Karl on Cars

Barrett-Jackson Auction: "We are so wrong on this one"

Like many car guys, I spent a good chunk of this past weekend watching the annual Barrett-Jackson Car Auction. Every year this event takes place in Scottsdale, Arizona (though it will reportedly be moving to Las Vegas soon), and even if you have no interest in bidding on a vehicle it's worth watching to see some great iron. But after attending the event once in person, and watching it several times on T.V., I've learned a few things:

1. NEVER watch it live. The combination of commercials, obvious "filler" cars and endless self promotion make me wonder how anyone can watch it in real time. I consistently record it with my DVR and watch it after the live event ends -- rapidly blasting through the Bentleys with gold spoke wheels, "male enhancement" advertisements and belabored bidding practices.

2. IGNORE the prices. You've probably heard this before, but the prices at this auction simply don't represent reality. Many bidders rely more on ego than logic when deciding how much to spend, and the atmosphere inside the Barrett-Jackson circus tent not only encourages this behavior but depends on it.

And perhaps most importantly...

3. TRY to remain patient. When a 427 Cobra's bidding stalls at $400,000, and the B-J execs start telling the audience, "We are so wrong on this one folks..." just remember the hefty buyer and seller fees Barrett-Jackson makes on every vehicle. My dad always told me, "A car is worth whatever someone is willing to pay you for it."

When you consider the audience --  and atmosphere -- inside the B-J tent you've got about the best group of "someones" available to pay for other people's cars. That's why I get so annoyed whenever Craig Jackson or Steve Davis jump into the fray after bidding stalls and begin to lecture the audience on how much more they should pay for a given machine. How can the bidders be "so wrong on this one" when they decide to stop bidding? Another way to describe this situation would be, "the market has spoken."

After thinking about it for awhile I realized that B-J's efforts to prop up what the bidders will pay for a vehicle is akin to calling the race on the last lap because the officials don't like the race leader.

Can you imagine at next month's Daytona 500: "Well folks, Dale Earnhardt Jr. is only a half lap from victory lane, but 'we are way wrong on this one' and we feel that Jeff Gordon should really win. So we're going to force Dale to slow down until Jeff gets past him." Thankfully, no such shennanigans ever happen in professional racing...

Anyway, that's why I never watch it live, always ignore the prices and try to remember why the B-J execs won't let an obviously done car leave the stage. And with those rules in place, it makes for a great car show.

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17 Comments

I agree to a point on watching it live. But in effect, it's something that's been packaged as entertainment, but that's not what it is. You watching a business transaction. The sellers have contracted the auctioners to get the best price possible.
  
The steep sellers fee's, especially those sky high Saturday prime time fee's, should account for something. What we're watching is a paid salesman doing his job. It's tedious at times, but it is what it is.
  
I used to go to Auburn every Labor day and loved it initially, but after a while the buzz wears off and you see it for what it really is... A business plain and simple.

I never watched this show. Does that mean that 427 didn't sell for 400k?
 
And is that because there was a reserve price on it by the seller?
 
or the auction house felt they should have gotten more, and as such just didn't sell the car?

"Thankfully, no such shennanigans ever happen in professional racing..."
 
Gosh, I sure wish there were an emoticon for satirical cynicism.
 
(For those that don't understand what I'm talking about, such shennanigans *do* happen in professional racing when a team manager decides that a less popular teammate should slow down for another more popular teammate to pass, e.g. Barrichello and Schumacher)

I love it for the car show aspect - I don't have a DVR (yet) but I will use your method when I do and I will record and work my way through all of it.
 
Karl, I have attending this event at some point on my "bucket list"; do you think it's worth the trip (from NJ)?
 
On the flip side.......What's with Steve Davis insisting on wearing those stupid sunglasses the entire time???
 
Does "Spanky", the auctioneer, ever actually use those reading glasses that he has stuck to his forehead the whole time? I have never seen them anywhere else....including his nose.
 
Do we have to see those odd looking guys staring at their monitor everytime there's a Internet bidder?
 
