|
 Author | Topic: The Life & Times of Clembo At the Shop (Read 1,347 times) |
guy
Open
member is offline
Joined: Mar 2009
Gender: Male 
Posts: 105
Location: CA
|  | Re: The Life & Times of Clembo At the Shop
« Reply #90 on Nov 3, 2009, 11:32am » | |
Thats true, Spock, but the difference between say APMEX and a B&M like Dan and myself refer to is difference in overhead. APMEX is an online buying and selling firm. Not a lot of expenses to cover when compared to a physical shop. Plus, they sell on a ratio of probably 90% bullion to 10% coins, which can cover expenses and make money, whereas most coin shops are just the opposite. You have to push a massive amount of bullion to make money and most coin shops aren't set up to do this.
Guy~
| |
|
eddiespin
Open
member is offline
![[avatar]](http://www.famouswhy.com/pictures/people/paul_muni.jpg)
Joined: Jun 2009
Gender: Male
Posts: 78
| | Re: The Life & Times of Clembo At the Shop
« Reply #91 on Nov 3, 2009, 12:25pm » | |
Nov 2, 2009, 9:27pm, clembo wrote:As for markups and margins Eddiespin is correct. My bad - basic accounting gone wrong.
He was posting while I was. However crunch the numbers however you want.
Margins/Markups go all over the board. Nothing is set in stone and the lower MARKUPS are more prevelant but volume makes up for it.
Does that make any sense to anyone? |
|
Yup, I sure do understand. I also understand your accounting statements are your proprietary information and as such can't under any circumstance form a part of these threads. I do appreciate your revealing to us what you can, though, Dan, as yours is a side of the table that most of us have but a speaking acquaintanceship with, at best; and, I do find these very informative, if not, just plain fun to read. 
| |
|
eddiespin
Open
member is offline
Joined: Jun 2009
Gender: Male
Posts: 78
| | Re: The Life & Times of Clembo At the Shop
« Reply #92 on Nov 3, 2009, 12:37pm » | |
Listen, for all you guys who might be shopping for a better deal, I thought I might tell you, you might try my good friend, Guido. He doesn't have the operating expenses my other good friend, Clembo, has. Find him at Augostino's, Elmwood Park, Harlem at Grand, back table, most nights. He also specializes in fine furs, jewelry, electronics, and general train-wreck related stuff (you know, like when the train hits an open switch on the track?), should you be interested in that, too... 
| |
|
vipergts2
Open
member is offline
![[avatar]](http://i294.photobucket.com/albums/mm103/vipergts2/130-3065_IMG.jpg)
Joined: Jun 2009
Gender: Male
Posts: 337
| | Re: The Life & Times of Clembo At the Shop
« Reply #93 on Nov 3, 2009, 3:46pm » | |
Great post on mark ups and margins. I think a lot of people forget that coin "dealers" are retailers. The must make money to stay in business. coin dealers are providing a service and need to be paid for their efforts.
|
Viper
The great Iowa passtime, the IA corn cam!
http://www.iowafarmertoday.com/corn_cam/ |
|
treashunt
Global Manager
member is offline
Joined: Feb 2008
Gender: Male
Posts: 1,496
| |
clembo
Calendar Manager
member is offline
![[avatar]](http://i182.photobucket.com/albums/x275/clembo1872/scan0001-17.jpg)
Joined: Sept 2008
Gender: Male
Posts: 399
| | Re: The Life & Times of Clembo At the Shop
« Reply #95 on Nov 3, 2009, 7:34pm » | |
WOW!
Some GREAT responses to the latest installment here folks. I'll try and address them all to some extent.
First for Treashunt.
Nope that is not my boss and good for that or I'd be out of a job.
As for the Redbooks he's only made $70 back on the lot and he paid $150. He likes them though even though the remainder is now in a box upstairs.
1863cwt stated "We loose money on every sale, but we make it up in volume."
LMAO. Can I use that at work?
Now as for 1863cwt and Guy I really do appreciate your comments because it is obvious you guys have had enough experience in shops like the one I work in to know what I am talking about.
It's not the same in every shop for sure but we can see the similarities.
Guy, I wouldn't say my boss hates bullion as we do make money from it but it requires work for sure. We advertise that we buy gold and it gets crazy.
He weathered the storm in 1980 so if it keeps going up like it did today we'll survive. It will get CRAZY but we'll survive as a shop.
