Q&A on Perth Mint Exclusive Products

Included in the Perth Mint’s May 2012 products releases were two coins that will be distributed exclusively within USA and Canada by certain dealers. These are the 2012 High Relief Silver Kookaburra to be distributed by Paradise Mint and the 5 oz. 2012 Proof Silver Koala to be distributed by the New York Mint.

Because of the wording on the product pages and the fact that US based customers were initially able to place orders for the coins, this exclusive distribution was not completely clear at the time of release. I reached out to the Perth Mint who provided some answers to questions about exclusively distributed products.

First and foremost, the orders already placed by US customers on the Perth Mint website will be honored. Going forward, orders from US customers should be placed with the exclusive distributors.

The full questions and answers appear below:

Although many US customers were able to place orders for the High Relief 2012 Silver Kookaburra and 5 oz Proof Silver Koala, is it true that these products are distributed exclusively through the indicated dealers within North America? What will happen to the orders that have been placed for these coins by US customers?

Perth Mint response: Yes these products are distributed exclusively through indicated dealers within North America, but unfortunately on this occasion, we had a technical fault with our server and some US customers were be able to view the restricted page on our website and place an order.

We have spoken directly with our American distributors and we will honor all online purchases made from the US.  Going forward, we’re currently in the process of putting changes in place to ensure these issues won’t arise in the future.

How is it determined which products will be sold exclusively through distributors rather than directly via the Perth Mint’s website?

Perth Mint response: We’ve built great relationships with our distributors over the years and they regularly approach us with ideas on products for Australian legal tender.  Once approved, we then negotiate a number of coins for them to distribute exclusively in their territory.

Are these exclusive distributors subject to any requirements or restrictions with regards to how they offer these coins?

Perth Mint response: The only restriction placed on these exclusive distributors is that they commit to an agreed quantity of coins.

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Comments

  1. Samuel says

    i think it is unfair to other dealers. they should bid for the right of being exclusive.

  2. says

    Thanks for this interview, Michael. This should give people some comfort. Hopefully this won’t happen with the five ounce proof silver dragon next month.

  3. VABEACHBUM says

    Thanks for chasing down these clarifications Michael.

    Manufacturers have “exclusive” dealers all the time, so I am not surprised about this relationship. Just would have been nice to know about it prior to the release. For instance, in a product release news letter to Perth Mint account holders registered in the U.S.

    Like Samuel, I am focused on “the only restriction…” in that this exclusive dealer also will have exclusive control of the product price points for these limited availability products. In this particular instance, that does not appear to have been a bad thing, as Paradise’s HR Kookaburra pricing falls in line w/ the Perth pricing – and cheaper shipping within the US.

    As always, the pricing for any items will depend upon total mintage, market demand, and stock-on-hand of the exclusively allotted amount. For example, the NIUE Titanic Anny Coin that is sold exclusively in the US by that one particular marketer has seen a $50 price increase during the past 4 weeks.

  4. Michael Zielinski says

    In the case of the HR Kookaburra, the exclusive distribution is only within a certain region. With a global market and information flows, there is a lot less ability to establish prices that are out of line with other regions.

    Based on the information I have seen for the Nuie Titanic coin, APMEX basically had exclusive control of the entire worldwide supply. In that case, they have a great deal more ability to establish the prices at whatever level they determine.

  5. Sam H says

    I managed to get my order for two 2012 High Relief Silver Kookaburra in before they corrected their error — curious how many got through

  6. Nate says

    Sam, I put in for 3. I also had 3 of the Chinese DoL added to my cart but on checkout was told that they had become out of stock.

  7. Dirk says

    I was able to get my order of three thru. These two distributors sure are getting alot of free advertisement with all the talk of these coins on message boards, blogs like this etc…

  8. says

    VABB,

    My opinion of Paradise has been greatly improved by how they chose to sell the Kookaburras. I had not really looked at them seriously before, given that they seem to deal primarily in graded coins, but should I ever want something like that I think I will give Paradise a second look.

