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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. March / 01 / 2021

Who owns what: A deeper look at ACV Auctions' IPO filing - Buffalo Business First - Buffalo Business First
Who owns what: A deeper look at ACV Auctions' IPO filing - Buffalo Business First  Buffalo Business First

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Ritchie Bros. Achieves Strong Pricing in Edmonton, AB Auction with 50% Increase in Bidders  PRNewswire

Spectrum auctions underway; radiowaves valued at ₹3.92 lakh crore up for bidding - The Hindu
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Heritage Auctions Posts $30M Weekend as Michael Jordan, Wayne Gretzky Items Set New Records  The Action Network

India Plans Green Hydrogen Auctions - CleanTechnica
India Plans Green Hydrogen Auctions  CleanTechnica

ACV Auctions, Backed by SoftBank, Files to Go Public - Barron's
ACV Auctions, Backed by SoftBank, Files to Go Public  Barron's

ACV Auctions, Buffalo's first billion-dollar startup, files to go public - Buffalo News
ACV Auctions, Buffalo's first billion-dollar startup, files to go public  Buffalo News

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COVID-19: Brazil postpones mining auctions due to travel restrictions  BNamericas English

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Black Knight #1 Auction Happening Right Now At Heritage Auctions  Bleeding Cool News

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Platinum Luxury Auctions Sells Posh Apt on NYC's 5th Avenue at 14-Bidder Luxury Auction®  PRNewswire

Aerophilately, rocket mail, astrophilately in March 16-17 Kelleher auction - Linn's Stamp News
Aerophilately, rocket mail, astrophilately in March 16-17 Kelleher auction  Linn's Stamp News

Treasury Yields Just Spiked After a Brutal 7-Year Auction. Here's What It Means. - Barron's
Treasury Yields Just Spiked After a Brutal 7-Year Auction. Here's What It Means.  Barron's

ACV Auctions seeks to raise $100 million in IPO - Buffalo Business First - Buffalo Business First
ACV Auctions seeks to raise $100 million in IPO - Buffalo Business First  Buffalo Business First

Sauk Centre Area Auction • Saturday, April 10th | Auctions - ECM Publishers
Sauk Centre Area Auction • Saturday, April 10th | Auctions  ECM Publishers

SuperRare And Verisart Announce ‘10x10’ NFT Auction Series Featuring Neïl Beloufa, Petra Cortright, Shepard Fairey, And More - Forbes
SuperRare And Verisart Announce ‘10x10’ NFT Auction Series Featuring Neïl Beloufa, Petra Cortright, Shepard Fairey, And More  Forbes

Government Auctions to Boost Colombian Non-Conventional Renewable Energy - Fitch Ratings
Government Auctions to Boost Colombian Non-Conventional Renewable Energy  Fitch Ratings

Treasury Makes History With First Two-Year Note Auction Premium - Bloomberg
Treasury Makes History With First Two-Year Note Auction Premium  Bloomberg

Bidding open on $7 million in assets at shuttered Tahoe casino auction - Northern Nevada Business Weekly
Bidding open on $7 million in assets at shuttered Tahoe casino auction  Northern Nevada Business Weekly

Rare Books &c. at Auction This Week - Fine Books & Collections Magazine
Rare Books &c. at Auction This Week  Fine Books & Collections Magazine

Shoreland Lease Program Property Auction | NewsTalk 610 AM & 103.9 FM - KDAL News
Shoreland Lease Program Property Auction | NewsTalk 610 AM & 103.9 FM  KDAL News

Minnesota priest auctions off baseball card collection for charity - CNN
Minnesota priest auctions off baseball card collection for charity  CNN

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St. Louis County to hold online auction of waterfront properties - Duluth News Tribune
St. Louis County to hold online auction of waterfront properties  Duluth News Tribune

Hobo nickel sets a record price in Heritage auction - Coin World
Hobo nickel sets a record price in Heritage auction  Coin World

City of San Angelo Online Auction Under Way - San Angelo LIVE!
City of San Angelo Online Auction Under Way  San Angelo LIVE!

