Rolex GMT and Cost of Build
Discussion
Seen a 2007 Rolex GMT II, with red/ blue bezel, in a local dealer. Was serviced by Rolex a few months ago. Comes complete with box and papers. Was up for £4,950 but if I pay by cash will sell for £4,750. Had a look through the window and looks immaculate, with some of the protective stickers on the side (presumably put on by Rolex during the service). Does this sound okay price wise ?
Just out of interest, what does it actually cost Rolex to build these watches. Presumably, a large amount of the purchase price must go on advertising, sponsorship, etc so the build cost must be much lower.
Just out of interest, what does it actually cost Rolex to build these watches. Presumably, a large amount of the purchase price must go on advertising, sponsorship, etc so the build cost must be much lower.
That price seems high compared with these
www.watchfinder.co.uk/Rolex/GMT-Master/Watches
Rolex are notoriously secretive about their finances so I doubt you will ever get much more than a rough figure and it depends whether you would include all sales and general admin costs as a part of production costs. You probably should as without this effort the business would not operate. It's not just the cost of the materials, components and the assembly time
www.watchfinder.co.uk/Rolex/GMT-Master/Watches
Rolex are notoriously secretive about their finances so I doubt you will ever get much more than a rough figure and it depends whether you would include all sales and general admin costs as a part of production costs. You probably should as without this effort the business would not operate. It's not just the cost of the materials, components and the assembly time
Don't think you will find out the buy cost.
Probably costs less than 30%, i have absolutely no idea.
What i do know is that GMT price is bonkers. Sure pepsi dials fetch a premium at the moment but just buy a black or coke bezel insert watch and take it to Rolex in St James Square and get the pepsi if you like that the most. Rolex will supply and fit for about £35 and give you your old insert back for around £55. They do this to stop excess parts going into circulation so yes you do have to pay extra to get your old insert back.
Mine 2006 z serial pepsi dial
A 2006 - 2007 watch in good condition with minimal bracelet stretch on a coke or black should be around low 4's.
Probably costs less than 30%, i have absolutely no idea.
What i do know is that GMT price is bonkers. Sure pepsi dials fetch a premium at the moment but just buy a black or coke bezel insert watch and take it to Rolex in St James Square and get the pepsi if you like that the most. Rolex will supply and fit for about £35 and give you your old insert back for around £55. They do this to stop excess parts going into circulation so yes you do have to pay extra to get your old insert back.
Mine 2006 z serial pepsi dial
A 2006 - 2007 watch in good condition with minimal bracelet stretch on a coke or black should be around low 4's.
dom9 said:
I had my Coke GMT II refreshed at RSC this year and I was going to put it up for sale at a grand less than you were hoping to get that for!
I haven't been following the market on GMTs - has it gone crazy and I haven't noticed?
Yes gmt prices are silly. Easily holding up against classic subs. And some people are putting them at prices you would typically see a kermit sub listed at. I haven't been following the market on GMTs - has it gone crazy and I haven't noticed?
I can only speculate the recent batman ceramic and the imminent wg pepsi ceramic is stirring up a buyers market.
I was looking recently and a coke listed at 4200 with an older one listed 500 higher, same shop but the higher priced one was owned by a collector and he was prepared to wait for a sale on his inflated price.
bp1000 said:
Yes gmt prices are silly. Easily holding up against classic subs. And some people are putting them at prices you would typically see a kermit sub listed at.
I can only speculate the recent batman ceramic and the imminent wg pepsi ceramic is stirring up a buyers market.
I was looking recently and a coke listed at 4200 with an older one listed 500 higher, same shop but the higher priced one was owned by a collector and he was prepared to wait for a sale on his inflated price.
Interesting... I've been following Subs as I have my Date Sub to sell but hadn't looked at GMT IIs as mine was to be a keeper but situations change!I can only speculate the recent batman ceramic and the imminent wg pepsi ceramic is stirring up a buyers market.
I was looking recently and a coke listed at 4200 with an older one listed 500 higher, same shop but the higher priced one was owned by a collector and he was prepared to wait for a sale on his inflated price.
counterofbeans said:
I have seen that one at Hackett Watches already, a little over my budget. Would love to have done business with Dom as purchased my Speedmaster Pro from him.Thanks for the headsup on the price of the one I have seen locally. Might consider some other places like Watchfinder, Watches.co.uk or Blowers. Not too worried whether it is a 'Pepsi'. Slightly undecided on whether to go for the 16710 or 116710LN after looking around.
GG89 said:
HoHoHo said:
I recently bought a 2010 GMT from watchfinder and offered them cash, made a cheeky offer and got £500 off the advertised price.
Great service, watch is lovely and I love wearing it
Interesting Great service, watch is lovely and I love wearing it
Dealeer prices, especially with the bigger re-sellers are just opening gambits. Do your research, know your subject, don't be a knob and get a great deal. They are there to sell
Powerkiter said:
Just out of interest, what does it actually cost Rolex to build these watches. Presumably, a large amount of the purchase price must go on advertising, sponsorship, etc so the build cost must be much lower.
I beleive based on nothing more than the cost of meterials alone, there is something like $600 in there (for a non-ceramic Sub).But it's an utterly irrelevant figure. Simple to think of just the watch stuff like R&D, development, construction, testing. But there are building costs, salaries, pensions, healthcare, they are a huge company with thousands of staff.
Their marketing spend is indeed huge, but if it wasn't, we wouldn't even be discussing them on here. They'd just be a great casemaker with simple, robust in-house movements.
WelshChris said:
bp1000 said:
Yes gmt prices are silly. Easily holding up against classic subs.
Maybe I'm misinterpreting your comment, but are you implying that the GMT is less of a 'classic' watch than the Sub?Do you think they should be cheaper in comparison? - If so why?
The GMTs have begun to catch up though... I really should jump on a 16750 now before a time comes when I can't
dom9 said:
So, if I had a 2002 Coke with a service this year (3 months ago), thus new warranty card (and hasn't been worn since), new bezel, perfect etc - what do we think it might be worth on the open market?
I have the same year and spec watch with all papers and a new bezel and was offered £3,500 for it by WF about six months ago. Decided it's a keeper.
I expect the actual cost of a Rolex to be very low. Given that they make circ 1 million watches a year, that has to be factored in, so those volumes must drive the unit cost down, unlike other low volume watch makers, however Rolex still charges a premium - great margins!
They must have the best marketing in the business, as it still baffles me why they are so highly valued given the volumes they produce and hear they are looking to go for higher volumes in the future. That is remarkable business.
They must have the best marketing in the business, as it still baffles me why they are so highly valued given the volumes they produce and hear they are looking to go for higher volumes in the future. That is remarkable business.
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