Tuesday, August 4, 2015

Comparison: Consignment Stores vs. Consignment Sales

I have a TON of stuff for the upcoming consignment sale, and I was a little overwhelmed at how much work it's going to be to hang, list, and tag everything. So I figured I'd take some things to a local consignment store, where the only work I have to do is make sure that the items are clean and in saleable condition. If I could make a similar return, it seemed like a win-win - especially since I can drop off at the store anytime, whereas the sale only happens twice a year (so I have to store stuff, which can be a pain - right now for example, I have two unusable closets plus a stack of big items in the basement). I ran over there last night to test out my theory.

Well, there is a pretty clear winner! Somewhat to my surprise: the consignment SALES - even factoring in the time it takes to get stuff ready.

I took two bags plus a few bigger items to the consignment store, but they only took seven items and I made a whopping.....$6.

Yeah.

Here's why I think the consignment sales are a better option.

1. The store's website claims that they take all seasons all the time. Turns out, that's not true, at least at my local store, so more than half my stuff they wouldn't even look at - even things like short-sleeved onesies, which, yes, have short sleeves, but are worn in the winter under other clothes. The consignment sale site is extremely clear on what they take and what they don't each season (and they DO take short-sleeved onesies in the winter, since people buy them!), so I know which clothes to ignore until the appropriate season rolls around.

2. The store didn't take any of my larger items - a bathtub, an Ergo insert, and a bottle warmer - even though, again, their website says they take baby equipment "of all types". All my stuff is in great shape and will definitely sell at the consignment sale. The sales person told me they don't take tubs at all, or "electronic equipment" (even though there are tons of electronic toys, so...) and that they don't take baby carriers, even though there was a whole wall of Baby Bjorns (but no Ergos). So...their policy is not clear at all, and the point goes to the sale for clarity.

3. The store has a rule about clothing - infant clothes must be either one piece full clothing (like footy pajamas) or two-piece sets (onesie and pants). They won't take individual pieces like pants or onesies, and they won't pair identical things like two pairs of pants or several onesies. The consignment sale has no such rule, although for little baby clothes, most people match up several like items (three pairs of pants or whatever) to hit the minimum $3 tag rule. Once again, this clothing rule was not listed anywhere on the store's website or on the handout they gave me listing their guidelines.

4. At the store, there's basically one person looking at all my items and deciding whether to buy them. At the sale, there's one person checking to make sure I've followed the rules (minimum $3 price, hung and tagged correctly, no stains or tears, etc) but every shopper is a potential buyer so as long as my stuff is in good shape, I have a way better chance of selling more stuff to more people than to fewer. So far, I've always sold about 75% of the things I bring to a consignment sale (the rest is donated to a non-profit, and I get a receipt for my taxes).

5. Lastly, the pricing at the store is not as favorable as the sales. They claimed to offer me 50% of what they plan to price the item, but I'm not sure this is accurate. For example, I had a pair of boots still in great shape that would have sold for at least $5 at the consignment sale (netting me 60%, or $3), and they gave me $0.90 for them, which indicates they plan to list them at $1.80. But I browsed their shoe bin while I was waiting, and there were no shoes that cheap - the cheapest I saw was $4.50 and a similar boot was for sale at $10. So. I think there's something pretty wonky with their pricing/payment scheme, and I have no control over the pricing and can't prove that they'll price them higher than what they say (I guess I could go back in a few days with my receipt and see what the boots are priced at if they're still there...).

So, my feeling at this point is that sorting and storing stuff for the consignment store is a complete crapshoot - it's a pain to lug everything out there and come home with most of it again. I asked for clarification and wrote down a bunch of notes, but I feel like it's also up to each employee's discretion as to what they'll take and what they won't. Between that and what I feel like are low-ball payments, I don't think it's worth my time to take more stuff to the consignment store. It might be easier to take loads of stuff to the store and then drop off whatever they don't take at a thrift store, and it would certainly get the stuff out of my house faster - but I would be irritated about the payout I received in exchange.

The sales are a lot of work, yes. A TON of work, if I do it all at once. What I've been trying to do this time as my kids outgrow things is to get them into perfect sale condition, keep them sorted by season, hang them as I go, and tag them in small batches when I have a little free time (if I take small enough chunks, I can even do it while the kids are occupying themselves in the same room). My dollar per hour return is almost certainly not even minimum wage - but so far I've managed to make more money selling outgrown clothes than I've spent on the next season's clothes, and that's a pretty good marker as well. It's also something I'm certain I couldn't manage to do at the consignment store, and that's the final answer for me.

3 comments:

  1. Thanks for posting about this. I've had a completely different experience with the consignment store in my area. My store has accepted all of my big ticket items including a co-sleeper, rock & play sleeper and breastfeeding pillow. They also take onesies and t-shirts that aren't paired. It simply depends on how cute the item is. Since you've sold items at a consignment sale before you know prices much better than I do. I took a look at the consignment sale list of prices and tried to guess how much each item would sell for. I then took 55% of the price, (the amount I would receive at our particular sale), and established an estimated end profit. From what I can tell the consignment store is a bit shy of this number. They offer store credit which is probably closer to hitting that 55% mark, but I don't want to buy more stuff and with two boys my oldest will pass on all of his stuff to number two. Perhaps I am pricing my items at less than they may actually sell for at a sale though. I suppose I should go to one, walk around and see how others price their clothes. That would give me a clearer picture. Thanks for posting about this!

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    1. If my store offered credit that was worth more than cash, it might change the whole equation - I was surprised that they didn't. I also think the numbers might change when my kids are older and their clothes are worth a little more. There's just SO MUCH stuff for the youngest ages (especially for girls) that they can afford to be picky.

      I definitely recommend checking out one of the sales - go on half price day, to get the best bargains!

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  2. I think boys items sell for a lot more than girls. Every children's store in my area has racks of girl stuff and only one or two for boys. As a result I'm sure the sheer quantity allows stores to be pickier when it comes to girls clothes. I also agree that older clothes may result in higher prices. There are so many baby items that our consignment sales limit the number of infant items to 30. I'll check out a consignment sale in the fall if I can find the time. Oh and I think the store is paying me closer to 30% of what they intend to sell an item for. The store is very overpriced, but I'm not worried about that I just wanted to earn a rough equivalent of a consignment sale. I believe the prices there would be much more reasonable, but I won't know until I go. I went to one a long time ago on the last day but everything that was left was ratty or overpriced.

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Thanks for commenting!