Mahony Notes Lower Rates as July Sale Closes
Updated: Monday, July 16, 2007 9:31 AM
(edited press release)
Posted: Friday, July 13, 2007 9:28 PM
Tattersalls chairman Edmond Mahony used the end of the company’s July Sale Friday to highlight the higher commission rates charged by rival auction houses.
Tattersalls charges 5% to vendors and no commission to buyers although both Tattersalls’ Irish division and Goffs take 1 1/2% from vendors and 6% from buyers.
Doncaster Bloodstock Sales, which recently merged with Goffs, will also charge the same rates as the two Irish companies when its new sales complex opens next year.
"The recent merger of Goffs and Doncaster Bloodstock Sales has coincided with news that from the beginning of 2008, Tattersalls will be charging a full 50% less for the service we provide than any other firm of bloodstock auctioneers in Britain and Ireland. While we will continue to charge only 5% commission the standard commission elsewhere will be 7.5% and in one case 10%," said Mahony, who is also chairman of Tattersalls Ireland.
"Understandably the nature of the concerns expressed to us has been regarding our intentions while also questioning a 50% rise in commission rates at a time when prize money in Britain is declining, owners' direct costs are rising and the four leading British and Irish bloodstock sales companies achieved record turnover in 2006.
"We respect the fact that any sales company can and should charge as much or as little as it deems appropriate to the market, but we also recognize that these are legitimate concerns for the industry. We can only say that at this stage we remain committed to the same levels of service to which we have always aspired as Europe's leading bloodstock auctioneers while continuing to charge our clients 50% less than elsewhere.
"We will continue to invest seven figure sums in the business on an annual basis, we will continue to commit a minimum of almost £300,000 of our own money to the £2,200,000 Tattersalls Millions and we will not be keeping any surplus raised from owners' entry fees, we will continue to sponsor races in Britain and Ireland from Group 1 level down to point-to-points."
The top priceFriday was just 46,000gns paid -- on behalf of Newmarket International’s Richard Galpin -- by Nick Esler for 3-year-old Great Britain-bred Kat Act Two, by Act One, a half-sister to multiple grade II winner Katdogawn (Bahhare).
After a week lacking star lots, the turnover fell by 10% on last year to 10.9 million gns, the 18,648gns average dropped by 6% although the 11,000gns median rose by 250gns.
"This has been a very strong July Sale with returns second only to last year's and turnover breaking the 10 million guineas mark for only the second time," said Mahony.
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