As for YOU Spock. We've known one another via forums for a few years now and I have to say your last post was one of the best I've seen my friend.
You made some really good points the main one being we are NOT a Heritage, a Lyn Knight etc. The boss runs a successful shop for sure. He's made a lot of contacts in 42 years. I've made a few as well via forums and shows. I know a few people he doesn't and he knows A LOT of people I don't.
There have been some pretty "big dogs" in our shop over the years. Both Lyn Knight and the late Dean Oakes have visited and purchased in the past.
I digress though as the big dogs have big organizations with a big payroll. Call Lyn Knight for a website question and they have several people involved. Call us and you talk to Scott.
Call us for a question on small sized paper money and the boss says "maybe Clembo will know" and hands me the phone.
Bottom line is we deal with a lot of "walk ins" and occasionally really score. The "big dogs" only want the high end and DO have to make better margins to survive.
Just one point I will make on Spocks post to clear things up a bit. I actually DO know the buy and sell on things I discuss. I actually see what he buys for (if I don't do it myself) and know what he sells for (if I don't do it myself). I'm not heavy into the scrap gold or bullion because he likes to handle that.
At times Scott and I have to do this when he's not there. THEN we have guidelines set by the boss. I try to stay away from that end as much as possible.
Finally Viper had this to say.
"Great post on mark ups and margins. I think a lot of people forget that coin "dealers" are retailers. The must make money to stay in business. coin dealers are providing a service and need to be paid for their efforts."
Simplicity itself. It's how we go about it that gets confusing.
I'll keep posting guys. Got a few up my sleeve right now and always welcome ANY response. That IS why I post after all.
|
Bona fide coin and paper junkie. |
|
clembo
Calendar Manager
member is offline
Joined: Sept 2008
Gender: Male
Posts: 399
| | Re: The Life & Times of Clembo At the Shop
« Reply #96 on Nov 3, 2009, 10:35pm » | |
GETTING TO KNOW YOUR DEALER
Plus How I got to know my boss.
Many of us have visited many shops. Some more than others depending on where we live. Unlike some I have been lucky enough to have at least 4 dealers within half an hour of my house for years now.
Why did I really only frequent two (and occasionally a third) before that shop moved.
For the answer we have to go back to when I got BACK into coin collecting. What did I do right and what did I do wrong.
I have lived in the current town for about 23 years. Only about 15 miles from where I grew up. I moved here with my then girlfriend (now wife of 20 years). Hadn't been into coin collecting for quite a few years actually.
I probably had about a 15 year hiatus (I was around 30 by then) and sought out a local shop.
I found one maybe 5 miles from home and went there. BJs coins owned by Bob and Ruth Jones.
Bob is a hell of a nice guy as is Ruth. A small, clean and organized shop.
I treaded lightly at first buying a few low dollar type coins. Saw a nice Bust Half one day and really wanted it. It was $30! I had NEVER spent that much on a coin.
I had to go home and discuss it with my now wife. This was a BIG purchase. Gotta love her - she said go for it. The monster was now alive.
Bob taught me a lot. I bought my wife a lot of jewelry from Ruth over the years for my wife. I read more, I was trusted. I always tried to buy something, no matter how small, to make up for the time they spent with me.
I guess BJs was my "birth/rebirth" into the hobby. Only problem was his selction was limited. I wanted more.
Now where I work comes into the picture. Only 2 miles from my house but I'd never been there. Our "downtown" is a scant few blocks. All shopping is geared more toward the main roads, malls and shopping centers. I VERY rarely had ANY reason to go downtown.
I made the treck one day. TOTALLY different atmosphere. Bigger and stuff all over. Unorganized as it remains to this day but a MUCH larger selection.
I guess one could say I tested the owner. I was just getting into Two Cent Pieces and asked if he had any. He handed me an 1864 large motto and quoted me like $10.
I asked him why he wanted so much for a common date in AG.
He realized then that I knew a bit about coins. Honestly don't remember if I bought anything but at least he knew my face (his memory was much better then).
I never told him I was a customer of BJs until something unfortunate happened. I asked to look at a nickel type set. It was marked $95 but the Shield Nickel was cleaned. I set it back on the counter and it came up missing!
There were two other customers in the store at the time. A middle aged lady and a guy that was really haggling hard over a pocket watch. I had a pretty good idea WHO took it and urged him to call the police.
