Home U.S. Coin Forum

An innovative solution to dealers leaving early

2»

Comments

  • BillJonesBillJones Posts: 34,609 ✭✭✭✭✭
    As a collector and a dealer I’m not happy to see dealers packing on Friday afternoon or Saturday either. The net result that the collectors have less of an incentive to come to the show if some of the larger dealers are not there.

    I’d love to see these dealers stay though late Saturday afternoon, but it’s not hard to figure out why they leave. There is insufficient business to encourage them to stay.

    Retail sales are more trouble that wholesale work. There are several reasons for this.

    First, we know most of the other dealers, and we know their checks are good. If a dealer starts passing bad checks it gets around pretty fast, and his business is gone. This is not true with the public. When taking someone’s check you feel better if another dealer will vouch for him or her. If you can’t get that, you either decline the business, require cash or get that person’s info and hope for the best.

    Second, there are sales taxes on retail sales. Sometimes that’s the only reason why I charge a retail customer more. The retail customers complain about this, but what are we supposed to do? Evade the law? Now that state governments are strapped for cash the situation is only going to get worse. There will be more audits and more sales tax agents showing up at shows.

    Third, retail customers expect services like purchase returns if they run into something better. Very very few dealers EVER ask for this, and if they do with many purchases, they soon become persona non-grada at many dealers’ tables.

    Finally many collectors just don’t know the market. They think that what is printed on the Gray Sheet is what they should be paying for choice coins. There are collectors who come in really off wall with the Blue Sheet in their hands expecting to pay LESS than THOSE prices. Some collectors get really testy when you ask for more than “bid.” Yet what they don’t understand is that for really nice coins, dealers often have to pay more than “bid” sometimes well over “ask.” Other dealers usually don’t hustle you about prices; they just pass. Retail customers can get belligerent at times, and that’s no fun.

    For all these reasons many dealers don’t care for retail business, and at a lot of shows the retail business has been pretty disappointing. That’s why you see guys packing up and leaving on Friday or early Saturday.

    I personally don’t like it, but for reasons stated earlier that’s why it’s happening.
    Retired dealer and avid collector of U.S. type coins, 19th century presidential campaign medalets and selected medals. In recent years I have been working on a set of British coins - at least one coin from each king or queen who issued pieces that are collectible. I am also collecting at least one coin for each Roman emperor from Julius Caesar to ... ?
  • BillJonesBillJones Posts: 34,609 ✭✭✭✭✭
    Some here are calling for an end to dealer days and Thursday sales.

    If that were to happen a lot of shows would fold and collectors would have no show at all. I've had a lot shows where dealer to dealer sales made my show. The retail didn't work at all. That should tell collectors something about the advanages of attending shows, but the message never seems to get through to some of them.
    Retired dealer and avid collector of U.S. type coins, 19th century presidential campaign medalets and selected medals. In recent years I have been working on a set of British coins - at least one coin from each king or queen who issued pieces that are collectible. I am also collecting at least one coin for each Roman emperor from Julius Caesar to ... ?
  • I have spent many years watching and participating in the coin hobby. In this time I have dealt with many very good dealers. But I have also run into a small minority who seem to have a great deal of disdain towards the collecting public. It is as if they would prefer to do nothing but dealer to dealer business while keeping collectors away. At shows they leave early. When a collecter shows up at their table these dealers will often ignore them. When the collecter asks a question these dealers will act as if the person is ignorant for asking such a question. When the collector shows an interest in less expensive coins, these dealers will often treat them like dirt. These types of dealers are in the minority but I know from personal experience that they do exist.

    BillJones -- I have read many of your posts on this board and I'm quite certain that you are not one of the dealers that I just described. But you previous post seems to echo many of the thoughts of this type of dealer:

    There is insufficient business to encourage them to stay.

    Retail sales are more trouble that wholesale work

    we know most of the other dealers, and we know their checks are good.

    retail customers expect services like purchase returns if they run into something better.

    many collectors just don't know the market.


    I'm sure that these points are correct. I also know how frustrating it can be dealing with the public in retail. But my question is this: if retail sales to collectors did not happen, then where would the money come from? Perhaps I'm naive and I don't really understand the coin market, but it seems to me that if there were only wholesale sales, then you would have Dealer 1 selling to Dealer 2 who would sell to Dealer 3 who would sell to Dealer 4 who would sell to Dealer 1 who would sell to Dealer 2 and so on. The money would be circular with no new money coming in. Dealers may make more money when selling to each other, but don't you have to sell to the end customer at some point? And at what better place than a show that attracts many more collectors than would normally be seen?

