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Question about being an "exclusive grader" for a collection at auction

LongacreLongacre Posts: 16,717 ✭✭✭
Does anyone know what kind of deal is struck between an auction house/consignor and either NGC or PCGS when one of the grading firms is named the "exclusive grader" for a big collection? Is the grading done for free, or just a very nominal amount, or is it done at some sort of discount from retail prices?

The reason why I ask is how much value do the grading services place on "market share"/volume versus income from grading a large and well known collection which will be promoted nationally (and sometimes internationally)? I used to work at one of the two big soda companies in the US (I worked at the "blue company" based in NY, rather than the "red company" based in Atlanta). We were continually more interested in volume/market share for large deals, rather than making a killer profit. For example, being the exclusive soft drink at Shea Stadium created immense publicity (and a captive audience), and the soda was sold to the consession people at pretty much break-even. Does this concept also hold true for the grading companies?
Always took candy from strangers
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)

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