Makers reputations cover a lot of area.
We were talking about acutions on another forum last week.
One maker said he disliked auctioneers and dealers because they worked in the "discounted" market.
It was pointed out to him as it has been talked about here. That usually when a knife is sold at auction it is the seller who sets the price, not the auctioneer. So as a maker if you are upset with the price, do not get irritated with the auctioneer.
Most makers, understand that once they have sold the knife they no longer have any say as to what happens to it. Obviously no one likes to see the knvies sell for below retail...especially the seller! After all that is the person taking the loss.
Another suggestion I made to this maker was. If you see the knife selling for penny's on the dollar..then buy it, clean it up and re-sell it. If it is a $1,000 knife and you can buy it for $400. You can clean it up (if need be) and sell it to a good customer for $600. That of course is just an example.
As for makers selling their knives directly on Ebay. For new makers this may be a good way to get a lot of free exposure. As the custom market is probably no familiar with the maker and his pricing...yet.
I do agree with the comment about the maker getting their own web site and listing the knives there. The problem is traffic to the web site. For those of us with web sites you know those first 6-12 months can be slow, as far as traffic is concerned.
For me personally, I do not view Ebay as a "main" outlet for knife makers. I go there looking for "bargains" on knives of established makers.
Since makers have no say to what happens to knives (and the prices they sell them for in the aftermarket). I don't think auctions or Ebay hurt a makers reputation .
What I feel is much more damaging, is a maker discounting their knives prior to the sale. Example, Sunday 2PM at any custom knife show across the country. There are always makers who can be found discounting their knives.
Let me preface what I am going to write with this, I have been a full time custom knife dealer for the last 7 1/2 years. I have no other income...no I did not retire from the Army (a common misconseption, people assume once your in the military for awhile...you just stay in till you retire).
So I understand just how difficult it can be to make a living solely by selling custom knives.
That being said, I have always told the makers I work with to never discount their work to retail customers. Even if you didn't sell a single knife at the show.
For several reasons:
1) The person who bought the knife will tell. Even though they swear they won't. They will tell everyone they got a deal on ABC Maker's XYZ knife.
Customers who bought the knife previously at retail price are going to be irritated. They don't care you had a bad show. They dealt with you in good faith and you betrayed that faith. Those who put a fair amount of stock in that "Faith" will more than likely never buy another knife from that maker.
2) If you give a person a discount the first time, they will expect it from then on. So now you will have to deal with that problem.
3) As a dealer if I am working with a maker and I find out they are discounting knives 1 at a time (after I had to make a minimum purchase of 5-10 at a time to get a discount). Once I find this out, I now feel I too can get a discount for one knife at a time. The maker just lost some more sales.
As a maker, you and only you are responsible for the pricing of your knives. If you feel you are going to have to discount some at the end of a show because the prices are a little high. The discount the knives before the show opens.
It is much better to sell several at a "discounted" price during the course of the show, then to lower your prices at the end of the show.
Then you have customers showing the knife off to their friends. Telling them what a great price the knife was. Then hopefully pointing that friend to your table.
You can always go up on prices, but it is very difficult to drop them.
I was once asked by a maker when it was time to raise his prices. My answer was "When all you take home is your table cover".
There is nothing wrong with knives left over at the end of the show. This is paricularly true if you have a web site.
The maker then takes them home and puts them up for sale on the web. Gaining even more exposure for their work.
What it comes down to is that the maker is ultimatley responsible for their business. Smart business decisions will help establish the maker and give them longevity in the custom knife business.
The maker has to keep their part of the bargain with their clients.
Most of us who have been involved with custom knives for awhile know there are makers who's knives are sought after in the aftermarket. There are also those who do not hold their value in the aftermarket.
From a purely business perspective, if I were a knife maker I would look at what makes knives sought after in both the primary and secondary markets. Usually there is a combination of things that create these collectibles.
While its true that it is very difficult to exactly replecate a successful business model. Each of these models has elements that can be utilitzed by the smart business person. To create their own successful model.
As it is with corporate America. It is the persons name that is on the product. Who is responsible for the success or failiure of a company.
