subject: A Penny Auction for Everyone [print this page] A Penny Auction for Everyone A Penny Auction for Everyone
Penny Auctions are available in many different formats with each one having its own unique way of working. Penny Auctions are innovative, intense, and competitive, which is why it is recommended that novice bidders study seasoned bidders' strategies to develop a set of winning strategies.
The Traditional Penny Auction: With Penny Auctions, the price usually begins at $0.00 and with each bid placed, the price increases by a small amount, usually one or two cents at a time. Bidders must place purchase bid credits in order to participate in penny auctions (credits vary according to site). The last bidder wins the auction. Most penny auction sites sell everything from high priced electronics, retail gift cards, and Coach handbags.
The Reverse Auction: Reverse auctions are gaining popularity as more people go online. With a reverse auction, the price starts close to the retail price and goes down with each bid. When the auction begins, the price starts to decrease. If a bidder likes the current price, he or she can purchase it for the price indicated.
The Seat Auction: Seat auctions are not as popular as live or penny auctions. Seat auction participants must purchase a seat before partaking in an auction and usually requires bidders to have enough credit available as these auctions sell large items such as real estate, antique jewelry, or classic automobiles.
The Hidden Price Auction: In hidden price auctions, the current auction price is not viewable by bidders. If a bidder wants to see the auctioned item price, he or she must pay a small fee.
The Lowest Unique Bid: These types of auctions are innovative as the bidder with the lowest unique bid wins the auction.
