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 Tuesday, November 27, 2007
Cost-vs.-Value equation getting harder to balance
Posted by tuff
If you were to think of players who have a consistent record of driving sales in the baseball card market over the past 10 years, Derek Jeter would be one of the first names that would come to mind. A popular player on the most widely followed team in baseball, Jeter has a large collector following in the hobby. A card featuring a game-used uniform swatch of Jeter sounds like a card that would make any collector happy. Just imagine what something like that might be worth. Well, just to see what something like that might be worth, I logged onto eBay and looked up some recent results. Surely, I’d find some $500 and $600 sales. Actually, I found one for six and a quarter. That’s $6.25, not $625. Wow, someone got quite the deal there. Guess I missed the boat. But upon closer look, there were several examples of Jeter game-used jersey and bat cards that sold for $10 or less. And he’s not alone. Albert Pujols jersey cards could also be found for $5 or less. Manny Ramirez game-used jersey cards for $2? Granted, there are some examples of game-used cards from these players that sold for much more than pocket change, but the fact some could be found at bargain prices really screws up the average value for any cards of these players, let alone those players who aren't nearly as well known. The point of all of this is that card companies are receiving some criticism for not putting enough perceived value in their new card products, particularly the high-end releases. The theory goes that if someone spends $100 on a pack of cards, they should be able to find at least $101 worth of stuff in that pack. To meet that goal, card companies have to find new ways to create cards with the most potential value for those products. That usually means cut signature cards of deceased Hall of Famers, rare 1-of-1 cards and game-used items from today’s biggest starts. But how does a card company have any chance of meeting a customer’s expectations when game-used cards from today’s hottest stars can be found for a fraction of what some of those packs cost to begin with? The card companies are caught in the middle of a cost vs. value equation that is making it harder for them to make the majority of customers happy. It isn’t getting any cheaper to buy game-used items and autographs from the likes of Jeter, Pujols, Ramirez or any of the other top names in the sports world. But for every game-used or autographed card produced of those players, the supply in the marketplace increases. The more common it becomes, the less it’s worth. As more cards from that given player reaches the secondary market, values diminish. Now when "Card Company A" tries to develop a content plan for its next card release, it becomes harder to find the recipe for content that will satisfy that “give us something worth more than we paid for it” command put forth by collectors. Some will argue the card companies have painted themselves into this corner, but collectors are as much to blame. Collectors long ago put a higher emphasis on buying products that offered the better chance of a limited-edition insert card because those products offered the best bet to pull a card with resale value. Card companies have catered to those buyers because of simple math – namely, there’s a lot fewer expenses involved in producing a single pack that can be sold for $100 than producing 50 packs that can be sold for $2 each. But if card companies are going to continue to cater to the higher-end collectors, they’re going to have to find new ways to motivate them to make a purchase. Memorabilia and autograph cards are still the most popular items found within packs, but it’s getting harder to create cards that are all that different from anything that's been on the market before.
Tuesday, November 27, 2007 10:19:12 PM (GMT Standard Time, UTC+00:00)
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 Wednesday, November 14, 2007
Signs of life at Global
Posted by tuff
Global Authentication's website is operating on a limited basis and features a statement detailing the company's new location, at an address very close to the location it was evicted from a little more than a week ago. The company says it is "operational and processing orders." This is good news for everyone who had submitted items to the company and had become anxious over the whereabouts of their products. A new phone number has not been posted as of yet, but could be available by later today.
Wednesday, November 14, 2007 4:03:36 PM (GMT Standard Time, UTC+00:00)
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 Thursday, November 08, 2007
Global gets a failing grade for communication
Posted by tuff
Customers who have spent the past few weeks waiting for cards, unopened packs and other items to be returned by Global Authentication are growing more nervous by the hour as the company has disappeared from its offices in San Clemente, Calif. When phones are disconnected, websites shut down and eviction notices posted, it's cause for concern. How has the company responded to these concerns? By making absolutely zero public comments updating customers on the status of their items or when a resolution of the situation can be expected. The longer the company remains silent on the topic, the worse the situation becomes -- not just in terms of the anxiety it creates among customers but in terms of the damage to the company's reputation. Despite its claim that the downtime is the result of a relocation, all other evidence suggests something of a more serious financial crisis exists. The people who have property sitting in Global's possession have a right to know if it's secure and when they can expect it to be returned. Unfortunately, the company hasn't recognized its responsibility to convey that message. UPDATE: Global VP Steve Sipe told Beckett.com Thursday afternoon that all items submitted to the company were "safe in a secure location." He said the company is still looking for a new office location, which is why there is still no phone or website service for the company. For the sake of collectors affected by this situation, we hope that Sipe is correct. But this is another example of how the company has failed Public Relations 101. Having the company president make a statement that would be consistent to as many hobby media outlets as possible is the way to best guarantee all of Global's customers are notified and project an image of the person in command being on top of the situation. Having a VP contact one outlet, and then not address the inconsistencies of his statements from earlier in the week, makes it harder for consumers to be certain they're being fed accurate information.