He didn't and to this day I wonder why. The others left. I told him he could call Bob to verify my integrity. I even offered to pay for it. He wanted no payment but was obviously upset as was I. I left and took a drive to BJs.
I began to relate the story to Bob and he told me Arthur had already phoned him and Bob had vouched for me. Thank you Bob but it was a long time before I set foot in the place where I now work.
I mean look at it. One heck of a way to start off with a guy you'll eventually work for.
As time went by I spent more and more time at Arthurs store. Closer to home with more stuff. As I learned more the deals got better. THIS is something for folks to know.
I got into modern paper money to the point where I knew more about it than Arthur. If I was in the store and someone came in with small size he'd hand it to me, a customer, and ask what I thought. Was many a time I WOULD LIKE TO BUY IT but not my shop so I'd watch it wander off.
Same thing happened at BJs. Coin shop etiquette after all.
There were times when Arthur would call me at home with a question. The Nickel set was ancient history and he did NOT want to talk about it. I think we've discussed it once since I've been employed by him and it was kind of nostalgic "what a way to start" conversation.
So basically these guys helped me get back into the hobby. Totally different people but they get along. Today Arthur referred a watch customer to Bob. Bob does the same when people come to him with stamps.
As these two got me back into it I visited other "local" but not so local shops. What I found was dealers looking for absolute full retail or higher in some cases. Nice stuff but even when they knew you had SOME knowledge nary a deal to be found. Not worth the trip I'm afraid.
Bob will stop in our store occasionally if he needs something. Always nice to see him. The shops run basically the same hours so I can't go to his shop.
Last time I was there was July 3rd. We took a long weekend and he was open. I bought a Barber quarter from him. He gave it to me at bid which he didn't have to do.
So how did I end up working for Arthur and not Bob? Bob is much smaller and can't afford to hire. He does well and has regular clientele.
Arthur is into just about anything. He offered me jobs in the past but always at a really low pay rate. The last offer was reasonable and I needed work so it happened.
So one might ask. Just why DID Arthur consider hiring me in the first place? My answer is versatility, passion and people skills.
I meet a lot of really knowledgeable customers. Problem is they know a lot about ONE thing. I'm no genius but can switch gears pretty fast. Helps a lot.
Love the hobby. Nd doubt there.
People skills. I wait on all of the low dollar and "tire kickers" that Arthur no longer has the patience for. At times I think that's my biggest asset to him.
Okay,
I did this bassackwards but my story is a good example of how NOT to get to know your dealer at times.
So how does one get to know a dealer? Of course that depends upon the dealer AND the level the collector is at. Can make a huge difference in prices one pays (or refuses to pay).
Looking back on it I see a few keys. Etiquette and knowing what you want to buy.
When I got back into collecting I always had the etiquette thing going for me. Maybe the way I was brought up but observation as well.
It's not that you are NOT important as a customer as much as the higher dollar and/or quicker transactions are what a dealer wants first.
Many a time I could see or was told there was a big deal cooking and it might be a while. Don't hold it against the dealer.
Many a time I said OK I'll stop back in next week. Believe it or not dealers notice and appreciate this. They gotta make a living.
Knowing what you want to buy can be helpful as well. Bring a list so there's a starting point. I can imagine I was quite a pain at times in the past. 
I was into type coins (still am) and bounced all over the board (still do). Now I realize what a pain people like us can be. Not in a bad way but we want to make a sale so having a good starting point is wise. You'll see more that way if you spend a little money.
BUY SOMETHING!
Why do I say this? Well, honestly I read it in Coin Prices many years ago. This is especially useful with the novice. When it's slow a dealer can be a virtual encyclopedia of insight and knowledge. Many love to share it when they can.
Even a token offering helps. I have learned SO MUCH from the two gentelmen I mentioned earlier. I still do and on occasion I can teach them a thing or two. Took years but well worth it.
Realize that everyone has a bad day.
I once went into Arthur's shop and something obviously went wrong. I'd been a customer for quite some time at that point. He kind of went off on my so I left.
Came back in the next week and he was apologizing. No biggie I said. We all have bad days. Was a good day for me. The deals were flowing pretty good.
Don't get crazy with haggling. I see it happen too often. If you don't like the price offer the top price you'll pay. Make it realistic. We all want bargains but don't "play the game" too long.
This also goes for selling.
I can think of a few customers that have basically worn out their welcome this way. One sells on ebay and when he doesn't meet reserve he comes to us. Why would we want to pay more when it might end up on ebay where he couldn't get the price?
