- 24/4/17
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Just out of curiosity how much do factory's and TD's. make with the sale of an average priced' rep e.g. $300-$350?
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What is the margin on reps?
- Thread starter MarksandSpencer
- Start date
One TD told me that they make $50 per watch. Who knows?
I would say that the smaller (one man band) dealers sell 20-50 watches per day. I guessed this based on the increase in order reference numbers over a period of a few days.
That’s $1000-$2500 per day (tax free)....7days a week since members don’t stop buying on weekends.
No bad.
I would say that the smaller (one man band) dealers sell 20-50 watches per day. I guessed this based on the increase in order reference numbers over a period of a few days.
That’s $1000-$2500 per day (tax free)....7days a week since members don’t stop buying on weekends.
No bad.
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The Rod
I'm Pretty Popular
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gigi77
I'm Pretty Popular
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If it's like most other "medium technology" items (a power drill, a weighing scale, ...) normally the production cost is 50%-70% of the sale price to the final vendor/ditributor.
So a 350$ watch, was probably bought for 300$ by the TD and costed 150$-210$ to the factory.
Being an "illegal" item I am not sure the same metrics apply.
So a 350$ watch, was probably bought for 300$ by the TD and costed 150$-210$ to the factory.
Being an "illegal" item I am not sure the same metrics apply.
- 18/12/15
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The factory will probably have a contribution margin on 30% to the TDs. The TDs have 30% to us. The TDs also have CM 5-7% on shipping. But the TDs also have salaries, website costs, offices and other overheads.
A TD will have a reduced CM on watches that are not approved and return shipping / repairs.
A TD will have a reduced CM on watches that are not approved and return shipping / repairs.
- 20/9/16
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my guess is between 1% and 250% give or take .1%, so a small margin of error.
you gotta remember this is illegal and extremely risky for them. the TDs cover seized or lost watches, and you arent going to be doing that on low margins.
you gotta remember this is illegal and extremely risky for them. the TDs cover seized or lost watches, and you arent going to be doing that on low margins.
muiramas
Erect Aristocrat
- 18/1/17
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If I had to make a guess, I's say the cost to the factory of a Noob / ARF sub is around $70.
The factories will make a lot more from the TD's then the TD's do from us.
The factories will make a lot more from the TD's then the TD's do from us.
- 20/9/16
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muiramas
Erect Aristocrat
- 18/1/17
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Well, yeah - like i said; ‘if i had to make a guess...’ But its not just a random figure plucked from thin air. I’ve had stuff machined and made in China so I know the baseline.
Ah ok.
Was just checking if it’s random guess or no.
Guess is no use unless people substantiate guesses.
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Ah ok. Just sounded like a random figure until you substantiated the guess later.
Truth is we don’t know the margins in illegal counterfeiting market.
Just cos we’ve had stuff made in China, don’t mean we know “baseline” cost for manufacturing multiple parts by different factories/suppliers and then assembling in an illegal warehouse.
Our “guesses” could be out by orders of magnitude.
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Keylog74
Put Some Respect On My Name
- 14/6/13
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to have an idea just go look at wholesales prices...
Well, some TDs offer wholesale pricing, which typically caps out about 30% off the normal price for reps. I guarantee they still have a profit margin even when selling at those prices. Based on that, I'm thinking that the typical rep probably has a 40% profit margin, but that doesn't consider if the rep is seized and they replace it on their dime. But when they sell it for wholesale, it's a guaranteed 10% profit margin as they don't offer reshipment if it's seized.
I don’t know why anyone would bother with the time to update website, answer emails, source and QC etc for a 10% $30 margin on a watch. That doesn’t make much sense if you’re running a business. 40- 100% makes more sense to me. Who knows though, all speculation.
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Sent from my iPhone using Tapatalk