Thursday, November 08, 2007 9:48:41 PM (GMT Standard Time, UTC+00:00)
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NBA Makeover: Hobby Store Edition
Posted by tuff
Earlier this year, the NBA sponsored a promotion for hobby stores in which the shop that collected the most wrappers from packs of basketball cards would win a store makeover. The makeover itself would be engineered by designer Michael Moloney, a name you might recognize if you ever watch the ABC series "Extreme Makeover: Home Edition."The winning store was SMP Sportscards in Grapevine, Texas. In August, the store underwent its transformation. The owner of the store, Scott Pierce, was not allowed in the store for a week while Moloney and a crew of about a dozen people moved out the inventory, remodeled the store and gave it a whole new look. The NBA has put together a quick video recap of the process. Since there's no narration, here's what you'll see on the video: It begins with some "before" photos of the store, then you'll see Moloney working in the store after its been gutted. Most of the second half of the video is shot when Pierce returns to the store for the first time and takes a tour with Moloney, some of Pierce's family and friends, and former NBA great Spud Webb, who attended the event and signed autographs for Pierce's customers. Needless to say, everyone was impressed by the final results. To see the video, click here.
Thursday, November 08, 2007 2:52:15 PM (GMT Standard Time, UTC+00:00)
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 Tuesday, November 06, 2007
ESPN tours Upper Deck
Posted by tuff
If you want to get a look at how Upper Deck makes its trading cards, check out ESPN's "E:60" program that debuts Nov. 6 at 7 p.m. Eastern time. Bill Simmons of ESPN Magazine hosts a segment of the program in which he takes a tour of Upper Deck. The show re-airs periodically during the week. Upper Deck spokesman Don Wiliams said during his time at the UD offices, Simmons “wrote text for cards, picked photos, talked sports, ripped packs and had an all-around great time.” Williams said the segments will likely be posted on Simmons’ “Sports Guy” page on ESPN’s website.
Tuesday, November 06, 2007 3:19:25 PM (GMT Standard Time, UTC+00:00)
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 Thursday, November 01, 2007
Favre's TD record likely to be forgotten
Posted by tuff
As a lifelong fan of the Green Bay Packers, I know that I’ll never forget watching Brett Favre throw that touchdown pass to Greg Jennings against the Minnesota Vikings to break Dan Marino’s all-time record for career touchdown passes. It was the latest in a long list of memorable moments from Favre’s tremendous career. What I probably won’t remember after a few years is just how many touchdown passes it took to break that record – 420-something, wasn’t it? Most NFL fans knew Marino had the career record for TD passes before Favre, and most people will know that Favre holds the record until someone else gets on the doorstep of breaking it. Do you remember who held the record before Marino? Don’t feel bad if you’re stammering trying to spit out Fran Tarkenton. That’s the simple nature of NFL records. The longest hitting streak in baseball history? Everybody knows Joe DiMaggio hit in 56 straight. Hank Aaron eclipsed Babe Ruth’s all-time home-run record 33 years ago, and yet most fans remember Ruth’s mark stood at 714 and Aaron eventually reached 755. Baseball’s all-time hit leader? Pete Rose. The last person to hit .400 in a season? Ted Williams, of course. Most RBIs in a season? That would be Hack Wilson’s 191 in 1930. Baseball’s most amazing statistics are practically burned into the minds of even casual baseball fans. Even if you don’t know them, get a small group of baseball fans together, and they can probably quote most of them without a record book in sight. Football’s most amazing statistics are just as amazing, but far less easy to memorize. The NFL’s all-time rushing leader? Emmitt Smith, even though his mark of 18,355 yards doesn’t exactly roll off the tongue. Most career touchdowns? It probably took you a minute or two before you remembered Jerry Rice’s name, let alone the fact he racked up 208. Considering how popular football is in this country, it’s somewhat surprising that some of the game’s most impressive statistical accomplishments aren’t as well known as they are in baseball. That might also explain, to some extent, why baseball has a larger collector base than football. Baseball is a game that has been measured by statistical accomplishments for decades, and a player’s stature in the game is measured more by his numbers than anything else. I know Favre’s achievements will be remembered by fans, especially Packers fans, for many years to come – even if his exact numbers might not be.
Thursday, November 01, 2007 1:26:59 PM (GMT Standard Time, UTC+00:00)
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