![]() ![]() ![]() The perceived problem : Rolex has been highjacked by flippers, social media addicts, investors, hypebeasts, cryptomavens….essentially taking the availability of watches away from the WIS, who don’t want Rolex for any of the aforementioned dynamics.but want Rolex solely for its lore and tool watch heritage. From a business standpoint, Rolex has never been stronger, both in sales and in global brand recognition, but I just can’t help wondering whether those at the top are genuinely over the moon with everything surrounding and driving those sales, given how Rolex are so serious and ultra-conservative, and aren’t a shareholder driven firm. I’d love to know how he sees all this stuff because ultimately he’s at the helm of the ship, although it’s long been known that the board of the Hans Wilsdorf Foundation leaves the Rolex CEO with very little room for manoeuvre. Does Dufour see that as a case of, “there's no such thing as bad publicity”, or does he inwardly shudder when he sees what this notoriously conservative brand has become for so many? I also wonder how he personally feels about a brand that has done everything in its power to maintain its professional and ultra-conservative image over the decades, now being reduced to silly nicknames, something to be hoarded away in bubble-wrap in a safe, or a fashion trinket to be flashed as part of every social media ‘influencer’s’ display of wealth. I wonder how Dufour feels about Rolex making considerably less than £3,000 per unit, while the flipper makes around £25,000 net, just by buying and selling a watch has company has made? I wonder if he sees that as entirely positive in terms of ensuring that demand for Rolex models at RRP is forever high, or if he has a different opinion on it? This means they make £3,008 on an OP41, less all the associated R&D, build and marketing costs. I wonder if he’s pleased that 99% of Rolex’s new customers are in it purely for the money? I wonder how he feels about seeing a watch they sell for £4,700 being instantly resold an hour after purchase for circa £30,000, just because of an overnight colour fad? If details are correct, we’re lead to believe Rolex take 64% of the RRP of each watch they make, from which they have to buy the raw materials, pay their staff, build the watch, package it, ship it, etc. I genuinely wonder whether Dufour sees this with his businessman head on and only sees the fact that Rolex are more successful than ever in terms of selling watches, or whether as a watch fan himself, he sees these vacuous reasons for buying his watches and despairs. ![]() People only suddenly being interested in certain dial colours because of social media hype, etc. People not bothering to size the bracelet or even set the time – because all that matters is to be seen with a Rolex on their wrist. Things such as people buying whatever they’re offered by an AD just because it says Rolex on the dial, whether they like the watch or not. That seems about as far removed from Dufour’s personal ethos as it’s possible to be – an emotionless transaction (other than the gleeful rubbing of hands) for something to hoarded away on the hope of selling it for more than they paid for it. It seems to me that for 99% of buyers that’s not what it’s about at all these days: it’s just about the £/$ signs – “What can I make on it?”, “What will it be worth in years time?”, “Will it retain it’s value?”, “Is this an investment?”, etc, etc. I read an interview with Dufour when he was still CEO at Zenith and he said that, “ People should buy a watch for the feeling that you get from it - a very pleasant feeling. I’m talking about the Rolex ‘experience’, the brand perception, the customers, etc, and how it all fits in with both Rolex’s and his own personal ethos. I often wonder what Jean-Frédéric Dufour (and the Hans Wilsdorf Foundation board) actually makes of the current Rolex situation – and I’m not talking directly about supply/demand availability issues.
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