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eBay Auction Bidding Strategies--Overcoming the most Frustrating Situation on eBay


The Problem...

It's happened to the best of us.

You've been watching the auction all week, and finally you're about to claim your prize--a rare bronze statue from the Qing Dynasty. Or something just as tantalizing.

You log on a few minutes before the auction closes, and confirm that you're still the top bidder -- no one has challenged you in several days. You're already picturing "your" statue prominently displayed on the living room mantelpiece, your friends green with envy as you tell them about the great deal you got on eBay. You refresh the page a few times, to make sure you're still number 1. You even up your bid a little just to make sure no body tries to outbid you at the last minute.

50 seconds to go...30...10...the auction has ended and the statue is yours!! You refresh the page for the last time so you can see your eBay ID announced as the winning bidder. And that's when your heart drops to your toes. It's not your eBay ID at all, but some joker who calls themselves "SpeedyFingers123".

How could this have happened?

You were the winning bidder with only 10 seconds to go!! Speedy or not, it just doesn't seem humanly possible.

Well, you're right. No one is that fast. SpeedyFingers123 (I made that one up, so if it's your actual eBay ID, please don't sue me!) won the auction in the final 4 seconds. It isn't humanly possible because "speedy" didn't actually place the bid. The bid was place on his or her behalf, from a remote server, using something called Bidding Software.

You've Been Sniped!

The act of placing a bid during the final seconds of an online auction is called "Sniping" and it's perfectly legal on eBay. Bidding wars and sniping are an eBay sellers dream and a buyer's nightmare. Why, you're asking yourself, don't these people just use eBay's trusty proxy bidding process? Why not just discreetly enter the maximum they're willing to pay at the beginning of the auction, then let the cards fall where they may? Well, for a couple of reasons. First, it's not human nature. If all you have to do is outbid the next guy by fifty cents or even five dollars to win, wouldn't you?

Second, it doesn't make economic or strategic sense to place a bid anytime before the last five minutes of an auction.

Think about it. eBay encourages bidders to use the proxy system and place bids early. What this means is that an inexperienced bidder who wants an item will want to be the highest bidder right away, and will keep upping their bid to hold that winning position. They'll only stop when the bidding exceeds their budget. Then the next guy comes along and continues the process. If this starts at the beginning of a seven or ten day auction, and ends with a bidding war in the last 10 minutes, the final price for the item can spiral out of control. Many items sell for far more than fair market value because people get caught up in "bidding fever" -- all they want is to WIN, they're not even thinking about whether the price is realistic.

What to Do?

A better strategy would be for everyone to "watch" the auction until the very end. Again, there's two good reasons. One, the price doesn't spiral up as just illustrated. Two, the auction has zero bids, so it attracts fewer bidders-- less competition. It's a fact that once an auction has at least 1 bid, it becomes a magnet for additional bidders. Shoppers scanning an auction page tend to jump to the ones with bids, figuring there must be something that attracted other bidders. The more bids, the more interesting the item looks.

Wouldn't it be great if a seller started a two carat diamond ring at $0.99 and no one bid until the last five minutes, and they all bid in fifty cent increments? Someone might win the ring for just a few bucks!! Of course, that never happens, but it would be the ideal situation for a buyer-- and it would put eBay out of business in a hurry. eBay encourages early bidding and smiles upon the snipers of the world. eBay makes their profits on listing fees and "final value" fees. The more the item sells for the higher the "final value". This makes eBay very happy. That's why you'll never find any tutorials anywhere on eBay telling you to wait until the end of an auction to bid.

The Solution...

OK, so now that we understand the benefits of sniping, lets get back to our friend "SpeedyFingers123". Speedy probably started out in life just like I did. She learned everything she knew about eBay from eBay and never realized there was such a thing as bidding software. Never knew a computer could do your sniping automatically, bid on your behalf in the last 2 to 8 seconds of an auction, and do it while you're asleep. With sniping software, you tell the software program which auctions you're interested in and how much you're willing to pay. eBay never knows you've seen the auction until your friendly sniping service swoops in and places your bid with only seconds to spare. Neither does your competition. They never see you coming. The only way you can lose is if someone else uses the same program sets their maximum bid higher than yours.