Now these are just a few points and I'd love to see more. It can take a while to cultivate a good relationship with a dealer. Give and take and do it in the right way.
Dealers DO want to move stuff, make some money and continue on. A quick profit for them can turn into a quick profit for you if you play your cards right.
Keys will always be keys. Dealers rarely "give" those away.
Like I said feel free to add more to the list. How have you gotten to know your dealer(s) and what works for you?
|
Bona fide coin and paper junkie. |
|
spock1k
Category Manager
member is offline
![[avatar]](http://i271.photobucket.com/albums/jj150/spock1k/832f_1.jpg)
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #97 on Nov 4, 2009, 7:11am » | |
Nov 3, 2009, 3:46pm, vipergts2 wrote:| Great post on mark ups and margins. I think a lot of people forget that coin "dealers" are retailers. The must make money to stay in business. coin dealers are providing a service and need to be paid for their efforts. |
|
i am glad you feel that way
here is a link to my latest offering
|
I believe in happy endings, if you are not happy the end is yet to come |
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| |
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #99 on Nov 4, 2009, 7:14am » | |
Nov 3, 2009, 7:34pm, clembo wrote:WOW!
Some GREAT responses to the latest installment here folks. I'll try and address them all to some extent.
First for Treashunt.
Nope that is not my boss and good for that or I'd be out of a job.
As for the Redbooks he's only made $70 back on the lot and he paid $150. He likes them though even though the remainder is now in a box upstairs.
1863cwt stated "We loose money on every sale, but we make it up in volume."
LMAO. Can I use that at work?
Now as for 1863cwt and Guy I really do appreciate your comments because it is obvious you guys have had enough experience in shops like the one I work in to know what I am talking about.
It's not the same in every shop for sure but we can see the similarities.
Guy, I wouldn't say my boss hates bullion as we do make money from it but it requires work for sure. We advertise that we buy gold and it gets crazy.
He weathered the storm in 1980 so if it keeps going up like it did today we'll survive. It will get CRAZY but we'll survive as a shop.
As for YOU Spock. We've known one another via forums for a few years now and I have to say your last post was one of the best I've seen my friend.
You made some really good points the main one being we are NOT a Heritage, a Lyn Knight etc. The boss runs a successful shop for sure. He's made a lot of contacts in 42 years. I've made a few as well via forums and shows. I know a few people he doesn't and he knows A LOT of people I don't.
There have been some pretty "big dogs" in our shop over the years. Both Lyn Knight and the late Dean Oakes have visited and purchased in the past.
I digress though as the big dogs have big organizations with a big payroll. Call Lyn Knight for a website question and they have several people involved. Call us and you talk to Scott.
Call us for a question on small sized paper money and the boss says "maybe Clembo will know" and hands me the phone.
Bottom line is we deal with a lot of "walk ins" and occasionally really score. The "big dogs" only want the high end and DO have to make better margins to survive.
Just one point I will make on Spocks post to clear things up a bit. I actually DO know the buy and sell on things I discuss. I actually see what he buys for (if I don't do it myself) and know what he sells for (if I don't do it myself). I'm not heavy into the scrap gold or bullion because he likes to handle that.
At times Scott and I have to do this when he's not there. THEN we have guidelines set by the boss. I try to stay away from that end as much as possible.
Finally Viper had this to say.
"Great post on mark ups and margins. I think a lot of people forget that coin "dealers" are retailers. The must make money to stay in business. coin dealers are providing a service and need to be paid for their efforts."
Simplicity itself. It's how we go about it that gets confusing.
I'll keep posting guys. Got a few up my sleeve right now and always welcome ANY response. That IS why I post after all. |
|
tsk tsk Clembo you still dont know King Spock only the genie knows and he sure went funny after i sent him the royal seal
|
I believe in happy endings, if you are not happy the end is yet to come |
|
treashunt
Global Manager
member is offline
Joined: Feb 2008
Gender: Male
Posts: 1,496
| | Re: The Life & Times of Clembo At the Shop
« Reply #100 on Nov 4, 2009, 7:29am » | |
[quote author=spock1k board=uscointalk thread=5194 post=22947 time=1257336854
tsk tsk Clembo you still dont know King Spock only the genie knows and he sure went funny after i sent him the royal seal [/quote]
seal?
