The Proper Way to Bid

[happyfilmluvguy]

A LITTLE DISCLAIMER BEFORE RESPONDING:
This is one of those threads that may give an opportunity for some of us to judge others of their decisions. I am not for that. I believe that we all make mistakes, and whether we learn from them or not, does not necessarily make us bad people. I really do not want this to become a, "oh yeah, people don't think wisely anymore" or a "a lot of folks just don't have common sense" subject. So please, if you want to distinguish people that tend to be absent minded (like myself), please keep it to yourself.
I want a FAIR TRIAL IN THE COURT!

now for the subject.

On eBay, many times I have seen people who bid for an item that is for example, $10, and put it more than what is the minimum. They will put in $15. This makes the bidding price rise much faster, than if they were to bid for only $10, which would be the minimum. Now the second bidder bids. The current bid is at $15, and they now bid for $22.

The price of the item, which started at $10, has doubled by only three bidders, leaving all bidders with a much higher price than if they had bid the minimum. Now they are fighting for the item, and within 5 or 6 bids, the price is almost $100. Now I am no mathematician, but wouldn't the price be much lower had the first bidder, as perhaps all bidders bid within the minimum, rather than at a higher price?

Whenever I bid, I like to make it so that when the item is close to closing, the price is not too outragious for even me or others to bid any more, but in this case, the winning bidder now has to pay that outragious price, due to the previous bidders, as well as themselves. I do know some items do not have a small minimum, or no minimum at all.

Have you ever had this experience? Have you ever won one of these bids and were able to pay that price? Or maybe you accidently won since everyone else gave up because of the price. What type of item was it that became so extravagant because of it's price, when really it is not worth that much? Have you made the mistake of bidding too much without thinking thoroughly?

I must admit I have experienced some of these things. I bought $200 worth of professional wrestling action figures and accessories without any common thought, though I was young and a newcomer to eBay.

How about yourself? (remember the disclamer. )

 

[RedPop4]

A number of times I've hit the minimum bid to find myself already out bid by two or three bids, all of which have bids already entered, or a bidding program.

 

[happyfilmluvguy]

A number of times I've hit the minimum bid to find myself already out bid by two or three bids, all of which have bids already entered, or a bidding program.

This is usually common for an item on eBay. You have to act quickly. The moment you place your first bid, someone else has already out bid your first, and you now have to outbid them, ending with the same thing happening all over again, either by you and someone, or someone else.

Are you speaking of eBay, or an actual live auction in a social type hall?

 

[reetpleat]

As a real estate agent, and ex vintage clothing dealer including occasional e-bay, I tend to think that an item tends to reach it's real price which is what someone is willing to pay.

How do we value a unique item? It is what someone is wiling to pay. NO more no less.

Occasionally someone get's caught up in auction fever, but overall, items ted to go for their value unless something is mis listed, or someone get's lucky by bidding on an item that goes unnoticed that week.

You speak as if there is some conspiracy to get prices up. In reality, if I like an item and value it at 100 bucks, I will bid that. I might bid less and try to snipe, but if I really want it I will just bid the 100. If you come along and think it is worth 110 to you, my bad luck. If I put in my bid and no one else does, I might get it for less. Too bad for the seller.

If you got every biddr on e-bay to not bid so you could get it for 80 bucks, why would I agree to not bid 100 on it so you could get it for 80.

Bottom line is an on line auction is the best way for something to find it's true value out of an entire world wide market. about as close as you will ever get to supply and demand economics.

 

[LadyDeWinter]

On eBay, many times I have seen people who bid for an item that is for example, $10, and put it more than what is the minimum. They will put in $15. This makes the bidding price rise much faster, than if they were to bid for only $10, which would be the minimum. Now the second bidder bids. The current bid is at $15, and they now bid for $22.

The price of the item, which started at $10, has doubled by only three bidders, leaving all bidders with a much higher price than if they had bid the minimum. Now they are fighting for the item, and within 5 or 6 bids, the price is almost $100. Now I am no mathematician, but wouldn't the price be much lower had the first bidder, as perhaps all bidders bid within the minimum, rather than at a higher price?

What I do most of the time is that I bid in the very end of the auction (if the price is stil o.k. for me). The reason is that just don't want to boost the price for an item.
When I was new with bidding it happend that I got into that auction fever and bid too much. But now I stop when the price gets up to much.

 

[Matthew Dalton]

For the moment my bidding style is one bid, several hours before the auction ends...

Bidding wars and such are stress I just don't need.

 

[DOUGLAS]

I bid what I am willing to pay.If you bid too low expecting that everyone will do the same you will not win. I bid enough were I think that I will not get sniped in the last 2.7seconds of the auction. Even that does'nt always work. If I really want something I will get it, most of the time.

 

[Feraud]

It is hard to clearly state what is the fair and proper way to bid on auctions. You have a mix of people of different economic backgrounds and finanical means. This brings many different "bidding styles/personalities" into the game. One person may have a limited budget and another a nice fat trust fund to work with.
Your best bet is to find a technique that works for you and stick to it. Do not bid based on having to always win or suffer auction fever. These little trinkets are not worth the stress.

 

[Maj.Nick Danger]

It's only Ebay.

Right, it's not worth stressing out over. Ya win some and ya lose some. If I miss a particular item I'm interested in, another will come along eventually. In my auctions, it seems that most people will wait until day 4 of a 5 day auction before bidding. I get lots of watchers sometimes that fail to bid at all. And then sometimes I get bids on something right away when I didn't expect it. The fickle fates of ebay,....[huh]
Seems the best strategy is to bid your max and hope it goes through to the end.

(But when bidding on my auctions, remember to "Bid early and often!")

