What are Penny Auctions?

Recently, a friend introduced me to a series of sites that claimed to sell valuables at extremely low prices. Since I had never heard of the Penny Auction and Reverse Auction sites, I was rather skeptical. The idea that someone will sell an Xbox 360, iPod Touch or PS3 slim for a change is pretty hair-raising. But after further investigation, I must say that their claims were largely true. There are sites like Biddor and Swoopo that sell you items for cents on the dollar. There are also sites like BidBlink that run reverse auctions where you can not only win items, but get paid for getting them. But there are some hooks.

Penny Auctions have a built-in fee. Most auctions charge from 60 cents to one dollar per bid, with bids sold in sets of twenty or more. This means that you pay a small fee for each bid you make. Each offer increases the price by a certain amount. Sites like Biddor and Bidray increase the amount by one cent. Other sites, such as Swoopo, increase by six cents or twelve cents, depending on the value of the item. There is also a timer on most of these sites, which increases with each bid submission. Generally, this time is ten to thirty seconds. So it’s not like they sell a 720p LCD TV for $ 5.00 as much as the number of people bidding, which means the winner of a cent auction gets a discount of a few hundred dollars.

Another way this site is operated is a “reverse auction”, in which case each bid lowers the price. Again, you pay a set fee. In a reverse auction, such as those in Bidray, any amount below zero that the item can reach will be credited to your account. If the item does not fall below zero, you will pay any remaining amount. In most cases, it is still between 10% -25% of the current price. Other auction sites like Winnit select the winner based on the lowest unique bid and give you tips to help you guess the right amount to win the item for that price.

All of these sites provide an auction-style rush and give participants the chance to win items much cheaper than you would pay in any store. The site advertises winners who have won brand new games for the Wii, PS3 and Xbox for less than $ 3.00 or LCD TVs for less than $ 50. While this is true for most of these sites, you need to be careful.

Now it’s your limit: Catching up in the auction can cause you to end up bidding more than you planned. Knowing how much you plan to spend in advance is a good system.

Reputable sites: Sites with offerings such as Swoopo, Biddor, Bidray and Winnit are run by reputable companies that offer a fun and exciting shopping experience.

The last thing is to know what the site offers. Some sites offer Bid Butlers, which allows you to set automatic ranges in which your computer should bid for you. This will allow you to stay competitive and auction-free without exceeding a certain price range. Also find out if the page covers traffic. Winning a 37-inch LCD TV is nice, but paying $ 40 for shipping is a little less exciting (though still a good deal).

Leave a Reply 0

Your email address will not be published. Required fields are marked *