We continue here with a 4-part series covering the recently released “Auction Industry 2010” research project conducted by the Broad College of Business at Michigan State University. This study was conducted by Dr. Forrest S. Carter, Associate Professor of Marketing and student researchers Marina Batchelor (lead), Kijun Yang, Sarah Andersen and Zoe Cai.
The study is broken into 3 basic parts, with a preface. I will also comment on some of the statistics presented.
Part II of the study concerned the auction business. A total of 1,972 respondents contributed to these statistics.
First, the typical auction business was profiled as such:
A primary auctioneer with 3 or more employees
Conducting a live auction approximately once per week
Generating < $25,000 in gross commissions from 5 different types of auctions
Specializing in estates/personal property/collectibles & antiques
Some other statistics:
Description of Auction BusinessContract Bid Caller13%Contract Bid Caller < 3 employees2%Contract Bid Caller => 3 employees3%Primary auctioneer < 3 employees40%Primary auctioneer => 3 employees42%
Number of Auctions Conducted in 200953 or over23%25-5221%13-2418%7-1215%1-623%
How Auctions ConductedLive78%Live w/ online simulcast bidding15%Online-only6%Other1%
Type of Auction SpecialtyAuction House/Gallery5%Business Liquidations9%Commercial Machinery/Equipment5%Farm Machinery and Equipment8%Estates and Personal Property15%Livestock2%Automobiles5%Art3%Collectibles and Antiques13%Benefit10%Farm/Land Real Estate7%Commercial Real Estate6%Residential Real Estate11%Other2%
Does Business Have WebsiteYes76%No24%
Use of Social Media ToolsYes36%No64%
2009 Gross Commission RevenueLess than $25,00027%$25,000 to $49,99913%$50,000 to $74,9998%$75,000 to $99,9997%$100,000 to $249,99915%$250,000 to $499,99910%$500,000 to $999,9997%$1 Million to $5 Million9%Over $5 Million4%
There was one additional chart, and some other commentary in this section that was undecipherable, and thus omitted.
We will continue with one more article, Part III of the overall study, namely: about auctioneering.
Mike Brandly, Auctioneer, CAI, AARE has been an auctioneer and certified appraiser for over 30 years. His company’s auctions are located at: Mike Brandly, Auctioneer, Keller Williams Auctions and Goodwill Columbus Car Auction. His Facebook page is: www.facebook.com/mbauctioneer. He is Executive Director of The Ohio Auction School.
Comments