"Retail" versus "Wholesale" and eBay
C0inCollect0r
Posts: 374 ✭✭
Hi folks,
I read a few interesting threads recently regarding the "wholesale" and "retail" aspects of the coin market, with most sales realistically falling somewhere in the middle along this spectrum.
I'm curious as to where you all see eBay and eBay sales in the overall "wholesale to retail spectrum." It seems interesting to me that most of the PCGS/NGC coins I see seem to end close to "Wholesale" (GS bid) prices unless they are particularly rare or difficult to come across (Problem-free mid-grade Barber Halves, etc.). With eBay obviously being open to the entire "world" of bidders, I suppose I might have guessed sellers would have a more realistic chance of realizing a more "retail" type price in this type of venue, but that doesn't seem to be the case in general.
Anyhow, any thoughts or ideas are always interesting to hear.
I read a few interesting threads recently regarding the "wholesale" and "retail" aspects of the coin market, with most sales realistically falling somewhere in the middle along this spectrum.
I'm curious as to where you all see eBay and eBay sales in the overall "wholesale to retail spectrum." It seems interesting to me that most of the PCGS/NGC coins I see seem to end close to "Wholesale" (GS bid) prices unless they are particularly rare or difficult to come across (Problem-free mid-grade Barber Halves, etc.). With eBay obviously being open to the entire "world" of bidders, I suppose I might have guessed sellers would have a more realistic chance of realizing a more "retail" type price in this type of venue, but that doesn't seem to be the case in general.
Anyhow, any thoughts or ideas are always interesting to hear.
0
Comments
exception is bullion/silver that goes retail
most BIN are retail or retail +
some sellers get more than retail with juiced/photshopped pics of problem coins
getting full retail on everything is difficult because most buyers have been burned enough times to
place their own 'discount' on pics/description/seller/risk involved with purchase and delivery
<< <i>most true eBay auctions end wholesale >>
Is this some kind of joke? Nearly every auction I have ever watched online has been bid crazy high.
<< <i>most true eBay auctions end wholesale >>
It depends very heavily on the quality of a coin and its market. On some of the hotter series (many foreign), many of my auctions have recently pulled previously unheard of amounts. The more common, less expensive items tend to do more poorly. Part of that reason may be because those items are easier to acquire locally, and also because shipping, even when inexpensive, is a higher percentage of the total cost for lower priced items. But good coins can still do very well.
I think of EBay as largely a retail outlet, but that doesn't mean that a lot items don't bring weak retail or wholesale prices.
One other thing to keep in mind is that, based on the coins in question, as well market conditions, CDN prices might equate with retail, rather than wholesale levels. For example, currently, there are many sellers who would be happy to sell their ordinary looking classic silver commemoratives at CDN bid.
Why they don't get the slabs and crack em out to fill their holes is beyond me. I guess they don't know what they are getting from the GSC of the world?
On open auctions, ebay often falls well short of wholesale. we used to have people trolling ebay day and night looking for bargains 10% back of retail. Now we have $22 worth of silver selling for $1.04 and nobody seems to care. It's tough out there right now. Many new "dealers" finding out the hard way and then having going out of business sales that result in even lower prices.
--Jerry
On open auctions, ebay often falls well short of wholesale. we used to have people trolling ebay day and night looking for bargains 10% back of retail. Now we have $22 worth of silver selling for $1.04 and nobody seems to care. It's tough out there right now. Many new "dealers" finding out the hard way and then having going out of business sales that result in even lower prices.
--Jerry
With all that Ebay is a retail venue. I'd guess fewer than 5% of all listings up being sold at an average wholesale price (what an average dealer would pay for that material). More than a few dealers shop Ebay for inventory, and that often sets a floor for pricing. Still, sometimes a coin slips through, because of the wrong category, poor photographs, or a relatively new seller.
Another point, grey sheet bid price is not wholesale for most coins. There are some exceptions but most dealers offer well back of sheet for most coins. By definition, retail is the price a collector pays. Wholesale is a price that a dealer offers when a collector is selling to them. A well connected collector can often buy average coins from a dealer at sheet. Again, by definition that means the sheet price is a retail price, maybe low retail, but retail. A well connected dealer can usually buy average looking coins far back of sheet, maybe 25% or more back. Again, I'm talking average coins, and there are always exceptions in some series, some hard to find coins, and prices are always tend to be higher for above average for the grade coins.