Heritage Auctions buyers fee going up

blu62vette

Heading to 17.5%

info here

renomedphys

That's IT!

mingot

I'd rather it be 20% so it'd be easier to back out my bids.

Justacommeman

fait accompli

MJ

RevDrBlimber

This makes no sense for bullion type gold, the last company that had a sensible percentage on gold was Teletrade at 5.5%.

Who is going to buy a common $20 Liberty in MS63 or so and then pay the additional buyer's fee? It works out to over $200 for $1800 coins. So what happens is what has been happening to those who have been selling generic gold coins on Teletrade and other auction sites, the hammer is way under the metal spot price plus the seller often has to pay a percentage as a consignor.

They should have various tiers based on what they are selling at auction.

coindeuce

Could it be that auction house research is proving that prices are solidly established for the material that counts, so that the inverse reaction of lowered bids is minimized at this point? Or is this just an adjustment to the tightening of their credit? It still certainly is a public relations challenge to state the least.

Coinosaurus

Is there really any difference for the big time consignors? I suspect they'll now get 110.5 instead 108, or something similar.

mozin

I think it will take quite awhile for bidders to start upping their max bids to reflect the 2.5% added profit for Heritage. For example if similar coins have been selling for $1000, I think bidders will continue to think these coins are worth the same $1000. The sellers may be the ones getting 2.5% less money.

Think we will see PCGS change most all their suggested Retail Prices by 2.5% come August 1, when Heritage starts to grab extra money?

Bayard1908

Hopefully this applies to everyone, instead of the disgusting discrimination against collectors by StacksBowers.

Tiny

I've never really bought that much from HA unless it is a Got To Have Coin and now I
know I won't be buying nothing. I just hope the consignors realize that bidding will change
on HA.com and switch to another web site like Great Collections with a 10% or Teletrade
at 15% but I bet one of them will follow with a raise in fee. TT will do it.

DennisH

I've been trying to cut down my coin spending lately. This will help.

I also find it remarkable that in recent years when auction grosses have gone into orbit for Heritage, they are raising fees. Not only has the pie become gigantic, but they also want a bigger slice.

Justacommeman

At the end of the day net is net. MJ

Lakesammman

Not a bid deal if buying, stinks if selling.......less likely to take the consignment route now.

Bayard1908

<< <i>

<< <i>Hopefully this applies to everyone, instead of the disgusting discrimination against collectors by StacksBowers. >>



Do others get a better price than us lowly collectors at Stacks? If so that stinks. >>



Spend over $50K total and StacksBowers drops your buyer premium to 15% from 17.5%.

wondercoin

"Hopefully this applies to everyone, instead of the disgusting discrimination against collectors by StacksBowers."

Wait a minute ... if, as a collector, I want to spend $50k in an auction, am I not better off with the SB approach? I am only paying a 15% BP.

Wondercoin

Justacommeman

<< <i>Not a bid deal if buying, stinks if selling.......less likely to take the consignment route now. >>



correct

MJ

Bayard1908

<< <i>"Hopefully this applies to everyone, instead of the disgusting discrimination against collectors by StacksBowers."

Wait a minute ... if, as a collector, I want to spend $50k in an auction, am I not better off with the SB approach? I am only paying a 15% BP.

Wondercoin >>



Most collectors aren't dropping $50K per auction. If someone is such a collector, he is one of the comparatively few beneficiaries of the discrimination at StacksBowers.

coinman23885

From a buyer's perspective, I could care less. I'll just lower my bids to compensate for the increase in fee. It's not complicated. The people who will be most affected are the consignors.

CoinDogs

This sounds a lot like airline bag fees

Bayard1908

<< <i>This sounds a lot like airline bag fees >>



The coin auction business has consolidated, and there is now less competition. Superior quit doing auctions and Stacks/Bowers and Merena merged.

StacksBowers raised their buyer premium and got away with it; so, Heritage followed suit. Heritage dropped their credit card limit and got away with it; so, StacksBowers did the same.

These companies will do whatever they can get away with until there is pushback from customers or new competition emerges.

LindeDad

So what will be the new multiplier and how does shipping compute into the price?
Just so I know the new drop out point.

golden

I can remember back in the 1970's when there was no buyers premium and the house only took a 10% commission and only 5% on gold.

123cents

I guess I will be looking more and buying less!

Placid

I guess that new york office they opened is expensive.

BillJones

This works to the disadvantage of those who consign coins to sell. The lower the hammer price, the lower the net payment to them. This might create an opening for other houses that don't go along with this.

It is interesting that Stacks' led the way to higher buyers' fees.

Batman23

<< <i>From a buyer's perspective, I could care less. I'll just lower my bids to compensate for the increase in fee. It's not complicated. The people who will be most affected are the consignors. >>



My final bid(s) will be $2500 or less. This will hurt the consignor just like the credit card limit has affected the lower end consignor. Heritage still makes their money though so it is all OK.

roadrunner

<< <i>From a buyer's perspective, I could care less. I'll just lower my bids to compensate for the increase in fee. It's not complicated. The people who will be most affected are the consignors. >>






Bottom line is that these auction houses aren't getting rich after netting 3-10% when all is said and done. We saw Stacks and ANR go by the way side because it's getting so hard to
compete. It's not unusual to see an ANA summer auction only net 4-6% for the auction house after expenses. Maybe it will force more good coins to the bourse floor?........ Nah!

