Hello everyone from neilsmithcoins

[neilsmithcoins]

Hello, 

I am a dealer who has been in the business for thirty years and has only just found the forum, it looks to have some interesting articles and points from people around the world.

Kind regards,

Neil.

[ChrisSilver]

Hello Neil, welcome to The Silver Forum

[KitboyE17]

Welcome 

[MickD]

Hi and welcome from Edinburgh.

[GrahamDiamond]

Welcome to the Silver Forum Coinster!! Dealer !!

[h103efa]

Hello Neil & welcome

I think we have met before already

[Pete]

Hi Neil,

I just found your website.
Welcome to the forum and as such be prepared for direct questions, praise and / or criticism in future ( some forum members can be pretty brutal if things go wrong ) so let me start with a general question that I haven't asked anyone previously.

I noticed you stock a wide selection of gold proof coins and coin sets.
May I ask how a dealer like you decides your sales price - market research, opportunity, rarity, .. ??

Why I ask this is because we know our popular gold suppliers like HGM and Atkinsons operate on low margins buying & selling bullion coins ( in the door, out the door and don't touch the sides !! ).
However when proofs come up, and now I include BullionbyPost, the margins can be eye-watering.
After asking BbP to quote me for buying a special FDC proof gold coin, boxed and certificated with very low mintage, I was shocked to learn that they only paid bullion prices.

I would like to believe that a dealer decides on a business margin, sets a target sales price and thereby is willing to pay a higher price for a proof or proof set.
Is this the case ?
Hopefully that would mean a dealer would consider paying a fair price for say a Britannia or Sovereign proof set rather than just 98% of spot, especially if intending to sell at up to twice spot. I realise that a dealer might end up having to stock proofs longer than they are comfortable with, especially with the fluctuations in metal price but if people could 'generally' buy proofs at say 15-20% over spot then maybe a dealer would buy at 5-10% over spot. Just a thought.

I am curious for a dealer's views ( brave to join this forum - 😀 ) since I might at some stage wish to unload some proofs and proof sets.

 

[Agpanda]

Hi from Sweden

[Piggybank]

Hi and welcome to the silver forum

[greendragon]

hi .and welcome

[neilsmithcoins]

2 hours ago, Pete said:

Hi Neil,

I just found your website.
Welcome to the forum and as such be prepared for direct questions, praise and / or criticism in future ( some forum members can be pretty brutal if things go wrong ) so let me start with a general question that I haven't asked anyone previously.

I noticed you stock a wide selection of gold proof coins and coin sets.
May I ask how a dealer like you decides your sales price - market research, opportunity, rarity, .. ??

Why I ask this is because we know our popular gold suppliers like HGM and Atkinsons operate on low margins buying & selling bullion coins ( in the door, out the door and don't touch the sides !! ).
However when proofs come up, and now I include BullionbyPost, the margins can be eye-watering.
After asking BbP to quote me for buying a special FDC proof gold coin, boxed and certificated with very low mintage, I was shocked to learn that they only paid bullion prices.

I would like to believe that a dealer decides on a business margin, sets a target sales price and thereby is willing to pay a higher price for a proof or proof set.
Is this the case ?
Hopefully that would mean a dealer would consider paying a fair price for say a Britannia or Sovereign proof set rather than just 98% of spot, especially if intending to sell at up to twice spot. I realise that a dealer might end up having to stock proofs longer than they are comfortable with, especially with the fluctuations in metal price but if people could 'generally' buy proofs at say 15-20% over spot then maybe a dealer would buy at 5-10% over spot. Just a thought.

I am curious for a dealer's views ( brave to join this forum - 😀 ) since I might at some stage wish to unload some proofs and proof sets.

 

Hello Pete,

Firstly, thank you for the welcome to the forum.

In answer to your questions, generally I think it is by supply and demand and of course rarity. If all coin dealers are after a particular dated proof sovereign the majority will pay a lot higher price and work on a smaller margin if for example they can sell it that afternoon. If it is a date that they have a stack of,and are not selling at that time,the price that they offer will leave a lot  bigger margin.

As a dealer I always prefer people to tell me what they want for an item, so I can decide, if I have a load in stock but can still turn it over to a fellow dealer at a small profit I will still buy it.

Some times for example at this time of year some dealers may have just paid out a lot of money in stocking up on 2019 gold sovereign series as we have just done, if the same dealer has bought another high value collection around the same time they might be running lower than normal on funds and not bid so high. Different dealers work on different margins, some have shops and staff and all the accompanying expenses to pay for, before they take home a wage for example so would probably need a larger margin.

This is my opinion on your question I hope it helps.

Best regards,

Neil.

[neilsmithcoins]

3 hours ago, h103efa said:

Hello Neil & welcome

I think we have met before already

Hello,

Thank you for the welcome, am I correct in thinking that we maybe did some business earlier today. Apologies if I have got the wrong person.

Best regards,

Neil.

[caloundracats]

Hello and welcome  Neil.

[h103efa]

1 hour ago, neilsmithcoins said:

Hello,

Thank you for the welcome, am I correct in thinking that we maybe did some business earlier today. Apologies if I have got the wrong person.

Best regards,

Neil.

Yes we did Neil, cheers for that! 

[MancunianStacker]

Welcomes!!!

[CadmiumGreen]

@neilsmithcoins, Welcome aboard The Silver Forum!

[dicker]

Welcome aboard!

The forum is great with people with knowledge and integrity. 

Enjoy

best

dicker

[BleyerBullion]

Hello and welcome to the forum @neilsmithcoins