 

[Solid Citizen]

"BUY IT NOW" Fan

Have found on Ebay this is a much more relaxing experience doing
"Buy it Now". If a vintage dealer has something that fits at the right
$$$ I go for it.

Look the vintage dealers get their price $ , you get your things, its
100% better looking stuff than whats in the stores at a much better
price.

SC

 

[Daisy Buchanan]

The only way I bid is at the last minute. Bidding day's or hours in advance is what drives up the cost of an item. If everyone just leaves the item alone, then the price will stay low.

 

[happyfilmluvguy]

Maybe I'm just looking at this wrong. Most of the time I too am too afraid to bid and just do the Buy it now's. Some items just get too hectic. Occasionally I find an item that hasn't been bid at all. I'm one of those people who has a very limited budget and can't spend too much. Auctions should be fair game for all, but there's always those no holds barred, where people are racing to the finish. I think I'll join Solid Citizen and just do buy it nows. haha

Must less stressful

 

[Feraud]

Auctions should be fair game for all, but there's always those no holds barred, where people are racing to the finish.

You can look at this idea in two way. First is the idea that an auction is fair because anyone can bid and have an opportunity to purchase something at a fair price. I have seen nice auction articles sell for a pittance.
The flip side of the coin is there is always someone out there with more money to throw away. When those people are involved you are not going to win on a limited budge.
Fairness depends on one's perspective.
Having alternate shopping options are necessary.

 

[Orgetorix]

Like Daisy, I never bid before the last minute. And I almost never enter multiple bids. When I see an item I'd like to bid on, I think carefully about what the maximum I'm willing and able to pay for it is, and I set a sniping program for that amount. If I'm the high bidder, I'll get it; if not, no big deal. The vagaries of the bidding system, not to mention bad sellers and potential shipping problems, make it a bad place to try and get items I must have or that I need quickly. One has to be patient and not get bent out of shape over what might have been.

 

[jamespowers]

The only way I bid is at the last minute. Bidding day's or hours in advance is what drives up the cost of an item. If everyone just leaves the item alone, then the price will stay low.

Exactly! :eusa_clap You will never see my bid until 6 seconds before the end of the auction. I bid what I want to pay days in advance so bidding wars mean nothing to my bid.

Regards,

J

 

[LadyStardust]

Excuse my naivety, but could someone fill me in on a trustworthy sniping program(haha, I win the redundancy award! )? I think I'm finally ready to give in, because I have a sinking suspicion I've had items swiped out from under my nose much too often in the past few months, and I never start bidding until the last 40 seconds or so anyways. I saw a link to one posted in The Powder Room, but was really wary of it because it asked for your ebay account name and password, and that looked fishy to me. Thanks in advance!

 

[Flying Scotsman]

Technically, Ebay auctions are "fair" in that all parties have the same information, and all parties can bid any amount at any time. *When* to bid is a strategy decision, but not a question of fairness.

Game theorists have studied different kinds of auctions (and there are many) in attempts to figure out what the optimum strategies are. Interesting stuff, actually, if you're a mathematician. Turns out sniping is the optimum strategy for Ebay. Ebay auctions are a variant of a "uniform second-price" auction, by the way, but it's not "sealed bid". If everyone waited until the last second and submitted their bids (maximum amount willing to pay), it would be identical to a uniform second-price auction.

http://www.newscientisttech.com/article/dn9398-mathematicians-snipe-to-win-on-ebay-.html

There are lots of other papers on Ebay and other auctions and their strategies.

I use Esnipe...I enter the maximum amount I'm willing to pay, and forget about it. Esnipe automatically enters my bid in the last few seconds, without me having to remember to bid. If I win, great. If not, then someone else was willing to pay more than I was. No muss, no fuss.

ETA: Esnipe will let you set up "bid groups", as well...say there are 3 different sales of similar or the same items. You can set up a bid group, put all three items in it, give each one a different maximum price (presumably based on differing item conditions, etc.), and Esnipe will bid until it wins one of them, then cancel the rest. You can also set the time in seconds before the end of the auction you wish for Esnipe to place your bid. 5 seconds usually works fine, but I've experimented and had it work with 1 second to go.

 

[Mojave Jack]

Like Daisy, I never bid before the last minute. And I almost never enter multiple bids. When I see an item I'd like to bid on, I think carefully about what the maximum I'm willing and able to pay for it is, and I set a sniping program for that amount. If I'm the high bidder, I'll get it; if not, no big deal. The vagaries of the bidding system, not to mention bad sellers and potential shipping problems, make it a bad place to try and get items I must have or that I need quickly. One has to be patient and not get bent out of shape over what might have been.

That's my policy exactly. I simply decide what that item is worth to me, and snipe the auction. That prevents people who are outbid early in the auction from deciding that maybe that widget really is worth another $5, or $10, or $20, and so on until they finally win. I don't consider sniping to be unfair at all. It's just part of a strategy since everyone has an equal opportunity to snipe or bid early.

 

[panamag8or]

Excuse my naivety, but could someone fill me in on a trustworthy sniping program(haha, I win the redundancy award! )? I think I'm finally ready to give in, because I have a sinking suspicion I've had items swiped out from under my nose much too often in the past few months, and I never start bidding until the last 40 seconds or so anyways. I saw a link to one posted in The Powder Room, but was really wary of it because it asked for your ebay account name and password, and that looked fishy to me. Thanks in advance!

I'm pretty sure all sniping programs need that info. Your username and password have to be entered anytime a bid is submitted, whether it is manually or with a sniping program.


However, I could be wrong.

 

[jamespowers]

I'm pretty sure all sniping programs need that info. Your username and password have to be entered anytime a bid is submitted, whether it is manually or with a sniping program.


However, I could be wrong.

Nope. You are quite right.
How else would they know who was bidding?

Regards,

J