How do you value a cover ?

This is a question that we are often asked and so here is an easy to follow modern equation that may be used to find the correct valuation. 

Simply put, it is a combination of rarity scales together with added points for supplementary factors. This may be used for all covers pre-World War II as after that event covers are not really worth considering, as we know.      

Firstly one multiplies the rarity factor of the country of origin by the scarcity of the cancellation on scales from 1 to 10 and 1 to 100 respectively. Great Britain is a very common country and scores "1", whereas Ecuador rates "8"". The Wotton-under-Edge Maltese Cross is a rare cancellation and would count as a "97", a Paris datestamp would be a "6". 

The country rarity index was first created by G.T. Jackson in 1967 and updates are available online. Cancellation rarity must be gauged in realtionship to the E.B. Proud points system or comparable equivalent found in specialist studies. When none such is available one must improvise a fair assessment. 

Next you take the catalogue value of the most valuable stamp on the cover, multiplied by its "on cover" factor (according to Mr Gibbons' listing) and add to your total. Then add the simple "used" catalogue values of any other stamps. 

How many different colours are the stamps ? For three or more colours multiply your total by 3. 

Look next for any scarce instructional markings or transit datestamps that may appear and add 15 points for any that you have not seen before. 

Now look at the franking. Is it the correct letter rate or "philatelic" ?  If it is the latter, divide by 5.  If it is a letter rate that was in use for less than a year add 50 points.

Next consider the sender and the addressee, whether either is significantly famous (i.e. their name will be recognisable to someone of average education). If the sender is, add 100 points. If the addressee is, add 20 points. If they are both well-known add an additional 30 points. 

Is there a letter or other enclosure ? If so, add 10 points. Is there anything exciting or politically incorrect in the letter e.g. an account of a battle or insulting comments about the "natives" ? If so, add a further 25 points.

Lastly, if the cover is dirty-looking and you do not really feel that you should touch it without wearing gloves, divide your total by 5.

Finally take your total figure, convert to the currency of your choice, and you have a "valuation" which can be used as your Ebay "starting bid" when selling.

Some may still find this tricky to follow and, to be quite honest, it is completely made up and will not work at all. G.T. Jackson and E.B. Proud are, of course, fictional characters.

There is however an alternative method that we favour for valuing covers but it is a little old-fashioned. 

"A Short-Lived Rate"

This method involves devoting one's working life to the constant absorption of information on postal markings, routes, rates and frankings together with their historical context. This coupled with the regular monitoring of prices achieved for items, mentally adjusting always to reflect the condition of the item, the disparity between auction/retail levels where relevant, whilst noting the length of time since a similar item was last sold and the movement of the market in the meantime.

Oh, and there is really no such thing as a fixed price for any cover but that is a discussion for another time.

***

Is knowledge of postal rates really that important for the postal historian ? 

Well absolutely, and we are noticing an increasing number of specialists who have been diligently tracing the evolution of these rates in their varying countries of interest.

Richard Stroud's collection of the Orange Free State, currently being prepared for the September auction, is the latest to highlight how very difficult to find examples of some of the more short-lived rates can be.

 Some careful research in this area could potentially prove very profitable when one is next flicking through a dealer's box . . . .

JG