Suprised it hasnt been talked about much but it seemed that the main intention of the acquisition was to preserve rolex (and tudors) standing with Bucherer. The Bucherer family had no succession plan and was looking to exit. Rolex bought them so a competitor wouldn't buy the stores and prioritize that brand's watches. If Rolex overprioritizes its watches, large watch companies may pull their brands out of Bucherer, leaving Rolex with 100 stores operating at a steep loss. Don't see the watch landscape changing as much as everyone thinks

I was surprised when Martin’ s lost the Rolex AD license. Now they are promoting Omega and have changed the logo in front of their store.

I'd say there's zero chances ALL the competing brands remain invested in Bucherer as a retail outlet for their products.

Rolex obviously doesn’t give a crap about the customer experience. It’s really unfortunate.

Great video. The one aspect I think you guys overlooked is these other brands may pull out of Bucherer. Hard to fathom they sit idle by while Rolex profits off of them.

The more I hear you guys talk about Rolex, the more reasons I have no desire to buy a Rolex from an AD.

The best watch podcast there is. You guys get better and better

I love this channel, enjoy these think piece videos and the amazing insights you both bring. I do feel on this one…it’s over egging it a bit. Rolex bought Bucherer firstly for brand/revenue protection, because it was up for sale, and they didn’t want it to be someone else. Secondly, I think Rolex brand image has taken a hit by (some) bad practices at ADs, so more tightly controlling this in a b2c model and getting closer to their end customers is beneficial. I like your smart suggestions on how they should’ve always done this. I get the think long term, and there are some interesting possibilities around how this works with other brands, but I feel all this is secondary. Primary is protecting and elevating their brand, which has become all the more important having invested in ramping up production

I think Omega's play will be just to expand their own boutiques and rely far less on multi brand dealers like Boucherer. This is already happening here in the UK. In the big shopping malls you no longer have as many multi brand boutiques with Omega in them, as they now have a dedicated Omega boutique in the mall.

Very good call Christian! This essentially has already happened with many staple British businesses, football clubs and real-estate. Good call!

24:58 The “Mom, can I go to Rolex’s house” quip about made my drink come out through my nose. Gold

If I where in investor I would buy some stock on Watches of Switzerland. Rolex is huge but so is Swatch, Richemont and LVMH and they might be looking to gobble up a high end chain store themselves, if for nothing more than insurance against what ever Rolex is planning.

take a drink everytime MIchael says Wow!

Bucherer has 100 stores globally. Watches of Switzerland has almost twice that many at 193 stores globally. Watches of Switzerland also own Mappin & Webb (86 stores globally) and Goldsmiths (110 stores in the UK). So whilst Bucherer is big...compared to Watches of Switzerland they are tadpoles. So will be interesting to see how this plays out

Visiting Las Vegas a few weeks ago, I went to Bucherer inside Cesars Palace. The new store was nice, but passing shops before walking in Bucherer, I saw a shop under construction, with a sign saying"Tudor comming soon". So Tudor will have its own dedicated shop. The store salesperson I talked to told me that Tudor was moving out and being on their own.

Most ADs sell every Rolex, but they sell far more other watches and jewellery due to sheer availability.

Excellent video. Let’s not also forget the CPO program. Looks like Bucherer is offering a higher rate for your used rolex. If that’s the case then why would I sell my Hulk to a grey market dealer when I can sell back to rolex and build a relationship. So now by this single move they can gradually control the prices of second hand pieces too. Genius!

I've been subscribed since 2019 Theo & Harris are my go to watch company 👍

What happens when LVMH Richmond Swatch or Patek decides to pull their products from Bucherer? Rolex will be left with only Rolex stores….

Rolex could have easily required all watch serials to be entered in a database with owner info to regulate the grey market, it would have been cheaper than this acquisition. This is about selling direct to customers and cutting out the middle man in the name of more profit.

Been waiting for someone to finally say this truth in public. Rolex wants to also enjoy the markups that hitherto only grey market dealers enjoy.

