they even send secret shoppers in to test the retailers. Some stores get around it by mailing a $xxx gift certificate or pre-paid VISA/MC to the customer after the sale was made at the manufacturer's price, but that's usually done with an established customer. If the retailer is ever audited by the manufacturer the invoice shows the customer paid the fair-traded price.

    For instance, Panerai is usually allowed a maximum 10% discount.... but somebody who's a previous customer and is making their 3rd purchase and will probably do business with that store again will happily take a $500 store credit on top of that percentage off his new watch so he can buy his spouse a Christmas gift later that year.

    And remember that cash is king. It's the ultimate lubricant - grease your way to a great deal.
    portauto likes this.

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