    The question was asked about whether these large shows are for dealers or collectors. That is a very good question. As a collector only, I am more than willing to concede the need for a dealer-only day. I also agree that dealers have a right to decide what hours they want to remain available. But I also would like to be able to show up with the purpose of given money to dealers. But that is frustrating when many dealers leave early and the selection of coins to choose from is not a good as it could be. I know enough to realize that Sundays are a lost cause. But I would really like to see dealers stay until at least the end of the day on Saturdays. Many people cannot justify taking a day off of work to attend on Fridays so that leaves Saturdays. When many dealers start leaving a few hours into the show on Saturdays, it it frustrating for collectors.

    In the other thread about dealers leaving early, I mentioned that I won't be able to make it to the Baltimore show this year until at least 1pm. Past experience tells me that at least 15% of the tables may be empty by then with many dealers in the process of packing up. Even though there will be many dealers left, I'm not sure if it will be worth the trouble to attend this time around. Granted, the amount of money that I am likely to spend will not make or break any dealer, but it is still money that would go into dealers' pockets. If things reach the point where Satrudays become like Sundays, how many collectors like myself will stop going to the shows and, as a result, not spend as much as they otherwise would?
  • BillJonesBillJones Posts: 34,609 ✭✭✭✭✭
    What happens to those coins that are traded dealer to dealer at the shows? Those coins are often to sold to retail customers back home. I go to every show with a list of coins and tokens that people have asked me to locate for them. There is a retail market, but for whatever ever reason, we dealers often to do not see it at the regional and national shows.
    Retired dealer and avid collector of U.S. type coins, 19th century presidential campaign medalets and selected medals. In recent years I have been working on a set of British coins - at least one coin from each king or queen who issued pieces that are collectible. I am also collecting at least one coin for each Roman emperor from Julius Caesar to ... ?
  • BarryBarry Posts: 10,100 ✭✭✭
    BillJones said:


    << <i>Retail sales are more trouble that wholesale work. There are several reasons for this. >>


    Without retail sales, you wouldn't need wholesale sales.



    << <i>Finally many collectors just don’t know the market. They think that what is printed on the Gray Sheet is what they should be paying for choice coins. >>


    I thought collectors make the market. Without collector demand, there wouldn't be a market. If demand decreases, do you hold coins forever, hoping prices rise again, or do you lower your prices to move material? That's what makes the market.



    << <i>For all these reasons many dealers don’t care for retail business, and at a lot of shows the retail business has been pretty disappointing. That’s why you see guys packing up and leaving on Friday or early Saturday. >>


    If you can make a living wholesale only, great. However, if most dealers don't cater to the collector, the you aren't going to have any business.

  • TONEDDOLLARSTONEDDOLLARS Posts: 2,928 ✭✭✭✭
    Gsaguy, you need a guy like me at your table for those Sundaysimageimage
  • au58au58 Posts: 1,288 ✭✭✭
    Most of the arguments for dealers staying through Sunday are not supportable, for the following reasons:

    Most of the revenue that accrues to the promoter comes from table fees. As far as the promoter is concerned, the dealer is, by far, his highest priority. If the promoter cares at all for the collector, it is usually just an afterthought.

    Most dealers have conducted 85% to 95% of the business that they are going to conduct before Sunday. Why stick around? They are under no obligation and it does not make fiscal sense.

    Being a coin dealer does not mean having to sacrifice your rights to conduct business the way you see fit.
  • vam44vam44 Posts: 291
    It has been mentioned before, but I feel inclined to mention it again, as it makes sense to me.

    The larger shows should separate the mainly wholesale dealers from the mainly retail dealers.Wholesale dealers should be placed in the back so that when they leave early, it won`t look like someone yelled FIRE just before you walked into the show.They can be designated as wholesale dealers(at their discretion)so they won`t be bothered by the public and the public can decide whether they want to brave approaching their tables and bothering them.image

    The retail dealers who stay to the bitter end should be given the tables up front.These are the dealers who will answer people`s questions, and are not bothered by their presence.The longer the dealer keeps a perfect attendence record,(they won`t stay if they aren`t making $$$) the closer to the front they should be.

