Don’t Let Auction Sniping Kill Your Online Auctions

Posted by on Sep 1, 2015 in Auction Software | 0 comments

Bidding for online auctions is undeniably a game. A fun game, a game that can have many strategies. From the very basic incremental bidding to a troublesome sounding sniping to clear cheating in the form of shill bids. Most importantly, it is an interactive game, where your action depends on the other players’ actions. Each of the strategies, has its up sides and down. Let us talk about auction sniping – why one would do it, why one maybe shouldn’t do it and why do sellers not like it so much. What is Auction Sniping? A snipe bid is one in which the bidder makes his “maximum possible” bid at the “last possible moment”. The two elements of this strategy are the value of bid and its timing. – Maximum possible bid would mean the most that the bidder is willing to pay for the item on auction. This is basically how the bidder values the said item. – This bid is timed in such a way that it makes any other bidder impossible to overbid it. So, if the bid is the highest bid, it is more than likely to win. Of course, this is true only for auctions that have fixed end times. Auction Sniping: Buyer’s point of view Pitfalls: Now, there are many things to consider before calling this a winning strategy from the buyer’s point of view. The strategy assumes that the bidder knows for sure what the true value for the item is. This is untrue in most real-life cases. We can never say how much exactly we are willing to pay for an item without having a baseline to compare with. Secondly it assumes, that the bid will definitely be higher than other bids. Or in case of proxy bids, nobody’s proxy bid will go beyond the auction sniper’s bid. Why is the buyer sniping? Considering the practical issues, why would a buyer snipe at all then? For one, it is a relatively low maintenance considering there is a hoard of inexpensive software out there which can do it for you. Secondly, it makes all the right noises as far as winning at best price goes. Anyone who is selling sniping software makes very good arguments and claim near 100% winners. Last and most importantly, there is a good chance the bidder will get to buy at a much lower price than if they were bidding incrementally. Consider how the two strategies work. The idea is that instead of bidding many times from when the auction opens, you bid just once at the fag end of the auction. The bidding psychology in the first strategy, is such that the bidder is gauging what...

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Should I set up a ‘Buy Now’ price for my online auctions?

Posted by on Aug 25, 2015 in Auction Software | 0 comments

How an online auction site sets up rules for “Buy It Now” and “Reserve” prices varies from site to site. From when the “Buy It Now” option is unavailable even if it is setup to when the reserve price is made known to bidders, the terms and conditions are different for every site. Also the fee levied on such options varies with each site. It will do you well, to go through the specific rules of the site you are using to sell your product thoroughly. As usual, when buying you should be cognizant of additional shipping charges, etc. The common understanding of these terms though are worthy of discussion.   “Buy Now” Online Auctions An online auctions website can allow you to have a “Buy It Now” price for an item you have put up for sale. In such a case, the bidder can opt to buy the item right away at the said price instead of participating in an auction. This automatically ends the sale. Since we are talking about online auctions, we are only looking at cases in which the “Buy Now” feature is used along with an auction. It should be noted though that some sites will allow you to have only “Buy Now” sales. This would then function like any other online sale. The various related rules that an auction site could have are as follows: – Category: The “Buy Now” option might be available only for a certain type of items in online auctions. – Price: The “Buy Now” price has to be a certain % above the start price. – Feature disabled: The “Buy Now” feature could be disabled as soon as the first bid is placed. Or it could be disabled when it reaches a certain % of the reserve price. Price determination: The tricky part then is to determine what the “Buy Now” price should be. One strategy could be to keep an eye on similar products and see how they have fared in online auctions to determine the “Buy Now” price. Another alternative could be to arrive at a price that you are willing to accept for the product. Basically, you don’t want to regret it if a bidder opts for the “Buy Now” option you have for them. Benefits: – Control: Having a “Buy It Now” options lets you have some control over the price. It also gives direction to the auction. When a bidder sees the said price, they are less likely to start bidding a lot below that price. – Speed: As the auction space has grown, ironically enough, people who make on “Buy Now” purchases have increased. These are most likely people who want the product...

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Live Online Auctions Without Auction Software – Impossible

Posted by on Aug 19, 2015 in Auction Software | 0 comments

As your live online auctions and auction business becomes more popular and grows, the one beautiful problem it will bring along is increase in traffic and transactions. Many a online auction businesses start out with manually managing the auction one at a time. For example, you might have used the comments section to monitor the auction. Or alternately, you might have had bidders call or e-mail you and updated the website accordingly. The many problems with such a manual auction management system are self-evident as compared to Live Online Auctions: A time-consuming process: It requires more than 100% of your time. If live online auctions is on, you have to be up and about to monitor any glitches or trouble-shooting it might require. Lots of room for manual errors: After all that effort, a manual auction system is no where close to being perfect. Of course, no system is going to be 100% error-free but a manual system, that requires frequent and similar type of updates is bound to have a larger share of errors when compared to an automated system. Looks and is amateurish: A manual system is bound to be look and be unprofessional. In this era of automation for even courier delivery, a manual system is primitive. You can’t blame a bidder for not taking you too seriously and gravitating towards the more automated systems of auction. Less control to bidders: The move towards automated systems by users will also be a function of how much control users can have when they are logged into an automated system that allows them to keep track of their own actions and monitor auctions they are interested in. Breaks down with higher volumes: A manual system is invariably going to crack under the pressure of higher volumes in both number of transactions and the bidding itself. The cost of losing business has to be pitted against the cost of auction software for live online auctions. Little scope of adding features: These are times of more and more functions and features being offered to a site user. It is impossible to compete with feature rich auction software using manual systems of auction. These features become even more important when your auction is live. Using auction software for live online auctions is practically inevitable to move to an automated system for your own good. This is not that bad because there are loads and loads of auction software options out there which are feature rich and have a whole load to offer. The only reason for you to stay with the manual method is that either your volume is low or the frequency of your auctions is less. As soon as...

