Advice for beginner traders
Hi
I am looking for some advice on some good models to start out looking to buy and flip (starting with £5000). THinking its probably best to try and pick up some Omega speedys / seamsasters , and starting off that way. perhaps on ebay? I havent found many good UK based forums of buyers and sellers
Today i wear my first ever watch, a Tag Heuer Aquaracer - Am looking to add to my now 4 collection, and buy and sell too, to fuel the passion / growing habit
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Unfortunately your not going to really make any money on most watches in the price range. Will you be able to move them and trade up? Possibly . But will you be able to flip them for additional funds to pay for another’s cost? Probably not. Most watches take a small hit on the secondary market. This method is really only proven to keep $$ that’s dedicated in your collection in the collection. This is coming from somone that has acquired most of their watches by keeping the $$$ in the collection. And I never sell grails.
Unfortunately your not going to really make any money on most watches in the price range. Will you be able to move them and trade up? Possibly . But will you be able to flip them for additional funds to pay for another’s cost? Probably not. Most watches take a small hit on the secondary market. This method is really only proven to keep $$ that’s dedicated in your collection in the collection. This is coming from somone that has acquired most of their watches by keeping the $$$ in the collection. And I never sell grails.
Surely if you can manage to pick up watches below what you can consistently sell them for , and reguarly - it can work with a steady flow of new customers and ability to negotiate well on both ends, i think, is the key
Don't. That's my straight shooting advice.
Good luck you will need it. You have to be in the right place at the right time. Wish you well anyway.
Surely if you can manage to pick up watches below what you can consistently sell them for , and reguarly - it can work with a steady flow of new customers and ability to negotiate well on both ends, i think, is the key
Try it if you want. But if your goal is to be a watch dealer I would advise to check out your local watch Kazbah or diamond district if that’s what you are trying to do. If you are also not well versed in authentication and watchmaking I would take that into consideration as well and have to pack that into the cost of business especially if the main source of inventory would be from EBay. Many luxury watches that are had at great deals need work and many are too good to be true. A $3,500 aqua racer goes for $2,600 on the grey market and has a trade in value of about $1,200.
In my business I can say a safe mark up would be 3x. B2B retail is a 50% mark up average on goods. All I am saying is either do it for fun or to possibly trade up because to buy something on eBay or a source and spend say 3,500 to sell then for 4,000 less all the fees you would probably make 150-200 and for me that’s really bad rate of return.
This question kind of reminds me when I speak to my friends who trade and sell watches for a living, they will have people coming in asking “What Rolex should I get to sell?” Their response is always if you have to ask your trying to play in the wrong game.
To avoid heart break I suggest doing it for fun, being okay with taking a loss, and understanding pretty much close to nothing would be a home run.