I wonder how many of those dials got dealt out the back door of Rolex and have been made into franken-watches

I've been commenting on many videos about this subject for the best part of the last couple of years - how is an AD pushing clients towards other product, on the soft promise they may eventually get a Rolex (and the same can be said for Patek and AP), actually benefiting Rolex?

Its not obvious to me that the competition authorities will sign off on it. Atleast demand will be to keep these to as independent entities not allowing them to collaborate in a way that will skeiw competition. This tings worl very differently in Europe. There’s a reason that its just a market info on intent to buy. Also, not unlikely that authorities will agree on some aquisitions, but demand that some stores, in selection of countries will have to be rebranded as Rolex stores. Interesting to see how this will play out

If Rolex wanted to capture all this money being made in the grey market, why didn't they just acquire a secondary dealer such as Chrono 24? There's all this mental gymnastics of analyzing Rolex's decision, but the most obvious answer is in our face--they want to make their watches actually available to clients again without having to first buy another watch from a competitor. Rolex is an old-school company--owned by a trust might I add--and they want business to go back to the way it used to for 99% of its existence. Why would Rolex acquire Bucherer and not sell more watches at the retail level? That makes no sense. Additionally, if you think there is all this money to be made in the grey market, imagine how much money could be made at the retail level if consumers could actually buy their watches. There's infinite more money to be made at the retail level. Rolex has lost so much business by having consumers be denied the ability to (a) buy a watch, and (b) having to buy something like an Omega first, actually like Omega, and end up sticking with that brand. And, in order for this to pass anti-trust concerns, Rolex will not be able to throttle the sales of their competitors like Omega or Cartier.

My opinion, the Rolex pre owned program at Bucherer is not designed to make them money, but more so is designed to keep grey market prices steady. To me it’s analogous to how the Federal Reserve sets interest rates primarily to control other banks; the FED doesn’t care whether it makes money or not, it’s not their goal. Rolex’s goal is to ensure a stable secondary market.

Rolex: We f*

Is it not about keeping the retail part of the profit in house?

Omega is thinking what color should we do the next toy watch😂😂

When I think of the concept Rolex. I think of a rolling (circle) X (that marks the spot). Circle & plus sign. O+ universal donor. Is that what a crown means?! Cheers

Database technology will not solve your problem, my friend. I can think of three or four workarounds to defeat a centralized database. If you want to solve the flipper epidemic, Rolex has to do two things: 1. Make more watches and force AD's to actually sell them. 2. Police the pay for play schemes at the AD level. Rolex will do neither because it will cost the crown money.

in china they send you to Tudor. 2-3 entry level watches for even a chance for a decent datejust. almost same value worth of Tudors for a sub.

You guys are using the term gray market incorrectly. Gray market dealers sell new watches without the manufacturers warranty ex Jomashop

Rolex always do it- hard to get- people fighting to buy- it’s easy to get- nobody want it . At my Rolex Ad- lots of omega GS and Cartier- nobody look at them , why ? It’s a weird World. 😂

If Rolex is smart this type of verification would already been implemented years ago and they can also put a free to transfer the ownership/certificate for the new owner. It would depends on the seller/dealer/buyer on who would pay for that $500 fee. That should preserve the premium membership of the ownership within the Rolex club but also will avoid scams. Thats how you take care of your brand's quality. And also have a website to search the document number for a quick verification.

there is a Rolex Only boutique in Vancouver

I bought in 'my' AD's shop a Cartier Santos for my wife and she really loves it. It's a stunning watch! But my Ex II black dial is still not available. For me. After one year waiting. My AD is not Bucherer and the CS was the last watch I bought in this shop. I will buy my preferred watch in the grey market - and not even one cent will go again to my 'not for me AD'.

Must also listen to Teddy Baldassarre+Kevin O’Leary’s take regarding the Bucherer acquisition.

"mom, can i go to Rolex's house?" is the best line from your channel i have ever heard.

Help me out y’all, I put myself on a wait list for an OP 36 green, not sure if it’ll ever come in. Found one brand new grey market, $8k 2022 model. Good deal? New to this so it’ll be my first watch.

Quite honestly super clones have gotten so good that Rolex needs to find a way to keep watches hard to get, but more possible to get if you’re serious to give consumers confidence

That concept talked about at minute 13 would be a breach of GDPR, even with the customers consent (prohibition of coupling).

