Hey guys! How much will cost a replica if I will buy it directly from the factory (in China)? For example a Rolex Submariner/GMT Master II with Asian 2836 movement.
Thank you
Thank you
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How much will cost a replica watch from the factory
- Thread starter AlexSash
- Start date
Not a bad idea. Next time I buy a car I'm going straight to the manufacturer. I should save a bundle. Lol. Seriously though with this technically being a very illegal industry especially from the makers. Do you really think they are going to sell directly to the public. That's like trying to buy a kilo of cocaine directly from Pablo Escobar in the 80's lol
I must say, I too have wondered what margin the dealers make. Just out of curiosity of course. I once read that the TDs only make a tiny margin per watch but I don't know how true that is.
But yeh, it's just an academic question since it's not like the factories would sell directly to us.
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But yeh, it's just an academic question since it's not like the factories would sell directly to us.
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I'm sure the margins are not real high for the TD'S. I'm sure it's all about volume. Figure it this way. If they only make $25 a watch but can sell 500 a month that's still $12,500 a month. That will go a long way in China.
The last time I was in China (18 months ago), I could go to the markets in Shanghai and get recognizable Noob and KW reps for around 500-800 Yuan. The exchange rate at that point was about 8-1 in favor of the US Dollar. The first time I went in 2006, I picked up some surprisingly nice pieces for half of that (400 Yuan when it was 9-1).
While the quality has definitely improved since 2006, I get the feeling that 3/4 of rep watches are made for the overseas market and 1/4 were made as a domestic commodity/novelty/tourist/discount/ "you don't know any better" version.
Even still -- 95% of what's available "on the street" in major Chinese cities is junk, so I would bet you chances of finding a TD quality piece are not very high.
Even still, factor in travel, lodging and import costs plus dropping a chunk of change to make it worth while, I'd take a cue from Apple and outsource it to our friends in China haha.
So to the point I quoted -- I think their margin is probably a tad higher, but not much -- especially if some of the crack downs have increased overhead or payoffs.
I'm amazed at the quality for the prices we pay even if there was zero margin. Am I willing to pay a 50% markup for an incredibly well-made illegal product that requires little hassle to acquire for under $500? You're damn right.
BTW, I didn't realize you were an Okie [MENTION=93655]droberts[/MENTION] -- that makes two of us!
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Yep I was surprised too. Have seen a few others from Oklahoma on here. Glad to have found another.
The credit card processor alone takes 8%. There are phones/photographic equipment/ internet/office-rent/staff to pay. I suppose there is another intermediary/grossist in between so it´s factory to intermediary (watch market) to TD. High risk and well paid for the hard-working with an uncertain future outlook. It´s not a business You can reliably expand for the next 5, 10 or 20 Years and plan the future on.
I tend to agree.
I just paid $500 for a stock rep and was thinking the exact same thing.
(Ain't complaining...just saying)
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My recent order number from a TD here is 22 97X and in that single order I ordered 3 watches. Total about $1000
Just say 23,000 averaging out 2 watches per order at $100USD profit per watch.
Scenario 1 ($100 profit per watch with average 2 watches per order)
- 23,000 x 2 (2 watches per order) x 100 ($100 profit per watch) = $4,600,000 ---------- big money mate.
Scenario 2 ($50 profit per watch with average 1 watch per order)
- Just say $50 profit per watch with 23,000 orders with a single watch per order = 23,000 x 50 = $1,150,000
Minus overheads - still a multi million dollar business even though it may be illegal. I'm sure PT and older dealers make even more but more overheads
Whichever way you look at it its big bucks.
Just say 23,000 averaging out 2 watches per order at $100USD profit per watch.
Scenario 1 ($100 profit per watch with average 2 watches per order)
- 23,000 x 2 (2 watches per order) x 100 ($100 profit per watch) = $4,600,000 ---------- big money mate.
Scenario 2 ($50 profit per watch with average 1 watch per order)
- Just say $50 profit per watch with 23,000 orders with a single watch per order = 23,000 x 50 = $1,150,000
Minus overheads - still a multi million dollar business even though it may be illegal. I'm sure PT and older dealers make even more but more overheads
Whichever way you look at it its big bucks.
Given the fact that you can get quality microbrand Swiss made gens with warranty and Swiss movements for under $350 any day of the week and those companies still make a profit, I'm pretty sure all those friendly lads and gals with suspiciously Western-sounding names are hosing us big time.
I've dealt with a guy about a dozen times and have his number, I've had conversations with him, I think he's been very honest when he told me he works with 15-20% but 20% of £100 (which is a sort of a basis for something decent) is £20 and £20 in China is a good days wage.
I'm positive that td's are working on much more but rightfully so, it seems imo they are getting the best of each production.
I'm positive that td's are working on much more but rightfully so, it seems imo they are getting the best of each production.
I've dealt with a guy about a dozen times and have his number, I've had conversations with him, I think he's been very honest when he told me he works with 15-20% but 20% of £100 (which is a sort of a basis for something decent) is £20 and £20 in China is a good days wage.
I'm positive that td's are working on much more but rightfully so, it seems imo they are getting the best of each production. [MENTION=79864]Borz[/MENTION] I still think something like a bp deep sea will have a lot more effort put into it that a half assed swiss(ish) tissot or crappy tags at £1200 for a Quartz most of those micro brands aren't exactly Swiss..
I'm positive that td's are working on much more but rightfully so, it seems imo they are getting the best of each production. [MENTION=79864]Borz[/MENTION] I still think something like a bp deep sea will have a lot more effort put into it that a half assed swiss(ish) tissot or crappy tags at £1200 for a Quartz most of those micro brands aren't exactly Swiss..
This has been discussed by Angus and interviews by some of the TDs. The margins are good but not great. Long gone are the days where margins make TDs drool. Factor in lost shipping and customs, it's harder for them to be in business now. I will never ever want to be a rep dealer. I enjoy reps but not to the point I'm willing to make a job out of it.
Well.... you can't buy directly from the factory. So, it's a moot point.
As far as TD profit=
It's an illegal bsusiness in China...... The TD is taking most of the risk so one can get a replica watch. They deserve what they can make. If the Chinese authorities decide to make an example or statement, the TD may just get "disappeared".
As far as TD profit=
It's an illegal bsusiness in China...... The TD is taking most of the risk so one can get a replica watch. They deserve what they can make. If the Chinese authorities decide to make an example or statement, the TD may just get "disappeared".
TBH if i had the opportunity to become a TD and had the connections I would do it in a heartbeat. I'm sure most TD's this isn't their full time job either hence why they hire staff. So if you can make a few million on the side cash money then I would do it especially here as watches are my love and hobby and making money off that would be great.