Low estimates

[Trout120-1]

What's the deal with the super low estimates on the Langs auction site ? Is the market really that bad ? Just curious as to what you think. This is across the board including production rods up to the expensive classic rods.

[NewUtahCaneAngler]

Search Lange, there is a lot of info here

[Woodlakejag]

Lang’s does that for some reason; they’ve been doing it for the last few years. I don’t know why they bother, the sales prices reflect knowledgeable buyers who don’t even look at the estimates. At this point there is enough online information for buyers to know ballpark auction estimates for almost any item. Some auction houses are getting away from providing estimates and I understand why.

[KLNC]

Simply put, Lang's estimates are of zero value and really represent nothing. Do the research and bid accordingly--prices will end up about where one would expect. You won't get a Garrison for the Lang's $150 high estimate.

[LakesideAl]

And don't forget...their Buyer's premium will certainly move the needle.

[Woodlakejag]

As will shipping. Every time I need to use a third party shipper it costs me $80. Despite the fact that actual shipping should be $15.

[SpringCreek]

There are two reasons for this in my mind.

1. The lower the estimates, the more likely potential buyers are to watch and bid in hopes of getting a bargain.
2. Consigners prefer to do business with auctioneers that appear to sell merchandise significantly above the price that was expected.

Jim

[Southbranch]

There are two reasons for this in my mind.

1. The lower the estimates, the more likely potential buyers are to watch and bid in hopes of getting a bargain.
2. Consigners prefer to do business with auctioneers that appear to sell merchandise significantly above the price that was expected.

Jim

I agree - create high expectations among potential bidders and low expectations among consigners. This strategy tends to reduce disappointment, at least initially.

[GerardH]

So I watched Day 1 of Lang's auction yesterday and in regards to Hardy reels and the PHY & Summers Midge rods, everything pretty much went market value. The one "deal" would've been two LRH reels that went for $225. That said, I am confused about Lang's bidder terms -- 21% premium added on the successful bid amount? Is this normal for auction houses?

[ibookje]

That’s how they survive

I am confused about Lang's bidder terms -- 21% premium added on the successful bid amount? Is this normal for auction houses?

[GerardH]

That’s how they survive

I am confused about Lang's bidder terms -- 21% premium added on the successful bid amount? Is this normal for auction houses?

I thought maybe they took a percentage of the final hammer bid, not tack another 21% on top of that.

Good to know.

[jeffkn1]

That’s how they survive

I am confused about Lang's bidder terms -- 21% premium added on the successful bid amount? Is this normal for auction houses?

I've been attending auctions for 30 years and a 10-15% buyers' premium has been standard for a long time. With the coming of internet auctions the fees went up another 3% or more, depending on the software platform being used. Lang's has their own (in-house developed) platform. I don't recall reading it anywhere but it's possible their higher rate helps cover overhead like better photography, some of the best staff in the business (people like John Ganung, Jim Schottenham, and Fred Kretchman), topnotch packaging, auctioneer services (Blanchard's Auction Service), and acquisition costs. I haven't spoken with John Ganung in two years but last I knew he was on the road 9 or 10 months of the year picking up consignments and buying collections, many the best in their category. Generally, there's a consignor's fee in most auctions. A house local to me charges 25% to consignors and 15% to buyers, and has for 20 years. I know in some cases Lang's consignor fees are as low as 0%, so they have to get it somewhere.
The bottom line: it is now possible to build a serious collection of any kind of tackle in far less than half the time it once took. So a 21% buyers' premium pays for all that.

[flyrodman]

Jeff, Well said

[bamrod77]

The low estimates are interesting; prior to the auction I mark all items of interest to me. Then when the auction is over I see what the hammer value is plus the premium and happy to go away with no items bought. On the other hand that said, it is probably still less expensive than going to a live auction as in the past. I do miss, however, the comaraderie and visits of like-minded spirits at live auctions. Well stated Jeff.

[GerardH]

Jeff, thank you for the explanation, you clarified that nicely for me.

Cheers!

[GBU31v1]

Lot #______Description_________________Amount__Premium__Total
00609 2 Hardy L.R.H. Lightweight Fly Reels $225.00 $47.25 $272.25

[archt]

I bid in my first Lang's Auction. Normally, I would never bid for anything sight unseen. Lang's estimates are a joke. Being used to antique auctions, where I can preview the goods, I would expect the "estimates" to be a low floor or minimum acceptable price. Lang is totaly out of whack; their estimates are worse than useless. Guess I have to make do with what I already have. I can buy retail at similar prices with some sort of guarantee, not "caveat emptor," the auctioneer's friend.

[wrong66]

Well, I think it's actually a great marketing strategy, as it seems it got you to bid. Lang's sells everything with "no reserve", starting everything at $10, so there is no minimum acceptable price. Strictly what the market will bear.