Hundreds of Colorado self-storage units up for auction during pandemic - The Denver Channel
Hundreds of Colorado self-storage units up for auction during pandemic  The Denver Channel

How an Artist Named Mr. Doodle Became a Multimillion-Dollar Auction Sensation With a Bunch of Squiggles and ‘Like’-able Branding - artnet News
How an Artist Named Mr. Doodle Became a Multimillion-Dollar Auction Sensation With a Bunch of Squiggles and ‘Like’-able Branding  artnet News

Benefits of in-person used-car auctions remain clear - Automotive News
Benefits of in-person used-car auctions remain clear  Automotive News

Stay Calm and Collected Through Buddhist Works of Art | Auctions News - TheValue.com
Stay Calm and Collected Through Buddhist Works of Art | Auctions News  TheValue.com

Swanville Area Auction • Saturday, March 6th | Auctions - ECM Publishers
Swanville Area Auction • Saturday, March 6th | Auctions  ECM Publishers

Akron Flashback: Photos of astronauts in Goodrich spacesuits to be sold at auction - Akron Beacon Journal
Akron Flashback: Photos of astronauts in Goodrich spacesuits to be sold at auction  Akron Beacon Journal

Effects of Transporting Cattle on Auction Prices - Drovers Magazine
Effects of Transporting Cattle on Auction Prices  Drovers Magazine

Lessons from spectrum auctions: Entner | FierceWireless - FierceWireless
Lessons from spectrum auctions: Entner | FierceWireless  FierceWireless

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Classic car auction comes to Glendale, Sun Cities residents to drive  Your Valley

10-year Treasury yield surges above 1.50% after 'awful' debt auction - MarketWatch
10-year Treasury yield surges above 1.50% after 'awful' debt auction  MarketWatch

St. Louis County's online land auction nets $764,000 in sales - Duluth News Tribune
St. Louis County's online land auction nets $764,000 in sales  Duluth News Tribune

Presidents' Day Auction Offers Abraham Lincoln's Hair and Other Oddities - The New York Times
Presidents' Day Auction Offers Abraham Lincoln's Hair and Other Oddities  The New York Times

Porcelain Bowl Bought at Yard Sale for $35 Could Sell at Auction for $500000 - Smithsonian
Porcelain Bowl Bought at Yard Sale for $35 Could Sell at Auction for $500000  Smithsonian

2 classic wagons from Ford family personal collection up for auction - WKYC.com
2 classic wagons from Ford family personal collection up for auction  WKYC.com

After chaotic auction, Doernbecher halts bidding in Nike (NYSE: NKE) charity event - Portland Business Journal - Portland Business Journal
After chaotic auction, Doernbecher halts bidding in Nike (NYSE: NKE) charity event - Portland Business Journal  Portland Business Journal

TREASURIES-Inflation bets, poor auction send yields up to new milestones - Reuters
TREASURIES-Inflation bets, poor auction send yields up to new milestones  Reuters

ICE publishes auction calendar for UK's new Emissions Trading Scheme - Business Wire
ICE publishes auction calendar for UK's new Emissions Trading Scheme  Business Wire

Venom Lethal Protector #1 Rare Gold CGC 9.8 On Auction At Heritage - Bleeding Cool News
Venom Lethal Protector #1 Rare Gold CGC 9.8 On Auction At Heritage  Bleeding Cool News

Tiger Group Online Auction on March 9 Features Heavy Equipment, Tools and Rolling Stock from Advanced Pavement Group - thepress.net
Tiger Group Online Auction on March 9 Features Heavy Equipment, Tools and Rolling Stock from Advanced Pavement Group  thepress.net

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Junior Market Steer Auction an invitation only event this year to follow City of San Antonio’s pandemic safety protocols  San Antonio Express-News

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ACV Auctions adds to partner list with ParkMyFleet  Auto Remarketing

Collector car auction coming to State Farm Stadium in March - KTAR.com
Collector car auction coming to State Farm Stadium in March  KTAR.com

Telecom Spectrum Auction 2021: Here is all you need to know - Economic Times
Telecom Spectrum Auction 2021: Here is all you need to know  Economic Times