(Yes, my friend, you can still lose. There's no guarantee of winning an auction no matter what system you use, if someone else is willing to pay more. If you set your maximum bid at a million dollars for a hunk of Elvis' belly button lint and some nut is willing to pay a million ten, you're still going to lose!)

"Bidding Fever" Cured

Let's face it, there IS a positive side to losing an auction. It's the satisfaction of knowing that you didn't lose your head and spend more than you could afford!! Trust me, I've been there, done that, and come to regret it. With sniping programs, you can "set it and forget it" and walk away knowing that if you don't win, you couldn't have afforded it anyway.

What's that I hear you saying? "But I could have had it if I'd just upped my bid by another fifty cents!" Hey, did you listen to anything I just said? Do you want to drive yourself nuts? It's only stuff, after all. You can't take it with you, and there will always be more. The beauty of eBay is that there will probably be another just like it, or at least something just as fabulous.

You're in Control

There's another big advantage to using bidding software. Two things, actually. First, sniping programs allow you to do something called "contingency bidding". Suppose you're interested in several very similar items and you want to win at least one of them but not all. Provided they're not all ending at the same time, you can create a contingency plan telling the bidding software to cancel your bids on the other items as soon as you win one of them.

Second, you can change your mind about an item you're bidding on at any time (except in approximately the last 15 minutes). On eBay, it's a huge "no-no" to retract a bid. You can only do this under the most dire of circumstances. Do it too many times you'll be politely asked to leave. Permanently. But, because eBay doesn't register your bid until the Sniping program enters it for you, (at the very end of the auction) you can cancel your "snipe" with no penalty. You're canceling what you've programmed into the sniping software, not an actual bid on eBay. Isn't that nice? No more "watching" an auction you're unsure about, and then forgetting to bid on it. No more babysitting your computer so you can be there for the final moments of the auction. No more finding out you've read the description wrong and you're bidding on an item you don't want. Or finding something you like better after you've already committed yourself to another item, and having to pass on it. (Or worse, spending way too much on both!) And, finally, you have the satisfaction of knowing that winning doesn't depend on the speed of your fingers or your internet connection.

Believe me, the first time you snatch an item away from SpeedyFingers123-- or anyone else for that matter-- you'll be hooked.

© 2004 NetBrainer LLC. An eBay Power Seller and rabid eBay shopper, Carolyn Schweitzer is the owner and editor of "NetBrainer", a site dedicated to improving the performance of buyers and sellers on eBay. (You can learn more about sniping programs at NetBrainer.com ). Carolyn also provides weekly recorded tips on eBay for "Third Mind USA Small-Biz radio".


TODAYS NEWS BY OFFICEJAX FREE ADVERTISING AND AD EXCHANGE SOLUTIONSMORE RESOURCES updated Mon. November / 18 / 2019

For Auctions, It’s ‘No Froth,’ but ‘Steady.’ That’s the New Normal. - The New York Times
For Auctions, It’s ‘No Froth,’ but ‘Steady.’ That’s the New Normal.  The New York Times

CORRECTION to terms for Nykredit's and Totalkredit's auctions - Totalkredit A/S - GlobeNewswire
CORRECTION to terms for Nykredit's and Totalkredit's auctions - Totalkredit A/S  GlobeNewswire

Man auctions items to raise money for church - FOX 13 Tampa Bay
Man auctions items to raise money for church  FOX 13 Tampa Bay

Auction: Charles Manson's Bible, movie proposal, Squeaky Fromme love letter - Washington Examiner
Auction: Charles Manson's Bible, movie proposal, Squeaky Fromme love letter  Washington Examiner

Fall Art Auctions See Significant Declines - The New York Times
Fall Art Auctions See Significant Declines  The New York Times

Farmland Auctions: A Wild Day in Southeast South Dakota - Successful Farming
Farmland Auctions: A Wild Day in Southeast South Dakota  Successful Farming

'Stolen' Banksy statue could fetch $1.3m at auction - CNN
'Stolen' Banksy statue could fetch $1.3m at auction  CNN

C-Band Alliance says it would send billions to US treasury under private spectrum auction - SpaceNews
C-Band Alliance says it would send billions to US treasury under private spectrum auction  SpaceNews

