!00 % Mark-up

Discussion in 'Coin Chat' started by Mojavedave, Apr 12, 2012.

  1. Mojavedave

    Mojavedave Senior Member

    Rick, I sometimes have a hard time explaining what I mean. My thoughts were that young collectors of today don't have a lot of money to "throw away or burn". Rather than spend their money on high priced coins, they have other priorities to concider.
     
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  3. rodeoclown

    rodeoclown Dodging Bulls

    Also, just browse the ASE Proof's on eBay, most are going for $50 or more. The value of these sticks around the original price you paid and possibly more. Proof's are always gonna demand a little more over their bullion/uncirculated counterparts that can sell for melt price +.
     
  4. rodeoclown

    rodeoclown Dodging Bulls

    Like their fancy overpriced iPods or iPads, which lose their value immediately once used and is virtually worthless when the next model comes out in a year. ;)
     
  5. jterry85

    jterry85 New Member

    I'm gonna have to agree with rodeoclown, I work with 18-22 year old kids and I don't think the issue is so much the prohibitive cost but

    A) saving up for a Proof ASE doesn't coincide with the instant gratification kids I encounter on a daily basis

    B) A Proof ASE doesn't provide the stimulus or entertainment that a computer or gaming system and their games can provide so it is not seen as worthwhile.

    I know that there ARE exceptions to this, I am just speaking on the 18-22 year old kids that I work with and meet and hear about from my wife the High School Teacher. I have found though that when I tell them about how they can find valuable error coins in their pocket change I can catch them looking through it when they think I don't see them.

    Joe
     
  6. beef1020

    beef1020 Junior Member

    I am not sure it has ever been much different for 18-22 year olds, I think the big change has been a general shift to a consumption based mentality in society at large. If you asked people what is more expensive, a $30 lamp from target or a $1000 Tiffany lamp almost everyone says the Tiffany. In reality, you will replace the target lamp in 2 years and be out $30 but you could have sold the Tiffany in 2 years and probably make money.

    Not to put too fine a point on it, but it was not until around 30 that I finally realized the value of purchasing expensive things, it's counter intuitive. But once I re-discovered coin collecting as a hobby, I fell back in love for that very reason. Here is a hobby that I get a tremendous amount of happiness out of which could end up costing me nothing in the long run.
     
  7. medoraman

    medoraman Supporter! Supporter

    Very true.

    To the OP, I know its common to compare things versus melt in this hobby, but a proof coin has a lot of extra expenses associated with it. If its not worth $30 extra for the coin above and beyond PM value, don't buy it. I bet you, though, if silver went to $100 an ounce the mints price would probably be around $130, and if silver were $1 an ounce their price would be $31. They are simply charging roughly $30 to make a proof, so any relation to PM value is simply an accident.

    Again, I am not disagreeing in the least that its fairly steep, especially considering what usually happens in the aftermarket. The only thing I have ever bought direct from the mint was the 25th anniversary sets. The reason I bought them was due to the nice people here letting me know it was a good deal. TY all btw. :)
     
  8. Mojavedave

    Mojavedave Senior Member

    Ha ! Ha ! Rick, I certainly have to agree on that. :yes:
     
  9. Mojavedave

    Mojavedave Senior Member

    So at todays prices at 32.50 +$ 30.00 = $62.50, you feel that we are getting a deal at $ 65.00. Since you say you don't buy direct from the mint, It would be interesting to know where you buy ASE's and why. Maybe at a cheaper rate ???

    Dave
     
  10. medoraman

    medoraman Supporter! Supporter

    Sorry to say, I don't buy ASE's. Any US mint product I may want I buy on the aftermarket, and the last ASE I bought was a roll of them back when they introduced them. I have a few others, but have just gotten them in junk lots.

    I never said they were a deal sir, I was just trying to make the point its about $30 fee for the proof regardless of PM value, so trying to analyze costs versus PM value is pretty meaningless.

    That's all.

    Chris
     
  11. green18

    green18 Unknown member Sweet on Commemorative Coins Supporter

    Nah, heck. Chris is just an 'ancient guy' making a 'foray' here and there into the realm of moderns. I do believe we can 'turn' this gentleman to the 'modern side' but it ain't gonna be easy.......:)


    Always love his 'take' on things........
     
  12. medoraman

    medoraman Supporter! Supporter

    :) Never take me away from ancients. I used to be a SL and CB half collector pretty serious, and collected most other US series. The only moderns I really collect have been 2011 dated items for my son born last September.

    "knowledgable amateur" who happens to own a ton of coin books maybe the best description of me.

    Btw, I like your takes as well Green.
     
  13. green18

    green18 Unknown member Sweet on Commemorative Coins Supporter

    You are way too modest my friend and I think, maybe, that we just may be able to 'turn' you through the auspices of your son. :) You are a most knowledgeable and valuable asset to this forum......:)
     
  14. rodeoclown

    rodeoclown Dodging Bulls

    Now, if they can somehow manage to get the Angry Birds app on the ASE preloaded, I'm willing to bet the sales would skyrocket for kids aged 13-22. :thumb:
     
  15. Kasia

    Kasia Got my learning hat on

    Nobody should pay MSRP on a vehicle. You might as well take ten thou in cash and mix it in with some composting waste and let it decompose outside. To get a good idea of the value of a car one can go to the blue book and find the resale price of a vehicle once it's "driven off the lot". Minus that from MSRP and you will get the profit the dealer wants. Toyota is riding on hype right now and comparing their MSRP as a good value vs aftermarket prices on parts and materials to construct your own is garbage.
     
  16. rodeoclown

    rodeoclown Dodging Bulls

    I just said MSRP because the prices vary on new cars, depending on how good you deal with salesmen and what you get with the vehicle.

    Dealerships make hardly any money on actual sales of the vehicles, most of their profit is from the Service Departments. Lock in owners, most people go back to the dealership for service. ;)
     
  17. Kasia

    Kasia Got my learning hat on

    I responded because you used MSRP and the analogy that that would be a good deal because separately the price would be like 3 times more, assuming someone would make their own Toyota at home. Whether a dealership rakes in more money with a service department, overselling services and with high priced aftermarket items is really not a topic I want to get into. I realize that the dealers make money on the buyers that don't know better and pay at or near (like within 150.00) MSRP as well as some car companies having a policy of no rebates because their cars are hyped as so wonderful. The fact remains that dealerships make money in the front door, the back door, and in the trade in (taking a car in trade for say 800.00 off the price of the new car, putting it through the shop in a day, and then off to their used/pre-owned lot for say 6500.00 or more dollars). Then they also make money on the extended warrenties, and add-ons. They also get paid by the company in being able to have cars put on their lot by how many they sell at the dealership each month. It is a strange world. They actually may make more money on everything other than the profit they want with MSRP vs what the car actually is worth at the moment it is "sold". I am just not devaluing the profit they make from the sale of the car as insubstantial. They make plenty, much more than they would like the public to believe they made on the car. MSRP is only a value to target what they want to make from their sale.
     
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