From this need grew several industry leaders which now include PSA, Beckett's BGS, and Global Authentication GAI. These firms are considered the premium entities for graded sportscards and are presumably market leaders. The most valuable sportscards (over $50) are normally graded with these entities.
Prices to grade cards at the aforementioned grading houses range but
are generally around $10 per submission. This pricing paired with a
weakening resale market for lesser expensive cards in graded form
created the advent of discount graders like Mint Grading (MGS), Pristine Grading International (PGI) and Beckett's own (BCCG).
Lesser expensive cards were being graded less frequently at the senior
houses because of the expense and lack of profitable resale value.
The discount firms are somewhat less conservative than
PSA, BGS, or GAI and the respective grades from MGS, PGI, or BCCG
reflexively attain lower values in the marketplace. A MGS, PGI, or BCCG
10 grade is "softer" than a BGS 9.5 or PSA 10 comparatively.
However, PGI, Mint, and BCCG, all offer the consumer a protective
holder to safeguard the card as well as a detailed label that notes the
card's year of origin, card number, player featured, etc. just as
PSA/BGS/GAI do. Many cards with ungraded values less than $20 find
their way to MGS, PGI, BCCG holders as a result of the cost-prohibitive
nature of grading a $10 card at rate of $10 per card. Many cards
that receive PSA 10 grades don't resell for more than the cost of
submission.
Some collectors wonder why they rarely see cards graded lower than
Gem Mint (10) by Mint, PGI, or BCCG 10's. It's simple enough, the
grading company is told not to grade anything that won't make the
higher grade and the subpar cards are returned to the submitter for a
small fee. Just as it is often not profitable for a dealer to pay $10
to grade an inexpensive card with PSA, BGS, or GAI, it is similarly not
worth encapsulating and reselling cards less than a 10 grade with MGS,
PGI, or BCCG.
Companies like MGS, PGI and BCCG do provide tremendous value for collectors. For the price difference- often as much as 200% cheaper- discount grading offers a fantastic opportunity for the collector and has become enormously popular. I have personally 'crossed over' both PGI 10's and MGS 10's to Beckett 9.5's and PSA 10's. A simple review of eBay sellers who primarily sell the discount grading company's cards usually displays extremely positive feedback.
In summation, a buyer of a graded card should make a choice as to
what level of investment they wish to make which will of course be
reflected in the cost of the card, even in an auction marketplace.
Personally, we grade our more expensive inventory with the top flight
graders like GAI or Beckett's BGS line (our faves) and use PGI for the
more affordable cards. That's just what makes sense for us and where we
see the best bang for our buck.
Regards,
GG
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