Who gets the buyer's premium?

[sb1]

We at B & L charge no sellers premium and only a 12 1/2% buyers premium. We do this to put as much money in the sellers pocket as possible. Obiviously by charging no sellers fee it puts more more in the consignors pocket, but also by keeping the buyers premium low, it allows the bidders to go one or two more increments and still be within their budget.

So in other words the seller is receiving 87 1/2% of the total sales price, much better than you will do on ebay after paying final value fees and paypal fees to them. AND, we have done all the work!

Scott and Leon

[perezfan]

The Catalogue Auctions have to charge higher fees (on both ends), largely due to the costs of producing the Catalogues. The related costs are quite expensive and time consuming for their employees. Production, printing, photography, layout, man-hours, and postage costs for mailing the Catalogues out to thousands of prospective clients, etc.

That's where a significant portion of the money goes...

[Leon]

Originally Posted by perezfan

The Catalogue Auctions have to charge higher fees (on both ends), largely due to the costs of producing the Catalogues. The related costs are quite expensive and time consuming for their employees. Production, printing, photography, layout, man-hours, and postage costs for mailing the Catalogues out to thousands of prospective clients, etc.

That's where a significant portion of the money goes...

yes and no....catalogs cost about $10,000 for 1000 or so....as a balllpark rule...add another 5k for shipping and you have 15k......make it 25k to be as safe as possible. So on a million dollar sale, with no sellers fee and a 19% buyer fee, there is $190,000 gross profit. The math is pretty easy. Don't get me wrong.....auctions aren't as easy as some would think and there are tons of issues and work to be done. Catalogs are mainly so the consignors can see their stuff in print. And of course it's true I love my catalogs too, as a buyer....but they aren't that necessary, really. Just my opinion and others will disagree and have their right to disagree. It's ok....

btw, as the price of the catalog goes up, with the amount of items and pages, so do the revenues....

[oldjudge]

Scott and Leon are the best. Leon will even come to your house and wash and wax your car for a nice consignment.

[Leon]

Originally Posted by oldjudge

Scott and Leon are the best. Leon will even come to your house and wash and wax your car for a nice consignment.

Hey Jay,
I will absolutely wash and wax cars for consignments. I have done more for less, and under worse conditions, so that would be a piece of cake.

I am already looking forward to getting together with you, Richard and Scott again at the next National. Those are 4-5 of my favorite days of the year.

[oldjudge]

Me too, buddy

[glenv]

The buyer pays 12.5% more, but the seller gets $100 of every $112.5 (100/112.5). So the seller actually gets 88.889% of the final sale - even better than 87.5%.

[sb1]

I was trying to keep it simple....

I knew someone would perform the exact calculation though.

Scott

[joeadcock]

Thanks Scott and Leon

[shaunsteig]

Originally Posted by glenv

The buyer pays 12.5% more, but the seller gets $100 of every $112.5 (100/112.5). So the seller actually gets 88.889% of the final sale - even better than 87.5%.

you sure about that? does the seller's commission come off the hammer price, or the total price (ie including the BP) as you suggest. I had thought the hammer price...

[Jim VB]

Originally Posted by shaunsteig

you sure about that? does the seller's commission come off the hammer price, or the total price (ie including the BP) as you suggest. I had thought the hammer price...

In this case, the point is moot. They were discussing B&L auctions, which has zero seller's commission.