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<p>[QUOTE="kaparthy, post: 1518, member: 57463"]GDJMSP said: "So if you are looking for a coin that is very popular with collectors - don't expect to get any really good deals. Those are the coins that a dealer makes his living on. And on these coins his markup % will be higher."</p><p><br /></p><p>And then, again, a coin that moves will have a lower markup than one that does not. With ancients in particular, a 100% markup or a 50% mark down is common because no one coin in that market has the draw or appeal that a common Morgan in an MS 64 slab will have. </p><p><br /></p><p>And coin dealers, not matter how prosperous, are not necessarily rational about business. Each of us does what we do and we fall into patterns and habits that work. I agree that it seems irrational for a dealer to hold on to inventory that cannot move. But, as has been pointed out, coins have long shelf lives, so if this coin does not sell that one will and this one will stay in the safe another five years.</p><p><br /></p><p>Also -- and this is a minor point, 15% above and below CDN is not exactly the right formula. See the comments above. If you mark something up 100%, then you have to mark it down 50% to get back to the original price. If you mark something up 50%, its new price is triple the markup. So, too with the 15% increase or decrease.[/QUOTE]</p><p><br /></p>
[QUOTE="kaparthy, post: 1518, member: 57463"]GDJMSP said: "So if you are looking for a coin that is very popular with collectors - don't expect to get any really good deals. Those are the coins that a dealer makes his living on. And on these coins his markup % will be higher." And then, again, a coin that moves will have a lower markup than one that does not. With ancients in particular, a 100% markup or a 50% mark down is common because no one coin in that market has the draw or appeal that a common Morgan in an MS 64 slab will have. And coin dealers, not matter how prosperous, are not necessarily rational about business. Each of us does what we do and we fall into patterns and habits that work. I agree that it seems irrational for a dealer to hold on to inventory that cannot move. But, as has been pointed out, coins have long shelf lives, so if this coin does not sell that one will and this one will stay in the safe another five years. Also -- and this is a minor point, 15% above and below CDN is not exactly the right formula. See the comments above. If you mark something up 100%, then you have to mark it down 50% to get back to the original price. If you mark something up 50%, its new price is triple the markup. So, too with the 15% increase or decrease.[/QUOTE]
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