What Exactly is Consignment?
If you’re looking for a convenient way to sell your jewelry, try stores that offer consignment. Different kinds of stores offer consignment services (sell jewelry on consignment). This convenient service allows you to buy or sell jewelry. If you have a vintage piece of jewelry, or if you are an artist who plans to sell jewelry, consignment stores make a great option. Consignment is when you entrust a store that deals with jewelry and other precious metal products to showcase your jewelry for selling. Customers can take a look as they browse, and if they wish to buy your jewelry, the jewelry store will sell it on your behalf.
How Does Consignment Work?
When you sell your jewelry on consignment, you will be making a deal with the store allowing them to keep a share of the money from the sale. After deducting the previously discussed percentage, the store transfers the balance to you. Some shops or galleries may have a time limit and agree to display your jewelry only for a specific amount of time. If they cannot sell it by that time, they will return your jewelry to you. You should read the contract carefully before signing it, as the process works differently in different stores. Some jewelers agree to pay you upfront while others will pay after making the sale. Hence it is always better to ask if you have any doubts before drawing up a contract.
Things to Take Care Of:
Clarifying any doubts you may have before going ahead with a jewelry consignment agreement is the best way to start. Some questions that you may need to ask the jeweler are:
- What is the method of exposure provided; will the store advertise it or will it only be displayed?
- It is important to ask the jeweler or the gallery if they plan to change location anytime soon. If they do, what will happen to your consignment and jewelry? There is a risk of losing your jewelry if a store undergoes a move.
- What is the percentage that they will keep from the sale of your jewelry? What happens if they are not able to make the sale?
- Don’t be afraid to check in with the store every now and them on the status of your jewelry.
The consignment rate can vary from one store to another. The most typical consignment percentage is 60/40: 60% of the money from the sale goes to the owner of the jewelry, and 40% goes to the jeweler or gallery. Other consignment percentages that different jewelry consignment stores offer can vary from 80/20 to 50/50.
“Sell Jewelry on Consignment” Benefits
- If you sign an agreement with a reputed jeweler or gallery, your jewelry will get good exposure from the clients who walk in and will benefit from the jeweler, who can interest them intake a closer look at your jewelry.
- You can request better display options with the store to provide maximum exposure.
- The profit margins are better, as professionals are handling the sale of your jewelry.
- For artists, this is one way of getting into the resale jewelry wholesale business and can be a potential for regular income.
- Once you establish a good rapport with the jeweler or gallery, you can consistently showcase your jewelry, which is especially useful for jewelry artists.
- You save time by opting for consignment, as it can take up a lot of your time to sell it yourself.
If you are planning to sell any of your old jewelry, or are an artist and want to sell your jewelry through a reputed store, NYC Bullion can help. We can help you find the right buyer in a short period of time. You can either ship your jewelry to us, drop your queries at [email protected] or call us at (212)-354-5557 to find out more about our consignment services.