When selling your jewelry to a jewelry store, you may be offered a consignment option. Consignment enables the store to actively attempt to sell your jewelry (at an agreed upon price) to their customers on your behalf. Why would a store offer consignment over outright purchase? Below are a few of the most common reasons:
-The store is unable to meet your asking price
-They doubt the saleability of your item
-It is higher value then something which they would normally purchase
If or when the piece sells, they will then provide payment, minus their commission fee. There is no risk on their part, making consignment a very appealing option for jewelry stores. But is it worth it for you?
Most jewelry stores don’t have a standard consignment percentage or fee. Instead, they determine their fees on an individual basis. This is important because it means there is room for negotiating. When consigning a piece of jewelry, don’t just accept their rate, try to get them to lower it. Remember, they have nothing to lose. Would you turn down free, no-risk inventory, even if it meant accepting a slightly reduced commission fee?
Payment can take a day, a year, or more, and there is no guarantee it will ever materialize. It all comes down to the store and their ability to sell your item in a timely manner. Because there is no real pressure on them, they may not feel obligated to push your item over their standard inventory. In fact, they have more incentive to sell their own items first, because they have already invested money into their stock. Other factors which can influence the selling timeframe include the marketability of your jewelry and the competitiveness of their asking price.
This is a tricky question. While the store offering you the consignment option will provide greater value through this method, there is no guarantee you couldn’t get that same price, or more, from another buyer. The only way to know is to shop your item thoroughly before leaving it on consignment.
Ebay is another option to consider. It is a similar concept to consignment, except your item is exposed to a much larger national audience, and their fees are minimal.
You never want to leave something of value with a jewelry store without first researching their background. Factors such as years in business, reputation and size should help you determine whether or not the store is dependable.
All options, including consignment, should be considered when attempting to sell your jewelry for the highest possible amount. Consignment may not be the best option for everyone, but that doesn’t mean that it can’t be the best option for you.