Thread: Buyer's Premium
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Old 03-03-2011, 11:02 AM
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teetwoohsix teetwoohsix is offline
Clayton
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Location: Las Vegas,Nevada
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Quote:
Originally Posted by cbcbcb View Post
It seems that the buyer's premium would be almost entirely passed onto the consignor. When I bid, and I hope when most others bid, I price in the buyer's premium into the value of the item. If an item is worth $200, I will only bid $167 if there is a 20% BP. Thus, the consignor takes the entire hit. It would be interesting to do a study on this.
I wonder how it would work out if the BP was split down the middle between the consignor and the buyer.....say if it were 15%, consignor 7.5% and buyer 7.5%..........maybe the buyer would bid higher, and overall the seller may make more?

I know at first this could possibly steer a consignor the other direction, but the buyer's would love such a low BP, more money to spend -thus, consignor may make more $$ in the end.

Clayton
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