catalouge values

[spud]

Just out of interest, what would be a realistic price for a stamp. By this I mean that cat values are used as a guide price, so for example say scott lists a stamp at £100, what would it's saleable value really be.

[kingfox]

Hi spud,

Scott does never list a stamp with English Pounds.

[spud]

Ok, my mistake, so say $100.

[klange]

There's just no exact way to say - it's all dependent on condition. It could realistically be anywhere from 1% to 100% or more depending on whether it is a space filler or absolutely pristine condition.

I know that doesn't help much, but it's about as accurate an answer as can be given.

Kurt

[AWorldOfStamps]

While Kurt's answer is factual, perhaps I can provide a narrower range for an average stamp that is not damaged. As both a buyer and a seller, I see two realistic values. Basically one is wholesale and one is retail. As a general rule of thumb, my selling price is generally between 35% to 50% of SCV. My buying price is generally between 5% to 20% depending upon my need for the item. To gain some additional insight, you can view closed sales and calculate your own percentage for the stamps that interest you. ..... John

[cocollectibles]

To do what John suggested, use Advanced Search and enter the stamp ID (e.g., Great Britain 33), then choose Closed Listings from the View Listings page. Using that example, I found 95 listings for those penny reds, of which only two of 21 auction items sold in the past 30 days, one being a plate 230 for $3.50; this is listed in Scott at $20 used.

But does that mean $3.50 is the "true" value of that stamp? No! This is the StampWants market value for that stamp, based on one item only, for the past 30 days. The "true" value lies with the collector, and if I were missing that one from my penny red collection, I might pay closer to CV if it was in great condition, with an interesting cancel, etc. but not even $3.50 if it was faulty or a worse copy than one I had.

IMHO, I do not totally agree with the practice of pricing store stamps in very good, MNH condition at anything less than CV; why undercut the market value ahead of time? Let the buyer determine the value by enabling "make an offer" and set a minimum percentage that you would accept for it. That way no stupid offers like 2c for a $300 stamp will be entertained. Better yet, maybe you'll take 20% of CV for that stamp, but get offered 40% instead! If you priced it at 20% to start, you risk losing the potential difference, decrease the "market value" (as closed listing searches reveal), and contribute to a spiral of diminishing returns regarding stamp values. But I think I'm not in the vast majority on this.

[spud]

Thanks for the help guys, this makes it a little clearer.

The reason i've asked this question is because i've had a few things from my collection valued by a auction house, and the valuation came back well below catalouge.

[michael78651]

To do what John suggested, use Advanced Search and enter the stamp ID (e.g., Great Britain 33), then choose Closed Listings from the View Listings page. Using that example, I found 95 listings for those penny reds, of which only two of 21 auction items sold in the past 30 days, one being a plate 230 for $3.50; this is listed in Scott at $20 used.

But does that mean $3.50 is the "true" value of that stamp? No! This is the StampWants market value for that stamp, based on one item only, for the past 30 days. The "true" value lies with the collector, and if I were missing that one from my penny red collection, I might pay closer to CV if it was in great condition, with an interesting cancel, etc. but not even $3.50 if it was faulty or a worse copy than one I had.

IMHO, I do not totally agree with the practice of pricing store stamps in very good, MNH condition at anything less than CV; why undercut the market value ahead of time? Let the buyer determine the value by enabling "make an offer" and set a minimum percentage that you would accept for it. That way no stupid offers like 2c for a $300 stamp will be entertained. Better yet, maybe you'll take 20% of CV for that stamp, but get offered 40% instead! If you priced it at 20% to start, you risk losing the potential difference, decrease the "market value" (as closed listing searches reveal), and contribute to a spiral of diminishing returns regarding stamp values. But I think I'm not in the vast majority on this.

Peter, you hit upon several things here as relates to the stamp marketplace.

Collectors ave had it long established that the catalog values is not the true price of a stamp, even if the catalog states that the stated value is the retail value. This goes back to the old days when catalog values were an approximation and not a retail value. Dealers then began competing with each other by offering varying discounts fromcatalog value. This practice continues to this day. In business there is an expectation that is developed among the customers from this sort of practice whereby the sale price becomes the actual retail price. You are correct that for sellers it is a self-defeating method of selling as the prices can only go down.

This, in turn, has caused a rift betwen collectors and dealers. When it comes time for a collector to sell, the collector expects full catalog value for a stamp, but the dealer can only offer %5 to 20%, because the dealer discounts the sale price so heavily.

Not until collectors recognize that if they want to maximize what they can get from their collections when they sell to a dealer they will have to accept that catalog values are retail prices, and not until dealers end their practice of automatically discounting from catalog value (permanent sale) will this issue be resolved. Yes,that means never, and collectors will continue to grumble that they don't receive the fair value for their collection. Yet, the collector doesn't stop to think that they only paid a mere fraction of the stamps' values in the first palce, so their rate of return is probably actually the same if the collector does not consider the catalog value of the stamps.

People need to quit thinking that the're going to get rich collecting stamps. The act of collecting does not equate with turning one's purchases into profits. That is called investing, not collecting.

[stampsz]

Some dealers do charge full Scott's or above. For example Marlen, Mystic. I have found that if a collector wants something and has hunted for it, will pay asking price. I was at an asda Show in New York a wahile ago and the former owner of Scott(I can't remember his name. he had an office on 57th Street in NY) anyway he had 3 tables filled up with collectors buying and charging sales tax. I only heard 1 collector ask if they could pass on sales tax and was told "no". Certain venues can not get better prices, such as auctions especially online. If you have a reputation and the guts to ask full Scott's, you will find collectors who will pay. Maybe they don't know any better.

[michael78651]

I have paid full catalog and sometimes even over full catalog for a stamp. I don't do it all that often, however, because there are some many that offer stamps for less. The dealers that sell at or above catalog have done so for a long time, and have developed their loyal following. I know of one dealer who offers a credit plan with no interest or membership fees. To mee, sometimes it is worth it to purchase on installment and pay full or almost full catalog interest free. I probably save on the interest that would have been charged to my credit card by the bank as they keep raisng the interest rates, plus this balance is paid off in only a few months.

[oneeaglelover]

The market drives the price. Most low to mid values fall under the aforementioned dealer vs seller vs collector. As the 'rarity' goes up, then you get closer to the catalog value or greater. From what I understand, the catalog values were supposed to be based on historical/previous sales. Now, throw in the mix, the grading mess and you have more of a mess. I pay what I am willing to pay for stamp - if I want it that bad. I do so with knowledge. The 'new and less educated in philately' would be the ones that may pay more than they should but, if they want it, they are willing to pay the cost. Just my 2c

[timk]

The true value of a stamp is what one is willing to pay and what one is willing to sell that stamp for. I find catalouge values distorted and know I can usually find the same stamp at 10%-40 % of catalouge list. The exception is really rare items that bring the value closer to cataloge or over.