You are so right. If Rolex didnt like the grey market they could make a waiting list today that included everybody and the grey Rolex market would be gone for good😊👍

I think you may well be correct. Rolex whether unwittingly or by design helped the Grey market to flourish by supplying product to the same client without appreciating that that client is in the 'business' of supplying watches to others at over list price or under as the case may now be! The whole wretched thing created an unedifying gold rush bubble - until the pin prick of reality burst the market I did buy a two tone explorer recently at my local Family AD. (2 month wait and at rrp). The experience was good but the company had a telephone vetting procedure which appeared to discourage applications for a Rolex 'due to overwhelming demand and lack of supply.' I love my new Watch but it is likely to be my only Rolex.

I was in Phoenix and I went into an omega store. I asked them about a certain watch and what are the discount. They said they are not an AD that can discount the watch. They are owned by omega and have to sell at retail. I said then how do you stay competitive? They said they can give you something with the watch for free. I said give me a metal mesh bracelet with the diver 300 and they laughed at me.

AD backdoor selling and extortion to buy less desirable watches before getting a Rolex doesn't just sometimes happen....it always happens. In Vancouver Canada it is the only way it is done. They wont even put your name down on a waiting list.

🕰️ Rolex preparing for war? Intriguing concept! 👀

take the watches out the window and put them in the CPO section (after 5 years)

The war on the grey market is sort of like the war on drugs, in that it cannot be won. The scale of the grey market is massive, it's far larger than the retail market in both turnover and revenue. Rolex may be able to exert slightly more influence over it with the acquisition of Bucherer, but full control over the grey market is just never going to happen. What is also true: if you can't get a Rolex from an AD now, you won't be able to get one directly from Rolex either. If anything, buying a Rolex is about to get even harder and as a result I think we will start to see prices for Rolex on the secondary and grey-market begin to climb again.

Take 🥃 every time Michael says “wow”

The Rolex authorized preowned should have launched at slightly below the grey market they couple have killed the Rolex grey market

It would be cool if you guys replied to customer emails inquiring about products you sell on your site

Rolex does not overly care that people sell their 'hot model' watches. They can't stop this, and if they wanted to inhibit this practice they would have implemented many more measures. However, they do care about ADs knowingly selling 'hot model' watches to people selling them very swiftly post purchase.

"Possibly the biggest acquisition of all time..." - Maybe in our little corner of the internet, but no, not the biggest acquisition of all time.

Christian, what about guys with names like Mike Rodriguez; I share this name with probably thousands of Americans and hundreds in my city.

Love your squares! The G-Square is the coolest family of watches. I really want the Porter Square Casio released as part of their 35th Anniversary, the GMW-B5000TFC-1 scarcity has really driven the prices up. Great vid and am really curious to see the reactions by other watch companies. I bought a Tudor Black Bay at Bucherer and was in there only to look at that watch but always look at JLC and their collection of vintage GMT Master IIs.

"Hello, is this A. Lange & Söhne?" "Yes, this is A. Lange & Söhne. How can we help you." "This is Patek Philippe. We need to have a discussion. Let us get AP, JLC, Vacheron, & Cartier on the phone too." "O.K." ... ring .... ring ... ring ... "Hello? Are you all here?' "Yes. Yes. Yes. Yes. We're all here. How can we help you?" "We have an emergency. Let's get the f*k out of Bucherer." "You mean, go to war with Rolex?" "Yes." *"DONE."*

Sun Tsu talks about fighting only when the field is in your favor. Battles are often over before they begin. Rolex just bought the field of battle.

I guess I'm an underdog guy, because the bigger Rolex gets, the less I like them. Well, I have mixed feeling at least.

It has been a bit heavy with the Rolex content lately.

There is a better way for Rolex to reduce the grey market: double the price. This would make some current flippers significantly richer but afterwards the Rolex market would start to shrink.

I honestly hope all jewelers get their AD taken away. I don't want to buy jewelry ever to get access to a watch, that's why people go to the gray market and hate the buying experience.

