the beer trading game

Discussion in 'Trade Talk' started by pwdbyhops, Apr 20, 2017.

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  1. pwdbyhops

    pwdbyhops Pundit (793) Apr 1, 2015 Ohio
    Trader

    I ran into an interesting problem. This happened outside of BA, but that isnt really relevant. So please dont come back with "you shouldn't have been trading outside of BA". This is more about beer trading philosophy, not about getting screwed over or anything like that.

    A guy reaches out to me and it turns out he lives in an area that has a lot of my beer ISOs. He is trying to get it done. He says he has everything (except for one bottle that I knew he had to trade for). I just assumed that if he had to trade for something he would message me (especially if its not retail $4$) and say "hey, I can get this for you, but its going to cost you x". He gets back to me today and says he is ready with everything I am interested in. I do a tally and we are way off on $ amount.

    It turns out that he went and traded for a bunch of stuff way above retail. I said "sorry for the misunderstanding, but I never asked you to go out and trade way above trade value to get any of these bottles". He responds with "Not how the beer game works man".

    It seems to me that you should ask someone before you trade high to get them something. I don't agree that its "how the beer game works". Not laying the ground rules was a mistake on my end. But I have always just assumed that people would let you know if they need to trade high to get something. Isn't that just common sense and common courtesy? Its a fact of life and why should it be exempted in beer trading? He acted like he did a favor for me by running around and getting stuff. I appreciate it, but never explicitly approved it.

    Thoughts?
     
  2. TeemuWPG

    TeemuWPG Initiate (0) Sep 14, 2016 Canada (MB)

    Those are the people you want to avoid. Just to give you an example of the alternative, a fellow BAer I've traded with a few times had let me know way back when that if I ever got my hands on one, he'd be interested in a local limited run BBA stout from my area.

    I just happened to find a guy who had one in his cellar and I traded him roughly $30-35 of stuff from my cellar to get it, even though the bottle retailed $15 a few years ago.

    Let the BAer know I had the bottle and I literally could not care less about what he sends back. It's more about making him happy by sharing a good beer he could not get otherwise. I mailed it off and didn't even make mention of anything in return.

    If I want to pay above retail $4$ on a trade, I will. But I wouldn't take kindly to a guy (especially when he reached out to you) who decides what kind of aftermarket value I am willing to place on a beer. If I want to negotiate the secondary market, I will do so. Through my own negotiating. He's not a broker.
     
  3. John_M

    John_M Grand High Pooh-Bah (6,849) Oct 25, 2003 Washington
    Mod Team Society Pooh-Bah Trader


    Several. First, it would be helpful to hear your trading partner's side of this story as well, as several things aren't adding up for me.

    At least with the trades I've set up, my trading partner and I always set up the parameters of the trade arrangement before we make the actual trade. If it's just a straight bottle for bottle trade (I generally never do this), then that's specified at the outset. If our trade is based on the value of the bottles we're exchanging (this is typically what I/we do), then that's specified at the outset. I tell my trading partner first, what the likely cost is going to be for me to obtain the beers he wants. If my actual cost looks like it's going to be significantly higher than expected, then I text that information to him before I pull the trigger. If he doesn't get back to me, I don't make the purchase. Beers I'm receiving in exchange, I know in advance what the out of pocket cost is likely to be for my trading partner, and how he arrived at that cost. If there's something I really, really want, and my partner has to go out of his way to obtain it (either by trade or paying an especially high fee to obtain it), then of course he'll let me know what the added cost is going to be BEFORE he obtains it. On one occasion I wanted to obtain some 2011 Blushing Monk for my wife, and I was willing to pay a premium to obtain it. I made that VERY clear on the front end, but even then, told my trading partner that if the price was over a certain amount, to forget about it.

    Reading over your post, the most glaring problem I see is that both of you made certain assumptions, and you did not discuss the parameters of the trade before hand. Just my two cents on this, but the less of a trading history you have with a potential trading partner, the more important it is to lay out all the ground rules at the outset of the trade. In this case, I agree that your trading partner should have told you in advance that he was going to be paying a huge premium to obtain the beers you were looking for, but on the other hand, I think you should have also spelled out to him that you were not willing to pay more than a certain amount (retail, current grey market value, etc.), and that if it cost more than that, then he should not try to obtain those beers.

