A ‘modest’ increase.
lololololololol.
Is that more or less than Zachy’s??
pretty much the same…
What kinds of discounts/rebates are the big buyers negotiating?
Makes me like K&L’s auction even better, only 5% buyers premium.
The end prices are what they are…a wine is only worth a specific amount and all buyers factor in the percentage into the end price…so, the % doesn’t really mean anything (for the buyers at least).
Phenomenally stupid business decision in an age where network effects create powerful virtuous cycles. If one company is taking 23% vig and another takes 5%, where are the sellers, and then the buyers, going to go?
K&L takes 15% seller and 5% buyer. Used to be just 15% seller.
Bingo. I think if you are buying the “latest and greatest” Cali releases on K&L, you are overpaying by a large margin vs. what you can buy them for at another auction house, and that includes any BP.
They raised their BP a half percent. So on a $100K purchase, that’s an extra $500. The other houses are all between 22 and 23.5 (Acker) percent, so it’s still within industry norm.
See Michael’s post, and I think you are conflating two subjects too. Buyers think a certain way, and sellers do too, and they are working in totally conflicting ways. Buyers want to spend as little as possible, and get a great deal, while sellers want every dollar possible in their pocket, which includes record shattering prices.
It’s not going to make any difference in this market. Buyers commission, insurance etc means that you end up with a bottom line cost. If you want the wine, and it makes sense, you buy, if not you keep to the sidelines. That extra percentage is so carefully calculated, that it will not affect any buying decisions, as it is not enough to change the cost from one price level to another.
And this is a seller’s market. I have been monitoring some auctions, and the prices even without the final day/hour bump are seriously high. People are back from Summer vacation, and prepared to pay close to retail to get their wines. Good time to sell.
Christies recently raised to 25%
I THINK that was for most categories, but recall reading that wine was staying at 22%. I could be wrong, and that would put them at the highest in the wine game.
I’m big on Brentwood auctions. Their buyer’s vig drops the more you purchase from them. I’m paying an average of 8% right now and their weekly auction prices are in line with others. Haven’t gotten a bad bottle yet and their descriptions are spot on.
Bottom line is that all of these houses are probably struggling a bit, and they are hit with more and more folks who want or need to get rid of wines that either they don’t want to drink or just have too much of. My guess is that all of these percentages will be similar over time.
Yep, one may be slightly lower than the others, but some houses have more ‘prestige’ in the market and feel that that is worth something - and I can’t say they are wrong.
Cheers.
You’re correct everything except wine
Not sure where this is coming from as I talk to auction houses a good deal, and they tell me there is very definitely a shortage of good product. A lot of new buyers are entering the market, and judging by the high prices, there is a good deal of competition for the better wines.
My guess is that it depends upon your definition of better wines.
That was quick, another bump to %23.5.
Simple: don’t buy wines from auction. Voilà!
Or just bid (1.23/1.235) of what you used to bid.