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<p>[QUOTE="Jaelus, post: 3870089, member: 46237"]I don't think you would wholesale a popular liquid coin that you could easily retail yourself, unless it's part of a larger deal.</p><p><br /></p><p>I think the problem with what you were saying is that you're assuming all dealers are the same, but think of them each as specialists for different types of material instead. Large shows are an opportunity for stagnant material to move between regions (and sometimes countries) into new markets where they are fresh, and for material to go from unfamiliar generalists to specialists who can get top dollar.</p><p><br /></p><p>I've always considered the following to be a typical scenario. I specialize in x, someone brings me a collection that has some x but a lot of y in it as well that I don't know very well. I buy the entire collection (typical).</p><p><br /></p><p>I have a list of clients that I know I can get top retail prices for the x material, so I sell that. I may even make enough from selling the x material to cover most or even all of the cost of the collection. I bring my y material to a larger show and wholesale it to a dealer that specializes in y. I've now just moved potentially stagnant material that would have taken me tons of research and time to sell, especially as I didn't have the client base for it.</p><p><br /></p><p>I may very well have done the best I could have selling at wholesale, <i>since I didn't have the expertise to sell it for more at retail anyway</i>. Due to the profits on selling the x material, for which I was able to get top retail prices for, I may able to sell the y material for <i>literally any amount</i> and still make money on the transaction for the collection purchase as a whole. The dealer specializing in y material may very well be able to get an additional 20% out of those coins due to his expertise and connections, but I do not. They may even be able to cherrypick some nice varieties or rarities out of the y material that I had no chance of spotting. Everyone is happy.[/QUOTE]</p><p><br /></p>
[QUOTE="Jaelus, post: 3870089, member: 46237"]I don't think you would wholesale a popular liquid coin that you could easily retail yourself, unless it's part of a larger deal. I think the problem with what you were saying is that you're assuming all dealers are the same, but think of them each as specialists for different types of material instead. Large shows are an opportunity for stagnant material to move between regions (and sometimes countries) into new markets where they are fresh, and for material to go from unfamiliar generalists to specialists who can get top dollar. I've always considered the following to be a typical scenario. I specialize in x, someone brings me a collection that has some x but a lot of y in it as well that I don't know very well. I buy the entire collection (typical). I have a list of clients that I know I can get top retail prices for the x material, so I sell that. I may even make enough from selling the x material to cover most or even all of the cost of the collection. I bring my y material to a larger show and wholesale it to a dealer that specializes in y. I've now just moved potentially stagnant material that would have taken me tons of research and time to sell, especially as I didn't have the client base for it. I may very well have done the best I could have selling at wholesale, [I]since I didn't have the expertise to sell it for more at retail anyway[/I]. Due to the profits on selling the x material, for which I was able to get top retail prices for, I may able to sell the y material for [I]literally any amount[/I] and still make money on the transaction for the collection purchase as a whole. The dealer specializing in y material may very well be able to get an additional 20% out of those coins due to his expertise and connections, but I do not. They may even be able to cherrypick some nice varieties or rarities out of the y material that I had no chance of spotting. Everyone is happy.[/QUOTE]
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