I don't like fish.
|
"Buy the book before the coin."
|
|
vipergts2
Open
member is offline
Joined: Jun 2009
Gender: Male
Posts: 337
| |
1863cwt
member is offline
![[avatar]](http://i917.photobucket.com/albums/ad20/1863cwt/Scent-artwork.jpg)
Joined: Jul 2009
Gender: Male
Posts: 94
| | Re: The Life & Times of Clembo At the Shop
« Reply #102 on Nov 4, 2009, 8:27am » | |
Clembo, sure you can use our joke at the shop! Maybe even make a sign. Then when people say that you don't pay enough, just point to the sign!
| |
|
treashunt
Global Manager
member is offline
Joined: Feb 2008
Gender: Male
Posts: 1,496
| | Re: The Life & Times of Clembo At the Shop
« Reply #103 on Nov 4, 2009, 8:32am » | |
I knopw a dealer who has a sign in his showcase:
'Prices subject to change, depending on the customer's attitude.'
|
"Buy the book before the coin."
|
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #104 on Nov 4, 2009, 8:43am » | |
Nov 4, 2009, 7:29am, treashunt wrote:[quote author=spock1k board=uscointalk thread=5194 post=22947 time=1257336854
tsk tsk Clembo you still dont know King Spock only the genie knows and he sure went funny after i sent him the royal seal |
|
seal?
I don't like fish.
[/quote]
i rest my case 
|
I believe in happy endings, if you are not happy the end is yet to come |
|
guy
Open
member is offline
Joined: Mar 2009
Gender: Male
Posts: 105
Location: CA
| | Re: The Life & Times of Clembo At the Shop
« Reply #105 on Nov 4, 2009, 9:53am » | |
Excellent post, Clembo! Your rule about always buy something is one I've always followed as well. I never go into a shop and not buy at least something, as I feel it's wrong, unless of course the employees are downright rude and miserable right off the bat. If they know you're there to buy, even if it's not a giant purchase, they treat you pretty well, I've noticed.
Guy~
| |
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #106 on Nov 4, 2009, 10:20am » | |
ah another one that i must lure to my shop.
|
I believe in happy endings, if you are not happy the end is yet to come |
|
guy
Open
member is offline
Joined: Mar 2009
Gender: Male
Posts: 105
Location: CA
| | Re: The Life & Times of Clembo At the Shop
« Reply #107 on Nov 4, 2009, 10:31am » | |
Spock, you buy the plane ticket and I'll visit the shop...and spend at least $5
Guy~
| |
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #108 on Nov 4, 2009, 10:52am » | |
here i got a better idea
click on this link and you will fly into the shop first class
http://shop.ebay.com/indiararecoins/m.ht....=&_trksid=p4340
dont forget to spend the $5 while you are there 
|
I believe in happy endings, if you are not happy the end is yet to come |
|
guy
Open
member is offline
Joined: Mar 2009
Gender: Male
Posts: 105
Location: CA
| | Re: The Life & Times of Clembo At the Shop
« Reply #109 on Nov 4, 2009, 10:55am » | |
I don't know anything about Indian coins. Got anything from the colonial times there?
Guy~
| |
|
vipergts2
Open
member is offline
Joined: Jun 2009
Gender: Male
Posts: 337
| | Re: The Life & Times of Clembo At the Shop
« Reply #110 on Nov 4, 2009, 11:27am » | |
I too, like to buy something if I visit a shop. Even If I am selling junk silver, I always try and buy something before I leave.
|
Viper
The great Iowa passtime, the IA corn cam!
http://www.iowafarmertoday.com/corn_cam/ |
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #111 on Nov 4, 2009, 11:11pm » | |
Nov 4, 2009, 11:27am, vipergts2 wrote:| I too, like to buy something if I visit a shop. Even If I am selling junk silver, I always try and buy something before I leave. |
|
the link is the same for you too
|
I believe in happy endings, if you are not happy the end is yet to come |
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #112 on Nov 4, 2009, 11:12pm » | |
Nov 4, 2009, 10:55am, guy wrote:I don't know anything about Indian coins. Got anything from the colonial times there?
Guy~ |
|
you should start with a colonial figure on modern coins. the swastika coin will do it for you or the alphonsa.
|
I believe in happy endings, if you are not happy the end is yet to come |
|
clembo
Calendar Manager
member is offline
Joined: Sept 2008
Gender: Male
Posts: 399
| | Re: The Life & Times of Clembo At the Shop
« Reply #113 on Nov 8, 2009, 12:10am » | |
SO HOW DOES A SHOP MAKE MONEY?