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Stripe Payment Gateway Addon Released

Posted by on Aug 13, 2015 in Auction Software | 0 comments

Stripe addon is now available for WPAuctionSoftware Plugin. Besides being PayPal & Authorize.net ready, WPAuctionSoftware can now support Stripe payments too. You can choose to enable either of these 3 payment gateways on your auction site. With this addon, you can add a payment option in WPAuctionSoftware for customers to pay with their cards via stripe. Stripe addon accept payments on your auction site. Instead of pushing people off your site to pay, Stripe payment gateway allows your users to pay with a simple, well-designed payment pop-up. It provides the option for a more richly featured payment management system. Stripe’s service has been fully integrated within our auction platform, to provide a truly comprehensive range of payment options, control and protection for today’s online auctioneer. Features of Stripe Payment Gateway: Processes credit cards without sending clients to another site Allows you to accept payments from customers anywhere in the world Secure interaction with Stripe servers keeps your customers’ data safe Seamless checkout experience within your own site; means increased conversions & sales Advanced features and functionality of Stripe Payment Gateway: Completely integrated online credit & debit card payments. All payments are captured directly on your auction website, so the user stays within your domain – ensuring all interaction remains under your branding control. Safe & secure credit & debit card information storage for later use. Payment cards and corresponding information can be securely stored, and then reused on another occasion by the bidder, without their needing to re-enter details. There is also the option to hold and use these card details to take automatic or semi-automatic payments from the user post-auction. Full pre-authorisation of payment cards, prior to taking any actual payment. This provides the means to pre-authorise users, via their credit & debit card, when they first apply to bid on an auction. Users can therefore be forced to provide these details before they’re allowed to bid. Easy-to-use Stripe control panel. A simple administration area that allows you to easily manage payments and all securely stored client information & profiles. Highly competitive charging structure. Stripe provides a low market-leading fee of only 2.4% + 20p per transaction. Foreign exchange payments are charged at an extra 2% over standard market exchange-rates. Payments are sent direct to your current account on a 7 day rolling basis. Simple and efficient direct bank-transfers mean that no other third-party merchant account is required. Proven fraud protection, security & compliance. Stripe actively works to protect your business from fraudulent charges and monitors suspicious transactions, while providing full security and financial compliance. Auction Software Stripe AddonIf you like to add Stripe payment gateway to Auction Software, you can use this Addon. Free support and free...

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Proxy Bidding Addon Released

Posted by on Aug 13, 2015 in Auction Software | 0 comments

Proxy bidding addon is now available for WPAuctionSoftware Plugin. With this release, you can now bid on two or more items being sold around the same time. Proxy bidding makes bidding an online auction easier and less time consuming for buyers. Features of Proxy Bidding – How its Beneficial for an Online Auction? – Allows automated bidding: Proxy bidding addon allows users to make an absentee while the bidding process is going on. The user does not have to keep bidding by himself as it will be done by an automated system. – Saves Your Time: It saves lot of time by playing a vital role of proxy bidder. Proxies do the bidding on your behalf once the amount is fixed. – Saves Your Money: The proxy bidding can save your money which you may have otherwise lost in the usual online auction. Proxy bidding addon allows the user to enable proxy bidding feature by setting ‘yes’ or ‘no’. The best part is you can enable proxy bidding feature any time you want; before the bidding starts, after or in-between the bidding process. Next, the bidder places a maximum bid amount that he is willing to spend on a product. The user can do so by enetering the amount and clicking on maximum bid button. So, here is the process of proxy bidding: Step 1: Bidder Sets a Maximum Bid Amount Step 2: System Places a Bid Step 3: New User Places a Bid Step 4: Bids are Compared Step 5: System Places a New Bid Step 6: Process Continues Proxy Bidding – How it works for an online auction? Proxy bidding is an online auctioning system in which the winning bidder pays the price of the second highest bid which makes auctioning on bidding easier and less-time consuming for buyers. Suppose, if you want to bid on an item but you can’t make to the auction yourself, you may still be able to participate through proxy bidding. Proxies bid on those products on your behalf. The proxy bidding feature allows users to decide a maximum amount that they are willing to spend on an item. Once the amount is fixed then the user does not have to get engaged in any extensive bidding activities. From this point onwards the proxy bidding feature in the auctioning system comes into play. The auctioning system now plays the role of a proxy bidder and places the minimum required bid on behalf of the user. When the bid on which the product has been auctioned reaches maximum bid amount specified by the user, the system notifies the user to place a new bid for the product. Here the user gets a chance...

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