Editorial: The shining example of ACV Auctions - Buffalo News
Editorial: The shining example of ACV Auctions  Buffalo News

Xbox One, Jordan shoes among items up for auction by SAPD - KSAT San Antonio
Xbox One, Jordan shoes among items up for auction by SAPD  KSAT San Antonio

The dress Princess Diana wore to dance with John Travolta is up for auction - Page Six
The dress Princess Diana wore to dance with John Travolta is up for auction  Page Six

2020 Might Just Be The Year Apps Finally Start To Embrace Real-Time Auctions - AdExchanger
2020 Might Just Be The Year Apps Finally Start To Embrace Real-Time Auctions  AdExchanger

Generators call on PJM to expedite delayed capacity auction, once new rules are set - Utility Dive
Generators call on PJM to expedite delayed capacity auction, once new rules are set  Utility Dive

Companies pushing controversial 5G spectrum auction offer to give at least 30% of proceeds to U.S. Treasury - MarketWatch
Companies pushing controversial 5G spectrum auction offer to give at least 30% of proceeds to U.S. Treasury  MarketWatch

Community: Big crowd at Morgan County Golden Stars’ 5th annual dinner, auction - Fort Morgan Times
Community: Big crowd at Morgan County Golden Stars’ 5th annual dinner, auction  Fort Morgan Times

Michael Jordan's Signed Check From 1982 Billiards Bet Up For Auction - TMZ
Michael Jordan's Signed Check From 1982 Billiards Bet Up For Auction  TMZ

Local organization to receive surprise donation from quarter auction - WTRF
Local organization to receive surprise donation from quarter auction  WTRF

Port of Kennewick auctions off portion land in Southridge area - NBC Right Now
Port of Kennewick auctions off portion land in Southridge area  NBC Right Now

From startup to $1.5B: ACV Auctions becomes Buffalo's first 'unicorn' - Buffalo News
From startup to $1.5B: ACV Auctions becomes Buffalo's first 'unicorn'  Buffalo News

West Carroll: Pies galore at American Legion Post auction in Taneytown; holiday gift ideas - Baltimore Sun
West Carroll: Pies galore at American Legion Post auction in Taneytown; holiday gift ideas  Baltimore Sun

Former ACV Auctions employees files legal complaint against company - Buffalo Business First - Buffalo Business First
Former ACV Auctions employees files legal complaint against company - Buffalo Business First  Buffalo Business First

This Season’s Auctions? The “Old Normal” Says Head of Citi Art Advisory - Forbes
This Season’s Auctions? The “Old Normal” Says Head of Citi Art Advisory  Forbes

2020 Naples Winter Wine Fest showcasing luxurious destination auctions - Wink News
2020 Naples Winter Wine Fest showcasing luxurious destination auctions  Wink News

10 most expensive Disneyland items in an auction featuring 1,500 theme park collectibles - The Mercury News
10 most expensive Disneyland items in an auction featuring 1,500 theme park collectibles  The Mercury News

$100 Million for a Painting? Not This Auction Week - The Wall Street Journal
$100 Million for a Painting? Not This Auction Week  The Wall Street Journal

On the auction block: Two collections that show a passion for ships and the military - Daily Press
On the auction block: Two collections that show a passion for ships and the military  Daily Press

Nevada treasurer, Clark County conducting auctions - Las Vegas Review-Journal
Nevada treasurer, Clark County conducting auctions  Las Vegas Review-Journal

Riverside, Coffin golf course assets to be sold at auction - Indianapolis Business Journal
Riverside, Coffin golf course assets to be sold at auction  Indianapolis Business Journal

Christian Bale's GT40 from 'Ford v. Ferrari' is racing to the auction block - Fox News
Christian Bale's GT40 from 'Ford v. Ferrari' is racing to the auction block  Fox News

ACV Auctions closes on $150 million in venture capital, the largest single round in Buffalo history - Buffalo Business First - Buffalo Business First
ACV Auctions closes on $150 million in venture capital, the largest single round in Buffalo history - Buffalo Business First  Buffalo Business First

