Concession vs. Consignment: Know the Difference
By Shumaila Saeed || Updated on December 25, 2023
A concession is a grant or allowance, often in a business or political context, while consignment refers to goods sent to an agent for sale or custody.
Key Differences
Concession often means a right granted to operate a business or perform an activity within a certain area, such as a food stall in a stadium. Consignment, on the other hand, involves sending goods to a third party (consignee) to sell on behalf of the sender (consignor).
Shumaila Saeed
Dec 25, 2023
In politics or negotiations, a concession is a compromise or yielding, where one party agrees to give up certain demands. In business, consignment means transferring goods for sale without immediate payment, relying on the consignee to sell and then remit earnings.
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Dec 25, 2023
Concessions can be seen in various contracts and agreements, often as privileges or discounts. Consignment is used in supply chain management, where goods remain the property of the consignor until sold.
Shumaila Saeed
Dec 25, 2023
Concessions are also used in terms of admission prices, offering reduced rates to certain groups. Consignments are crucial for businesses that don't have the capacity or desire to hold a lot of inventory, such as boutique shops.
Shumaila Saeed
Dec 25, 2023
The term concession can also imply surrendering or admitting defeat in a competitive scenario. Consignment, in contrast, represents a business strategy focused on inventory management and sales through third-party sellers.
Shumaila Saeed
Dec 25, 2023
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Comparison Chart
Primary Meaning
Grant or allowance in business/politics.
Goods sent to an agent for sale or custody.
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Dec 25, 2023
Business Application
Rights to operate a business in a space.
Sending goods to be sold by a third party.
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Dec 25, 2023
In Politics/Negotiations
Compromise or yielding of demands.
Not typically applicable in this context.
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Dec 25, 2023
Relationship with Property
Often pertains to privileges or rights.
Involves physical goods but retains ownership.
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Dec 25, 2023
Common Usage
Discounted rates, contract privileges.
Inventory management, sales strategy.
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Dec 25, 2023
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Concession and Consignment Definitions
Concession
A stand or booth selling goods at an event.
She bought popcorn at the movie theater concession.
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Dec 25, 2023
Consignment
A shipment of goods for sale or custody.
The consignment of clothes arrived at the boutique.
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Dec 25, 2023
Concession
A discount or reduction in price.
Students receive a concession on bus fares.
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Dec 25, 2023
Consignment
A business arrangement where goods are sold on behalf of the owner.
The furniture store sells pieces on consignment from local craftsmen.
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Dec 25, 2023
Concession
Admitting defeat in a competition or argument.
After the debate, he made a concession of his point.
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Dec 25, 2023
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Consignment
A method of inventory management.
To reduce storage costs, the shop used a consignment model.
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Dec 25, 2023
Concession
Something, such as a point previously claimed in argument, that is later conceded.
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Oct 19, 2023
Consignment
A collection of goods to be sent, in transit or having been sent.
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Oct 19, 2023
Concession
A grant of a tract of land made by a government or other controlling authority in return for stipulated services or a promise that the land will be used for a specific purpose.
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Oct 19, 2023
Concession
The privilege of maintaining a subsidiary business within certain premises.
Shumaila Saeed
Oct 19, 2023
Consignment
The sale of one's own goods (clothing, furniture, etc.) through a third-party vendor, in exchange for a portion of the sale price, and with the consigner retaining ownership of the goods until they are sold or abandoned.
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Oct 19, 2023
Concession
The business itself
There was an ice cream concession in the subway station.
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Oct 19, 2023
Consignment
The act of consigning or sending property to an agent or correspondent in another place, as for care, sale, etc.
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Oct 19, 2023
Concession
A snack, drink, or other food sold at a concession
Bought concessions at halftime.
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Oct 19, 2023
Consignment
That which is consigned; the goods or commodities sent or addressed to a consignee at one time or by one conveyance.
To increase your consignments of this valuable branch of national commerce.
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Oct 19, 2023
Consignment
The official act of consigning a person to confinement (as in a prison or mental hospital)
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Oct 19, 2023
Concession
Land granted by an authority for some specific purpose, particularly: township
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Oct 19, 2023
Concession
A privilege granted by an authority, especially to conduct business on favorable terms within certain conditions and particularly:
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Oct 19, 2023
Consignment
Goods sent to a third-party seller.