    I’m not a big fan of New York Mint or GovMint though, as several guys in my buying group have complained that GovMint’s prices are too high (for those who don’t know, GovMint and New York Mint are owned by the same group, http://www.amsi-corp.com/ourbusinesses.asp )

  9. Shutter says

    I Agree, GovMint’s prices are too high. Also they charge for shipping, while Paradise doesn’t. By way of comparison, 2012 Proof SAE in PF70 sells for $139 plus $12 shipping at GovMint, while Paradise is asking for $100 with free shipping. That’s 52% more at GovMint. Or 2011 Silver Proof set. $68 at US Mint and $100 at GovMint, and $66 at MCM.

  10. samuel says

    Govmint did have the exclusive right for the the 2010 HR kangaroo. i just dont know how they handled the sales.

  11. Broooster says

    @ Sam H, I have an order of 3 UHR Kooks in with the Perth Mint. So far no issues.

  12. Shutter says

    Govmint did have the exclusive right for the the 2010 HR kangaroo. i just dont know how they handled the sales.

    I think they sent all of their stuff to NGC. Out of total mintage of 20,000, NGC shows graded population of 14,033.

  13. Samuel says

    no wonder a GOP kangaroo is around $200. do u guys think the bird will be that high in a couple of yrs?

  14. Schalk says

    For those guys that lost out on the Tuvalu 2012 $1 Dragons Of Legend – Chinese Dragon 1oz Silver Proof – it is now available from Downies for $114.

  15. says

    @Schalk…thanks…you’re quick….I saw that an hour after you did…now I need to decide if I want a couple more of these…I bought 3 from Perth…but really, I like this coin better than the Red Welsh…at least from the pics I’ve seen.
    Does anyone else have a preference from the first two “Dragons of Legend”
    series…down the road, I’m looking most forward to the ” Bulgarian 3-Headed Hydra Dragon

  16. Rolling Thunder says

    Hooray for everyone who got through the Perth Mint mess & will receive their 2012 High Relief Kook!

    As posted previously – I never thought it would happen.

  17. Hidalgo says

    I had absolutely no problems at all ordering my HR Kook from Perth. My order sailed through quickly.

    By the way, I am wondering why folks want to buy 3 HR Kooks. Clearly to save on shipping. However, considering that the coins are readily available in the USA and that they are still in supply, I can’t see how collector demand can be high for this coin. And when demand is low, secondary market values remain the same or fall….

  18. Jeremy says

    Isn’t Downies the one company everyone keeps complaining about with a variety of concerns?

  19. Broooster says

    @ Hidalgo, why is it you are already worried about collector demand and secondary market demand. Coin collecting and flipping is two different things all together, yet some ppl seem to wrap them all up into one.
    To answer your question, Why would some ppl order 3, well, my answer is simple. I wanted one for me, and we are putting together a Kookaburra set for each grand kid. That makes two more needed. I would have ordered state side, had I known they would have been available, but, I am happy getting them from the Perth Mint just as well.

    @ Jeremy, Downies is not a bad place to order from. When my order for the UHR dragon was cancelled from them, after a few short emails, and a small wait, they managed to get one for me anyway. I have ordered from them a few times, always happy.
    B.

  20. michael giordano says

    As I stated in my response yesterday,this stinks.No one distributor should have the exclusive rights to any product that is sold freely anywhere else.There is just too much room for abusive behavior.Does anyone recall the fiasco with the release of the 5oz america the beautiful coins?and that was with about 10 distributors having the exclusive rights!I dont see why I someone with an account with the perth mint should be told you cant buy it from us..you have to buy it from X only.This is not a good idea.

  21. Samuel says

    the paradise bird is less by 200 from late last night, about 200 from the 1 coin, and 2 100-coin lot, not sure they are the same or not.

  22. Broooster says

    Checked my Perth mint order, it has been moved from “created” to “picked”.

  23. says

    Jeremy,

    I think some people grumbled because Downies shipped a coin (the Black Dragon?) slowly a few months ago, but I believe everyone did get their coin in the end. I’ve also seen people write complimentary things about Downies’ customer service, so they don’t seem too bad to me.