    Time and time again, the primary problem I see with trades that go south, is that both parties did not communicate their expectations sufficiently to the other individual. That clearly seems to be the case here.
     
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  4. TeemuWPG

    TeemuWPG Initiate (0) Sep 14, 2016 Canada (MB)

    ^^ while you're not wrong in theory, I think you've overextended yourself with the amount of thinking. Let's simplify this. OP had someone reach out to him to organize a trade and then this person essentially tried to apply aftermarket value on OP's behalf without checking with him to see if that was acceptable.

    Imagine this scenario - my friend really wants a Nintendo Switch for his kid. Let's say I approached him and said "hey friend, I know where I can get you a Nintendo Switch, did you want me to grab you one and we can square up later" and he agreed, I don't think it'd be unreasonable for my friend to be annoyed if I approached him later and said "hey, you owe me $600 since I bought one off eBay and paid way over market value."

    To me, the onus is on the guy who is assuming acceptance of an overpayment. He should've cleared that up ahead of time.
     
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  5. John_M

    John_M Grand High Pooh-Bah (6,849) Oct 25, 2003 Washington
    Mod Team Society Pooh-Bah Trader

    I don't know what to tell you TeemuWPG. Maybe I'm just cautious by nature, but I'm a big believer in not leaving anything to chance. Whether I initiate the trade or someone else does, I always want to know what an item is going to cost me before I arrange to trade for it. Based on my limited trading experience, my impression is that everyone has a different idea regarding the value of an item. Some folks try to factor in a beer's after market cost, trade value on the open market, difficulty in obtaining the beer, rarity, etc., in coming up with what they feel is the beer's exchange value. Personally, I refuse to play that "game," and I tell any prospective trader that up front. In fact, just as mentioned in the OP, the first thing I do when I'm talking to someone about a possible trade, is to explain the trade parameters.

    If I happen to know the person I'm trading with, that's one thing (as I generally have a better idea what to expect from them). However, if this is someone I've never traded with, it just seems incomprehensible to me that I wouldn't try to get some idea what it's going to cost me to obtain a certain beer, and how that individual came up with that cost. I would NOT assume that my idea of what constitutes a fair price is the same as what his notion is of what constitutes a fair price.

    If you have a chance, read over some of the Bad Trader threads in that forum (if you haven't already). Again and again, I've seen trades fall through due to a lack of communication, and/or because the two parties made assumptions about the other party that turned out not to be accurate. Frankly, your "let's just use common sense when it comes to figuring out a fair value" for a beer has all too often led to disappointment and resentment. My impression is that the scenario described by the OP is yet another example of that.
     
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  6. TeemuWPG

    TeemuWPG Initiate (0) Sep 14, 2016 Canada (MB)

    Like I said ... you're not wrong in theory, I just don't think we have similar approaches to trading. I found it to be the same in another thread I read where you shared your opinions on factoring in costs over and above the beer into the trade. That's just not stuff I'm willing to do, nor are many others. Doesn't mean we are right or you are wrong, it's just preference.

    I won't argue that communication is key, but there's also some stuff that should just be common sense and to me, that's where this situation falls. Otherwise where does it end? Just how much has to be communicated ahead of time?

    To keep it simple, when I'm dealing with folks, I assume they are interested in making $4$ on retail value trades until they otherwise mention it and if they mention they have another stance on things, then I generally would opt out of the trade. It's worked for me so far, as your method has worked for you.
     
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  7. John_M

    John_M Grand High Pooh-Bah (6,849) Oct 25, 2003 Washington
    Mod Team Society Pooh-Bah Trader

    This is what I do as well.

    I don't disagree with your approach, especially as it seems to have worked just fine for you.

