Selling wine through BiBO auctions can be an excellent way to access a whole new segment of active buyers within the market.
Through our own analysis we have recognised that the typical buying using a wine auction tends to have a more in depth wine knowledge, are more motivated to try new and interesting wines, and crucially are less concerned with aesthetic issues. So whether you have a blue chip case of Bordeaux, or some loose bottles, a BiBO auction could be just the place to get your sale over the line. This short article will outline the process and key points of interest for prospective sellers.
Contact BiBO for a valuation
Our buying department at BiBO will use our proprietary market software to scan the entire landscape of wine pricing to find the most accurate market price for your wine. A member of our team will guide you through the various avenue for sales, Broking, Cash or Auction. If your wine is more suited to an alternate sales route we will notify you and help you shift your approach. Once the auction has been identified as the most beneficial sales route you will be given the market value, sales price estimates (typically a range e.g £250-300) and a suggested reserve price.
A member of our team will make sure that you understand the commissions associated with selling your wine at auction. Described as the “sellers commission”, this sum is 8% + VAT of the hammer price. This means we want the wines to sell for as much money just like you! There is a charge of £25 per lot, this covers the cost of administration, collection, insurance and storage.
This is a really common question and for good reason. If a reserve price is set, until it is met or close to being met, bidders will see a ‘reserve not met’ message. This notification is highly correlated with lower levels of interaction due to frustration leading to dissipation of bidding activity on that lot. In stark contrast, ‘no reserve’ lots attract both speculative bidders and more serious bidders who are drawn in by the prospect of a good deal. This increased bidding and footfall on the lot tends to drive activity and consequently price higher. Statistically lots without reserves garner 50-75% more bidders and generally sell for 15-25% more than those with reserves. As a result we would encourage all consignees to heed the advice of the statistics but appreciate this is not for everyone. So whichever route you choose, we will happily oblige. Finally, setting a reserve carries a charge of £5.
Once our clients are happy with the values and process we will enact the logistics process. This begins with the collection of the wines by our specialist courier team. They are brought to our Vinotheque facility in Burton-on-Trent where they will be financially audited by HMRC for tax purposes and logged by the LCB group. Our cellar team will then condition report the wines, checking their provenance and that their condition is as stated. Once a clean bill of health has been identified and the bottles photographed, your wines are ready for the auction.
Throughout the process we will store your wines as if they were our own. They will be handled with the utmost care by our own cellar team. The wine will be stored in professional, temperature controlled conditions and insured to replacement value.
When your stock sells successfully through the auction we will update you via an email the next working day after the auction has closed. The payment will be made from BIBO to your bank account of choice 28 days after you are notified.