    The one people have been complaining about most recently is Talisman. One guy in my coin buying group ordered one black dragon from them via their retail website on the release day, about three months ago. They have still not fulfilled my friend’s order. Other people on this blog have also complained that Talisman has not fulfilled their orders. One poster mentioned that he saw Talisman selling black dragons on eBay as well despite insisting to people who bought in February that they haven’t gotten any more.

    Michael G.,

    In this individual case with the Kookaburra, things have worked out okay. Paradise’s prices are fair and they’re giving us free shipping. Perth just needs to be sure to sell to dealers like the Paradise Mints as opposed to those who charge rip-off prices.

  24. Jeremy says

    @CO, oh yes, that’s right. I believe that is the one company(Talisman) that I see lots of complaints about lol

  25. Megan Claire says

    I’ve ordered from Paradise, Downies and Talisman several times this past year. From my experience, Paradise is awesome. Great prices, free shipping, and fast service.

    Downies is slow and kind of frustrating, but they honor their prices for the most part which means reasonable prices for even the hottest of releases. Just expect a delay.

    Talisman on the other hand, you might get your coins, you might not, and you definitely won’t get them to return a phone call or email. If you do get a live person on the phone, expect an arrogant jerk with lots of excuses. And if you order coins from their website at a great price, watch how many they sell on Ebay at a much higher price while you wait and wait and wait for your order. Don’t trust these guys at all, and their hype about customer service on their website is a joke.

  26. Louis says

    It’s really too soon to make accurate statements about how much demand there is in the USA for the HR Kook. You can’t just assume that because a coin does not sell out immediately, there is little demand for it. These things take time. I am pretty confident that overall demand in our country will over time exceed the supply that Paradise received, which will move prices higher. In the meantime, it’s just a nice coin.

  27. Nate says

    Louis, I’ll give some perspective. As a new coin collector (I only got interest a year and a half ago), I’ve been indoctrinated in the dragon/ASE anniversary/2010 ATB hype era. There have been many releases that have been immediate sellouts that have resulted in immediate (and dramatic) secondary market premiums. I think your point is a good one about long-term demand exceeding supply and ‘these things take time’. For someone new who’s used to seeing such immediate supply/demand discontinuities, waiting patiently for supple/demand market forces to drive values up over time is a concept that we’ll have to get used to.

  28. Samuel says

    Louis, i totally agree with you. thats why i ordered more, hoping to use this bird to feed future animals. i would compare the bird with the 2010 HR kangaroo, which i still hesitate to buy.

  29. says

    I hadn’t really intended on ordering an extra bird, but if we do see a nice price bump after Paradise sells out, I certainly hope to profit a little bit from it.

    Incidentally, I put my unwanted extra Welsh dragon (acquired under a similar circumstance as my extra bird) up on eBay one week before the release of the second dragon. Last week I got no bids. This week I’ve gotten three and there’s still two more days left to go in the auction. I’m guessing this is being driven by interest created through the sale of the second dragon.

    Just a little tip for folks who are looking to unload their Welshes.

  30. Samuel says

    Captain, the 2nd one usually will bump up the price of the 1st one. look at the canada ladybug/bumble bee.

  31. Paladin says

    Although a little slow, Downies is OK. My only issue with them is that I must pay an extra 9% Cali sales tax, so use them only as a last resort. I missed the HR dragon at Perth so ordered from Downies. A few days later received an email indicating my order had been cancelled due to over selling. Resisting the urge to scream about it, I said nothing. Then a few days after that my CC got charged & they shipped it anyway. Go figure.

  32. Shutter says

    Just because something sells out, doesn’t mean there will be a long term upside. The 2010 Boy Scouts coin sold out, but that just means there are many more available for sale.

  33. Shutter says

    My Perth order that contains HR Kookaburra is shipped. The other order with Chinese DoL is still approved. I am guessing that will ship in 2 weeks.

