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 Replies: 59 / Views: 7,712 |
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Pillar of the Community
Canada
1027 Posts |
@wildflowerAB I don't know if you have ever worked in sales or not. I have. I never wanted to go into management because the money was in sales. And, let me share with you, a lot of dancing and singing is required. As a rep, the company gives you mandates that are issued far above from their ivory towers. One can complain and hum and haw, however, it's like taxes. The government takes their cut and you have no say whatsoever. Now, call the government and complain because you happen to be one of their best clients when it comes to what they take from your earnings. Let us see how far that takes you. Hmmmm...not too far. My rep offers me excellent service. I don't know about yours. He does not cheat. He can't give discounts. He can't give me free items that the RCM does not authorize. I am satisfied with him. I am not satisfied with the mint. I am not satisfied with the government. I am not satisfied about my weight. I am not satisfied about the aging process. Oh my...,I could go on and on. Lol. Lol When I don't like, I return and he is prompt with return labels. When an item is discounted at the Mint, like late last year, guess what? He got me credit that I was due. One must choose their battles and mine is not with the response my rep gives me about limits. Truly, who cares? Face value coins should not be counted towards MC status. Period. I believe that the RCM is weaning us off the free ride on getting Master Club status with these FV coins. Edited by New1954
05/23/2016 7:38 pm
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Pillar of the Community
Canada
3733 Posts |
they will not give up on face value coins anytime soon, it is the proverbial carrot in front of the donkey, it is driving new customers to them, to take the place of the ones who now know better than to buy at full issue price..
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Pillar of the Community
Canada
1027 Posts |
@silverwolf No one said anything about the RCM getting rid of face value coins. You are absolutely correct that these are their biggest enticements to buy. No loss for the client. Just saying that these purchases should not count for MC status. |
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Pillar of the Community
Canada
5324 Posts |
What an easy solution, like the latest Star Trek 20 for 20, maybe the best of the silver versions period, also with license fees must cost the RCM 5 bucks a coin or more. |
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Pillar of the Community
Canada
2845 Posts |
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I don't know if you have ever worked in sales or not. I have. I never wanted to go into management because the money was in sales.....
Some in management may like their sales team to believe that but it's definitely not true of any large corporation. Managers of sales are compensated by way of hefty bonuses, based on the successful achievement of sales and revenue targets assigned to the entire sales team. Anyway back to the topic. As RCM originally stated, the intention of the Face Value program was growth of the customer base. Considering these things still top the best seller list each and every week, seems they've got a challenge on their hands - either how to wean people off (through limits) or make it less convenient to cash them in. If it's not possible to reach MC status with the XforX limits, that may be all that's necessary to watch that segment drop like flies. It's possible limits may be further reduced in the future. Scanning their 2015 Annual Report, I wasn't able to identify anywhere that it indicates the dollar arount of reimbursements. I wonder if it's possible that they're considered to bought as a silver bullion buy? Regardless, seems a rather creative manner of accounting to keep information such as that from the public eye. Edited by wildflowerAB
05/23/2016 8:44 pm
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Pillar of the Community
Canada
2427 Posts |
@ MoneyPenny...Those are the type of coins I was referring to  |
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Pillar of the Community
Canada
2845 Posts |
The first time I've ever noticed RCM publicly acknowledging that cashing of face value coins mpacts their profit. "A first quarter adjustment of $8.7 million was recognized to account for recent returns of face value coins, causing overall Numismatics revenues to decline nearly 8% in Q1 2016, compared to the same 2015 period. Management is taking steps to mitigate sales returns in the future." http://www.newswire.ca/news-release...0656311.htmlEdited by wildflowerAB
05/24/2016 7:38 pm
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Pillar of the Community
Canada
1027 Posts |
Great find @wildflowerAB.
Very, very interesting article. Losses on their returned face value coins posted in their first quarter ALONE!
Weaning time for sure!!
Edited by New1954
05/24/2016 8:53 pm
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Pillar of the Community
Canada
5324 Posts |
What's the logic in creating 20 for 20 with huge license fees, I guess the RCM knows best. |
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Valued Member
Canada
234 Posts |
$8.7 million is a huge adjustment. Hypothetically if only the $20 face value coins were redeemed that would equate to 435,000 coins, more than the entire mintage of any single $20 for $20 coin issued. In ONE quarter.
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Pillar of the Community
710 Posts |
More evidence the NCLT market is over-saturated. Will it change anything?
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Pillar of the Community
Canada
2019 Posts |
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Management is taking steps to mitigate sales returns in the future." I think we know where this is heading, The Royal Mint did it and so did the US mint, The RCM will do it as well, I cant see them take another 8 percent drop in NCLT revenues mainly because of the return of FV coins... Its coming, as I said before it doesn't matter what they put on their website, money talks and conditions do change. Edited by Northerncoins
05/25/2016 10:08 am
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Rest in Peace
Canada
1360 Posts |
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money talks and conditions do change. As it stands, All NCLT are exchangeable for cash at face value. As they say, you're likely to get a better deal at a coin dealer. If however they change the policy for the x/for/x coins, I'm thinking it will reflect over the entire spectrum of coins. Where all coins could be refused for exchange or refund. Which will work into the overall global conspiracy of ridding the world of cash - so that every transaction will be traceable. (This could get interesting, quickly!)  |
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Pillar of the Community
Canada
2845 Posts |
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Its coming, as I said before it doesn't matter what they put on their website, money talks and conditions do change.
I agree. That the method for redemption (email instructions) has never been formalized is a very obvious and glaring indication that the arrangements can be cancelled at any time. Although RCM hasn't posted the 2015 quantity sold results, I notice no 20for20 has ever appeared on the SoldOut list posted on their website. Sure the 300,000 mintage may as well be unlimited, but still it would be interesting to know the sales volumes considering they also consistently top the Best Seller list. Interestingly, the 1st quarter report indicates that overall sales of silver have dropped while total products were increased. "During the quarter, the Mint issued 57 new products and achieved 14 sellouts compared to 51 new products issued and 13 sellouts in the same period of 2015." "Demand for the Mint's gold and silver numismatic coins had a significant impact on performance. During the first quarter of 2016, sales of numismatic gold products increased 73.1% to $14.3 million compared to $8.2 million in the same period in 2015. Sales of numismatic silver products declined 5.7% to $31.0 million compared to $32.8 million in 2015." http://www.mint.ca/store/dyn/PDFs/R...%20FINAL.pdf***** That may suggest that interest in 20for20 has begun to decline and the problem has become that sold volumes are no longer adequate to offset the cost of redemptions. Plus the new purchase limits will likely further reduce future sales. Reduced sales AND increased redemptions, the worst case scenario, more changes will come sooner than later. Edited by wildflowerAB
05/25/2016 11:18 am
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Pillar of the Community
Canada
2845 Posts |
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If however they change the policy for the x/for/x coins, I'm thinking it will reflect over the entire spectrum of coins. Where all coins could be refused for exchange or refund.
Well I don't know but I don't see a connection between the two whatsoever. There never was a "policy" for x/for/x coins because the mint issues them as Collector Coins intended for collectors to hold on to. Imagine the outrageous cost if every $20 banknote that a bank teller handed out had to get sent back to the Bank of Canada to get reissued after the customer decided to cash it in? |
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Replies: 59 / Views: 7,712 |
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Posted 05/23/2016 7:13 pm