Art Market 2019: NYC's Biggest Art Auction Sales To Tumble - Bloomberg
Art Market 2019: NYC's Biggest Art Auction Sales To Tumble  Bloomberg

Apple CFO Luca Maestri Auctions Lunch and Apple HQ Tour for Charity - MacRumors
Apple CFO Luca Maestri Auctions Lunch and Apple HQ Tour for Charity  MacRumors

Chevrolet Camaro owned by TV's Mike Brewer is heading to auction - msnNOW
Chevrolet Camaro owned by TV's Mike Brewer is heading to auction  msnNOW

Exclusive: Failed Exxon talks left Petrobras stranded for auctions - sources - Reuters
Exclusive: Failed Exxon talks left Petrobras stranded for auctions - sources  Reuters

Group to hold anti-fracking rally ahead of scheduled auctions - News3LV
Group to hold anti-fracking rally ahead of scheduled auctions  News3LV

Over 1500 rare pieces of Disney memorabilia headed to auction - 10TV
Over 1500 rare pieces of Disney memorabilia headed to auction  10TV

Kurt Cobain’s ‘Unplugged’ Sweater Sells for Record $334,000 at Auction - Rolling Stone
Kurt Cobain’s ‘Unplugged’ Sweater Sells for Record $334,000 at Auction  Rolling Stone

Properties sold at Buffalo tax auction fall to ‘historic’ low - WIVB.com - News 4
Properties sold at Buffalo tax auction fall to ‘historic’ low  WIVB.com - News 4

On C-Band Spectrum, Auction Speed Is All That Matters - Forbes
On C-Band Spectrum, Auction Speed Is All That Matters  Forbes

Last Saab 9-3 built nets nearly $48,000 at auction - Autoblog 日本版
Last Saab 9-3 built nets nearly $48,000 at auction  Autoblog 日本版

Why Brazil's Oil Auctions Will Fail Again - OilPrice.com
Why Brazil's Oil Auctions Will Fail Again  OilPrice.com

The Ultra Rare Nike Moon Shoe Going Up For Auction - Sole Collector
The Ultra Rare Nike Moon Shoe Going Up For Auction  Sole Collector

NSE facilitates primary subscription for retail investors in State Development Loan auctions - Business Insider India
NSE facilitates primary subscription for retail investors in State Development Loan auctions  Business Insider India

Slowdive Launch Charity Auction, Share New Version of “Golden Hair”: Listen - Pitchfork
Slowdive Launch Charity Auction, Share New Version of “Golden Hair”: Listen  Pitchfork

'Cursed' 1937 Cord 812 coming up for auction hides a political history - Fox News
'Cursed' 1937 Cord 812 coming up for auction hides a political history  Fox News

Gas station memorabilia from Mundelein repair shop going up for auction - Chicago Daily Herald
Gas station memorabilia from Mundelein repair shop going up for auction  Chicago Daily Herald

Isle of Wight Postal History fetches £31500 at auction - Isle of Wight County Press
Isle of Wight Postal History fetches £31500 at auction  Isle of Wight County Press

Ex-NBA star Jermaine O'Neal's Texas mansion, once listed at $11.49 million, goes up for auction - Chron.com
Ex-NBA star Jermaine O'Neal's Texas mansion, once listed at $11.49 million, goes up for auction  Chron.com

Hot Lots: 7 Tantalizingly Undervalued Artworks in New York’s Fall Auctions, According to the Experts - artnet News
Hot Lots: 7 Tantalizingly Undervalued Artworks in New York’s Fall Auctions, According to the Experts  artnet News

Spectacular Items and Important Collections in Heritage Hong Kong Auction - CoinWeek
Spectacular Items and Important Collections in Heritage Hong Kong Auction  CoinWeek

Colleyville castle-style estate goes to auction - The Dallas Morning News
Colleyville castle-style estate goes to auction  The Dallas Morning News

Three Curious Observations About the 2019 Geneva Watch Auctions - Bloomberg
Three Curious Observations About the 2019 Geneva Watch Auctions  Bloomberg

Coos County Sheriff Office celebrates K9 unit with movie night and auction - Coos Bay World
Coos County Sheriff Office celebrates K9 unit with movie night and auction  Coos Bay World