  34. G says

    To the question about the DOL coins- I really love the Red Welsh- I think it will be the king, but this Chinese Dragon is also amazing. I think this series will be solid through to the end. It’s like another Deadly and Dangerous! (hoping the red welsh catches up to the red back spider one day). Good times

  35. VABEACHBUM says

    Same here!! My HR Kook was dispatched on the 4th.

    More than anything else, I like that the Perth Mint is following through on its commitment to the US customers able to place orders. Granted, I could have purchased one for $20 less from Paradise, but we didn’t know that at the time, and we weren’t sure just how long this one would last. Still, their honoring of those orders demonstrates some top-notch professionalism and a customer first mentality.

    (Michael – I goofed up my reference email. Don’t worry about my other post)

  36. CW says

    Are all these coins slabbed if one buys the ones from American distributors? If yes, why are US buyers being effectively charged to slab coins when they may not want it? I hate those things…

  37. Two Cents says

    Any thoughts on why the High Relief Kookaburra coin is not selling well in the USA?

    I’ve been keeping tabs on the coin at the website of the exclusive USA distributor Paradise Mint, and the countdown on the remaining coins in stock is slowly going down by a few coins a day. Right now it’s at 901, and Paradise is even selling it in bulk in 100 coin lots (not sure if these lots are also included in the 901 total).

    With the coin selling out so quickly at the Perth Mint’s website, I would think that the USA collectors would jump at the chance to buy it in the states at slightly cheaper prices, no foreign-exchange fees on credit cards, free shipping, and discounts for multiple coins, including the bulk 100-coin lots.

    Are the Kookaburra silver coins just not popular in the USA, and so the High Relief ones are getting a lukewarm reception from USA collectors? Or are there other factors involved?

  38. Louis says

    TC: As far as I know, Kooks are popular in the US, so I am not sure. I guess people just prefer to buy from mints than dealers. I got mine yesterday and am very pleased with it. It’s a great coin. Maybe a lot of people just don’t know about it being available at Paradise.

  39. Merlin says

    I think people may have reservations about purchasing from Paradise. I know I was reluctant because of all the graded coins for sale on their web page. It is hard not to wonder about coins being picked through. But I did reluctantly place an order with Paradise for 3 HR kooks, delivery was fast and the numbers were sequential. Though it is really hard to be sure, it didn’t look like the boxes were opened or the coins handled. I was pleased with the transaction and beauty of the coins.

  40. says

    First just wanted to say thank you to all the people that left feedback on the 2012 High Relief Kookaburra.

    Be happy to clear up a few things. We are the company that approached Perth Mint in regards to making the coin. Without our commitment to purchase most of the mintage this coin would not have happened.

    We understand that not everyone likes exclusives and there have definitely been some issues with distributors in the coin world that have tried to hike up a price just because they have an exclusive. That just goes to the intregity of the distributor. Distributors that do that loose customers and is most likely why we have grown so quickly having been in business for only 8 years.

    We are located just a couple miles from NGC. That is why you see so many graded coins on our website. We have a great partnership with them. The raw coins or coins that we sell are NEVER picked thru coin or grading rejects. In the rare event that we do post grading reject coins they will always be clearly marked as such at top of items description. We have a local wholesaler that buys grading rejects so it is a rare occasion when we would even have them.

    A good clue is when a dealer that is mentioned above is selling sets from the US Mint less than us dealers can buy them from the mint they are doing one of two things. Selling you grading rejects or trying to harvest your phone number so they can call and bug you every couple of weeks trying to get you to buy something else that is overpriced.

    Our business is family owned and operated and based on Christian values. We don’t employ any salesmen or have a phone room. No one will ever call and bug you. We rely solely on our customers having a good experience and coming back for more.

  41. picturefun says

    Talismancoins.com is the worst dealer I have dealed with. They ONLY ship you the coin if the coin turns out a flop. And lately, the retail in the U.S. is really slow, they cannot sell all their stock on Ebay at higher price, they start to chase buyers, and reply the email.

    But I will never buy from them any more, even if that means I need to pay a couple of $ more when buying from others.

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