If we were mired in a protracted deflation one wouldn't think we'd need to continually raise auction fees to compensate. Just sayin'

DIMEMAN

If we ALL stopped bidding what would they do................?

Batman23

<< <i>If we ALL stopped bidding what would they do................? >>




Cool, then I might get an 1876-CC twenty cent piece for $1 plus buyers premium plus shipping. For under $50... I would have to bid...sorry

edit to add: I could get a lot of $1 wins for my $2500 cap.

Russ

<< <i>Who is going to buy a common $20 Liberty in MS63 or so and then pay the additional buyer's fee? >>



Anybody who's capable of doing basic math.

Russ, NCNE

barrytrot

In a sense you can think of ALL COINS of auction calibre losing 2.5% of their value.

Coins in your collection that you intended to sell after your death are now worth 2.5% less. Perhaps even worse eventually.

And this loss is permanent. Your coins may increase in value but they will always have an added 2.5% tax on them.

I think it is quite bad.

Spooly

All the "junk mail" you get from Heritage is expensive! Looks like Great Collection needs to start a massive ad campaign educating buyers and sellers on their lower fees.

illini420

As long as all buyers have to pay 17.5%, this change nothing for me as a bidder, except that I now have to use a different percentage in backing into the number for my max bids. I agree that the different buyer's premiums for different classes of bidders like Stacks is now doing is a huge turn off as a buyer.

As a seller, the higher premiums are actually making selling via eBay seem like a better deal.

Batman23

<< <i>As long as all buyers have to pay 17.5%, this change nothing for me as a bidder, except that I now have to use a different percentage in backing into the number for my max bids. I agree that the different buyer's premiums for different classes of bidders like Stacks is now doing is a huge turn off as a buyer.

As a seller, the higher premiums are actually making selling via eBay seem like a better deal. >>



Unfortunately Ebay increased their fee cap from $100 to $250 yesterday. Between Ebay and Paypal they are now taking quite a cut

LindeDad

<< <i>

<< <i>As long as all buyers have to pay 17.5%, this change nothing for me as a bidder, except that I now have to use a different percentage in backing into the number for my max bids. I agree that the different buyer's premiums for different classes of bidders like Stacks is now doing is a huge turn off as a buyer.

As a seller, the higher premiums are actually making selling via eBay seem like a better deal. >>



Unfortunately Ebay increased their fee cap from $100 to $250 yesterday. Between Ebay and Paypal they are now taking quite a cut >>



Only for those not willing to spend $16.00 per month on a basic store.

oreville

Even for a a math oriented guy like myself 17.5% will not be easy to keep calculation when bidding.

Maybe I will just have to start assuming 20% from here on in.

This is only going to help the dealers and I think that is a good thing.

Cougar1978

They will not get my business. They are going in wrong direction.

Unknown

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bestday

<< <i>That's IT! >>

.................ditto

bestday

<< <i>Not a bid deal if buying, stinks if selling.......less likely to take the consignment route now. >>



the common gold coins will dry up fast as the bidders figure in the higher juice in their max bids .
.It will easy and cheaper to sell the common stuff.. coins and currency thru a dealer

Barndog

good news for the BST

mingot

I have not looked at comics on heritage in ages, but I just did.

19.5% buyers fee.

Elcontador

<< <i>
Who is going to buy a common $20 Liberty in MS63 or so and then pay the additional buyer's fee? >>



Un pendejo haría esto. El señor olvidó que este pendejo también pagará para mandar la moneda a sua direccíon.

claychaser

Maybe this will spur additional competition and drive business to the smaller auction companies.

Manorcourtman

I can live without them and their fees, and holding my consignment $$ hostage for 6 weeks after the auctions end. They are making money on my money, making money on my coins and making money from my new purchases. 3 way money grab, what a business.

rays

<< <i>Maybe this will spur additional competition and drive business to the smaller auction companies. >>



I wouldn't be surprised to see Goldberg follow suit soon...

bidask

I think top dealers with integrity and good advertising platforms
will gain consignments if they negotiate reasonably with collectors.

Tiny

Another thing that may come from this is that dealer web sites may get real
busy which to me is a good thing since it not the 1%ers that making the money
but the 99%ers. Who owns all these high buyers fees site, 1%ers do, not well
know coin dealers that do shows and have web sites with fair prices and no buyer's
fees.

If HA & Bowers lowered their credit card limit, what is next charging the 17.5% buyer's
fee and then 3% for taking Pay Pal or some other form of payment. YOU GO big 17.5 & 20 &ers
put yourselves right out of business and eBay right along with them then maybe the real coin
dealers will make a come back and be like it use to be. I remember buying single coins and rolls
from many mail order and latter web site dealers. It's like everything, fees fees fees and more
fees and a coin's value is tied sky high to FEES.

Bochiman

Glad I just got the one I wanted and bid on last month.
If I were to bid going forward, I would be one of the ones factoring in the higher fees and adjusting my max bid even more downward.

jdimmick

This will probably make a difference when its time to consign. I will probably go to a few of the larger national specialist dealers to sell /and or consign thru them than too lose 17.5% on a sale.

May limit purchases as well. hard to bid 25k on something only to pay 29, 375 which would be another 635 additional to the auction house. Tough enough when it was 15%

carew4me

They are just keeping up with rising paychecks.