Do you consider the term "vest-pocket dealer" to be derogatory?

[James_OldeTowne]

The only time you have problems with VPD's is when they aren't there to buy and sell with the dealers that have tables but instead try to buy and sell with the general public who are coming to see the table dealers. The dealers who have made comments here about how they don't mind a VPD coming to their table and dealing with them, how do you feel if they come up and start offering material to people standing there looking at your stuff?

Most dealers will resent this, but it doesn't bother me at all. In fact, there is a handful of VPDs who know that I don't mind, and they have been able to use that to their advantage in the past. It has led to subsequent "extra-special" discounts for me later!

[Catbert]

.....but I've never heard any sort of negative implications associated with it. That is, unless you call someone a vest pocket dealer who is actually a full time dealer, then they might get mad.

 

That last sentence happened when I ignorantly described Mr. Feld as such before I properly understood the term! Although, I'd say he was rightly irritated, not mad!

[jesbroken]

Not in the least.

[MikeInFL]

"Do you consider the term "vest-pocket dealer" to be derogatory? "

 

Not in the least. To the contrary, some of my very favorite dealers would be considered "vest pocket dealers". To me the attractiveness centers around lower margins -- and when combined with a good eye makes for some very good buying opportunities, IMO.

[DC Dawg]

The only time you have problems with VPD's is when they aren't there to buy and sell with the dealers that have tables but instead try to buy and sell with the general public who are coming to see the table dealers. The dealers who have made comments here about how they don't mind a VPD coming to their table and dealing with them, how do you feel if they come up and start offering material to people standing there looking at your stuff?

What about after a customer leaves a table. If I look at a coin and decide against it, would it be bad if a VPD approaches me as I walk away?

 

Scott

[Houston Investor]

I would not allow a VPD to operate directly in front of my table - ever. I am paying a table fee to set up there, he is not.

 

I have never had one try to approach a customer leaving my table. I have had another dealer (set up at the show) start to try to horn in on a deal where I was negotiating a purchase deal with a walkup seller offering about 25 proof sets from the 1950-s to early 1960's era.. Furious, I told that nosy dealer rather firmly "get the hxxx away from my table." He then left. I acquired the proof sets at a nice price and put them away to evaluate them (slabbing) when I could do so at home uninterrupted. He tried to come back and look at them but I would not show then to him "they are for a customer - get lost." A guy I was sharing the table with, much more experienced with the show circuit than me at that time and sort of a mentor said "I'm proud of you - thats how you handle those bozos." Looking back at some of the nice ones I slabbed from that deal I probably tripled my money once they were all flipped or retailed over the next couple of years. Don't let someone horn in on your deal!

 

 

[Conder101]

Bingo! exactly the point I was trying to make in a very subtle manner. Trying to get people to think about what the problem might be.

 

The table dealers are paying for their tables, sometimes a LOT for their table. To then have some VPD come around and try to buy and sell to the people coming in to see the table dealers is bad. If you let them get away with it then the table dealers start thinking "Why am I paying out all this money so some guy who isn't paying a dime can smooze all the customers?" Pretty soon the dealers stop coming.

 

If a VPD or part-time dealer wants to come in and wheel and deal with the table dealers that's fine, he's the same as any other collector

[Houston Investor]

Yes - the VPD is the same as any other walkup customer. If he has something I can use or would be a buyer of whatever I am flipping at the moment fine; otherwise he probably needs to hit the highway.

 

Over the years I really have not had a problem with vest pocket traders having the gall to conduct business in front of my table (I would run them off) as I believe they know the rules of the bourse well. Like pollinating bees they have their place on the bourse. Example: Dealer A buys some MS 65 morgans from Mullet #1 at 65% of Bid. The vest pocket trader picks up at a few at say 85% (Dealer A scores instant profit) of bid and sells them to Dealer B at 95% of Bid who is happy to get them (he did not have an opportunity to get at Mullet #1). Not long ago I picked up a flip from a VPD at a big show on a deal involving Walkers, Dollars, Commems, and Gold. I am sure it is material the VPD picked up from a buddy of his set up in the bourse room at a good price who probably got a really good rip on the stuff. Its a lot of fun to flip deals you got real cheap and then get an instant payoff. In that regard, I don't mind really mind selling that stuff around sheet! Consequently, if you do the show circuit its of paramount importance to have a good cash position.