    Being a vest-pocket dealer, the GAP between wholesale,(public is usually a pain in the arse to them)and retail(the public is their #1 priority) is plain as day to me.
    A dealer once asked me if I noticed any three-legged buffalos on the bourse,to which I replied,"...no,but I saw alot of two-legged jackasses..."
  • IrishMikeIrishMike Posts: 7,737 ✭✭✭
    au58, what other business can you advertise hours of operation and then decide to close up for two days? In most businesses you wouldn't last very long treating your customers that way. Why should dealers get a pass? Sundays I can understand, traveling etc. But the major shows I have attended they start packing on Saturdays.
  • truthtellertruthteller Posts: 1,240 ✭✭
    There seems to be a major misconception of what is the purpose of a national coin show. It's NOT some minimall set up for the sake of the collector, far from it. It is a bourse, for buying and selling. Mainly dealer to dealer. In fact, when I used to set up at Long Beach, 85-90% of the business conducted was with dealers. Of course, this is not the case with small shows, thus small shows cater to collectors. Most of the high ticket and beautiful coins never see it to the dealer's showcase. They are sold in the hotel rooms or on the phone before the show even starts. Then, on dealer Wednesday, the nicer, not nicest, coins sell dealer to dealer. By Thursday morning, most collectors who attend the show are really seeing leftovers. If you want the best, nicest or rarest, you have to have a very good rapport with a dealer to get first shot. Don't count on seeing them on the bourse floor. So as far as closing up business on Sat., great! Business is done and true hardcore collectors know this well in advance of the show.

    TRUTH
  • baccarudabaccaruda Posts: 2,588 ✭✭
    sounds like you're saying "don't bother going to a major show"
    1 Tassa-slap
    2 Cam-Slams!
    1 Russ POTD!
  • t
    PNG member, same identity as Julian, a veteran numismatic dealer since 1965. Operates a retail store, also has exhibited at over 1000 shows.

    I firmly believe in numismatics as the world's greatest hobby, but recognize that this is a luxury and without collectors, we can all spend/melt our collections/inventories.

    myurl
  • IrishMikeIrishMike Posts: 7,737 ✭✭✭
    truthteller what you say might be the way it is, fine then quit advertising these major shows as 5 day affairs. How about some truth in advertising?
  • Good evening, all
    As many of you know, I have exhibited at shows for over 35 years. I feel that dealers should keep the posted hours like other trade shows, especially hobby focused shows that are open to the public. I do my very best to keep that contract with the promoter and the public.

    That being said, I am located on the East Coast and with the time difference and fewer flights available, West Coast shows are extremely difficult to participate on Sundays. A couple of years ago, I tried staying on Sunday, but when the lack of flights, coupled with the security delays at the airport presented, I realized that even if a 4PM flight were available, a dealer needed to start packing at 12 & be gone by 1. There is really no alternative on the West Coast shows for Eastern dealers. Additionally, the 4PM flights, when available, are much more expensive than red-eying it on Saturday nite. I did post on my schedule that I would not be available on Sunday at LB and told any one that was contemplating return of my availability.
    The Eastern shows do allow for Sunday participation and being able to travel, mainly because of the time difference.

    The difficulty with large shows trying to enforce contracts is because they continue to grow and need to sell more space. They have no teeth. Would the public attend and support smaller events that the promoter could enforce? Would the promoter even want to produce a smaller show that is less profitable? Since the ANA has gone to larger and larger events, they have also had difficulty enforcing hours, and are doing so now with denial of space at future events. This is at the most prestigous event of the numismatic calender!!

    Unfortunately, because of the wide variety of collectable numismatic material, the bourses have to be large to appeal to the public to get them to attend. There have been a couple of attempts in the past to have dealer only events that were held on 1 or 2 days. That is good for the dealers.

    The public is entitled to have a full complement of dealers at the posted times, just like shopping malls. Jewelry and antique shows are able to enforce their hours because there are more people wanting space than space is available. There is a dealer demand for space. Let those events let everyone have space and they will have the same problems that we are experience.

    TDN's idea is very interesting!! I would like to see anything attempted that would generate more attendance and enthusiasm at shows. They will continue to be critical to the health of numismatics, in my opinion.
    PNG member, same identity as Julian, a veteran numismatic dealer since 1965. Operates a retail store, also has exhibited at over 1000 shows.

    I firmly believe in numismatics as the world's greatest hobby, but recognize that this is a luxury and without collectors, we can all spend/melt our collections/inventories.

    myurl
  • Many good thoughts and ideas already; here are a few thoughts that may help collectors understand a little more.

