A Basic Guide to Online Auctions

I'm going to start things off by providing a basic primer for those of you who are new to bidding at auction. But before I do, let's answer an even more rudimentary question: why ? What are the advantages to buying things at auction, rather than at a store? What is the point of this whole endeavor, of this blog?

Well, my dearlings, as I see it, there are four primary benefits to buying at auction:

Hirado figures
courtesy of S&S Aucton, Inc.

1. Deals, Steals and Bargains - Yes, this is it, the number one reason: lower prices, much lower than you'd typically find in any retail store. And here's why: the auction house takes commission for providing a platform for the seller to reach potential buyers (it varies from house to house and is often scaled , but look for commissions between 15-25% of the sale price taken from the seller and 10-25% of the sale price taken from the purchaser). That sounds like a lot, but keep in mind the typical wholesale to retail supply chain mark-up, which can easily become several hundred percent of the initial cost. When compared to that, 20% over the market price is pretty darn dandy--a real steal! If all this is confusing you, my dearlings, maybe it will clarify things if I simply tell you that many, many of the buyers you're bidding against at auction are store owners! Yes, it's true! They don't all jump in their cars every weekend and drive all over the countryside going to little old ladies' yard sales. They just jump online! Because they know that they can buy a piece at auction, polish it up (if necessary) and still have lots of room left over to mark that goodie way up. Case in point: I recently saw an interesting pair of Syrian armchairs for sale at an auction in Philadelphia. They sold for $1,200, $1,440 including auction commission. A couple of months later, I saw the same pair of very distinctive chairs (with a very distinctive fabric on the seat--in other words, it was the same pair, I am certain) with a retail price of $8,200 at Greenwich antique shop on 1st Dibs! Honestly, need I say more? I think I will. This doesn't just apply to pricy 18th century antiques; for all you Mid-century Modernists out there, your collecting category is one of the hottest and thus most egregiously marked-up--you'll see!

Tommi Parzinger chest
 courtesy of Rago Modern Auctions

2. It's Green
We're all more eco-conscious these days, and, no matter how organic that cotton fabric is or what fast-growing bamboo those pants arose from, anything that has to be created and made is utilizing more incremental energy than something that already exists: point, period, end of paragraph.



3. It's Fun!
As if saving money and doing good by those polar bears weren't enough, buying at auction is fun! (After all, who doesn't like a good treasure hunt?) Moreover, I'll show you ways to make your searches more efficient, so you don't regard this pastime as another internet time sink (are you hearing me, Farmville fans? Oh wait, I need to go harvest my potatoes...).

4. C'est Chic
How do you turn a house into a home? A rental into something more than white walls, parquet flooring and bedbugs (um, sorry, fellow New Yorkers, I couldn't resist)? By having interesting, unique and colorful objets and collections. And the most cost effective way to assemble the unusual is to frequent auctions. But don't take my word, let's go to the experts. Rare is the decorator's tome that does not discuss an addiction to auctions and a penchant for collections. (To wit: Michael Smith, Bunny Williams). For inspiration, see below...

An assemblage of designer Michael Smith's extensive blue and white collection,
courtesy of Elle Decor.

Elle Decor shows how an eclectic assortment of photos and paintings,
both of which are great things to pick up at auction, can look timelessly chic.

A collection of white ironstone in a room designed by
Mary McDonald, above, and part of the designer's own blanc de Chine collection, below.

Suzanne Rheinstein's interiors often feature collections
of beautiful antique embroideries and silk work, which can
frequently be found at auction.

And finally, nowhere are Bunny Williams' collecting impulses better displayed than in her own homes,
such as the living room of her New York apartment. Auction houses are the perfect place to pick up objets such as the ones pictured