The auction business has changed from what you may have known it to be in the past. Like many other businesses, auctions are now mobile. This shift has led to an increase in auction success where many other industries are struggling to adapt. Here’s what you need to know to see what kind of online auction you want to be a part of.
Penny auctions are a player’s game. What we mean by this is that it’s somewhat up to chance in that you must pay to play. You are required to pay before you bid. Even if you lose the bid, you do not get the money back. You also pay as you bid, for each bid. For example, if you bid five times at $1.00 a bid, you will have paid $5.00 in addition to the cost of the item that you won.
These have worked well for online auctions because of the number of potential buyers and sellers. Reverse auctions are typically used for goods like a service or raw material. It’s reverse from a typical auction in a way that the buyers post what they are looking for and the sellers place bids on the payment they want to receive.
English auctions are typically what you think of when it comes to a “classic” style online auction. As each buyer bids, the cost of the item increases. In person, this would be done verbally, but online this is done electronically with a click of a button and a selection of the amount you are willing to bid.
This type of auction is most common in Europe. It is unique in that instead of having one large item up for bid, there are many items being auctioned in bulk at one bidding price. The bidding is reverse from an English auction in that the starting price is high and decreases throughout the course of bidding.
First Price Sealed Bid Auctions
As listed in the name, the bids are sealed. As a bidder, you have to use your best judgment as to what strangers on the internet may bid, while making sure to not outbid the budget you have set. The auctioneer reads the final bids and the item belongs to the one who has bid the highest.
Backes Auctioneers conducts a variety of online auctions to fit with your bidding and selling preference. Come check out our next online auction now!