REA BP Increase

[Matt]

The thread where a member was surprised at his invoice where Heritage charged sales tax in Massachusetts prompted me to bring visibility to REA increasing the BP from 17.5% to 18.5% this year in case anyone hadn't seen that. I presume their thought is that if someone was going to bid one more bidding increment, an extra 1% wouldn't stop them.

[sycks22]

I thought I read somewhere that since they increased their BP they're covering all S&H costs.

[rainier2004]

Originally Posted by sycks22

I thought I read somewhere that since they increased their BP they're covering all S&H costs.

Yup...

14. Bidders normally must pay packing, shipping and insurance costs for all items they win. For this auction, REA will be paying for all packing, shipping, and insurance charges for winning bidders with the following exceptions: 1) International shipments. If you are shipping to an address outside of the United States, you must pay all packing, shipping, and insurance charges. 2) Unusually large or heavy items inherently requiring significant and expensive special packing, crating, and shipping (such as stadium seats). These few lots are clearly identified in their respective descriptions as requiring special packing and shipping charges. Winners of these lots will be billed for packing, shipping, and insurance charges with a separate shipping invoice (to allow us to communicate with winners to be responsive to their shipping preferences).

http://bid.robertedwardauctions.com/terms.aspx

[mcap100176]

I am sure they did the math to realize they will make more money. I figure the item I am hoping to win will close at $2000. the 1% increase adds about $20 to the BP. I am sure, even with insurance, shipping won't be that must.

On a $25,000 closing price, that is $300 with the 1% added. $1,000 for a $100,000 item.

If anyone can help with an estimated shipping cost on a $100,000 card, that would be helpful. I have to assume it doesn't cost $1,000 to overnight with insurance an $100,000 item (with delivery and signature confirmation, etc.)

[oldjudge]

This is a nonissue. Rob has always had the cheapest shipping amongst all the major auction houses. If he raised his BP to 18.5% and maintained his prior shipping charges he would have been justified. After all, his BP is still below Legendary, Heritage and Goodwin. The fact that he is covering all shipping charges for this auction makes it even better. Way to go Rob!

[jimross]

Could not agree more!!! Look at those REA phonebook size museum quality catalogs. It takes so much efforts putting them together with all those informative auction descriptions. Rob sends them out for free to anyone who request them!!!!

One can argue HA has phonebook size catalogs too, however, most (if not all) auction descriptions are simply BS filling up spaces.

[E93]

I am also in complete agreement with Jay and others. Rob's auctions are in a class of their own.
JimB

[ScottFandango]

they make an obscene profit when all is said and done...

i wonder how many times they make money on the same item ? only 4 flips of the same item and they have MADE more money than the card is WORTH!

that is amazing...

kind of reminds me of the 401K system where they only people getting rich are the administrators charging hidden fees....

this trend is surely sucking millions and millions of dollars out of the pockets of the collectors...

wonder if this system will be the same in 10 years...

if Mr Vogel got involved, im sure we would see BP come down to something more reasonable like 5%....

what if realtors (who work way harder than an auction house) charged 18%?

seems that collectible Auction house BP should be in line with realty commissions...