Wednesday, September 14, 2011

Why does the value of my autographed item keep changing?

Collecting sports memorabilia is very different then collecting anything else.  Yes it shares similarities to other collectible items such as cars, records, wine, cigars, etc.  There are some key factors that help determine that value of the item.  The rarity of the item, condition and quality of player are key determining factors in establishing the value of an item, but that is where the similarities end for sports memorabilia and other hobbies.

I will preface this by saying that for everything there is always an exception to the rule and I am just generally speaking in regards to sports memorabilia.  There are several unique factors though that makes Sports Memorabilia such a different animal in regards to collecting.  First and foremost, you are collecting items autographed by a person who is still potentially creating new memorabilia, not a manufactured item.  They will never again be making another 1958 Corvette, so you know that the number of 1958 Corvettes will only diminish as time goes on making your item rarer.  Sports memorabilia on the other hand players are usually signing until they pass away.  So even though players like Yogi Berra, Brooks Robinson, Stan Musial, etc are no longer playing baseball, they are still easily accessible for autographs, meaning more of their autographs are out in the market.  Once a player passes away their value goes up because like that Corvette... there will no longer be anymore AUTHENTIC signatures by that player.  Take Sparky Anderson or John Mackey for example.  Immediately following their passing companies were getting swarmed and overselling their autographs because the demand became so high.

Another factor in determining the value of your item is the current opinion/how the player is playing.  Take a player like Matt Kemp.  In 2009 he won a Gold Glove and Silver Slugger award and he was looking like a sure fire All star for the next decade.  His value had never been higher.  Stores and online companies were selling out of his autograph and ordering more to keep with the demand.  Then the 2010 season came and he was unable to build off his previous year’s success and had a "down" year.  Critics questioned his ability among other things and he had a lot of negative press.  Those companies that stockpiled his autograph from the previous year were sitting on mounds of inventory they couldn't move, and were forced to sell them at cost or just above it.  In 2011 however Kemp is having another huge year and many are predicting that he may win the NL MVP, so once again his value is as high as ever and those stores that were selling his autograph at cost are now sold out again.  The same goes for retired players as well.  If a retired player does something post playing days to attract attention his collectability can either sky rocket or crash depending on the severity.

The last factor that makes this hobby different than others is that unlike collecting cars or other items, you do not want to use or play with your memorabilia.  Wearing an autographed jersey to a game or having a catch with a Babe Ruth baseball (yes Scotty Smalls I’m talking to you) is NOT a smart idea.  This makes collecting sports memorabilia similar to collecting things like wine or cigars because the minute you drink a bottle of wine or smoke a cigar… it loses all collectability since its gone!

Factors like the ones above make collecting and investing in sports memorabilia a risky one but a fun one that you can show off to your friends and everyone will enjoy! 

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