Quote:
Originally Posted by oldjudge
John--think about it for a second. If I ship a $200 card at the post office (the cheapest way to ship one card) and insure it it will cost me about $5. The mailer cost me $1. The gas driving to and from the post office from my current house would cost me about $2 (this doesn't count wear and tear on my car), and this all takes about 45 minutes of my time (you figure out how to value that). What I am saying is that for you or me mailing a card worth $200 it will effectively cost us over $12. The big auction house has to pay for shipping materials, a shipping manager, etc. No matter how much you think the auction house may be ripping you off, I would bet that the shipping area, as a profit center, is a net loser.
Now, you can argue that the buyer's premium should be paying for this. However, that premium must cover all the auction house salaries (except the shipping manager who we already accounted for), insurance, rent, travel to find consignments, entertainment, interest costs on advances, systems work, etc. Remember, virtually no consignor pays a consignment fee any more. In fact, big consignors typically get a kickback from the buyer's commission on their lots. All I'm saying is that this is not a business model that churns out money. It is not unreasonable for auction houses to cover their total shipping costs.
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Jay - well said. Interestingly enough, there are individuals complaining about a few extra shipping cost bucks that set up at card shows and substantiate their seemingly high sticker prices due to the card show's overall overhead (table costs, gas, hotels, meals, etc. - which I TOTALLY agree with). Yet, these same individuals seem to conveniently dismiss the auction houses overhead as if their winning lots are magically packed and handled at ZERO costs??? Remember folks, the FINAL shipping fee is CLEARLY listed as shipping, handling and insurance....NOT JUST SHIPPING.
Joe T.