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Old 02-08-2008, 05:07 PM
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Hey guys,

How does a quarter acution work from the advisors perspective? How do you cover the cost of the items you are auctioning off? Do you have teh items there, or do you still order them? I have been asked to participate in one, but am clueless.

HELP!
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Old 02-08-2008, 05:12 PM
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Kristie,
Thanks for asking about this. I've always wondered what these were & if/how they were effective. Good post! Thank you! Anyone?
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Old 02-08-2008, 06:03 PM
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I have an instruction sheet and such that I can email anyone if you email at [email protected] it's from Michelle Price (do re me & you) ... basically you have reps from different companies and you charge an admission - like a couple bucks.....if people just come the admissions are put in a pot and the reps split - those people that are invited by a certain rep that rep gets the admission. Then each rep has a turn in front - they can give a brief talk and then start their auction - they talk about each product briefly and then whoever wants to bid puts in the appropriate amount of quarters in the pot - like something worth $1 to $10 is one quarter to "bid" something worth $10 to $20 is two quarters etc. Then the rep draws a paddle number from those that wanted a chance...does that make sense? So just because you put a quarter in you aren't buying it for a quarter ..you are getting a chance to win it....with alot of reps who each have maybe 10 things or so hopefully most everyone will win something!
So you may not make money but with admissions and the quarters you should break pretty close to even ....the goal is to have advertisements around town, maybe in penny saver and have reps work together to all get a good crowd and each rep have a display up ...hopefully you'll get people there that you don't know yet that will book from you etc. I know Michelle said when she did it she broke even and got some sales and bookings....

I am REALLY interested in trying it here but didn't know a ton of reps. I know a girl through Leauge that sells Premier that was interested in doing it with me and her hubby owns a restaraunt and said we could do it there which would be great since no fee and people could just buy refreshments from him vs. us having to set all that up.... we just need more reps (preferably no more jewelry) to join us!!! I know Michelle had said that the ones she did they only had one or two of each type of business...like one or two that sell jewelry, one or two that sell home decor, etc. That keeps it interesting and more fun with a big variety!!!
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Old 02-08-2008, 06:12 PM
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So do the reps make enough to cover the costs of the of the products, or is this a gamble where you are willing to loose money in hopes of getting bookings?
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Old 02-08-2008, 07:11 PM
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Quote:
Originally Posted by krispyrice1230
So do the reps make enough to cover the costs of the of the products, or is this a gamble where you are willing to loose money in hopes of getting bookings?
Like I said I have not done this yet but want to and have had it explained to me and have the info sheets..... I guess technically it's a gamble but from what I understand there are ways to ensure you don't loose .....for instance the girls I talked to got in with 6 or 7 other really good reps - everyone was responsible for bringing 10 to 15 paying guests and they all did ...so you'd have those admissions AND from what the others said if you keep your items under the $20 price range most everyone threw in a quarter or two for the drawing...so figure there are like 70 people - you have a $10 item and 50 throw in a quarter that's $12.50 .. a $20 item would be $25...if less people you'd still be OK assumming you are not paying full price...most companies you have a consultant discount... and what I would do/plan to do is buy as many items as I can that are closeouts which are 50% or more discounted....
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Old 02-08-2008, 09:24 PM
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Just to hop in on what Jill's already mentioned, since her information indirectly came from me through Michelle Price... (Jill, it's Shannon)
I've participated in several quarter auctions around my area...and the most recent caution we've had (in the MD area) is to clear your event FIRST with local authorities as several women in our area have been busted and booked with gambling charges. Apparently, there are ways (and I don't know if laws are the same and as nitpicky as the ones we're dealing with) to set up a Quarter Auction that make them not as "illegal," but from the way it sounds as it was explained to me, it doesn't seem to benefit the vendors too much financially that way.

I've done auctions with two different organizers...but they've been quite similar. Each vendor commits to bring 8-10 variably priced items to auction off for certain quarter bids (under $10 is a 1 quarter bid, $10-25 is a 2 quarter bid...and so on...). Obviously, depending on the crowd attracted (one of my organizers required each vendor to "bring" at least 10 guests...then gave back a certain amount of the admission price, the other did not require vendors to bring guests), is your potential for making profit on your items. Basically, I think, you're there to make contacts and sales...which benefits you more in the long run anyway, right?
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Old 02-09-2008, 10:02 AM
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Quote:
Originally Posted by shannonbaby


Just to hop in on what Jill's already mentioned, since her information indirectly came from me through Michelle Price... (Jill, it's Shannon)
I've participated in several quarter auctions around my area...and the most recent caution we've had (in the MD area) is to clear your event FIRST with local authorities as several women in our area have been busted and booked with gambling charges. Apparently, there are ways (and I don't know if laws are the same and as nitpicky as the ones we're dealing with) to set up a Quarter Auction that make them not as "illegal," but from the way it sounds as it was explained to me, it doesn't seem to benefit the vendors too much financially that way.