The artist sent her paintings on consignment to the gallery.
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Dec 25, 2023
Concession
(rhetoric) An admission of the validity of an opponent's point in order to build an argument upon it or to move on to another of greater importance; an instance of this.
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Oct 19, 2023
Consignment
Retaining ownership of goods until they are sold.
The jewelry remained the property of the maker until sold on consignment.
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Dec 25, 2023
Concession
(by extension) Any admission of the validity or rightness of a point; an instance of this.
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Oct 19, 2023
Concession
A gift freely given or act freely made as a token of respect or to curry favor.
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Oct 19, 2023
Concession
An item sold within a concession (see above) or from a concessions stand.
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Oct 19, 2023
Concession
The act of conceding or yielding; usually implying a demand, claim, or request, and thus distinguished from giving, which is voluntary or spontaneous.
By mutual concession the business was adjusted.
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Oct 19, 2023
Concession
A thing yielded; an acknowledgment or admission; a boon; a grant; esp. a grant by government of a privilege or right to do something; as, a concession to build a canal.
This is therefore a concession, that he doth . . . believe the Scriptures to be sufficiently plain.
When a lover becomes satisfied by small compliances without further pursuits, then expect to find popular assemblies content with small concessions.
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Oct 19, 2023
Concession
A contract granting the right to operate a subsidiary business;
He got the beer concession at the ball park
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Oct 19, 2023
Concession
A point conceded or yielded;
They won all the concessions they asked for
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Oct 19, 2023
Concession
A right or privilege granted by an authority.
The company obtained a concession to operate the cafeteria.
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Dec 25, 2023
Concession
Yielding or compromising in a negotiation.
The union made a concession to avoid a strike.
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Dec 25, 2023
Repeatedly Asked Queries
Are concessions only found in sports venues?
No, they can be in various venues like theaters, airports, etc.
Shumaila Saeed
Dec 25, 2023
What is a concession agreement?
A contract granting rights or privileges under certain conditions.
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Dec 25, 2023
How does consignment work in retail?
Goods are sent to a retailer, who sells them and later pays the supplier.
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Dec 25, 2023
Is a concession a form of discount?
Yes, it can be a reduced price for certain groups.
Shumaila Saeed
Dec 25, 2023
Can concessions be political?
Yes, as in yielding or compromising in negotiations.
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Dec 25, 2023
How is pricing determined in consignment?
Usually by agreement between the consignor and consignee.
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Dec 25, 2023
What is a concession in business?
A right or privilege granted, like operating a space within a larger facility.
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Dec 25, 2023
What does consignment mean?
Sending goods to someone else to sell on your behalf.
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Dec 25, 2023
Do concession stands sell their own products?
Typically, they sell products provided by the venue or event organizer.
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Dec 25, 2023
Do concession holders pay rent?
Often, they pay a fee or a percentage of sales to the property owner.
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Dec 25, 2023
Who owns the goods in consignment?
The original owner (consignor) retains ownership until they are sold.
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Dec 25, 2023
Are consignment sales final?
Generally, yes, but policies may vary by consignee.
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Dec 25, 2023
How do consignment shops make money?
By taking a percentage of the sales of consigned items.
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Dec 25, 2023
What risks are involved in consignment?
Unsold inventory and dependence on the consignee's sales ability.
Shumaila Saeed
Dec 25, 2023
How do businesses benefit from consignment?
By not paying upfront for inventory and reducing storage costs.
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Dec 25, 2023
What is consignment inventory?
Goods held by a third party for sale, not yet purchased.
Shumaila Saeed
Dec 25, 2023
Is a concession stand a small business?
It can be operated as a small business or part of a larger entity.
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Dec 25, 2023
What happens to unsold consignment goods?
They are usually returned to the consignor or may be discounted.
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Dec 25, 2023
Can a concession be temporary?
Yes, like in a short-term event or contract.
Shumaila Saeed
Dec 25, 2023
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About Author
Written by
Shumaila SaeedShumaila Saeed, an expert content creator with 6 years of experience, specializes in distilling complex topics into easily digestible comparisons, shining a light on the nuances that both inform and educate readers with clarity and accuracy.
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