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How does a wholesaler make money in this market.
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<p>[QUOTE="Derek2200, post: 3904548, member: 106755"]Wholesalers depend on a high volume low markup operation where they have a fixed table fee and expenses they can easily overcome. They would not make it on eBay where it can take about a 30 pct margin / 43 pct markup over cost.</p><p><br /></p><p>A shop owner where it walks in at 50-60 pct of bid could sell at bid plus 5 -10 pct at show and some wholesale on stuff bought right (below bid). Plus purchase nice stuff at 70-80 pct bid from walk up traffic (beats what sellers would get from auction house after juice). Nice PQ / scarce material wb at retail about bid plus 30 pct - they pay the money or don’t get the coin. It takes big money run that kind of operation. They may also purchase stuff they pickoff from online auctions below bid then flip at shows. Their online store would be for retail giving them more income plus lots small ticket items marked up 50- 100 pct.</p><p><br /></p><p>Jake in coin club says “I might bid on 50 items in xy auctions put in bid no more than 80 pct of bid after juice. Sometimes win a lot sometimes not. Cac and really choice items will mark with low bid early on then come back in final seconds try beat them get at my price sometimes score big time. Towards end of auction items the other bidders may be out of money then I clean up on some of those too. The really nice stuff sell at retail only had some those sell within a week or so.”</p><p><br /></p><p><br /></p><p>Drops in PM or bid can be bad news.[/QUOTE]</p><p><br /></p>
[QUOTE="Derek2200, post: 3904548, member: 106755"]Wholesalers depend on a high volume low markup operation where they have a fixed table fee and expenses they can easily overcome. They would not make it on eBay where it can take about a 30 pct margin / 43 pct markup over cost. A shop owner where it walks in at 50-60 pct of bid could sell at bid plus 5 -10 pct at show and some wholesale on stuff bought right (below bid). Plus purchase nice stuff at 70-80 pct bid from walk up traffic (beats what sellers would get from auction house after juice). Nice PQ / scarce material wb at retail about bid plus 30 pct - they pay the money or don’t get the coin. It takes big money run that kind of operation. They may also purchase stuff they pickoff from online auctions below bid then flip at shows. Their online store would be for retail giving them more income plus lots small ticket items marked up 50- 100 pct. Jake in coin club says “I might bid on 50 items in xy auctions put in bid no more than 80 pct of bid after juice. Sometimes win a lot sometimes not. Cac and really choice items will mark with low bid early on then come back in final seconds try beat them get at my price sometimes score big time. Towards end of auction items the other bidders may be out of money then I clean up on some of those too. The really nice stuff sell at retail only had some those sell within a week or so.” Drops in PM or bid can be bad news.[/QUOTE]
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How does a wholesaler make money in this market.
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