Shrinking Buyers Premium ?

[Casey2296]

It makes all the sense in the world, I'd push my bids higher in that case. Problem is, the AH probably gave part of my premium to get the consignment on cards that reach that threshold.

[puckpaul]

I think the buyers can figure it out what they are paying and lower buyers premiums would lead to the same prices, just less for the auction house. Now in many cases that buyers premium is split with the seller on major cards, so not sure what a change here would do at all.

[Peter_Spaeth]

I could not care less what the buyer's premium is. Whatever it is, I just net it out of the total price I am willing to pay. In other words, if the most I want to pay for a card is say 1K, I don't care at all if you call 800 the bid and 200 the premium, or 900 the bid and 100 the premium. Why should I? I don't understand the continued misconceptions around it.

[Vintageclout]

Originally Posted by Peter_Spaeth

I could not care less what the buyer's premium is. Whatever it is, I just net it out of the total price I am willing to pay. I don't understand the continued misconceptions around it.

Thank you Peter…..you bid accordingly to the buyers premium. Case closed!

[1952boyntoncollector]

Originally Posted by Vintageclout

Thank you Peter…..you bid accordingly to the buyers premium. Case closed!

plus i would think the people bidding 100k are VERY aware of the premium and other costs versus the guy biddign 23 dollars on a topps heritage auto

[Johnny630]

People who worry about buyers premium are worried about nonsense. Why so much envy towards businesses? Ie the auction house? Focus on you. Man so much complaining. If 20% BP bothers you that much don’t bid, end of story.

[Gorditadogg]

Originally Posted by Johnny630

People who worry about buyers premium are worried about nonsense. Why so much envy towards businesses? Ie the auction house? Focus on you. Man so much complaining. If 20% BP bothers you that much don’t bid, end of story.

Alas, Johnny, we are addicted to cards and can't stop bidding.

Sent from my SM-S906U using Tapatalk

[Aquarian Sports Cards]

Originally Posted by Johnny630

People who worry about buyers premium are worried about nonsense. Why so much envy towards businesses? Ie the auction house? Focus on you. Man so much complaining. If 20% BP bothers you that much don’t bid, end of story.

But seriously a couple good reasons were given. On those top items most auctions are already giving up some of that BP and of course no commission. So there's only so many ways you can make less money before you're not making any money.

Also as you surmised Steve, you'd have to predict how much to the bottom line giving the percentage back would make and at what price levels to drop it. You're still gambling vs taking a sure thing. The gamble could pay off if you drop a point or two off the BP and the item sells for enough more to make up the discount, but that seems like an awfully iffy proposition. Let's say you have a 20% BP and at $100,000 you drop it to 18% that means the minute you hit $100k you LOSE $2k that you had in your pocket on the chance that the item sells for over $112k. yet the buyer only gets a $2k discount so why would he bid $12k more?

It's similar to the logic about why I try and explain to consignors that they should be HAPPY to pay for the grading. If you leave it to the auction to pay for the grading they're making the decision based on the perceived value increase versus their small percentage of the sale. if you have a card that's $800 raw and $1500 graded and it's going to cost $75. Let's say the auction is taking in a total of 20% on the card. So if they're paying for the grading they have to spend $75 to make an extra $140, and that's if they get the expected grade. It's just not worth it. If you agree to pay for the grading you're shelling out $75 to make an extra $540. By having the auction company pay for the grading you are likely costing yourself money becuase they are doing it with THEIR best interests in mind now and not yours!

[robertsmithnocure]

Originally Posted by Peter_Spaeth

I could not care less what the buyer's premium is. Whatever it is, I just net it out of the total price I am willing to pay. In other words, if the most I want to pay for a card is say 1K, I don't care at all if you call 800 the bid and 200 the premium, or 900 the bid and 100 the premium. Why should I? I don't understand the continued misconceptions around it.

My thoughts exactly. Decide what you are willing to pay and figure out your bid taking the buyer’s fee and whatever other fees into consideration. Why complicate matters with a sliding scale?