Well, I'm glad you asked! Oh, that's right you didn't but here goes anyway.
For starters, as Spock has pointed out, there are different levels of dealers. Therefore, this post deals with what happens where I work.
My boss basically employes three people that know something about coins. Scott and I work at the shop I work in while Paul runs his other shop alone for the most part.
Now between us we have well over 100 years as "collectors" but we sure don't know everything. We have our strong and weak points and we know what they are. A bit of teamwork really helps here when buying for sure.
We also have a lot of other dealers, customers, vest pocket dealers etc. that we can call on. THIS is a strong point for my boss. He KNOWS people.
These factors in mind let's go with the common stuff first.
Markup is generally pretty high BUT sales are not that high. As an example: If we buy a Whitman folder of Jefferson nickels that happens to include a 39-D, 50-D and the War nickels at $5 over face we will basically only make money on the coins I just mentioned.
We'll sell the whole book intact cheap. We'll make more on the keys but not too many people looking for them honestly. Time equals money.
This also goes for most other "modern" sets including Lincoln Cents. What people DON'T realize is that MOST of these books we buy are missing the keys and semi-keys. We have hundreds of such books in stock filled to some capacity.
Let's go with the ever popular wheat cents. We generally pay 2 cents each for them. Why? - because we have over 100,000 of them right now. Are they searched? Not by us but most likely at some point. Nature of the game.
We are running ads in Numismatic News and CoinWorld now for these and getting some orders and repeat orders at $270 a bag. Nice profit but a lot of work.
Should we start running low we will pay more for them. I have sold them to my boss at 4 cents each when he needed them.
Junk silver can be lucrative at times. I pointed this out in an earlier post. People are buying it and in quantities at times. We can really drop the price if they buy enough.
Volume DOES make up for markup, it's quick and it's easy plus it's ALWAYS coming in.
Silver bars and rounds. Yep, some money to made there. Once again I'll refer to a post where we made $20 on a 100 oz bar but it was a "loss leader". At present we're generally $1 over spot per ounce and buying 50 cents to a buck back.
This is right NOW though so not a given. Good spreads today but it changes quickly but for now. 100 ounces in rounds will make us at least $100 bucks for the most part and it's quick and easy.
Silver Eagles is more like $2 as I type but can change REAL fast. We bought enough when it was lower but we now are paying full spot. This has become a trend with Englehard silver as well. People want it so we pay higher and charge more.
Keep this in mind as well. We buy this stuff whether or not we "need" it because we need to stay competetive. If we lowball it hurts our name and we lose potential future buys and sells. This actually applies to everything and can lead to a lot of idle inventory.
Gold bullion. I've discussed this as well. Buy and sell do fluctuate especially in this market. Today was a good day. The boss sold about 7 ounces. One he turned from buy to sell just today. At almost $1100 per ounce he made about $100.
This is not the norm but nice when it happens.
"Junk gold". Yes, we pay well under spot in most cases because it's a much larger risk. Refiners get a cut and prices fluctuate. We probably put out at least $1000 on 14K today and the markets were closed. With luck they'll remain high and we'll have enough to send to the refiners by Tuesday.
If not we'll be sitting on some gold for a while.
Let's move on to slabbed coins by reputable TPGs. People with slabs tend to really know what they want. Usually it's unrealistic but it's people that understand coins.
We check several sources on these including ebay, Heritage and dealer networks before we buy. We're more than happy to show them what they are really going for and offer lower of course. We gotta make money after all.
Key date coins are a real crapshoot. If you EVER intend to sell those to a dealer make sure they are slabbed. Raw draws much less unfortunately and for obvious reasons. A slab by a reputable TPG is legit (in theory) and a lot of buyers are clueless because they haven't done the homework. Give them a number in a piece of plastic and they're happy.
World Coins.
Not our strongpoint and most that we do see is horribly common as is the paper money. Yes, we really tend to lowball on this unless we see something we KNOW is good. Even then if we get half of retail we're happy.
Sometimes it's more but usually less. On rare occasions we hit big.
Requires lots of research and most of it is wasted time.
Now for the surprise money maker:
OTHER DEALERS.
This really points out just how different shops and markets can be.
We belong to a few "Dealer Networks". We pay to be on these but we get a LOT of business from them.