MLCS Mini Jubilee Jewelry Online Silent Auction - MyMotherLode.com
MLCS Mini Jubilee Jewelry Online Silent Auction  MyMotherLode.com

Photographs Capturing Important Moments in Space History go to Auction - Fine Books & Collections Magazine
Photographs Capturing Important Moments in Space History go to Auction  Fine Books & Collections Magazine

Vintage Card Records Obliterated in Heritage Auction - Sports Collectors Daily
Vintage Card Records Obliterated in Heritage Auction  Sports Collectors Daily

Van Gogh drawing once looted by Nazis to be sold at auction - The Times of Israel
Van Gogh drawing once looted by Nazis to be sold at auction  The Times of Israel

Rarely seen Van Gogh painting exhibited ahead of auction - Associated Press
Rarely seen Van Gogh painting exhibited ahead of auction  Associated Press

Slave Auction Block Vigil honors the lives on enslaved laborers sold at Court Square - WVIR
Slave Auction Block Vigil honors the lives on enslaved laborers sold at Court Square  WVIR

NFT Art Goes Viral and Heads to Auction — But What Is It? - Hyperallergic
NFT Art Goes Viral and Heads to Auction — But What Is It?  Hyperallergic

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Hollywood, history combine in Churchill art auction  Africanews English

Station wagons from Ford family's personal collection up for auction - Detroit Free Press
Station wagons from Ford family's personal collection up for auction  Detroit Free Press

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Local investors grab foreclosed downtown bank building at auction for $570K  RichmondBizSense

Verizon pledges whopping $45B in C-band auction - FierceWireless
Verizon pledges whopping $45B in C-band auction  FierceWireless

K-State studies effects of transporting cattle on prices paid at auction - High Plains Journal
K-State studies effects of transporting cattle on prices paid at auction  High Plains Journal

'Extraterrestrial crystal ball' hits the auction block at Christie's - Livescience.com
'Extraterrestrial crystal ball' hits the auction block at Christie's  Livescience.com

Goldin Auctions Raises $40 Million in Funding From The Chernin Group, Other Big Names - The Action Network
Goldin Auctions Raises $40 Million in Funding From The Chernin Group, Other Big Names  The Action Network

REFILE-TREASURIES-Inflation bets, poor auction catapult key yield above 1.5% - Reuters
REFILE-TREASURIES-Inflation bets, poor auction catapult key yield above 1.5%  Reuters

Oceanfront Bermuda Estate with Boat House Heading for Auction - Mansion Global
Oceanfront Bermuda Estate with Boat House Heading for Auction  Mansion Global

Mike Trout's 1st MLB Jersey Hits Auction Block, Should Sell For Over $1 Mil! - TMZ
Mike Trout's 1st MLB Jersey Hits Auction Block, Should Sell For Over $1 Mil!  TMZ

22 horses, donkeys rescued from Cookeville auction and possible slaughter pipeline - WKRN News 2
22 horses, donkeys rescued from Cookeville auction and possible slaughter pipeline  WKRN News 2

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One-Off Porsche Taycan “Queen of the Night” Hits the Auction Block - autoevolution
One-Off Porsche Taycan “Queen of the Night” Hits the Auction Block  autoevolution

Legal battle threatens auction for São Paulo... - BNamericas English
Legal battle threatens auction for São Paulo...  BNamericas English

Tivoli Theatre's online auction provides funds for live shows - Front Page
Tivoli Theatre's online auction provides funds for live shows  Front Page

Massive 242-carat Russian diamond heads to auction block - New York Post
Massive 242-carat Russian diamond heads to auction block  New York Post

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Radwood's Auction Site Opens Next Week, Here's What to Expect  The Drive

Cold War Relics Auction - KTLA
Cold War Relics Auction  KTLA

Most Valuable Company Profile: Auction.com - DSNews - DSNews.com
Most Valuable Company Profile: Auction.com - DSNews  DSNews.com

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Auction House Suspends Sale of 19th-Century Jewish Burial Records  The New York Times