And; don't you wish someone would take off and ball up their sweat sock and then stuff it squarely in that one guy's mouth - the one who screams like a moron each time his bidder says "yes"?

Here's an OT question for Editor Karl.
 
Now that the results are out, which car/truck did you vote for NACTOY? Just wondering thats all.

Did you guys see it when they stopped the bidding on the "General Lee" like 10x in order to sell it some more. It was stuck on $200,000 for the longest time and ended up selling for more than $400,000.
 
Now that in my book is crazy. The car wasn't even a good Charger.

I'm one of like 3 women who I know that watch B-J. I enjoy watching the bidding and of course, the sexy cars :) I'm glad a few cars went for the prices they did and some that were highly under-bid on. But of course, I like how some went to charities, which is great!
 
But KARL, answer me this, Would you pay 1.6M for that Cheverolet Concept Car? the Rodine? I thought that was pretty ridiculous!
 
And did you see the 09 Chevy Corvette ZR1? Hot stuff.

"Did you guys see it when they stopped the bidding on the "General Lee" like 10x in order to sell it some more. It was stuck on $200,000 for the longest time and ended up selling for more than $400,000."
 
That's why you get people suing B-J over a blatant inequality between the amount of effort some cars get versus others. BTW, yes the pending case against B-J was "settled" just before the auction, but the conditions where undisclosed. To me that says B-J paid the plaintiff off and the plantiff agreed to say "B-J didn't do anything wrong when selling my 'Cuda." Just a guess on my part, of course...
 
"But KARL, answer me this, Would you pay 1.6M for that Cheverolet Concept Car? the Italiano? I thought that was pretty ridiculous!"
 
As kooky as that price seems it pales in comparison to the top sellers from previous years. Top 5 sellers this past weekend didn't even add up to $5 million. Last year Carroll Shelby's Super Snake sold for $5.5 million alone. Anyone who wants to suggest the collector market hasn't shifted probably has a bridge in London to sell you.
 
As for the "business deal" aspect of it, that's absolutely correct. It's a business and plenty of people make money from it, which ultimately is what capitalism is all about so I can't fault it. But I can choose to not support the business, so other than watching it (and blasting through the commercials, of course) it's really just my time I'm "spending." Between Tuesday and Sunday my DVR recorded approximately 40 hours of coverage, but my total "viewing time" of those 40 hours was about eight hours.
 
Like I said, without a DVR I couldn't watch it.

"Karl, I have attending this event at some point on my "bucket list"; do you think it's worth the trip (from NJ)?"
 
It's probably worth seeing at least once in your life (sort of like Antartica -- it'd be great if everyone could see it once, even if few people would choose to hang out there for long).
 
If you do go, BRING EARPLUGS! I couldn't take the tent for more than 20 minutes at a time before having to escape outside and walk through the cars again. The noise level of the bidders, not to mention their annoying speech pattern, gave me a near-instant headache. I wouldn't even consider going back there without the ear protection I wear at the gun range.
 
Also, plan on lots of traffic getting in and out of the auction site, and/or a healthy walk from where you park to the tent.

Editor Karl,
 
What about my question? Which car/truck recieved your vote for NACTOY?

Thanks for the tips, Karl. I do hope to make it there at some point - it just looks like such an interesting variety of great cars at one location.
 
BTW - your screen shot is a classic......factor in your comments/take and Jackson's expression could be interpreted an entirely different way.

I can't remember my exact points allocation, but it was something like this:
 
Cadillac CTS: 15
Chevrolet Malibu: 7
Honda Accord: 3
 
Buick Enclave: 0
Chevrolet Tahoe Hybrid: 10
Mazda CX-9: 15
 
Basically, the Enclave and Malibu were just new versions of existing GM models, though the Malibu is markedly better than the Aura (the Enclave isn't really any better than the Acadia or Outlook). The Accord is the same-old, same-old: A great family sedan, just like Honda has been making for 30 years. The Tahoe hybrid is a good idea but the cost and production numbers make its "earth-saving" potential more theoretical than actual.
 
