posted on May 20, 2003 05:23:06 AM
You bet it works. If you start an item worth $50 at $1 just think of all of the "outbid notices" sent out. Outbid notices are like dropping blood in shark infested waters. People get them and they go into a frenzy, and are more likely to bid again, just to take the item "back" from the guy who outbid them. Auctions that start real low become much more active throughout the duration and tend to do better...I strongly believe in this
posted on May 20, 2003 05:39:25 AM
It better be an item that collectors are wanting or you are willing to let go for a $1.
I do a few sometimes... sometimes it pays off and sometimes it doesn't... but I am willing to let the item go for a buck because most times it is something that I picked up for a quarter or 50 cents or something I just haven't been able to sell want want it gone.
posted on May 20, 2003 05:40:42 AM
but it will take a lot more to reach your price target,savvy bidders do not bid high,just another 50 cents more to stay as high bidder.
posted on May 20, 2003 06:56:37 AM
If you mean starting low and no reserve, I think it works IF the item is really a desireable one.
There are a number of dealers who do no reserve/low starting bid auctions who do very well. The reasons are: Good merchandise, reputation for good merchandise, an eBay following, and awareness of the current market.
I think the bidding is enthusiastic for their items because the bidders know that if they are the highest bid, they win the item. Retail-price reserves are a turn off. There is nothing wrong with setting retail prices, just don't send people through the charade of an "auction".
One dealer of very good, but (deservedly) expensive items has started doing this. One item I saw was listed several times before. Based on his combinations of buy-it-nows, starting prices, etc. his reserve was apparently in the area of 3500.00 - and never sold it. It is now listed starting low/no reserve. Bidding is already at 2245.00, with several days to go.
Another dealer I follow has an item I was interested in, but reserve was far too high. It keeps re-appearing, but not only never hits reserve, but the highest bids get lower and lower with each listing. It is a small world, even on eBay, and after a while bidders will lose interest in chasing reserves.
posted on May 20, 2003 07:45:12 AM
If you don't set a reserve then you had better be prepared to sell the item for $1 unless it is a high demand item..sales are sluggish now in many categories (the season and the economy etc).
I sell postcards which dont exactly fall in the category of "valuable antiques" but the one time I experimented with the dollar thing I vowed never to do it again! I ended up with lots of sales at $1 when I know that those same buyers would have paid any reasonable asking price for those postcards!
There are many who refuse to bid in "reserve" auctions (I am one)..good luck in whatever you decide!
posted on May 20, 2003 08:03:37 AM
I am sure postcards would not be good for this. Most people collect postcards because of a specific interest - for instance, I collect postcards which show my house. Whether I pay 1.00 or 20.00 is irrelevant to me, however, I am also not likely to have a lot of bidding competition, so my bid is usually the only one.
But if, for example, you have a flow blue soup tureen in mint condition, barring technical difficulties, it is unlikely to slip through for $1.00. If it is really a 3000.00 item, it will get there.
Read the auction reports from live auctions - in this economy, the exceptional still brings great prices - the "stuff" does not.
posted on May 20, 2003 08:04:38 AM
I see a lot of great items that start at $1 with no reserve that sell for $1 or $2. With the 9 or 10 million listings on ebay its easy to have only one bidder want the item you listed. They may have been willing to pay much more but the $1 start bid let them get a real bargain.
posted on May 20, 2003 08:52:03 AM
If you have multiple bids on items...yes it works.
If you sell in categories where the first bidder wins, then it will not.
I sell record albums, movie posters, and postcards. It doesn't work in any of the above.
I would rather ship one item for $7.00 or $9.95 than 4 at $1.00 or $2.00 which is about as high as they went when i ran test auctions to see if it would work for me.
Edited to add:
As far as the "outbid notice" helping out goes. I have everything checked to not send out any notices on Ebay so I don't get them.
[ edited by lindajean on May 20, 2003 08:54 AM ]
posted on May 20, 2003 08:56:26 AM
Starting at a dollar for antiques usually backfires especially if another seller has the same or very simular item listed at fixed price or buy it now. The serious bidders will purchase the fixed price item bypassing that underpriced item. Also by starting a valuable item at such a low price, it will give the impression that there is something wrong with the item making it not valuable. I have many more bidders bid on valuable items that are priced fairly showing it's real worth.
[ edited by stonecold613 on May 20, 2003 09:00 AM ]
posted on May 20, 2003 09:02:17 AM...savvy bidders do not bid high,just another 50 cents more to stay as high bidder.
I have to disagree. "Savvy bidders" don't play that nickle-and-dime business, they either bid their max and let the proxy work for them or (more likely) find a good free sniping service and let that zoom in at the last minute.
Nobody who understands eBay would place a value on being the current high bidder on an auction with significant time left. It only matters that you're high bidder at the end.
Sniping is the tactic that can kill $1 sellers. There are only so many bids that can be entered in the last few seconds of an auction, and unless two of the snipes that get in are from serious players, the auction will probably go for less money than it's worth.
[ edited by msincognito on May 20, 2003 09:06 AM ]
posted on May 20, 2003 10:00:50 AM
I have one item I know I could have started at a dollar and got the same price I got at the end. Would it have gone higher? I don't know, if I start at a dollar, I wonder if I am saying "despite my glowing pics, and description, is this item worth so little to me?" Still trying to figure out what I am saying to the bidder in that instance, I just watched a bunch of 1 dollar auctions by another seller, she is dumping her inventory and the prices are still dinky, compared to retail, on some items.
I just finished a bunch of bead auctions, thank god for a last minute bidder, that would have languished at the dollar price.
I think it depends on the item entirely.
I think mental ownership is great, if there are at least two people who are willing to duke it out for a spell.
Still on the learning curve!
Japerton
posted on May 20, 2003 10:28:50 AM
.....if I start at a dollar, I wonder if I am saying "despite my glowing pics, and description, is this item worth so little to me?"....
It could be saying - this is such a good item, I have complete confidence in the competitive market!
As you said, it entirely depends on the item. There are pros and cons for auctions, as well as other venues such as retail, etc. I think one problem for ebay sellers is that many of the listings are for items that are not well suited for online auction sales.
The psychology of the auction is that if you cannot at least create the illusion of a "deal" most people lose interest. May not be rational, it's just a fact.
posted on May 20, 2003 10:40:36 AM
I tried it for ephemera (ads, maps, collectible paper) it does not work well. Now, I start every auction with the price with which I would be happy. Have sold fewer items but at greater prices. I think everyone is right, it just depends what you are selling.
PS: On more than one occasion, I have been one of three or four selling the same item and mine is priced at the higher level (still less than $10) and mine will get chosen. I ask why and they say they liked the picture, or description, or feedback or "the feel". I have just about quit trying to figure the psychology of the buyer. Now, I just get the product out there with a reasonable price. Good luck.
posted on May 20, 2003 11:18:25 AM
It's ironic that this same thread a couple of years ago would of be full of praise for the low starting bid gambit. Things have changed a lot at ebay and the economy in general in the last couple of years.