    The OP was outlining a scenario that pretty clearly seems to have resulted in a fairly significant misunderstanding. It sounded to me as if he was asking for vindication of his actions, but also was wondering if he or the other trader were responsible for what transpired. My take is that neither (or both) members are likely responsible for the misunderstanding.

    Assuming the story we're hearing from the OP is completely accurate (my experience is that there are generally two sides to these types of misunderstandings), then he's absolutely right... it seems very strange to me that his trading partner would have gone to all the added trouble and expense of obtaining those other beers without making sure the OP was on board with the added costs. On the other hand, it sounds like the OP was aware that his trading partner was going to have to make an added extra effort to obtain the additional beers, yet apparently he didn't tell him that if the cost of obtaining those beers was too great, he shouldn't go to the trouble.

    He asked for our thoughts as to what could have been done differently to avoid the misunderstanding (at least that's my interpretation of his post). That's what I've provided.

    Cheers!
     
    #7 John_M, Apr 20, 2017
    Last edited: Apr 20, 2017
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  8. pwdbyhops

    pwdbyhops Pundit (793) Apr 1, 2015 Ohio
    Trader

    A couple of clarifying points:
    (1) This started yesterday around noon. Real quick timeline with very little communication (I was busy for 5 hours during the late afternoon and all evening). When I woke up this morning, he was ready to go....lol

    (2) Let me break this down as follows: (1) bottles he claimed he had and (2) bottles he claimed he did not have.

    (3) At the onset, I asked the question "Are you cool with $4$"? He responded "Def". What does $4$ mean to everyone?

    It was my understanding that most bottles fell under the 1st category. Oddly, in hindsight, I gave him my costs right up front and he never gave me his even though he had may of the bottles.

    There was 1 bottle that he said he didnt have but he would "check with his friends" which would fall under category 2. I didn't know that meant that he would go off and start trading at whatever price. But I wanted that category 2 bottle real bad, and because we just met, I thought i would just let it slide. It was after that when I found out that he was trading for stuff that I thought was under category 1.

    We all know that in a perfect world, you agree up front on prices, etc. I didnt think that was going to be an issue because it sounded like he was a local who got everything local at the brewery at cost. That is irrelevant anyway at this point. He also agreed to $4$.

    Regardless of what traders do or dont agree on up front, I don't see how the "default" rule would be that its OK to trade high without asking first.
     
    #8 pwdbyhops, Apr 20, 2017
    Last edited: Apr 20, 2017
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  9. John_M

    John_M Grand High Pooh-Bah (6,849) Oct 25, 2003 Washington
    Mod Team Society Pooh-Bah Trader

    That definitely puts things in a different light. From your OP, I got the impression this all took place over a much longer time line. $4$ trade probably means the same thing for you that it does for me.

    I have to admit, the more you tell us about this trade, the more puzzled I'm becoming. Why in the world was he in such a hurry, and why in the world did he go to this much trouble and expense? Especially without ever contacting you. Also... did he really initially tell you he had everything you wanted, except for one other bottle... and then fessed up that he actually had to trade in order to obtain several of the bottles on your wants list? Also... did you really tell him up front what your cost was going to be? So he knew in advance going into the trade what the $4$ allowance was for the trade? Assuming the answer is yes, that definitely puts things in a different light.
     
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  10. John_M

    John_M Grand High Pooh-Bah (6,849) Oct 25, 2003 Washington
    Mod Team Society Pooh-Bah Trader

    Assuming all the information you provided is accurate, I'm not liking the way this is starting to smell. If I were you, at the very least I'd start asking for a few explanations. What bothers me the most, is that you told him in advance what your cost was going to be to obtain the beers he wanted, and that you were expecting a $4$ exchange. A few dollars over or under is to be expected, but if there is a huge variance in your costs as opposed to his, anyone would expect their trading partner to get in touch with them first to get the OK on that.

    I can't think of one good reason why someone would do something like that (not get in touch with their trading partner to get an OK on the added cost/expense). I can think of a lot of bad reasons though.
     
