Definition
Consignment is a contractual arrangement in which you place your item with a dealer or auction house, who handles photography, listing, marketing, and sale in exchange for a commission (typically 15–35% of the sale price).
Why it matters
Consignment splits the difference between marketplace listing (full work, lower commission) and direct dealer sale (no work, but the lowest realization).
Example
A signed Hank Aaron jersey is consigned to an auction house with a 20% seller premium. The jersey sells for $4,000; the consignor receives $3,200.