    I worked for a dealer and went to major shows about ten years ago, the Long Beaches, ANAs, Central States, etc. The dealer who worked for our company did at least 95% of his business strictly with other dealers at shows. Set-up day was for purchasing newps, the remainder of the show was for selling to dealers. Our case would be filled with rare coins, i.e., gold, commems, type, patterns, etc, but no moderns.


    As I remember it, the dealers up front, usually wholesalers, were also the first to leave. It wouldn't take a lot of work to create a filled bourse for Sundays (or at least one that appears filled). My suggestion would be that if you leave earlier than 12 or 2 pm on Sunday you move back one table for the next show. If you pack it in on Saturday and don't even show up for Sunday, you'll be moved back two tables for the next show. If you don't show up for the weekend at all, you'd be moved back three tables. This would slowly allow the dealers who ARE able to attend the whole show the benefit of being up front, without the hassle of moving, where they should do good business with the public.

    The wholesalers will complain but really shouldn't if they really look at it. There's a lot of congestion right at the front doors, people enter and take a minute to get their bearings on what direction to go. If the dealer is guilty of early abandonment does it really make sense for them to have to have the choicest tables? Most of their business is also with other dealers, I'm going to guess at least 60-75%, especially if they're leaving early.

    Another reason for the wholesalers to have the rear of the bourse is that it should make them less susceptible to theft. Wholesalers often have inventories that contain more valuable coins than the retailers. If you've just showed a valuable coin to a dealer you're likely to remember who has it vs. handing a coin to a collector for a 'closer look' it is harder to keep track of sometimes. The farther you are from the door the safer your inventory should be.


    A note for dealers, we always flew into the Long Beach airport. It's real close to the convention center and I know it's much less than a 45-minute drive. I think you have to land at Burbank first but that only takes an extra twenty minutes or so.
    Holes-in-One
    1. 7-17-81 Warrenton GC Driver 310 yards 7th Hole (Par 4)
    2. 5-22-99 Warrenton GC 6 iron 189 yards 10th Hole
    3. 7-23-99 Oak Meadow CC 5 iron 180 yards 17th Hole
    4. 9-19-99 Country Lake GC 6 iron 164 yards 15th Hole
    5. 8-30-09 Country Lake GC Driver 258 yards 17th Hole (Par 4)

    Collector of Barber Halves, Commems, MS64FBL Frankies, Full Step Jeffersons & Mint state Washington Quarters
  • bozboz Posts: 1,405
    Other dealers usually don’t hustle you about prices; they just pass. Retail customers can get belligerent at times, and that’s no fun.

    For all these reasons many dealers don’t care for retail business, and at a lot of shows the retail business has been pretty disappointing. That’s why you see guys packing up and leaving on Friday or early Saturday.

    Without the retail customers, can dealers make a living selling to each other?
    The great use of life is to spend it on something that will outlast it--James Truslow Adams
  • Remember that if there is no one to collect coins, then they are worth the greater of face value or melt. Dealers need to focus on that daily. Where would we be if no one collected?
    PNG member, same identity as Julian, a veteran numismatic dealer since 1965. Operates a retail store, also has exhibited at over 1000 shows.

    I firmly believe in numismatics as the world's greatest hobby, but recognize that this is a luxury and without collectors, we can all spend/melt our collections/inventories.

    myurl
  • truthtellertruthteller Posts: 1,240 ✭✭
    I have to add more to this post. I agree with JML and most of what he states. In addition, Long Beach is a show that is slowing dying. Several years ago, it used to be one of the crown jewel events, where it filled the complete Long Beach Convention center. Now with table rates close to $1000 up front for an 8ft table, many mom and pop dealers, as well as smaller ones, have decided they can no longer afford this show. It used to be 1000 tables from coins to stamps to cards. Now it barely has 400 tables. For that matter, this Long Beach had the least amount of coin tables I have ever seen. Many no shows and many empty spaces. Years ago,the smaller dealers were the ones who catered to the public on all the days. In fact, they avoided Wednesdays and set up all day Sunday. Now, the vast majority of dealers are slabbed oriented and leave when they have had enough. I don't expect Long Beach dealers to cater to retail any longer. Support the local club shows, they cater to retail. It's a matter of business dollars.

    TRUTH

Leave a Comment

BoldItalicStrikethroughOrdered listUnordered list
Emoji
Image
Align leftAlign centerAlign rightToggle HTML viewToggle full pageToggle lights
Drop image/file