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  11. pwdbyhops

    pwdbyhops Pundit (793) Apr 1, 2015 Ohio
    Trader

    I forgot that I wrote the $4$ confirmation with the trader. I went back after your post and noticed that right at the start of the discussion. So I dont understand why any of this happened. I was really blindsided by it. But it doesn't matter because i tried to restructure and take out the other bottles that he traded up with and he refused. He just left the trade.

    My intent wasnt really to point out the faults of someone else. My intent is really to explore the responsibility of the traders when there is a misunderstanding or it is unclear or silent whether it will be $4$. Someone mentioned the hypothetical of a $600 Nintendo switch on ebay. I don't think the world reasonably works that way. Assume that you have a blank check to acquire something at any cost without checking first? Maybe if the difference is a couple of bucks. Not when its more than 20-30% above the expected cost.
     
  12. TeemuWPG

    TeemuWPG Initiate (0) Sep 14, 2016 Canada (MB)

    100% agree with this.
     
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  13. jrnyc

    jrnyc Grand Pooh-Bah (3,012) Mar 21, 2010 New York
    Pooh-Bah Trader

    $4$ to me is what one would expect to reasonably pay off the shelf, not some bogus secondary market.
     
  14. pwdbyhops

    pwdbyhops Pundit (793) Apr 1, 2015 Ohio
    Trader

    Your comment makes me really mad about the situation. He kept saying this was too much for him....as in I was being unreasonable. I guess he may have forgot that we agreed to $4$ right at the onset
     
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  15. Jag237

    Jag237 Initiate (0) Aug 23, 2014 Virginia
    Trader

    $4$ would have to mean the shelf value because its the only objective cost we have. You can't factor in rarity, standing in line, etc. because there is no agreed upon value for these kinds of things and is all subjective.
     
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  16. ericwo

    ericwo Zealot (624) Aug 21, 2008 Pennsylvania
    Trader

    Remember when trading was fun, and it was just about helping each other get new beers from other parts of the country that we normally didn't have access to. I miss the good old days.
     
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  17. FFFjunkie

    FFFjunkie Initiate (0) Aug 26, 2014 Illinois

    The good o'le days are still here....unfortunately one just has to look a little harder to find them. There are definitely D'bags out there, however, I've met some some really awesome people as well.
     
  18. Bum4ever

    Bum4ever Pooh-Bah (1,838) Jan 18, 2017 California
    Pooh-Bah Trader

    As a new member to BA and someone who recently got into craft beer, I have had a great experience. I did a BIF with some great BA's to get started and then my first few trades have been awesome. I put out a local for local trade in the ISO:FT and have now done multiple trades with 2 BA'ers. These guys have been easy to work with and none of us has been worried about "winning" the trades. So far I have gotten some great Michigan beers that I can't find in Cali.

    I can't speak to how it use to be because I am so new, but I think it can still be fun and exciting if you are dealing with the right people.

    After reading all the bad trader threads I think the main lesson I learn was: If trading with someone starts to feel like work, bail on the trade; this should be fun and exciting.
     
  19. Sturgeon83

    Sturgeon83 Initiate (0) Mar 11, 2015 Kentucky
    Trader

    There's a thread around here where somebody wanted to factor in gas prices and driving time. The amount of preciousness and/or speculation people place around these beers is kind of incredible sometimes, and it's reflected in the way people trade. To me, $4$ = let's get to within 5 bucks or so and make a trade. I'm not going to haggle with someone to get within .75 of what I paid for a bottle. It's supposed to be about trying new stuff, not hitting the salary cap.
     
  20. John_M

    John_M Grand High Pooh-Bah (6,849) Oct 25, 2003 Washington
    Mod Team Society Pooh-Bah Trader

    I think you make a lot of great points, and frankly, I think the sort of experience pwdbyhops is describing (and what you read about on the BT forum) is the exception, rather than the rule. When it comes to trading, the folks I've dealt with on BA have all been friendly and generous, and I've never had a problem with the exchange value. I've never felt like my trading partner was trying to take advantage of me, or was trying to hit me with a premium because a beer was rare, limited, or had a huge after market value.
     
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