rfn026

It's getting rough for the auctions. There simply aren't enough good cars to go around. There were a bunch of questionable cars at the Monterey auctions. The prices and the No Sales were proof of this. With Scottsdale coming up the auction houses are worried. They all need cars.

I just got this from Russo and Steele.

"As a special offering to our friends, family, and loyal customers, this year we are offering a $200 early consignment special for reserve vehicles. For a limited time we will also be continuing our zero entry, and 5% commission on no reserve offerings as part of this offer".

Mecum has been doing the $200 deal for a while now. What's interesting is that Russo and Steele is going public. Who's next?

I'm wondering if they're offering these deals in public what are they offering in the back room? Scottsdale should get interesting.

Richard Newton

Brucebodyman

I just consigned a 62 restomod to Barrett Jackson Vegas. They sure weren't in a mood to give a break.

rfn026

Did you talk to Dana as well? You have to play these guys off against each other.

I also just learned from a friend that some of the houses are picking up the expenses for big time buyers. It's the same thing that they do in Vegas. They fly you out in a personal jet and put you up in the Ritz for a few days.

Mecum had a number of no sales in Monterey because there was no money in the room. I don't think he's going to let that happen again. He's a very smart guy.

You need 2 things for a successful auction. Cars and people with money. The houses all work the same list of people who can pay $12 million for a car. The trick is getting them into your auction.

Richard Newton

vettebuyer6369

What was the sales percentage as compared to previous years? The few times I've been to Monterey Mecum there were plenty of no sales then, too.

Frankie the Fink

I'll be attending a small scale classic car auction in Sarasota on Dec 5th/6th. Should be interesting - a small venue but there is some serious money around that area of Florida...

rfn026

I might try to make that one. If you haven't been to the Mecum auction in Kissimmee you should try it. Also, the B-J one in West Palm.

B-J loves to tell you that they are not in the auction business. They create lifestyle events. It works for them. Between the Midway vendor spaces and the cut they get from the hotels they make several million before the first car is sold.

Richard Newton

bluestreak63

Fixed.

SBR

Seriously though, from what I have noticed from well heeled buyers is that they are very competitive. Offer one a car privately and they will put off buying it or low ball the seller. Once that same car goes on the block and they see others expressing interest, they will pay whatever it takes to get it. I have seen this happen so many times its not funny.

GTOguy

I'll have to coat my '61 with 5 gallons of clear spar varnish and see if I can get it to BJ......nothing like blending in with all the other glazed hams! (These auctions are a joke, IMO)

C2Racer

I got that email from John Bemis at R&S too. Never again will I send them one of my cars as I have previously opined on the forum....... They serve a useful purpose for someone other than me.

Steve

Easy Rhino

This.

Lots of big dollar *******, often with trophy wives, can get very competitive when they think that they smell an affront to their manhood.

JohnZ

Dana doesn't run a "class" event like R-M, Bonhams and B-J; his auctions are more like a circus, and don't attract the real deep pockets/big money bidders.

ohiovet

Besides the entry fees, the commissions at both ends (seller, buyer), the $20.00 walk around fees and don't forget their kickback from the transportation guys, the auctioneers are making all the money.
And don't forget the fact that most auction houses state in the contract that they can bid cars up to right below the reserve.
Pretty much BS...

kenba

You are so right & more likely to sell cars that are not what they seem & touted to be.

golfer9491

My Camaro runs right before yours.

rfn026

Dana Mecum is really competing with B-J. They both sell to hobbyists. Bonhams, Gooding and RM sell to the collector.

Dana tried to sell some collector cars in Monterey and had a number of significant no sales. A friend of mine was there and said their was no money in the room.

Overall sales in Monterey were down but that had more to do with the quality of the cars than the money that was available. A lot of shiny junk was offered up and people backed away.

The $1,000,000 plus cars are getting much harder to find. The incentives to consign are getting really good.

Here's an article from the NYT on art auctions and it gets into the whole guarantee situation. While this is a huge auction and it's about art keep in mind that Sotheby's is a big player n the collector car market.

The newest thing is that the auction houses are borrowing ideas from Vegas. In order to sell collector cars you need Whales in the room. I've now met two people who were flown out to CA and had their expenses covered by an auction house. I'm sure this practice is going to get a lot more common.

Scottsdale should be interesting. B-J will be playing and they're huge.B-J always avoids the Monterey scene which is a good decision on their part.

Scottsdale tends to be more of a hobbyist crowd than Monterey so it's going to be Mecum vs. B-J. A steel cage match.

Richard Newton
Monterey Results