Consignment stores see mixed success rates

IOWA CITY - As you might expect, more consignment stores began popping up during the last recession and those already in operation reported seeing increased sales.

So how's business now that the economy has picked back up? For some, even better as consumers become more confident and fill pent-up buying needs and wishes.

Artifacts in Iowa City, for one, specializes in vintage items and claims that business has been steadily increasing for the past several years.

'People are looking to buy quality items that are a little less expensive or to downsize and make a little money,” said Margaret Roberts, store manager.

Roberts's position was increased from part-time to full-time when business began to increase, helping the store to process incoming items more quickly.

'More people have become aware that quality, pre-owned items are available to them and are often better crafted and more stylish than something they can buy new,” Roberts said.

But not at all consignment stores have fared as well.

Marion's Totally Toys and More Children's Consignment will close on April 15 after four years in business.

A recent post on its Facebook page stated, 'Due to the past two very harsh and bitter winters and with the economy, we have struggled trying to keep our head above water but have not succeeded.”

Consignors were asked to retrieve unsold items by April 28.

The owners could not be reached for comment.

Randi Hoefing, owner of Top Drawer in Cedar Rapids, reported business has started to pick back up recently but, so far, isn't nearly as good as before the recession began.

Top Drawer, which opened in 1991, sells mostly furniture and home decor items - which may partly explain why it hasn't benefited from the recession as much as other consignment stores. Big-ticket items such as furniture don't do as well in tougher economic times, Hoefing explained, while clothing continues to sell because it's at a lower price point.

Top Drawer had to increase its consignment commission from 45 percent to 50 percent to adjust to the negative effects of the recession.

'We definitely saw many more sellers than buyers,” said Hoefing. 'We never really had trouble getting merchandise. People were looking at their purchases differently and buying what they needed or deemed practical versus wants or extravagances.”