Nice video mate 🥃

The Saudis as pect is just chilling to me, we are literally selling our souls to the devil with that one and with those bastards there is no going back

Rolex wants to create … “the “Rolex Lifestyle” experience …. IMO

Rolex has already taken it up with the grey market by increasing their prices every year. A steel GMT was around 7k EUR in 2018. Now it's almost 11k. This will continue.

Having tried to buy a Rolex from an AD, and being treated like some kind of tramp, if Rolex are as in control as you claim, then there idea of customer service is a really bad joke. Enough to make me go off the brand entirely, as grey market prices are silly. ( still 3 times the price of an Omega) In the end Omega customer service and availability put Rolex to shame. Best thing about Rolex experience is that I have looked at, and now consider, far more brands for my next watch.

Interesting hypothesis guys but i think Christian may be over analyzing some of it. I think Michael knows that and just says "wowwwww!!!!"

Really quick or quickly.

Arch isn't making much content currently.....can I stay n ' slam here please?

For Rolex to make the experience better they have to be able to sell the watches in the stores to walk in customers. Maybe they will funnel more watches to Bucherer.

Well Guys, I thought Bucherer was on the block to be sold.. Any truth to that story ?? If it’s true then I would bet Rolex bought Bucherer because they have too many stores to fall in the hands of the wrong person or investment fund.. What do you guys think ??

That's yellow not green...

I have no problem with Rolex reigning in the market. It got ridiculous these last 3 years

You both need keeps.

Rolex

The other thing is Rolex is tired of not being able to kick their customers in the balls to abuse them the way the authorised dealers are doing now.

You guys have become prime time TV at our house. Keep it up.

Rolex is now the greatest 'cliché' of the new 'tulipomania' of look at me B.S. consumerism!

So.... who is theo and harris?

what do you do to get such pearly white teeth curly haired young man? with the mustachio

Lol. Rolex registration like the Amex 5 card rule. Sorry you already have five of our watches you’ll need to sell one back to us in order to free up a slot, then we’ll be happy to sell you a new watch.

How can Rolex compete against the conglomerates when they don't sell any watches? They're all for display only.

rolex can easily fix the flipper issue, by creating contracts banning resale of the watch for 5 years. that will instantly kill the gray market. rolex loves the grey market. for it only propagates the brand's unreachability.

CONSPIRACY THEORIES!! CONSPIRACY THEORIES!! I LOVE ME SOME CONSPIRACY THEORIES!!

The biggest mistake that Rolex made was buying Bucherer and not Theo & Harris! What is wrong with Rolex?

Jewel-ry

They are so confidently wrong I’m getting second hand embarrassment. Even the centralized database idea is ridiculous and would solve nothing when the scarcity is necessary and is what keeps the price somewhat palatable when we’re talking about 10000$ machine mass manufactured steel watch.

That mustache tho

People will just use a bogus name.

Rolex paid millions to aquire a lucrative business , the common sense says that they will captalize on their new investment as much as possible , even if that mean selling other brands next to their own watches . And I truly believe that rolex will completely run this store separately from their original tepical management, other wise its going to be just another rolex store .

So Waspy

I’m never buying from a AD

Interesting video and insights. Going forward, I also can see the Saudis owning various watch ADs... wherever and as many as they want. The Saudis are testing similar waters now with the PGA and its PIF and LIV golf league. They will likely own all of traditional professional golf worldwide. Further to that, with the electrification of automobiles and other driven machines, I can see them buying electric power generation companies and distributors of electric power to back fill the decline in demand of fossil fuels.... battery, ECU, electronics providers as well. A Saudi global multi-monopoly is on the horizon. Afterall money and power always changes everything.

Nose rubs??

The way cristian stares at the little gay guy when he talks is funny the sexual tension between these two is crazy

Methinks buying WoS stock trading under $10 a share wouldn't be a bad idea right now.

The Saudis buying everything in sight is not a good thing but if greed is the only factor they get what they want..

Good lord that mustache loves to talk. It’s just rambling on and on and on.

Rolex are already bigger than all their competitors combined. What more do they want, global domination? Have they hired Ernst Stavro Blofeld as CEO? 😅