The Cadillac CTS is a vast improvement over the previous version and is really just an excellent car. The Mazda CX-9 is easily the most fun-to-drive crossover on the market for less than $50,000, and overall my first choice if you can't afford a Cayenne or don't need something as big as the Mercedes-Benz GL.

I have to admit I spent a good chunk of the weekend watching "Barrett-Jackson".
 
I love Craig Jackson(not really), who has the cat that swallowed the canary look 24/7.
 
The Speed crew does a good job with describing the lots but I wish they wouldn't fondle the vehicles carrying bulky broadcast equipment and I noticed Mike Joy had a large (Rolex?), loosely fitting watch with a metal band on it. Belt buckle protectors and wristwatch covers should be standard for those guys..
 
Overall, I thought there were fair prices even with the commissions for some cars, while others were obviously sold low.
 
P.S. Does anyone find it annoying that Carroll Shelby will sign any Mustang if it stands still long enough? If I put the blood, sweat and money in restoring a car, I wouldn't let that old coot ruin a dash panel with the flick of a Sharpie.

karl: I, too, wasted far too much of my time watching that auction...and I'll do it again next year. But how much for the Beverly Hillbillies truck? (And talk about blow-hards...George Barris needs to be on some reality show with Flava Flav, Paris Hilton, and other over played self-promoters.)
 
rick: I agree about the internet buyers...so much action there! I could hardly contain myself. Perhaps the major networks could turn those guys into a Tuesday primetime show while the writers are on strike.
 
tlcruz: While the ZR1 looks to be an outstanding car to drive, I don't see anything all that outstanding about its styling. The Rodine, on the other hand, is a beautiful design unlike any other Corvette (the ZR1 is simply an enhanced Z06)...and a one-of-a-kind car. They'll never make another Rodine but Chevrolet's going to sell as many ZR1s as they can...the car at the auction will simply be the first of them.

There are dozens of collector car dealerships around the country that offers most of the muscle cars (similar) that are auctioned off on B-J. Better deals can be made. 10% commission and the shipping cost to move it across the country, can be pricey. I am sure its easy to get caught up in the hype. At least at a collector car dealer you have more time to examine a car and even take it for a test drive.

I am so glad that I never heard of this crap. People will go to any lengths to make money and these two buffons pictured sure look like bloody crooks to me.
 
BTW Karl .. what your dad said makes a lot of sense.

I have been watching the B-J auction for about five years now on speed. This is the first time I DVR'd it. A stroke of genius on my part. The models wearing the B-J swag were pretty hot though. Too bad Jackson had to put his sorry face in the commercial with his kid on it too.
    You have to put this into reality when watching it. Yes Craig Jackson is smiling ALL the time. He is making 18% off the buyer and seller for running that thing across the block, not including the extra monies from prime time. Steve Davis is an idiot. I can put him in a catagory of every pushy car salesman I ever met. A spin doctor. Nothing else. A small step down from him is Craig Jackson. Pushing so many collectors out of the hobby with those pumped up prices makes even a lowely collector like myself, want to strangle him. I can see that each one of these auctions must make him millions of dollars. How can he not. Sponsering it is GM and Ford, plus all of the aux. sponsers listed behind the auctioneer, Jackson probably is breaking even before the first car goes across the block. This is why I will never buy anything from that circus. Chrysler was smart not to get back into it.
   My wife cant stand Spanky or his gang of inauditable barkers either. The only thing they are doing are confusing the buyer of where the bid actually is. If you look at the RM auto auction, the auctioneer is clear about what the price is. And speaks slow enough so that there is no confusion of who the lead bidder is. B-J want to confuse you. But I did notice that they stopped on several occasions to clearify the bid. Probably goes back to the GM Futurliner misshap where Pratt and some other guy were bidding 4 million and they lost track of who was the last bidder. Jacksons true colors came out when Speed televised what when on behind the scenes. Jackson looked like a total power hungry moron on that one. So thats my take. Good enough to record. Not good enought ot pay $500 for a bidders paddle, $200 a night hotel, $300 for flight, or $150 in car rental. B-J are a bunch of snake oil salesman ruining the hobby

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