What Makes Online Auctions Successful?
Your guide to the online auction world
Online auctions are all the rage in the industry right now. You might find yourself wondering what makes online auctions successful? With their many advantages such as convenience and a wide range of bidders, people jump at the chance to sell as well as buy assets in these popular auctions. We know that not everyone is familiar with the auction world though, so we wanted to make sure that all of our buyers and sellers are informed as to why online auctions are so successful!
Auctions Are Profitable
To start, we will just say that auctions in general are an extremely successful way to sell large assets such as farm equipment, heavy machinery, autos, tool and die equipment, etc. The basis of this premise is the bidding process, which is both advantageous to the buyers and the sellers:
For the seller in the auction, they are likely to get a higher final bid on their item than they would get in a regular used equipment or machinery sale. Buyers bid back and forth, driving the price higher, resulting in a higher final bid that the seller will be able to collect. Most of the time, a bidder will value a piece of quality used equipment for more than the seller might think and will pay at least a little more than the hard and fast price an equipment resale shop would sell it for.
If you are a bidder, there are a ton of reasons that auctions are successful for you! For one thing, the starting bid in the pre-bidding process is typically low, allowing you to start bidding at a lower price than you could imagine paying. After that, you are the one dictating the price of the sale! You will place your bids online up to what your decided maximum bid is, so you will either be purchasing the asset for exactly what you value it for or less! This allows for a lot more consumer value on your end, since you aren’t controlled by the sellers set price!
Convenience
We live in a world that is all about flexibility and ease of use. We want everything we do to be as easy as possible, and often times stop pursuing an opportunity if we hit the slightest roadblock. This is a large part as to why online auctions have done so well.
From the seller’s perspective: As a seller, you have very little work to do to hold an online auction. We do all the work for you, so that you can just sit back and see the final bids roll in. You don’t have to deal with the added expenses of hosting an event on your property, and don’t have to interact with buyers face to face, answering questions or negotiating prices.
From the buyer’s perspective: For the buyer, participating in an online auction is as easy as online shopping! You simply sit at your computer (or scroll on your phone!) and browse the various items that are available in the online auction. You don’t have to attend any event, so the costs of transportation as well as having to block out a large part of your day to attend a live auction won’t exist!
Bidders Don’t Have to be Present
Another fantastic part of online auctions is that you don’t have to be present to bid. You may be thinking that we just covered this topic in the last section – but think again. One of the best parts of an online auction is that bidders can set a maximum bid before the auction starts, and then go on their merry way. Then, during the auction, the computer will continue to bid by the bid increment for that bidder until the current bid surpasses the buyer’s maximum bid, or the buyer has won the lot! This provides a huge advantage to the buyer because they don’t have to be available during the whole course of the auction, they can be running errands, at work, or even sleeping! More people are likely to participate in an online auction when they don’t have to be there the whole time, which brings more bidders in and thus adds more competition, driving the final bid up for the seller!
Draw Bidders From All Over
When you partner with a large auction company like us, your auction will be visible to all of our loyal bidders who are constantly checking in about upcoming online auctions. These bidders are located all over the country,
so your auction will draw bidders from beyond where you are located. We also have a great marketing team that works hard to make sure your auction is promoted to the right people!
Are you ready to sell your unneeded assets in an online auction? We hope that this article has been full of valuable information that allows you to see what makes online auctions successful. If you are looking for further information on what you as the seller can do to make your online auction even more successful, check out one of our other blogs here. If you have further questions about the online auction process or are looking to partner with us to sell off your equipment, contact us here. Happy bidding!