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Growing Great Kids Auction and Gala - KGMI
Growing Great Kids Auction and Gala  KGMI

'Magical piece of Vince Lombardi' found in box, now up for auction - Green Bay Press Gazette
'Magical piece of Vince Lombardi' found in box, now up for auction  Green Bay Press Gazette

Nicol's Restaurant artifacts raised $43K at auction - Zanesville Times Recorder
Nicol's Restaurant artifacts raised $43K at auction  Zanesville Times Recorder

FCC Reveals Its C-Band Auction Winners - Radio & Television Business Report
FCC Reveals Its C-Band Auction Winners  Radio & Television Business Report

'52 Mantle, Mahomes, MJ Rookies Push Goldin Auction Past $30 Million - Sports Collectors Daily
'52 Mantle, Mahomes, MJ Rookies Push Goldin Auction Past $30 Million  Sports Collectors Daily

Do something useful with spectrum auction proceeds - Lowenstein - FierceWireless
Do something useful with spectrum auction proceeds - Lowenstein  FierceWireless

Government auction includes old missile site, land with ocean views - The Real Deal
Government auction includes old missile site, land with ocean views  The Real Deal

What Investors Want to Know: US C-Band Auction Impact and Rating Horizon - Fitch Ratings
What Investors Want to Know: US C-Band Auction Impact and Rating Horizon  Fitch Ratings

Logbook Signed by Martin Luther King Jr. in Birmingham Jail Breaks Auction Record - Hyperallergic
Logbook Signed by Martin Luther King Jr. in Birmingham Jail Breaks Auction Record  Hyperallergic

Sotheby’s Christo Auction, Part 1, Nets $9.8 Million - The New York Times
Sotheby’s Christo Auction, Part 1, Nets $9.8 Million  The New York Times

Unsigned, vintage ceramics can be identified at auction - AberdeenNews.com
Unsigned, vintage ceramics can be identified at auction  AberdeenNews.com

Tom Brady rookie card skyrockets in auction - WLNE-TV (ABC6)
Tom Brady rookie card skyrockets in auction  WLNE-TV (ABC6)

Former police station and workhouse to be sold in online auction - expressandstar.com
Former police station and workhouse to be sold in online auction  expressandstar.com

Cyberpunk and Witcher hackers don’t seem to be bluffing with $1M source code auction - The Verge
Cyberpunk and Witcher hackers don’t seem to be bluffing with $1M source code auction  The Verge

Powell Auction & Realty, LLC - The Barton Collection – Online Auction Sale #2 Antiques - Antique Trader
Powell Auction & Realty, LLC - The Barton Collection – Online Auction Sale #2 Antiques  Antique Trader

Concordia creditors do battle as campus slated for June foreclosure auction - OregonLive
Concordia creditors do battle as campus slated for June foreclosure auction  OregonLive

Farmland Insider: Kansas auction of 10900 acres sells for $38 million - Successful Farming
Farmland Insider: Kansas auction of 10900 acres sells for $38 million  Successful Farming

Art Auction Benefits Black Scholars - Gulfport Gabber
Art Auction Benefits Black Scholars  Gulfport Gabber

Auction Dilemma: Audi A8 Vs Volkswagen Phaeton | HotCars - HotCars
Auction Dilemma: Audi A8 Vs Volkswagen Phaeton | HotCars  HotCars

FLDS's compound sold in Sheriff's auction to former members - KOTA
FLDS's compound sold in Sheriff's auction to former members  KOTA

Week in Review: Islands, Amar'e and Expensive Auctions - Mansion Global
Week in Review: Islands, Amar'e and Expensive Auctions  Mansion Global

Take Home a Champion: Race-Winning Corvette C7.R Up for Auction - imsa.com
Take Home a Champion: Race-Winning Corvette C7.R Up for Auction  imsa.com

Brazil's auction rules rule in Huawei - Light Reading
Brazil's auction rules rule in Huawei  Light Reading

Nearly 700 San Diego properties up for auction | Registration now open - CBS News 8
Nearly 700 San Diego properties up for auction | Registration now open  CBS News 8

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