Cyberattack Takes Dallas-Based Heritage Auctions Offline - Dallas Observer
Cyberattack Takes Dallas-Based Heritage Auctions Offline  Dallas Observer

Auction Houses Find Singular Works for Fall Sales - Barron's
Auction Houses Find Singular Works for Fall Sales  Barron's

Fellows Auctions To Offer Free Postage In November And December - aBlogtoWatch
Fellows Auctions To Offer Free Postage In November And December  aBlogtoWatch

Unusual Michael Jackson Memorabilia Expected to Fetch Massive Price at Auction - Showbiz Cheat Sheet
Unusual Michael Jackson Memorabilia Expected to Fetch Massive Price at Auction  Showbiz Cheat Sheet

Most expensive wristwatch ever sold fetches $31 million at auction - CNBC
Most expensive wristwatch ever sold fetches $31 million at auction  CNBC

Intelsat Stock Slides Another 15% on Doubts Over 5G Spectrum Auction - Barron's
Intelsat Stock Slides Another 15% on Doubts Over 5G Spectrum Auction  Barron's

Massive Southlake estate on nearly 5 acres to hit auction block - WFAA.com
Massive Southlake estate on nearly 5 acres to hit auction block  WFAA.com

Sotheby's France to Auction Incredible Collection of Édouard and Jacqueline de Ribes This December - Architectural Digest
Sotheby's France to Auction Incredible Collection of Édouard and Jacqueline de Ribes This December  Architectural Digest

Equestrian ranch in Bartonville goes to auction without reserve - The Dallas Morning News
Equestrian ranch in Bartonville goes to auction without reserve  The Dallas Morning News

Get your bids ready: Fourth auction of Neil Armstrong's belongings begins Oct. 25 - The Cincinnati Enquirer
Get your bids ready: Fourth auction of Neil Armstrong's belongings begins Oct. 25  The Cincinnati Enquirer

Brazil Had High Hopes for Its Big Oil Auction. They Went Bust. - The New York Times
Brazil Had High Hopes for Its Big Oil Auction. They Went Bust.  The New York Times

This bottle of rare whisky sold for nearly $1.9 million, shattering auction record - USA TODAY
This bottle of rare whisky sold for nearly $1.9 million, shattering auction record  USA TODAY

Bronte museum pays 780,000 euros at auction for miniature manuscript - Reuters
Bronte museum pays 780,000 euros at auction for miniature manuscript  Reuters

Rosamond Gifford Zoo to hold sale, auction of animal art on Friday, Nov. 22 - Syracuse.com
Rosamond Gifford Zoo to hold sale, auction of animal art on Friday, Nov. 22  Syracuse.com

Rare portrait of teenage Mozart could fetch $1.3 million at auction - CNN
Rare portrait of teenage Mozart could fetch $1.3 million at auction  CNN

First round of auctions begin for Joe Ley Antiques - WAVE 3
First round of auctions begin for Joe Ley Antiques  WAVE 3

Overnight fire damages 27 cars at northeast Houston auction site - KTRK-TV
Overnight fire damages 27 cars at northeast Houston auction site  KTRK-TV

Pai Proposes FCC Auction of C-Band - Multichannel News
Pai Proposes FCC Auction of C-Band  Multichannel News

Marc Jacobs’s Personal Collection Is Headed to Auction - Architectural Digest
Marc Jacobs’s Personal Collection Is Headed to Auction  Architectural Digest

8 Lots That Could Ignite Bidding Frenzies at the Fall Auctions in New York - Artsy
8 Lots That Could Ignite Bidding Frenzies at the Fall Auctions in New York  Artsy

Former Saco mill property headed for auction - Press Herald
Former Saco mill property headed for auction  Press Herald

Auction for Grand Bazaar shop starts with $227,000 per square meter - Hurriyet Daily News
Auction for Grand Bazaar shop starts with $227,000 per square meter  Hurriyet Daily News

Anthony Bourdain Auction Brings in Over $1.8 Million - Food & Wine
Anthony Bourdain Auction Brings in Over $1.8 Million  Food & Wine

E-auction platform launches in Cyprus - Cyprus Mail
E-auction platform launches in Cyprus  Cyprus Mail

