Buyer's and seller's premiums

MADAM – Bearing in mind that auctioneering can be a university qualification (unlike dealing) and is an occupation that charges for its services, should there not be some form of censure and control over firms that get it so wrong?

Fees charged by auctioneers, from buyer’s premium to condition reports, have been a hot topic in the pages of ATG and on social media recently. One reader contacted us regarding the move by a West Midlands auction house to charge winning bidders who have used the phone the same fee as online buyers.

MADAM – Various of your correspondents over the last few weeks find that the prospect of paying for a condition report, as well as a buyer’s premium, sticks in their craw.

MADAM – You continue to receive letters from dealers complaining about buyer’s premiums.

MADAM – Your new year’s resolutions piece (ATG No 2374) was thought-provoking, citing aspirations and concerns reflecting the current art and antiques market.

MADAM – I write regarding charging for condition reports for lower-value lots.

MADAM – Re: condition report charges at Moore Allen & Innocent for lower-value items.

MADAM – I appreciate I had my turn the other day (Letters, ATG No 2369), but a quick note covering two points if I may.

MADAM – Once again we have an auctioneer defending an increased charge with various excuses given for the necessity (‘Auctioneer to charge for condition reports’, ATG No 2369).

Cotswold auction house Moore Allen & Innocent is trialling a new operation to encourage more people to attend its saleroom.

In a letter to ATG, auctioneer Michael Roberts of PFK Penrith defends auction house commissions saying “the majority of regional firms offer a good service, fairly priced”.

MADAM – I refer to your article regarding the slight wrist-slap the Advertising Standards Authority gave Christie’s about notification of extra fees charged for services rendered (ATG No 2365).

MADAM – I am writing regarding a point made at your recent round table (ATG No 2358) on charging for expertise, regarding how auctioneers need to value the underbidder.

MADAM – I read with great interest your ‘The price is right’ report of the recent ATG round table, debating how to charge for expertise (ATG No 2358). I would like to respond to a question you posed as to whether dealers should have to justify their mark-up.

MADAM – I read with great interest your round table report (ATG No 2358). You asked us to continue the debate, so I write to you to make some observations.

MADAM – In your round table report on charging for expertise (ATG No 2358), you identified topics raised in the discussion and asked us to give our views them. So here goes:

In an increasingly complex marketplace, how should auctioneers and dealers charge for their services?

MADAM – Like David Carter (ATG No 2345) I can remember the time when we auctioneers could make a living with only seller’s commission of 10%.

MADAM – In response to letters on credit card fees and buyer’s premium at auction houses in ATG No 2345, I would argue the assumptions made are misplaced – certainly in the case of how our auction house works.