Interesting thread on the non-sports board

[calvindog]

Originally Posted by buymycards

Here are my thoughts: (As if anyone cares)

1. Bidding on items that are consigned to your auction. Totally unethical. The auction house has the chance to inspect the items and make a purchase offer before they are placed in the auction. Once the auction begins, then it should be hands off.

2. Bidding on your own items that you consigned to an auction house. Totally unethical.

3. An auction house putting their own items in their own auction. OK, as long as they are disclosed as their own items.

4. An auction house bidding on their own items in their own auction. Totally unethical.

5. Employees of an auction house bidding on items in their auction. Totally unethical.

Rick

Now imagine if auction houses do all of these things -- and don't disclose any of this to its bidders. Suddenly, Heritage doesn't look so bad.

[PolarBear]

Originally Posted by calvindog

Now imagine if auction houses do all of these things -- and don't disclose any of this to its bidders. Suddenly, Heritage doesn't look so bad.

True, but being the least unethical compared to their peers, still isn't a place where a company should want to be.

[barrysloate]

Bobby- here's a hypothetical situation:

After you were high bidder at $1150, bidder #12 came in and left a ceiling bid of at least $1950. Then somebody else came in and left a bid of say $1800, which pushed bidder #12 near or at his maximum. Was there enough time between your bid of $1150, and the point you realized the bid was now $1950? That's a possible scenario.

As far as Heritage disclosing their questionable bidding practices, it is better that it is out front rather than hidden, but it still isn't a good thing. Given all the scandalous auction practices that have been revealed of late, this information can only get bidders angry.

[bobbyw8469]

Sloate...if your theory is true, then the bid # should have went from 12 to 14. Only one more bid was placed. It left a sour taste in my mouth.
I was bid #11. Bid #12 was the $1950. No more bids came in.......if someone else had bid like you said, then the bid count would have been #13 instead of #12. I am guessing the consignor bid his maximum he was willing to take for the set (which was not worth THAT much).....

[barrysloate]

If there was a bid count and you are certain that no other bids came in, then I agree my theory doesn't work. You might want to speak to someone at the auction house, and ask them how the bids progressed the way they did.

[Exhibitman]

I call Bu*****t here. Reading Mr. Ivy's reply I note that the lack of a buyer's premium and lack of shipping costs gives Heritage an automatic 20%+ advantage over every other bidder. That allows it to bid a "wholesale" price that is 20% or more over the real wholesale price. In other words, a $120 card really costs me a base bid of $100 plus a BP and shipping cost of $20+ but it would cost Heritage only the base bid. If it decides a card is "worth" 60% of retail it could bid $72 on that $100 card. If it doesn't get it, well it just drove up the price for the buyer. If the card is hot or rare and Heritage decides it is worth 80% of retail to own it, Heritage could bid my full base bid, forcing me to go even higher, past the retail level, to get it.

I feel soooo used...

[HRBAKER]

Adam, exactly.

[calvindog]

Originally Posted by Exhibitman

I call Bu*****t here. Reading Mr. Ivy's reply I note that the lack of a buyer's premium and lack of shipping costs gives Heritage an automatic 20%+ advantage over every other bidder. That allows it to bid a "wholesale" price that is 20% or more over the real wholesale price. In other words, a $120 card really costs me a base bid of $100 plus a BP and shipping cost of $20+ but it would cost Heritage only the base bid. If it decides a card is "worth" 60% of retail it could bid $72 on that $100 card. If it doesn't get it, well it just drove up the price for the buyer. If the card is hot or rare and Heritage decides it is worth 80% of retail to own it, Heritage could bid my full base bid, forcing me to go even higher, past the retail level, to get it.

I feel soooo used...

This is a good point. That being said, at least it's revealed, unlike the rest of the great guys who are criminals instead of just unethical.

[rman444]

Originally Posted by Exhibitman

I call Bu*****t here. Reading Mr. Ivy's reply I note that the lack of a buyer's premium and lack of shipping costs gives Heritage an automatic 20%+ advantage over every other bidder. That allows it to bid a "wholesale" price that is 20% or more over the real wholesale price. In other words, a $120 card really costs me a base bid of $100 plus a BP and shipping cost of $20+ but it would cost Heritage only the base bid. If it decides a card is "worth" 60% of retail it could bid $72 on that $100 card. If it doesn't get it, well it just drove up the price for the buyer. If the card is hot or rare and Heritage decides it is worth 80% of retail to own it, Heritage could bid my full base bid, forcing me to go even higher, past the retail level, to get it.

I feel soooo used...

Adam -

I think a portion of the 20% is used to advertise, pay for the catalog and misc other expenses that they would not be able to recoup, so the house's advantage would be less than the full 20%.