EVERY shop has different customers looking for different stuff after all. Let's say we buy 100 proof Silver Eagles from a guy for $40 each and a dealer puts a feeler out that he needs 200 and is willing to pay $50 each. Boom! they're gone!
We recently sold rolls of silver eagles to a dealer that was assembling roll sets for whatever reason. He was paying MORE than our in store price. We scrambled for rolls to get that shipment out. Quick money with a bit of a shipping effort.
We have the printouts coming off these networks all day and night. The boss spends a lot of time reading them but they pay off believe me. Dealers supplying dealers is a big part of the profit in shops.
I'll add more as I think about it.
Clembo
|
Bona fide coin and paper junkie. |
|
treashunt
Global Manager
member is offline
Joined: Feb 2008
Gender: Male
Posts: 1,496
| | Re: The Life & Times of Clembo At the Shop
« Reply #114 on Nov 8, 2009, 6:58am » | |
Nice, Clembo--
please keep posting.
|
"Buy the book before the coin."
|
|
guy
Open
member is offline
Joined: Mar 2009
Gender: Male
Posts: 105
Location: CA
| | Re: The Life & Times of Clembo At the Shop
« Reply #115 on Nov 8, 2009, 10:44pm » | |
I agree...keep it coming! I'm serious. I think if you put all this into book form with some flow it would sell like a $2 Morgan.
Guy~
| |
|
noodle
Open
member is offline
Joined: Aug 2009
Gender: Male
Posts: 74
| | Re: The Life & Times of Clembo At the Shop
« Reply #116 on Nov 9, 2009, 12:18am » | |
I love this thread, Dan. It is good for people to see the "nuts and bolts" of running a coin shop. Most think it is all just sitting around and swapping stories.
|
And in the end, it's not the years in your life that count. It's the life in your years. - Abraham Lincoln |
|
spock1k
Category Manager
member is offline
King Of Hearts
Joined: May 2009
Posts: 589
| | Re: The Life & Times of Clembo At the Shop
« Reply #117 on Nov 9, 2009, 12:46am » | |
yo clembo
you need to split the bullion posts from the rare coins posts they are 2 different kettle of fish and thats where most people get confused
dealer to dealer is also different from dealer to collector. if you guys did just dealer to collector you would starve. 90% and above the coin business makes money dealer to dealer.
|
I believe in happy endings, if you are not happy the end is yet to come |
|
clembo
Calendar Manager
member is offline
Joined: Sept 2008
Gender: Male
Posts: 399
| | Re: The Life & Times of Clembo At the Shop
« Reply #118 on Nov 9, 2009, 7:35pm » | |
Nov 8, 2009, 10:44pm, guy wrote:I agree...keep it coming! I'm serious. I think if you put all this into book form with some flow it would sell like a $2 Morgan.
Guy~ |
|
I'll make a note of it as I know it's diorganized but it's not like I plan on what I'm going to write about.
I tend to just relate what happens on a day to day basis then share it in 5000 words or less.
Nov 9, 2009, 12:46am, spock1k wrote:yo clembo
you need to split the bullion posts from the rare coins posts they are 2 different kettle of fish and thats where most people get confused
dealer to dealer is also different from dealer to collector. if you guys did just dealer to collector you would starve. 90% and above the coin business makes money dealer to dealer. |
|
Well Spock I post everything here because that is how the shop works and it's all what we deal in.
I wouldn't dream of posting such lengthy posts on most forums but the people here are smart enough to read them and figure it out.
|
Bona fide coin and paper junkie. |
|
jamez
Category Manager
member is offline
![[avatar]](http://i216.photobucket.com/albums/cc105/sir_jamezii/errors/1946dobv2a.jpg)
Joined: Feb 2008
Gender: Male
Posts: 699
| | Re: The Life & Times of Clembo At the Shop
« Reply #119 on Nov 9, 2009, 7:44pm » | |
Dan, I have followed everything up to this point but that dang avatar. LOL.. Good job writing my friend, its a good easy read and does make sense. Especially when you have been on both sides of the counter.
|
" My opinion is worth precisely what you paid for it." |
|
|
![[Search This Thread]](http://s1.images.proboards.com/search2.gif)
![[Send Topic To Friend]](http://s1.images.proboards.com/buttons/sendtopic.gif)
![[Print]](http://s1.images.proboards.com/buttons/print.gif)
Logged