I've done auctions with two different organizers...but they've been quite similar. Each vendor commits to bring 8-10 variably priced items to auction off for certain quarter bids (under $10 is a 1 quarter bid, $10-25 is a 2 quarter bid...and so on...). Obviously, depending on the crowd attracted (one of my organizers required each vendor to "bring" at least 10 guests...then gave back a certain amount of the admission price, the other did not require vendors to bring guests), is your potential for making profit on your items. Basically, I think, you're there to make contacts and sales...which benefits you more in the long run anyway, right?
Hey Girl - glad to see you on here!! I didn't know that was your info... I have the flyers/info sheets Michelle sent me... basically the one I am working on with my Premier friend is at her hubby's restaraunt in a big back room and no fee there - yeah! and we were looking for like 6 other vendors and about 10 to 15 guests each....that should keep us pretty close to breaking even! I am working on building up new contacts so I can get to VEGAS!! Can't wait to see ya again! We will have a BLAST - like last time! RAH RAH!!
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Old 02-09-2008, 10:44 AM
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That sounds like an interesting concept!
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Old 02-09-2008, 04:13 PM
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Hey Guys,
My name is Christine and I'm in Maryland. I've been doing Quarter Auctions here since 2005. There are even gals here who are doing them in lieu of actually holding parties/shows.

when they first started in Virginia the halls were PACKED. Meaning that the lines where so long we had to turn people away. Now they have become someone of any everyday occurance that the crowds are not as frequent as they used to be. (But we are still doing really well at them.)

When I first started in the Quarter Auctions (we call them manias out here so they aren't associated with gambling events) I was selling a food product. I brought in over $600 my first event. of that $600 about $400 of it was profit. NOW ... that was because of the novelty of the event. It has toned down dramatically and now everyone has toned down dramatically what they are earning (more on that below).

I now sell Cookie Lee jewelry and Home Interiors. The reason I have two businesses is so I can rotate them between the auctions. (There might already be a jewelry vendor at one events, so I then sign up to do HI... there might be a home decorating company i.e., HGP or SLAH or another HI gal, so I then do jewelry)

The key is to get the people in the seats. We are averaging between 70 - 110 people at each event now. Each vendor is responsible for bringing at least 10 people. Since the vendor pays a portion of the hall, they get to keep the hall money ($2 or $3 per paddle). It isn't fair if Sue brings 20 people and Mary only brings 5. Sue should be able to keep that $40 from her guests. If the vendors doesn't bring at least 10 guests on 2 events they aren't invited back. Again isn't fair to the other vendors that Sue is brings 20 people that are going to bid on Mary's (and everyone else's products) , where Mary only brings 5 people that are going bid on everyone's else products. KWIM?

As for realistically making your money back it depends on a couple of things -- 1) what you get your products for and 2) if people are bidding. BUT you do make money in other ways.

For example, a Creative Memories consultant put in products that cost her nearly $200 (her cost... don't ask me why, I don't know what their mark up is. She did all albums, page protectors, paper kits and stickers). She took home in her basket around $150. So she LOST about $50 on her wholesale price. however, 2 weeks later she had a $1200 show so it was worth it.

Bling always goes well. As a jewelry consultant i have a 70-50% mark up, so I can put in about $60 worth of jewelry (my cost; $120-150 retail) and take home around $170 in my bucket, so my profit is about $100.

From a decorating consultant perspective, use sets, fill vases, add chocolate, be creative, your items will sell much better. Wrap things in cello, add fresh fruit, yaddah, yaddah, yaddah. By spending an extra $25 i was able to put an extra $200 in my basket. So my cost of items was around $160ish and I would have about $400 in my basket. So I'm making a profit.

I have a friend that was offering wonderful bedroom, bathroom and spa products. She had a 20% discount, but by the time tax and shipping went into the item she really only had a 5% discount. On a $85 robe, she was lucky if she only made $35 so it really was not worth it to her to keep with that business because she was losing her shirt and people didn't want to place catalog orders because the products were so expensive (but they loved winning them at the quarter auctions).

Now remember this is 3 years in the making. AFter the first 6 months of novelty wore off we were going broke giving our product away for our cost. So we had to step it up a notch. All items are exquisitly wrapped with extra items (like chocolate!) We now offer specials Order tonight and get free shipping, order tonight and get a free beer bread, order tonight and get a free candle, order $100, take 15% off or whatever you want, but have a special for an order that night. Accept checks, credit cards, etc... THAT night and your sales will soar.

PLUS be sure to have about $1200-1500 in quarters for sale that evening and walk around selling the quarters. If people have quarters they will bid. (If each vendor brings $200 in quarters you'll be okay).

These are just lessons from a vendor that has been success at setting up quarter auctions around the Baltimore and Virginia area.

I'm available if you have any questions or want any other information to make your event a success.

To your success....
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Old 02-09-2008, 08:40 PM
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Great Info Christine ....thanks!!!

I can't wait to start doing them here!! Just need more vendors and I'll be all set!!
Gina and Debbie - sent you the files I had ....
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