DNR speeds up tamarack timber auctions as beetle decimates Minnesota stands - Minneapolis Star Tribune
DNR speeds up tamarack timber auctions as beetle decimates Minnesota stands  Minneapolis Star Tribune

Christies - 20th Century season November 2019 wrap report - Christie's
Christies - 20th Century season November 2019 wrap report  Christie's

Rare 1838 half-dollar coin could be worth $500G at auction - Fox News
Rare 1838 half-dollar coin could be worth $500G at auction  Fox News

Christmas Mother auction raises $20K to give kids toys for Christmas - WTVR CBS 6 News
Christmas Mother auction raises $20K to give kids toys for Christmas  WTVR CBS 6 News

149 rare classic cars, performance vehicles up for sale in largest US Marshals auction - USA TODAY
149 rare classic cars, performance vehicles up for sale in largest US Marshals auction  USA TODAY

Elton John Lyrics Head to Auction via Bernie Taupin’s Ex-Wife - Rolling Stone
Elton John Lyrics Head to Auction via Bernie Taupin’s Ex-Wife  Rolling Stone

BREAKING: FCC's Pai Aims To Sell C-Band Licenses Through Public Auction - Law360
BREAKING: FCC's Pai Aims To Sell C-Band Licenses Through Public Auction  Law360

First Keith Haring Mural to Go to Auction Fetches $3.8M at Bonhams - Hyperallergic
First Keith Haring Mural to Go to Auction Fetches $3.8M at Bonhams  Hyperallergic

20 of the most expensive celebrity memorabilia items ever sold at auction - Business Insider
20 of the most expensive celebrity memorabilia items ever sold at auction  Business Insider

Olivia Newton-John's​ "Grease" pants sold at auction, bought by Spanx founder Sara Blakely - CBS News
Olivia Newton-John's​ "Grease" pants sold at auction, bought by Spanx founder Sara Blakely  CBS News

Indecision, customized Fiero featured in online auction - The ClassicCars.com Journal
Indecision, customized Fiero featured in online auction  The ClassicCars.com Journal

PAL Buffalo's auction Tuesday funds youth enrichment programs - Buffalo News
PAL Buffalo's auction Tuesday funds youth enrichment programs  Buffalo News

FOX 8 FOX Trot special auction: Own a piece of the FOX 8 set - WJW FOX 8 News Cleveland
FOX 8 FOX Trot special auction: Own a piece of the FOX 8 set  WJW FOX 8 News Cleveland

Auto marketplace ACV Auctions seeks to raise $150 million at $1 billion valuation - Reuters
Auto marketplace ACV Auctions seeks to raise $150 million at $1 billion valuation  Reuters

German Auction House Defends Selling Nazi Items, Including Hitler's Book - Newsweek
German Auction House Defends Selling Nazi Items, Including Hitler's Book  Newsweek

Disneyland 'Tiki' birds among vast theme park auction - Reuters
Disneyland 'Tiki' birds among vast theme park auction  Reuters

City, county join forces for Saturday's live auction - Gillette News Record
City, county join forces for Saturday's live auction  Gillette News Record

2019 Holiday Gift Card Auction - SooToday.com
2019 Holiday Gift Card Auction  SooToday.com

Munnings Painting Headlines Sporting Art Auction at Keeneland - Thoroughbred Daily News
Munnings Painting Headlines Sporting Art Auction at Keeneland  Thoroughbred Daily News

Own a piece of Blue Line history as Metro auctions off old signage - Long Beach Post
Own a piece of Blue Line history as Metro auctions off old signage  Long Beach Post

Dentures discovery: Centuries-old false teeth found in field, up for auction - Fox News
Dentures discovery: Centuries-old false teeth found in field, up for auction  Fox News

Doris Day auction to feature animal artifacts, Golden Globe awards - Reuters
Doris Day auction to feature animal artifacts, Golden Globe awards  Reuters

City of Philadelphia will get a seat at the table at auction for city’s bankrupt refinery - The Philadelphia Inquirer
City of Philadelphia will get a seat at the table at auction for city’s bankrupt refinery  The Philadelphia Inquirer

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